Questions and Answers of Small Business Accounting

Do you think that we could successfully export American cheese to France? Why or why not?
Describe the purpose and role of the WTO.
What might have been a more traditional remedy that the WTO could have used?
Do you think the WTO ruling is fair? Why or why not?
Explain the impact of a currency devaluation.
What is global vision, and why is it important?
What are the advantages of multinational corporations?
What threats and opportunities exist in the global marketplace?
A global resource for not-for-profit professionals is http://www.onphilanthropy.com. The site lists trends and best practices in corporate giving. Read several articles, then report to the class on
Green Money Journal, http://www.greenmoneyjournal.com, is a bimonthly online journal that promotes social responsibility investing. What are the current topics of concern in this area?Visit the
Visit the Fur Is Dead Web site of the People for the Ethical Treatment of Animals (PETA), http://furisdead.com. Read about PETA’s view of the fur industry. Do you agree with this view? Why or why
Richard S. Scrushy, former CEO of HealthSouth Corporation, was charged with $1.4 billion in fraud. He was acquitted. Bernie Ebbers, former CEO of WorldCom, was found guilty of helping mastermind an
You’ll find a comprehensive list of business ethics sites at http:www.web-miner.com/busethics.htm. Once at the site, go to the section on Corporate Codes of Ethics. Look at three examples of codes
Team Activity Divide the class into teams. Debate whether the only social responsibility of the employer to the employee is to provide a job. Include a discussion of the employee’s responsibility
Identify the potential ethical and social responsibility issues confronting the following organizations: Microsoft, Pfizer, Nike, American Cancer Society, and R.J. Reynolds. Make recommendations on
The Boeing Company makes business ethics a priority, asking employees to take refresher training every year. It encourages employees to take the Ethics Challenge with their work groups and to discuss
Jeffrey Immelt, chairman and CEO of General Electric, the world’s most admired company according to Fortune magazine, says that execution, growth, and great people are required to keep the company
Many CEOs have sold shares of their company’s stock when prices were near their high points.Even though their actions were legal, it soon became apparent that they knew that the stock was
Describe strategic giving.
Pick a charity that you have given money to and evaluate it using the three sources cited above. Are you surprised at the outcome? Why?
Would high executives’ salaries necessarily be a reason not to give to a particular charity? What about high administrative expenses? Fund-raising expenses?
Agassi plans to operate something like a mobilephone carrier. He plans to sell electric cars to consumers at a relatively low price and then charge them monthly operating fees. The total cost of
Do you think that Agassi’s idea will work? Why or why not?
What is corporate philanthropy?
How can you recognize unethical activities?
How are individuals’ business ethics formed?
How does the legal system govern business transactions and settle business disputes?
What are the trends in ethics and social responsibility?
Why did Nordstrom take the dramatic step of designing a branded entertainment channel?What risks are there to this strategy?
The Bureau of Labor Statistics compiles demographic data. Visit its site, http://www.bls.gov/bls/demographics.htm, and describe the different types of information it provides. What kinds of changes
percent per year for the first three years and 2 percent per year for the next two years. What does this information tell you about demand, supply, and other factors influencing the market for these
As a manufacturer of in-line roller skates, you are questioning your pricing policies. You note that over the past five years, the CPI increased an average of 3 percent per year, but the price of a
What steps can companies take to benefi t from the aging of its workers and to eff ectively manage a multigenerational workforce?
You are a human resources manager at a large financial services corporation on a task force that is developing programs to prevent knowledge loss. Provide the details for two programs you would
What potential problems do companies need to address as large numbers of employees reach retirement age?
What are some other service businesses that have attempted to differentiate by going upscale? Have they been successful? Why or why not?
If you were the owner of the above “Grooming Club,” what might you do to improve the customer’s service experience?
What is the diff erence between demand-pull and cost-push infl ation?
percent?
Why is full employment usually defi ned as a target percentage below
Which trends are reshaping the business, micro-, and macroeconomic environments and competitive arena?
Defi ne the separate entity assumption.
List three examples of accounting periods.
Describe the key difference between cash-basis accounting and accrual accounting.
Defi ne internal controls and list three examples
Identify and defi ne the three types of business operations.
List the legal forms of business structure.
Which legal form of business structure is the most simple to set up? Which is the most complicated?
Which business structures protect the owners’ personal assets in lawsuits?
Describe the advantages of using a computerized accounting system.
Identify three accounting software programs.
List the information you should have ready when you set up a computerized accounting system.
If you are starting a gardening business, what are three things you can do to make sure you comply with the separate entity assumption?
Your friend has a full-time job, but he plans to have a side-business teaching music lessons during the school year. He wants to take summers off from his music business. What would be the most
Identify advantages and disadvantages of cash-basis accounting and accrual accounting.
You own a packaging business and employ three workers. What can you do to strengthen internal controls?
Think of a business you would like to open. Briefly describe the type of business operation. Which legal structure do you think would be best? Why?
Suppose you are starting a corporation. What qualities would you want in the people who serve on your board of directors? How would you go about choosing and recruiting board members?
Your business partner does not want to spend money on software and prefers to do the books manually. Prepare a list of talking points to convince your partner to invest in accounting software.
Which software features are most important to you as a potential small-business owner?
Which accounts are affected? (Furniture and Cash in Checking )
What type of account is Furniture? (Assets)
What type of account is Cash in Checking? (Assets)
What is the increase or decrease of each account? (Furniture will increase$900. Cash in Checking will decrease $900.)
Which account is debited? (Furniture. An increase to assets is a debit.)
Which account is credited? (Cash in Checking. A decrease to assets is a credit.)
Describe the difference between debit and credit.
What is meant by normal balance?
List fi ve account types and give a brief description of each type.Include the normal balance in your description.
What is the accounting equation? Restate the accounting equation in your own words.
What is a balance sheet? Why is it called a “balance sheet”?
Which debit accounts appear on the balance sheet? Which credit accounts?
What is an income statement? Which debit accounts are on the income statement? Which credit accounts?
What is the bottom line of an income statement?
How do the titles of a balance sheet and an income statement differ?
How are the accounts organized in a chart of accounts?
What is the difference between current assets and long-term assets?Current liabilities and long-term liabilities?
Defi ne expenses account and give three examples.
You are delegating the day-to-day bookkeeping tasks to a worker who will use an accounting software program. Because you feel a basic understanding of accounting is necessary, you decide to provide
Identify on which fi nancial statement the following items would appear:a. Cash in Checkingb. Equipmentc. Rita Singh, Capitald. Styling Services Incomee. Accounts Payablef. Sales—Hair Products g.
TRANSACTION: Your company borrowed $3,000 from the bank.
TRANSACTION: You received a check for $4,000 for an interior decorating job.
TRANSACTION: You wrote a check for $45 for a six-month subscription to a professional journal.
For each account listed, identify the fi nancial statement on which the account will appear:a. Computersb. Consulting Incomec. Dues and Subscriptionsd. Loan Payablee. Rafael Salas, Capitalf.
Prepare the income statement for Critters Pet Care.
Prepare the balance sheet for Critters Pet Care.
You just opened the bank account for your landscaping business and are setting up your accounting system. What expenses accounts will you include in your chart of accounts?
Your business has a high volume of vendor invoices and you hired an accounts payable clerk to help with the coding and inputting. This person is new to your line of business. What advice would you
Give four examples of source documents.
At what point does a transaction enter the accounting system?
Which accounts are closed at the end of an accounting period? Why?
Describe the difference between a journal and a ledger.
What types of transactions can be recorded in the general journal?
What is the general ledger and why is it considered the book of fi nal entry?
If you wanted to fi nd more information about a transaction in the general ledger, what would you do?
List four reasons for maintaining an accurate paper trail.
What do you need to create a filing system?
Whom should you consult about record retention?
Name two government agencies that have strict record retention policies for employers
List the fi rst three steps of the accounting cycle. Create an imaginary transaction (be specific) and describe what happens to this transaction in the fi rst three steps.

Showing 400 - 500 of 772