CT 6- Income Statement
The 2012 year-end adjusted balances taken from the general ledger of Cooperstown Services, Inc. are listed below in general ledger order.
| Coopertown Suppliers, Inc. | ||||||||||||||||||||||||||||||||||||||
| DR | CR | |||||||||||||||||||||||||||||||||||||
| Cash | $12,950 | |||||||||||||||||||||||||||||||||||||
| Accounts receivable | 28,150 | |||||||||||||||||||||||||||||||||||||
| Supplies | 8,400 | |||||||||||||||||||||||||||||||||||||
| Prepaid insurance | 9,500 | |||||||||||||||||||||||||||||||||||||
| Land |
Legal Case
Compare the rights of plaintiffs under common law with the rights of persons who purchase securities registered under the Securities Act of 1933 and sustain losses. In your answer, emphasize the issue of who must bear the burden of proof. Remember to complete all parts of the problems. Do not forget to show the necessary steps and explain how you attained that outcome.
Ethics Case
Harris Fell, CPA and member of the AICPA, was engaged to audit the financial statements of Wilson Corporation. Fell had half-completed the audit when he had a dispute with the management of Wilson Corporation and was discharged. Hal Compton, CPA, was promptly engaged to replace Fell. Wilson Corporation did not compensate Fell for his work to date; therefore, Fell refused to allow Wilson Corporation’s management to examine his working papers. Some of the working papers consisted of adjusting journal entries and supporting analysis. Wilson Corporation’s management had no other source for this information. Did Fell violate the AICPA Code of Professional Conduct? Explain fully. Remember to complete all parts of the problems. Do not forget to show the necessary steps and explain how you attained that outcome.
Colorado Springs Company’s Internal Control
Colorado Springs Company (CSC) is a wholesaler with fiscal year ended December 31 of previous year. Since it is publicly-traded, it undergoes external audit. The most recent audit was completed in February of this year. As part of the audit of the financial statements, the auditors tested the effectiveness of management’s assessment of internal control over financial reporting. The auditor found out that existing internal controls were inadequate. Specifically, CSC’s accounting system for sales, cash receipts, accounts receivables, and accounts payable had material weakness. The audit revealed that there were:
ACC 400 ( 3 Questions) Financial & Managerial Accounting
Answer each of the questions below with a minimum of 125 words each.
o QUESTION 1: Although ROI can be a good measure of a company's performance, there can be some drawbacks to using this measure to base management's performance. Some argue that having a performance measure like ROI will cause managers to look more to the short term rather than to focus on solid long-term planning.
This scenario was one that I witnessed at my position with the airplane parts manufacturer. In that company, managers changed from one role to another around every 18 months. Because of this, many managers only focused on what they had to do to meet their metrics for the next year or so. Upper management ended up extending the time for managers to be in a role to at least two years. This did help to get managers focused more on the longer term.
Class, what are some other criticisms of using ROI? Do you agree or disagree?
Cam and Anna are very satisfied with their first month of operations. Their major effort centered on signing various artists to live performance contracts, and they had more success than they had anticipated. In addition to Charm City, they were able to u
Cam and Anna are very satisfied with their first month of operations. Their major effort centered on signing various artists to live performance contracts, and they had more success than they had anticipated. In addition to Charm City, they were able to use their contacts in the music industry to sign other artists. With the tours starting in February, Cam and Anna were eager to hold their first big event. Over the next month, the following transactions occurred.
Assignment 1: Information Needs for the AIS
For this assignment, research the Internet or the University databases for information related to improper assumptions concerning accounting information systems.
Write a five to seven (5-7) page paper in which you:
Financial Accounting Exam 2 – 40 mcqs
Financial Accounting Exam 2
1) The fundamental accounting equation is a reflection of the:
Money measurement concept
Conservatism concept
Dual-aspect concept
Historical cost concept
2) The historical cost concept reflects the fact that financial accounting practice favors:
Reliability over relevance
Management's best guess over historical financial information
Relevance over reliability
Consensus market values over historical financial information
3) Jon Sports' inventory account increased from $25,000 on December 31, 2003 to $30,000 on December 31, 2004. Which one of the following items would be included in the operating section of its 2004 indirect method statement of cash flows?
Add increase in inventory $5,000
Subtract increase in inventory ($5,000)
Add inventory balance $20,000
Subtract inventory balance ($20,000)
4) Turnkey Systems, Inc. began the month of June, 2004 with a prepaid expenses balance of $240,000. During the month, debits totaling $110,
Dawson Company manufactures three types of computer games
Dawson Company manufactures three types of computer games: Skyhawk, Seahawk, and Sharks. It allocates overhead to the games based on the number of direct labor hours worked on each product. The results of the most recent period follow:
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