1- Describe the main difference between Financial Accounting and Managerial Accounting
2- ? What is it?
3- Why are ethics important for accountants?
4- Record the journal entry for the following transactions. Be sure to put the debit side and the credit side in proper form (i.e. debit listed first and not indented, credit listed 2nd and indented; do not draw T-accounts or do not use the horizontal model format) :
a. Issued common stock for $75,000 cash
b. Performed services worth $25,500 on account.
c. Bought equipment for $90,000 with cash.
d. Received a cash payment of $2,500 from a customer on account.
5- What is meant by the Lower of Cost or market rule?
Answer:
6- Why would a company use ratios to measure inventory turnover and days in inventory (why would they care how fast inventory is turning over or staying in the warehouse)?
7- Record the following adjusting entries (record only the adjustment, not the original entry to purchase, etc. – again record in proper journal entry form. Also be sure to put the debit side and the credit side in proper form (i.e. debit listed first and not indented, credit listed 2nd and indented; do not draw T-accounts or do not use the horizontal model format):
a. Your business had $45,000 worth of unearned service revenue. At the end of the period it was determined that you earned 1/3 of the total.
b. Your business paid $12,000 for insurance in advance. One month of this has now been used up, record the adjustment necessary.
c. Your business originally purchased $1,500 of supplies. At the end of the period, only $500 worth of supplies are left. Please make the necessary adjustment.
| 8. The following information applies to Westbest Company. | ||
| Beginning inventory | 150 units @ $25 each | |
| Purchases | 550 units @ $28 each | |
| Westward sold 625 units of inventory during the year. | ||
a. Determine the cost of goods sold assuming a FIFO cost flow.
b. Determine the cost of goods sold assuming a LIFO cost flow.
c. Determine the cost of goods sold assuming a weighted average cost flow.
9-
| The following information applies to Karcher Company. |
| Beginning inventory | 200 units @ $15 each |
| Purchases | 375 units @ $20 each |
| Kassouf sold 525 units of inventory during the year. |
a. Determine the ending inventory balance assuming a FIFO cost flow.
FIFO Inventory Balance
b. Determine the ending inventory balance assuming a LIFO cost flow.
LIFO Inventory Balance
c. Determine the ending inventory balance assuming a weighted average cost flow.
10- What are internal controls and why are they important?
11- Name and briefly describe 2 types of internal controls (these would be specific control procedures).
Answer
Need help with this assignment or a similar one? Place your order and leave the rest to our experts!