Role, Timing, and Mechanics of Accounting Essay Example | Topics and Well Written Essays - 750 words

Role, Timing, and Mechanics of bill - Essay ExampleB) The other piece of selective information required can be the storage of dates on the entries so that they come in handy for the comely management of records and so that the company can reflect back and learn from the decisions taken in the prehistoricC)Cats and Dogs CompanyTrading and Profit and Loss Account Extract for the month of MarchSalesless(prenominal) Expenses raiseExpensesProfit$20650$900(675)225Cats and Dogs Company bear Earning Statement Extract for the month of MarchRetained Earning BeginningNet ProfitLess DividendsRetained Earnings At End$xxx225(25)$ccCats and Dogs Company chemical equilibrium Sheet Extract for the month of MarchAssets fundsShort Term LiabilitiesInterest PayableLong Term LiabilityNotes PayableOwners EquityCapitalRetained Earnings$$ two hundred06000200$153252062008220Cats and Dogs CompanyCash Flow Statement Extract for the month of MarchCash from run ActivitiesServicesExpensesCash from Investing A ctivitiesCapitalCash flows from Financing ActivitiesNotesDrawings/DividendsNet Increase in Cash$$9000(650)2000(25)$83506000197516325Part TwoA)a. The equipment (purchased on January 1, 2003) has a useful life of 12 years with no unbosom value (Straight-line method is used). Depreciation70000Accumulated Depreciation70000The cost of the asset decreases by 70000b. Interest accrue on the bonds payable is $20,000 as of December 31, 2003. Interest Expense20000Interest Payable20000The liabilities increase by 20000c. Unexpired insurance at December 31, 2003 is $7,000. This would increase the assets by 7000d. The rent payment of $140,000 covered the quadruplet months from December 1, 2003 through March 31, 2004. Interest Prepaid105000Cash105000This would have no affect as one assets increase while the other asset decreasese. Salaries and wages of $28,000 were earned but unpaid at December 31, 2003. Salaries Expense28000Salaries Accrued28000The liabilities would increase by 28000B)1) Tradin g and profit and loss account2) Balance sheet-current assets3) Balance sheet-current liabilities4) Balance sheet-current assets5) Balance sheet-current assets6) Balance sheet-Property plant and equipment 7) Balance sheet-current assets8) Balance sheet-current assets9) Balance sheet-current assets10) Balance sheet-stock holders paleness11) Trading and profit and loss account12) Trading and profit and loss accountReferences 1) Hagen, K. M. (2005). How To Prepare a Cash Flow Statement. Retrieved February 17, 2008, from Googo Bits http//www.googobits.com/articles/932-how-to-prepare-a-cash-flow-statement.html 2) Preparing the Financial Statements. (2007). Retrieved February 17, 2008, from Net MBA http//www.netmba.com/accounting/fin/process/statements/ 3) Sangster, Alan & Wood, Frank (1999), Business Accounting 2, Eighth