Accounting system and process

Paper, Order, or Assignment Requirements

Accounting system and process

Q3-1 Naming cells in spreadsheets
In a spreadsheet why replace cell references with names? Paste a simple example of a formula using names rather than cell references. For example Sales less Expenses = Net Income. Create your own example.

Q3-2 Negative numbers
How can negative numbers be displayed in brackets; in red? Paste a simple spreadsheet example.

Q3-3 Separation of data and report areas
Evaluate why an accountant should design spreadsheets with a completely separate data entry area and a separate report area? Paste a simple spreadsheet example.

Q3-4 IF functions
What is an ‘IF’ statement (function)? Provide a spreadsheeted accounting example.

Q3-5 Spreadsheet apps
Microsoft Excel is an example of spreadsheet software. List four further examples of spreadsheet software. Evaluate the importance of spreadsheet software to computer development. Hint. Google VisiCalc.

This group of questions above can be answered from any source including internet resources.

Q3-6 Perpetual versus Periodic systems
Explain the essential differences between perpetual and periodic inventory systems. Give examples of products/situations suited to each. (Watch the 3 videos on Inventory in Interact2 Resources).Q3-7 Journal entries

Q3-7 Journal entries
Show the journal entries for perpetual inventory and periodic inventory systems for the purchase and sale of inventory. (Watch the 3 videos on Inventory in Interact2 Resources).

Q2-9 Accounting principles
Li3t and explain two accounting principles or concepts relevant to inventory. Give your own examples.

Q3-10 Inventory flow assumptions
List and explain the three major inventory costing (flow) methods.

Q3-12 Thinking about internal control issues.
How is the separation of duties an example of internal control? Give two examples.

Q3-13 Bank Reconciliation
A. Write a brief introductory scenario and create your own bank reconciliation spreadsheet. You may choose to use a text example as a template but use your own numbers. Your spreadsheet will demonstrate all the usual spreadsheet requirements.

1. B. Why do firms construct bank reconciliation statements on a regular basis?

Q3-14 Journalising accounts receivable entries.
Detail the journal entries needed to show sales on credit, the collection of part of the amount owing, the write-off of accounts receivable, the reinstatement of an amount written off and the collection in full of the amount owing. Create your own numbers. A spreadsheet is not required.

Q3-15 Estimating bad debts
Contrast two different methods of estimating bad debts. Create simple examples.

Q3-16 Evaluation of a firm’s financial position
How can we use receivables to evaluate a firm’s financial position?

Q3-18 Dishonour of a note receivable
Write a scenario which includes a credit sale, a conversion to a Note receivable, the dishonour of the note and subsequent delayed payment. Include journal entries. Create your own simple numbers.

Q3-19 Account classification
What kind of account is Goodwill, Allowance for bad debts, Accumulated depreciation? Explain. Refer to the P A L E R mnemonic.

Q3-20 Work Integrated Assessment case study
McDonald’s Annual Report

Learning Objectives: The subject you are studying is vocational. It is designed with the workplace in mind. Work integrated assessment provides opportunities for students to link theory and skills learned in a subject to a real work context. Students can use these opportunities to develop and practice the professional and academic skills they learn about in a subject or through the online environment and then be assessed on their capabilities in these simulated authentic environments. Work integrated assessment allows students to simulate and situate their learning in an authentic workplace that encourages them to explore their knowledge and apply it to practice. Integrating real world, authentic assessment tasks allows students to learn about the particular environments and culture of their chosen professions, while at the same time absorbing and practicing the skills they need to succeed. Doing these tasks can help students develop skills that can help their employability.

Resources for this task include the United States 2014 Annual Report for the McDonald’s Corporation.

Your friend Jack is studying architecture at another University and knows very little about accounting and annual reports. Jack’s uncle gave him $30,000 recently to invest. Jack knows you have begun studying accounting and is considering buying McDonald’s shares. Jack has some questions for you.
Present your answers concisely in a business report format.

Jack’s questions:

1. How many shareholders do McDonald’s have?
   2. What are the total revenues for 2014?
   3. Find the Balance Sheet and identify the amounts and explain: Goodwill, Prepaid expenses, Income taxes and Accrued Payroll.
   4. Calculate the Working Capital ratio.
   5. Go to page 54 of the annual report. Create this chart in Excel showing columns rather than a line graph. Paste the spreadsheet graph in your assignment. Show the data area.
   6. Summarise your advice to Jack re the investment decision.

Go to www.mcdonalds.com to find the McDonald’s home page. Click on “Our Story”;  Corporate Info;  Investors; Annual Reports; and select the 2014 report.

 

Accounting system and process