Discussion Board: Financial Accounting

Then closing the expense accounts, which transfers the balances in the expense account to a clearing account called income summary. Then closing the income summary account, which transfers the balance of the income summary account to the retained earning account. Finally, closing the dividends account, which transfers the balance of the dividends account to the retained earning account. The closing process is important because it reduces the revenue, expense, and dividends account balances to zero so they are ready to receive data for the next accounting period. The only account types that remain open are assets, liabilities, capital stock, and retained

1.      ?Reserved Inventory? table ? this table will be a transaction table that will ?reserve? the items by removing them from inventory and holding them in the reserved table until one of the following conditions is met:

As we advanced through week 4 of Principles of Accounting II, so far, we have absorbed ourselves with a litany of accountancy material. Week 4 continued with variety of content that contained: identifying kinds of shares issued by companies, computing shares, dividends, and stock splits, and documenting treasury stock deals. Also discussed in text and throughout discussion questions was the use of cash flows and types. We also covered both vertical and horizontal analysis.

An adjusting journal entry or an adjusting entry, involves an income statement account (revenue or expense) along with a balance sheet account (asset or liability) and typically relates to the accounts for accrued expenses, accrued revenue, prepaid expenses and unearned revenue. (Investopedia.com, n.d.) When accounts are not updated to show the correct transactions or a mistake has been made, adjusting entry will provide insight in order to ensure all entries are appropriately recorded. This action will then reflect the accurate amounts of expenses and revenues. Once this is done, a business may close accounts for the ending period.

INCLUDES SOLUTIONS INCLUDES MARKERS’ REPORTS This is a three (3) hour paper. You have ten (10) minutes reading time. There are seven (7) questions. There are eight (8) pages, including this one. You must answer all parts of all questions. The questions are not of equal value. All answers must be written in blue or black ink. Show all relevant working.

1.     (TCO 3) At the end of the period it is necessary to close all temporary accounts. (1) Explain why this process is required (15 points) and (2) provide an example of the closing of an expense account, Salary Expense in the form of a journal entry.

→ commodity products in inventory for quick sale (filter media, off-the-shelf filtration units), other products ordered from suppliers as needed (keep inventory investments and storage costs low)

A company had a beginning balance in retained earnings of $44,500. It had net income of $7,500 and paid out cash dividends of $6,000 in the current period. The ending balance in retained earnings equals:

1. How does PPLS create value for its customers? What are the critical risks that it has to manage well?

cognizant of the fact that the choices he makes can affect the price a buyer pays

Inventory- all the money that the system has invested in purchasing things it intends to sell.

An accounting cycle is a process, or a series of activities, that consists of collecting an organization’s transactions at the end of a reporting period to prepare essential financial statements of a business (Fleury, 2015). The accounting cycle is a strict, methodical set of rules used to ensure the accuracy and conformity of financial statements (Investopedia, 2017). The steps involved with an accounting cycle, the roles each of the step facilitate, the impact of omission, and what financial statements are assembled from the accounting cycle data.

The accounting system we use today started in Venice in renaissance period over 520 years ago. The trade business increased hugely during this time and all the financial recordings had to be written down to help people see how their business is doing. During that time in 1494 the first book about was published in accounting by Luca Paciolli and was called “The Collected Knowledge of Arithmetic, Geometry, Proportion and Proportionality”. He was called “The father of Accounting” and most of his described principles have been used up until this day.

Feedback: Management accounting is the preparation and use of accounting information systems to achieve the organization's objectives by supporting decision makers inside the enterprise. LO 4

This reflection learning log and essay guide is a helpful learning tool for you to access when you are completing your learning log and also your reflection essay. It provides you with an introduction to the purpose for setting a reflective piece of work and the benefits this produces for you. It provides activities to help you along the way (see separate guide “ACCG 399 Developing a Reflective Capacity Guidance”) and clearly sets out the requirements that are expected of you, including what you will need to hand in at the end of the semester.