for an construction company

1. What types of employees would be working at your company? Explain how you would use the accounts "Salary Payable" and "Salary Expense"? What financial statements would each account appear?

2. Explain a situation specific to your business when you would need to use the account "Unearned Service Revenue". When would that account be debited and credited?

3. What type of supplies would your business need? Take one of your examples and explain how supplies are classified as both an asset and a prepaid expense.

4. Explain a situation specific to your service that would violate the matching principle.

5. What types of accounts would you need to close at the end of the period? Why are you closing them?

6. Classify your company's assets into current and non-current categories. What is the difference?

7. Classify your company's liabilities into current and non-current categories. What is the difference?

8. How would you interpret a profit margin of 8%. Be specific in regards to your service. Do you feel an 8% profit margin is good? Why or why not?

9. How would you interpret a current ratio of 2? Be specific in regards to your service. Do you feel a current ratio of 2 is good? Why or why not?

10. Differentiate between interest receivable and interest payable. Be specific in regards to your business.