All businesses use accounting information to make important business decisions. POPS Diner, the largest retail selection of bottled soda anywhere in the United States, is no exception. POPS is a futuristic gas station, restaurant, and soda pop store (offering over 400 brands) located on the famous Route 66 in Arcadia, Oklahoma. The diner is designed with "equal parts Americana, New Age, and Soda Pop," and boasts a 66-foot-tall steel pop bottle sculpture that is lit up like Times Square. The motto of POPS is "Food, Fuel, Fizz." POPS was named one of Travel and Leisure magazine's top 50 "must-see" U.S. attractions.

How did this futuristic icon and unique piece of Americana come about? Aubrey McClendon, CEO, chairman, and co-founder of Chesapeake Energy Corporation, came up with the idea to open a "cool" gas station next to a nearby tree farm he owns in Arcadia. He teamed up with a well-known architect to design this not-so-ordinary roadside stop. POPS, which opened in August 2008, sold 66,000 bottles of soda within its first two months, which translates to an average of about 1,100 bottles a day - now that's a lot of transactions to make and record!

Questions:

-Go to the POPS Web site (www.pops66.com (Links to an external site.)) to learn about the various businesses within this iconic roadside attraction. Based on what you have learned from exploring the site, what types of items would you assume might be found on its balance sheet?

-Discuss why it is important for the owner of a new business like POPS (or any business) to understand accounting. What are some possible consequences for a business owner lacking a proper understanding of accounting?

-Accounting is more than just keeping records for annual tax reporting. It allows business people to make important decisions. List some of the decisions that the people at POPS might make using accounting information.