You will also nd that you have to think a bit (or even look up something in your text) on some
of the transactions.
The authors recommend this practice set anytime after corporations and bonds payable topics
have been covered. The most likely place for it
1. Prepare a weeksheet. The worksheet should include a properly
classified trial balance, Income Statement, and Balance Sheet.
2. There are no adjusting entries required. The company maintains a periodic inventory
3. Prepare a multis
It's Almost Over, Inc.
Comparative Balance Sheet
December 31, 2007 and 2006
Accounts receivable (net)
Investments (long term)
Accumulated depreciation - buildings
Machinery and equipment
Are We Having Fun Yet, Inc.
For Year Ended December 31, 2005
Cost of Goods Sold
Other operating expenses
Net Operating Income
Other gains (losses)
Loss on sale of equipment
Loss on retirement of bonds
If a company buys inventory on account:
A)accounts payable would increase.
B)cash would decrease.
C)net income would increase.
D)common Stock would decrease.
If a bookkeeper mistakenly records a disbursement
Chapter 4 Student Summary Handout
Fraud and Its Impact
A. Definition of Fraud
B. Types of Fraud
1. Misappropriation of Assets
2. Fraudulent Financial Reporting
C. Fraud and Business Ethics
Objectives and Components of Internal Control
Chapter 3 Student Summary Handout
Bases of Accounting
A. Accrual record the transaction even if no cash is exchanged; GAAP
B. Cash cash receipts = revenue, cash payments = expenses
Time-Period Concept and Revenue/Expense Recognition Principles
Chapter 2: Transaction Analysis
Learning Objective 1: Explain what a transaction is
1. What is a transaction? Listed below are some events. Indicate which of the following
events would be considered a transaction of Baskin Real Estate Services, Inc.
Which of the following describes defined benefit pension plans?
a. a. The investment risk is borne by the employee. b. b. The plans are simple and easy to construct. c. c. The investment risk is borne by the employer. d. d. Retirement benefits depend on t