BUS 599 WEEK ONE DISCUSSION QUESTIONS (Autosaved) - Write a...

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Write a four paragraph answer, citing the text, pretending that your current (or previous) job is its own company. Prepare a simple version of each of the 4 typical financial statements (see page 17) for this pretend company. Although it is not necessary to display statements, state what each of the statements tells you about your job (pretend company). Respond to at least two of your fellow students’ postings. Financial Statements This section shows how financial statements are prepared from the analysis of business transactions. The four financial statements and their purposes are: 1. Income statement – the income statement reflects the organization’s revenues and expenses and reflecting the net income/loss over a specific period of time. 2. Statement of owner’s equity – gives an explanation of any changes in equity from net income or loss including profits from the organizations investments and withdrawals over a specific period of time. 3. Balance sheet – the balance sheet is a description of the organization’s financial standing, i.e. assets, liabilities, and equity, over a specific period of time. 4. Statement of cash flows – The statement of cash flows reflects incoming and outgoing monies, over a specific period of time (Brownfield. 2007. p 17). I have a satellite office that researches land ownership, liens, and other encumbrances. With the responsibility of operating a satellite office I have to produce statements, much like the ones that I mentioned in the above paragraph. I produced income statements, quarterly, to show my expenses and the monies generated. Fortunately, I do not, nor do I foresee, make any statements of equity because the only equipment that I have is my laptop that is secured solely for my job. Additionally, I do not have to produce any balance sheets since I do not have enough assets to need to produce one. However, I do have to produce a statement of cash flows to turn into my home office reflecting any billing that I have sent out and confirming the incoming monies. My cash flow statement is sent out monthly to keep my home office informed of what they need to do to collect any outstanding bills. (Brownfield, D. L.
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