Now is the time for you to analyze the financial performance of your company. Use your completed accounting cycle workbook from Final Project Part I ( AS ATTACHED FINAL 9963565)to inform your bank memo. Be sure to include an overview of the company?s accounting system, your analysis of the results of operations, and opportunities for improvement.

PLEASE FILL IN THE WORK BOOK AS ATTACHHED ACC 201 FINAL MEMO TEMPLET DOC AND SEND BACK

Running head: ACC 201 FINAL PROJECT PART II BANK MEMO 1 DELETE EVERYTHING THAT APPEARS IN RED Review the Final Project Part II Guidelines and Rubric document to see how your paper will be scored. Be sure to use the information from your accounting cycle workbook to support your answers. Be sure to follow APA format when providing references. If you have questions on APA formatting, you can check the Purdue OWL website or seek help from the SNHU Writing Lab. Notes on APA in a Formal Assignment Use one-inch margins on all sides. Use 12-point Times New Roman font with double spacing. Paragraphs should be at least three to four sentences in length. Do not include the headings \"Introduction\" and \"Conclusion.\" These are included below to help you lay out your paper. APA format assumes that the introduction begins the paper, the body continues the paper, and the conclusion wraps up the paper, so those headings are not needed. Indent the first line of every paragraph by 0.5\". Be careful not to use personal pronouns such as \"I.\" Be sure to replace all of the text in red with your own writing. (This entire first page can be deleted after you review the guidelines. Your paper should begin with the title page that follows.) ACC 201 Final Project Part II Bank Memo Your Name Southern New Hampshire University ACC 201 Final Project Part II Bank Memo 2 REMEMBER: DELETE EVERYTHING THAT APPEARS IN RED Memo Heading (delete this heading in your final paper) To: From: Date: Subject: Introduction (delete this heading in your final paper) In your opening paragraph, very briefly introduce the purpose of your memo. Prior to stating this purpose, state the name of the company, its primary business purpose, and some other general or demographic information about the business. Lastly, inform the reader of the purpose of your memo, which is to request a loan for business expansion. Three or four sentences are sufficient. Overview of the Company's Accounting System (Keep this heading in your final paper) Using content from your accounting cycle workbook and your accounting cycle report, submitted in Final Project Part I, provide an overview of the company's accounting system. What basis of accounting is used? Why? How does it support responsible practices within the company? Accounting Process and Internal Controls for Cash (Keep this heading in your final paper) Using content from your accounting cycle report, submitted in Final Project Part I, what strategies is the business using to ensure responsible accounting practices? Why have these strategies been selected? Describe the overall accounting process. For example, when are entries made, how often are statements produced and reviewed, and why? Describe the internal controls for cash that are in place. Results of Operations and Strengths and Weaknesses of the Company (Keep this heading in your final paper) Using content from your accounting cycle workbook, submitted in Final Project Part I, analyze the results of operations. What do these results tell a business? What is the company doing well and what changes might be needed? What do the financial statements say about the ACC 201 Final Project Part II Bank Memo 3 strengths and weaknesses of the company's financial position? Be sure to discuss the role of ratio analysis. Analysis and Opportunities (Keep this heading in your final paper) Overall, is the company going in the right direction? Why or why not? What opportunities can the company explore given its strengths and weaknesses? How would these be beneficial? Support your analysis with information from your accounting cycle workbook. Conclusion (delete this heading in your final paper) The conclusion reminds the reader what your memo is about and allows you to make a final point without introducing new information. You may request a meeting with your reader in this paragraph. Three or four sentences are sufficient. Use a sign-off greeting such as \"Sincerely\" or \"Cordially.\" ACC 201 Final Project Part II Bank Memo 4 References Nobles, T. L., Mattison, B. L., Matsumura, E. M. (2014). Horngren's financial and managerial accounting (4th ed.). Upper Saddle River, NJ: Pearson Education, Inc. Make sure that you provide appropriate citations in APA style. The textbook is provided as an example and should be kept in the references for your paper. Feel free to add other resources. To add credibility to your paper, remember to cite ALL of the sources within the body of the paper as well as in the References list at the end. References should be in alphabetical order by the author's last name. ACC 201 Final Project Part II Guidelines and Rubric Overview One of the measures of success in any business is profitability. Managers and business owners must have an understanding of how to assess the profitability of a company using information about its financial transactions. This is done through the use of accounting. By working through the accounting cycle, you will understand how money flows through a company. Using this information can help you determine whether an organization can afford to stay open while employing current practices and what types of changes might be needed to allow the organization to become profitable if it is currently struggling financially. This process also helps you understand the level of commitment to attention to detail that is required in a successful business venture. In this part of the final project, you will use your workbook and course-provided information to provide an overview of Peyton Approved's accounting system and general profitability. This will take the form of a bank memo. This assessment addresses the following course outcomes: Interpret financial statements for informing business decisions Analyze how core accounting principles support responsible practices throughout the accounting cycle Prompt Your dog, Peyton, has severe allergies and cannot have the usual store-bought dog treats. You have been making homemade treats for him that are all-natural and hypoallergenic. Over the past year, you have been making and selling these treats out of your home and have been quite successful. You now have an opportunity to open your own dog treat bakery. You have decided on a corporate form of business and have named your company Peyton Approved. During Part I of the final project, you were asked to follow the business transactions for your company for a three-month period from the first step of the accounting cycle through the reporting process. Now you will use this information to compose a memorandum to the bank detailing the results of operations as communicated in the financial statements, as supporting documentation for a request for funding to expand Peyton Approved. Use your completed workbook from Part I to prepare your memo. Be sure to include an overview of the company's accounting system, a discussion of the results of operations, and opportunities for the company to improve its profitability. Specifically, the following critical elements must be addressed: 1. Provide an overview of the company's accounting system. Specifically: a) What basis of accounting is used? Why is this basis most appropriate? How does it support responsible practices within the company? b) What strategies is the business using to ensure responsible accounting practices? Why have these strategies been selected? c) Describe the overall accounting process and internal controls for cash that are in place. For example, when are entries made, how often are statements produced and reviewed, and why? 2. Analyze the company's performance based on the accounting information you recorded. Specifically: a) Analyze the results of operations. What do these results tell a business? For example, what is the company doing well, and what changes might be needed? Use the information in your workbook to support your answer. b) What do the financial statements say about the strengths and weaknesses of the company's financial position? Be sure to discuss the role of ratio analysis in your response. c) Is the company going in the right direction? Why or why not? Use the information in your workbook to support your answer. d) What opportunities can the company explore given its strengths and weaknesses? How would these be beneficial? Support your response with information from your workbook. Final Project Part II Rubric Guidelines for Submission: Your memo should be approximately 2-4 pages and should use double spacing, one-inch margins, and 12-point Times New Roman font. Sources should be cited according to APA style. Instructor Feedback: This activity uses an integrated rubric in Blackboard. Students can view instructor feedback in the Grade Center. For more information, review these instructions. Critical Elements Accounting System: Basis Exemplary (100%) Meets \"Proficient\" criteria and demonstrates exceptional knowledge of different bases of accounting Accounting System: Strategies Meets \"Proficient\" criteria and demonstrates especially keen insight into strategies and their implications for accounting practices Proficient (85%) Identifies the basis of accounting used, why it is most appropriate, and how it supports responsible accounting practices Needs Improvement (55%) Identifies the basis of accounting used but does not address why that basis is most appropriate and how it supports responsible accounting practice, or response contains inaccuracies Identifies strategies being used Identifies strategies being used to ensure responsible accounting to ensure responsible accounting practices, describing why practices but does not describe strategies were selected why strategies were selected Not Evident (0%) Does not identify the basis of accounting used Does not identify strategies being used to ensure responsible accounting practices Value 16 16 Accounting System: Internal Controls Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Operations Meets \"Proficient\" criteria and uses concrete examples to substantiate claims Performance: Strengths and Weaknesses Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Right Direction Meets \"Proficient\" criteria and demonstrates awareness of what makes a company profitable Performance: Opportunities Meets \"Proficient\" criteria and demonstrates keen awareness of the opportunities available Articulation of Response Submission is free of errors related to citations, grammar, spelling, syntax, and organization and is presented in a professional and easy-to-read format Describes the overall accounting Describes the overall accounting process and types of internal process but does not describe controls for cash that are in place the types of internal controls for cash that are in place, or response contains inaccuracies Analyzes the results of Analyzes the results of operations, describing what the operations but does not describe results tell a business, supported what the results tell a business, by workbook information or response contains inaccuracies or lacks support Interprets what financial Interprets what financial statements say about the statements say about the strengths and weaknesses of the strengths and weaknesses of the company's financial position, company's financial position but discussing role of ratio analysis does not discuss the role of ratio analysis Discusses whether the company Discusses whether the company is going in the right direction and is going in the right direction and why, supporting response with why, but with gaps in logic, workbook information accuracy, or support Identifies opportunities that the Identifies opportunities that the company can explore given its company can explore given its strengths and weaknesses, strengths and weaknesses, describing how the opportunities describing how the opportunities could be beneficial, supported by could be beneficial, but with gaps workbook evidence in logic, accuracy, or support Submission has no major errors Submission has major errors related to citations, grammar, related to citations, grammar, spelling, syntax, or organization spelling, syntax, or organization that negatively impact readability and articulation of main ideas Does not describe the overall accounting process 16 Does not analyze the results of operations 12 Does not interpret what financial statements say about the strengths and weaknesses of the company's financial position 12 Does not discuss whether the company is going in the right direction and why 12 Does not identify opportunities that the company can explore given its strengths and weaknesses 12 Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas Earned Total 4 100% Asset Accounts Acct # Cash Baking Supplies Prepaid Rent Prepaid Insurance Baking Equipment Misc. Supplies Accounts Receivable Accumulated Depreciation Merchandise Inventory 101 102 103 104 105 106 107 108 109 This chart of accounts should help you identify the appropriate accounts to record to as you are analyzing and journaling transactions for this workbook. There is nothing to complete on this page; this is simply a resource for you. Liability Accounts Equity Accounts Acct # Notes Payable Accounts Payable Wages Payable Interest Payable y the appropriate accounts to record to ns for this workbook. There is nothing to imply a resource for you. 201 Common Stock 202 Dividends 203 204 Revenue Accounts Bakery Sales Merchandise Sales Expense Accounts Baking Supplies Expense Rent Expense Insurance Expense Misc. Expense Business License Expense Advertising Expense Wages Expense Telephone Expense Interest Expense Depreciation Expense Misc. Supplies Expense Cost of Goods Sold Equity Accounts Acct # 301 302 Revenue Accounts Acct # 401 402 Expense Accounts Acct # 501 502 503 504 505 506 507 508 509 510 511 512 Peyton Approved General Journal Entries Jul-14 Date Accounts 1-Jul Cash Common Stock Debit 15,000.00 1-Jul Baking Supplies Accounts Payable Net 30 8,500.00 3-Jul Cash Credit 15,000.00 8,500.00 10,000.00 Notes Payable 7-Jul prepaid rent Rent expense Cash 10,000.00 1,500.00 1,500.00 3,000.00 10-Jul Business License Expense Cash 375.00 11-Jul Misc Expense Cash 250.00 13-Jul Baking Equipment Common Stock 13-Jul Advertising Expense Cash 7-Jul Misc. Supplies Cash 375.00 250.00 5,000.00 5,000.00 200.00 200.00 300.00 300.00 15-Jul No entry 30-Jul Telephone expense Accounts payable 31-Jul Prepaid Insurance 45.00 45.00 1,200.00 Cash 31-Jul Salary and wages expense Salary and wages payable 1,200.00 120.00 120.00 31-Jul Cash Accounts receivable Bakery Revenue 10,000.00 5,000.00 15,000.00 Peyton Approved General Journal Entries Aug-14 Date Accounts 5-Aug Salary and wages payable Cash 8-Aug Cash Debit 120.00 3,200.00 Accounts Receivable 10-Aug Accounts Payable Cash 15-Aug Baking Supplies Accounts Payable 15-Aug Salary and wages expense Salary and wages payable 45.00 5,000.00 480.00 15-Aug Rent expense Cash 1,500.00 18-Aug Cash 1,000.00 Accounts Receivable 20-Aug Accounts payable Cash 8,500.00 20-Aug Salary and wages payable Cash 480.00 22-Aug Misc Supplies Cash 300.00 31-Aug Telephone Expense Accounts payable 31-Aug Salary and wages expense Salary and wages payable 31-Aug Cash Accounts receivable Bakery Revenue 45.00 420.00 12,500.00 7,500.00 Credit 120.00 3,200.00 45.00 5,000.00 480.00 1,500.00 1,000.00 8,500.00 480.00 300.00 45.00 420.00 20,000.00 Peyton Approved General Journal Entries Sep-14 Date 1-Sep Dividends Cash Accounts 5-Sep Salary and wages payable Cash 7-Sep Merchandise Inventory Cash 8-Sep Cash Debit 3,000.00 Credit 3,000.00 420.00 420.00 60.00 60.00 4,000.00 Accounts Receivable 10-Sep Accounts payable Cash 4,000.00 45.00 45.00 11-Sep Baking Supplies Cash 7,000.00 13-Sep Accounts payable Cash 5,000.00 15-Sep Salary and wages expense salary and wages payable 7,000.00 5,000.00 456.00 456.00 15-Sep Rent expense Cash 1,500.00 15-Sep Cash (8 x $8.50) 68.00 1,500.00 68.00 Merchandise Sales Revenue Cost of goods sold Merchandise inventory 48.00 48.00 20-Sep Salary and wages payable Cash 456.00 20-Sep Merchandise Inventory Cash 122.00 24-Sep Cash 1(8 x $8.50) 153.00 456.00 122.00 153.00 Merchandise Sales Revenue Cost of goods sold Merchandise inventory 109.80 109.80 30-Sep Merchandise inventory Cash 151.25 30-Sep Salary and wages expense salary and wages payable 480.00 30-Sep Cash Accounts receivable Bakery Revenue 151.25 480.00 19,000.00 6,000.00 25,000.00 FIFO Date 7-Sep Purchases 10 $ 6.00 $ Sales 60.00 15-Sep 20-Sep 8 $ 20 $ 6.10 $ 6.05 $ 151.25 $ 333.25 Purchases 10 $ 6.00 $ 60.00 55 LIFO 7-Sep 6.10 $ 6.05 $ $ 12.00 97.60 109.60 157.60 4 4 25 29 29 10 6.00 $ 48.00 151.25 2 2 20 22 18 $ 25 $ 6.00 $ 6.10 $ $ 122.00 24-Sep 30-Sep 26 8 $ 20 $ 2 Sales 15-Sep 20-Sep 48.00 2 20 22 2 $ 16 $ 25 $ 6.00 $ 122.00 24-Sep 30-Sep 10 6.10 $ 109.80 2 2 4 2 2 25 29 55 weighted average 7-Sep $ Purchases 10 $ 6.00 $ 333.25 6.10 $ 157.80 60.00 29 10 8 $ 20 $ $ Sales 15-Sep 20-Sep 26 6.00 $ 48.00 122.00 2 22 22 24-Sep 30-Sep 18 $ 25 $ 55 6.05 $ $ 6.09 $ 109.62 4 157.62 29 29 151.25 333.25 26 $ 333.07 Ending Inventory $ 6.00 $ 60.00 $ 6.00 $ 12.00 $ $ 6.00 $ 6.10 $ $ 12.00 122.00 134.00 $ 6.10 $ 24.40 $ $ 6.10 $ 6.05 $ $ $ 24.40 151.25 175.65 175.65 $ Ending Inventory 6.00 $ 60.00 $ 6.00 $ 12.00 $ $ 6.00 $ 6.10 $ $ 12.00 122.00 134.00 $ $ 6.00 6.10 $ $ $ 12.00 12.20 24.20 $ $ $ 6.00 $ 6.10 $ 6.05 $ $ 12.00 12.20 151.25 175.45 7-Sep Merchandise Inventory (10 x $6) Cash Purchased inventory Dr 60.00 15-Sep Cash (8 x $8.50) Merchandise Sales Revenue Record sale of inventory 68.00 15-Sep Cost of Goods Sold (8 X $6) Merchandise Inventory Recorded the cost of goods sold 48.00 20-Sep Merchandise Inventory (20 x $6.10 ) Cash 122.00 24-Sep Cash (18 x 8.50) Merchandise Sales Revenue Record sale of inventory 153.00 24-Sep Cost of Goods Sold (2 x $6)+(16 x $6.10) Merchandise Inventory Recorded the cost of goods sold 109.60 30-Sep Merchandise Inventory (25 x $6.05) Cash 151.25 7-Sep Merchandise Inventory (10 x $6) Cash Purchased inventory 60.00 15-Sep Cash (8 x $8.50) Merchandise Sales Revenue Record sale of inventory 68.00 15-Sep Cost of Goods Sold (8 X $6) Merchandise Inventory Record inventory reduction due to sale 48.00 20-Sep Merchandise Inventory (20 x $6.10) Cash 122.00 24-Sep Cash (18 x 8.50) Merchandise Sales Revenue 153.00 $ 175.45 Ending Inventory $ 6.00 $60 $ $ 6.00 $ 6.09 $ $ $ $ 6.05 $ $ Record sale of inventory 24-Sep Cost of Goods Sold (18 x $6.10) Merchandise Inventory Record inventory reduction due to sale 109.80 30-Sep Merchandise Inventory (25 x $6.05) Cash 151.25 7-Sep Merchandise Inventory (10 x $6) Cash Purchased inventory 60.00 12.00 134.00 per unit 134.00 $6.09 24.38 175.45 175.45 $6.05 15-Sep Cash (8 x $8.50) Merchandise Sales Revenue Record sale of inventory 68.00 15-Sep Cost of Goods Sold (8 X $6) Merchandise Inventory Record inventory reduction due to sale 48.00 20-Sep Merchandise Inventory (20 x $6.10) Cash 122.00 24-Sep Cash (18 x 8.50) Merchandise Sales Revenue Record sale of inventory 153.00 24-Sep Cost of Goods Sold (18 x $6.09) Merchandise Inventory Record inventory reduction due to sale 109.62 30-Sep Merchandise Inventory (25 x $6.05) Cash 151.25 Cr 60.00 68.00 ### 122.00 153.00 109.60 151.25 ### 68.00 ### 122.00 153.00 Purchases 9/7: 10 bottles purchased at $6 9/20: 20 bottles purchased at $6.10 9/30: 25 bottles purchased at $6.05 Sales - selling price, $8.50 a bottle 9/15: 8 bottles 9/24: 18 bottles 109.80 151.25 ### 68.00 ### 122.00 153.00 109.62 151.25 date 1-Jul 3-Jul 31-Jul 8-Aug 18-Aug 31-Aug 8-Sep 15-Sep 24-Sep 30-Sep Cash 15,000.00 10,000.00 10,000.00 3,200.00 1,000.00 12,500.00 4,000.00 68.00 153.00 19,000.00 3,000.00 375.00 250.00 200.00 300.00 1,200.00 date 7-Jul 10-Jul 11-Jul 13-Jul 7-Jul 31-Jul date Notes Payable 10,000 date 3-Jul 10,000 5-Aug 45.00 1,500.00 8,500.00 480.00 300.00 3,000.00 420.00 60.00 45.00 7,000.00 5,000.00 1,500.00 456.00 10-Aug 15-Aug 20-Aug 20-Aug 22-Aug 1-Sep 5-Sep 7-Sep 10-Sep 11-Sep 13-Sep 15-Sep 20-Sep 122.00 151.25 20-Sep 30-Sep 31-Jul 31-Aug 30-Sep Accounts Rec. 5000 3,200.00 7,500.00 1,000.00 6,000.00 4,000.00 10,300.00 10300 8-Aug 18-Aug 8-Sep 74,921.00 41,016.75 11-Jul 33,904.25 Misc. expense 250.00 13-Jul Baking equipment 5,000 5,000 250 1-Jul 15-Aug 11-Sep Baking supplies 8,500 3900 5,000.00 7,000.00 7-Jul 22-Aug 16,600 7-Jul Misc. supplies 300 550 300.00 50 Prepaid rent 1,500 31-Jul Prepaid insurance 1,200 200 1,000 1,500 10-Aug 20-Aug 10-Sep 13-Sep Accounts payable 45.00 8,500.00 8,500 45 45 5,000 5,000 45 1-Jul 30-Jul 15-Aug 31-Aug Salary and wages expense 31-Jul 120.00 15-Aug 480.00 31-Aug 420.00 15-Sep 456.00 30-Sep 480.00 - 30-Jul 31-Aug Telephone expense 45 45.00 1,836 1-Sep Dividends 3,000 90 3,000 adj baking supplies expense 3,900 adj 3,900 misc supplies expense 550 15-Sep 24-Sep COGS LIF0 48.00 109.80 550 Merchandise Sales Revenue 68.00 153.00 157.80 15-Sep 24-Sep 221.00 15-Sep 24-Sep COGS Weighted Avg. 48.00 109.62 157.62 10-Jul Business License exp 375.00 375 Common Stock 15,000 5,000 1-Jul 13-Jul 20,000 Insurance expense 200 COMPLETION OF STEPS 1- 4 DELIVERABLE: CONGRATULATIONS! YOU ARE NOW READY TO SUBMIT YOUR WORKBOOK TO COMPLETE THE 3-3 CHECKPOINT REQUIREMENT 200 Advertising expense 13-Jul 200.00 200 7-Jul 15-Aug 15-Sep Rent expense 1,500 1,500.00 1,500.00 4,500 Bakery Sales 15,000 20,000 25,000 31-Jul 31-Aug 60,000 Salaries and wages payable 5-Aug 120.00 120.00 31-Jul 20-Aug 480 480.00 15-Aug 5-Sep 420 420.00 31-Aug 20-Sep 456 456.00 15-Sep 480.00 30-Sep 480 depreciation expense 250 acc dep 250 250 Interest expense 150 adj 15-Sep 24-Sep 250 Interest payable 150 adj 150 COGS FIFO 48.00 109.60 150 157.60 7-Sep 20-Sep 30-Sep Merch. Inv. FIFO 60.00 48.00 122.00 109.60 151.25 15-Sep 24-Sep 7-Sep 20-Sep 30-Sep Merch. Inv. LIFO 60.00 48.00 122.00 109.80 151.25 15-Sep 24-Sep 7-Sep 20-Sep 30-Sep 175.65 175.45 SUBMIT YOUR Merch. Inv. Avg. 60.00 48.00 122.00 109.62 151.25 15-Sep 24-Sep 175.63 Account Cash Baking Supplies Merchandise Inventory Prepaid Rent Prepaid Insurance Baking Equipment Misc. Supplies Accounts Receivable Notes Payable Accounts Payable Wages Payable Common Stock Dividends Bakery Sales Merchandise Sales Baking Supplies Expense Rent Expense Insurance Expense Misc. Expense Business License Expense Advertising Expense Wages Expense Telephone Expense COGS Depreciation Expense Accumulated Depreciation Interest expense Interest payable Misc. Supplies expense Peyton Approved Trial Balance 2014 Unadjusted trial balance Debit Credit 41,016.75 20,500.00 175.45 1,500.00 1,200.00 5,000.00 600.00 10,300.00 10,000.00 480.00 20,000.00 3,000.00 60,000.00 221.00 4,500.00 250.00 375.00 200.00 1,836.00 90.00 157.80 90,701.00 90,701.00 - - Approved Balance 014 Adjusting entries Debit Credit 3,900.00 200.00 550.00 Adjusted trial balance Debit Credit 41,016.75 16,600.00 175.45 1,500.00 1,000.00 5,000.00 50.00 10,300.00 10,000.00 480.00 20,000.00 3,000.00 60,000.00 221.00 3,900.00 3,900.00 4,500.00 200.00 250.00 375.00 200.00 1,836.00 90.00 157.80 250.00 200.00 250.00 250.00 150.00 CONGRATULATIONS! YOU ARE NOW R WORKBOOK TO COMPLETE THE 4-3 CHECKP 250.00 150.00 150.00 550.00 5,050.00 COMPLETION OF STEPS 5-7 DELIVERABLE: 150.00 550.00 5,050.00 91,101.00 91,101.00 N OF STEPS 5-7 DELIVERABLE: ULATIONS! YOU ARE NOW READY TO SUBMIT YOUR TO COMPLETE THE 4-3 CHECKPOINT REQUIREMENT Peyton Approved Adjusting Journal Entries 2014 Date Accounts 30-Sep Depreciation Expense accumulated depreciation Debit 250 250.00 30-Sep Interest expense interest payable 150.00 30-Sep Insurance expense Prepaid Insurance 200.00 30-Sep baking supplies expense baking Supplies 30-Sep Misc Supplies expense Misc. Supplies Credit 150.00 200.00 3,900.00 3,900.00 550.00 550.00 Peyton Approved Income Statement For Qtr. Ending 9/30/2014 Revenues: Bakery Revenue Merchandise Sales Total Revenues Less Cost of Goods Sold Gross Profit Less: Expenses Baking supplies expense Rent expense Salary expense Miscellanepus supplies expense Insurance expense Business License expense Depreciation expense Telephone expense Miscellanepus expense Advertising expense Interest expense Total expenses Net Income 60,000.00 221.00 60,221.00 (157.80) 60,063.20 3,900.00 4,500.00 1,836.00 550.00 200.00 375.00 250.00 90.00 250.00 200.00 150.00 12,301.00 $47,762.20 Peyton Approved Statement of Retained Earnings For Qtr. Ending 9/30/2014 Retained Earnings beginning bal Add: Net Income Less: Dividends Retained Earnings ending bal 47,762.20 47,762.20 (3,000.00) 44,762.20 Peyton Approved Balance Sheet As of September 30, 2014 Assets Current assets Cash Accounts receivable Merchandise inventory Baking supplies Miscellaneous supplies Prepaid insurance Prepaid Rent Total Current assets Fixed Assets Equipment Less: Accumulated Depreciation Total Fixed assets Total Assets 41,016.75 10,300.00 175.45 16,600.00 50.00 1,000.00 1,500.00 70,642.20 5000 250.00 4,750.00 $ 4,750.00 $75,392.20 Peyton Approved Balance Sheet As of September 30, 2014 Liabilities and Owners' Equity Current Liabilities Account payable Salaries payable Interest payable Total current liabilities Non-current liability Note payable Total Liabilities Owner Equity Common Stock Retained Earnings Total owner equity Total Liabilities and equity $ 480.00 150.00 630.00 10,000.00 10,630.00 20,000.00 44,762.20 64,762.20 $75,392.20 Peyton Approved Closing Entries 9/30/2014 Date Accounts 30-Sep Bakery Revenue Merchandise Sales Income Summary Debit 60,000.00 221.00 60,221.00 Income summary cost of goods Sold Baking supplies expense Rent expense Salary expense Miscellanepus supplies expense Insurance expense Business License expense Depreciation expense Telephone expense Miscellanepus expense Advertising expense Interest expense 12,458.80 Income Summary Retained earnings 47,762.20 Retained earnings Dividend Credit 157.80 3,900.00 4,500.00 1,836.00 550.00 200.00 375.00 250.00 90.00 250.00 200.00 150.00 47,762.20 3,000.00 3,000.00 Peyton Approved Post Closing Trial Balance 9/30/2014 Account Cash Baking Supplies Merchandise Inventory Accounts receivable Prepaid Rent Prepaid Insurance Baking Equipment Misc. Supplies Accumulated depreciation Notes Payable Accounts Payable Wages Payable Interest payable Common Stock Unadjusted Trial Balance Debit 41,016.75 16,600.00 175.45 10,300.00 1,500.00 1,000.00 5,000.00 50.00 Retained Earnings Total 75,642.20 adjusted Trial Balance Credit 250 10,000.00 0 480.00 150.00 20,000.00 44,762.20 75,642.20 Peyton Approved Reversing Entries 9/30/2014 Date Accounts 30-Sep Interest payable Interest Expense 30-Sep Prepaid insurance Insurance Expense Debit Credit 150 $150.00 200.00 200.00 COMPLETION OF STEPS 8-11 DELIVERABLE: CONGRATULATIONS! YOU ARE NOW READY TO SUBMIT YOUR COMPLETED WORKBOOK (STEPS 1 - 11)TO COMPLETE THE 6-2 CHECKPOINT REQUIREMENT Running head: ACC 201 FINAL PROJECT PART I ACCOUNTING CYCLE REPORT 1 DELETE EVERYTHING THAT APPEARS IN RED Review the Final Project Part I Guidelines and Rubric document to see how your paper will be scored. Be sure to follow APA format when providing references. If you have questions on APA formatting, you can check the Purdue OWL website or seek help from the SNHU Writing Lab. Notes on APA in a Formal Assignment Use one-inch margins on all sides. Use 12-point Times New Roman font with double spacing. Paragraphs should be at least three to four sentences in length. Do not include the headings \"Introduction\" and \"Conclusion.\" These are included below to help you lay out your paper. APA format assumes that the introduction begins the paper, the body continues the paper, and the conclusion wraps up the paper, so those headings are not needed. Indent the first line of every paragraph by 0.5\". Be careful not to use personal pronouns such as \"I.\" Make sure to delete headings such as Paragraph One, Paragraph Two, and so on. Be sure to replace all of the text in red with your own writing. (This entire first page can be deleted after you review the guidelines. Your paper should begin with the title page that follows.) ACC 201 Final Project Part I Accounting Cycle Report ACC 201 Final Project Part I Accounting Cycle Report Your Name Southern New Hampshire University 2 ACC 201 Final Project Part I Accounting Cycle Report 3 REMEMBER: DELETE EVERYTHING THAT APPEARS IN RED Introduction (delete this heading in your final paper) In your opening paragraph, very briefly introduce the purpose of your paper. Recall that you will be discussing the accounting cycle in keeping with the key terms of steps, role, omission, and finally financial statements, as explained in your rubric instructions. Three or four sentences are sufficient. Paragraph One (delete this heading in your final paper) Using content from your accounting cycle workbook submitted in Final Project Part I and from your readings in Chapter 4 of the textbook, identify the steps of the accounting cycle. Provide a description of each step. Also, discuss what role each step plays in the success of a business. Paragraph Two (delete this heading in your final paper) Describe how the omission of a step could impact the success of a business. What strategies could be used to avoid this? Include in your discussion the omission of at least three different steps. A minimum of five to six sentences is required to support your thoughts. Focus your thinking around the role of each step, as discussed in the previous paragraph, and how its omission will impact the success of a business. Paragraph Three (delete this heading in your final paper) Identify and describe the major financial statements that come out of the accounting cycle. Why are they important? A minimum of five to six sentences is required to support your thoughts. Be specific in your answer and use examples to support your thoughts. Conclusion (delete this heading in your final paper) ACC 201 Final Project Part I Accounting Cycle Report The conclusion reminds the reader what your paper is about and allows you to make a final point without introducing new information. Three or four sentences are sufficient. 4 ACC 201 Final Project Part I Accounting Cycle Report 5 References Nobles, T. L., Mattison, B. L., Matsumura, E. M. (2014). Horngren's financial and managerial accounting (4th ed.). Upper Saddle River, NJ: Pearson Education, Inc. Make sure that you provide appropriate citations in APA style. The textbook is provided as an example and should be kept in the references for your paper. Feel free to add other resources. To add credibility to your paper, remember to cite ALL of the sources within the body of the paper as well as in the References list at the end. References should be in alphabetical order by the author's last name. ACC 201 Final Project Part II Guidelines and Rubric Overview One of the measures of success in any business is profitability. Managers and business owners must have an understanding of how to assess the profitability of a company using information about its financial transactions. This is done through the use of accounting. By working through the accounting cycle, you will understand how money flows through a company. Using this information can help you determine whether an organization can afford to stay open while employing current practices and what types of changes might be needed to allow the organization to become profitable if it is currently struggling financially. This process also helps you understand the level of commitment to attention to detail that is required in a successful business venture. In this part of the final project, you will use your workbook and course-provided information to provide an overview of Peyton Approved's accounting system and general profitability. This will take the form of a bank memo. This assessment addresses the following course outcomes: Interpret financial statements for informing business decisions Analyze how core accounting principles support responsible practices throughout the accounting cycle Prompt Your dog, Peyton, has severe allergies and cannot have the usual store-bought dog treats. You have been making homemade treats for him that are all-natural and hypoallergenic. Over the past year, you have been making and selling these treats out of your home and have been quite successful. You now have an opportunity to open your own dog treat bakery. You have decided on a corporate form of business and have named your company Peyton Approved. During Part I of the final project, you were asked to follow the business transactions for your company for a three-month period from the first step of the accounting cycle through the reporting process. Now you will use this information to compose a memorandum to the bank detailing the results of operations as communicated in the financial statements, as supporting documentation for a request for funding to expand Peyton Approved. Use your completed workbook from Part I to prepare your memo. Be sure to include an overview of the company's accounting system, a discussion of the results of operations, and opportunities for the company to improve its profitability. Specifically, the following critical elements must be addressed: 1. Provide an overview of the company's accounting system. Specifically: a) What basis of accounting is used? Why is this basis most appropriate? How does it support responsible practices within the company? b) What strategies is the business using to ensure responsible accounting practices? Why have these strategies been selected? c) Describe the overall accounting process and internal controls for cash that are in place. For example, when are entries made, how often are statements produced and reviewed, and why? 2. Analyze the company's performance based on the accounting information you recorded. Specifically: a) Analyze the results of operations. What do these results tell a business? For example, what is the company doing well, and what changes might be needed? Use the information in your workbook to support your answer. b) What do the financial statements say about the strengths and weaknesses of the company's financial position? Be sure to discuss the role of ratio analysis in your response. c) Is the company going in the right direction? Why or why not? Use the information in your workbook to support your answer. d) What opportunities can the company explore given its strengths and weaknesses? How would these be beneficial? Support your response with information from your workbook. Final Project Part II Rubric Guidelines for Submission: Your memo should be approximately 2-4 pages and should use double spacing, one-inch margins, and 12-point Times New Roman font. Sources should be cited according to APA style. Instructor Feedback: This activity uses an integrated rubric in Blackboard. Students can view instructor feedback in the Grade Center. For more information, review these instructions. Critical Elements Accounting System: Basis Exemplary (100%) Meets \"Proficient\" criteria and demonstrates exceptional knowledge of different bases of accounting Accounting System: Strategies Meets \"Proficient\" criteria and demonstrates especially keen insight into strategies and their implications for accounting practices Proficient (85%) Identifies the basis of accounting used, why it is most appropriate, and how it supports responsible accounting practices Needs Improvement (55%) Identifies the basis of accounting used but does not address why that basis is most appropriate and how it supports responsible accounting practice, or response contains inaccuracies Identifies strategies being used Identifies strategies being used to ensure responsible accounting to ensure responsible accounting practices, describing why practices but does not describe strategies were selected why strategies were selected Not Evident (0%) Does not identify the basis of accounting used Does not identify strategies being used to ensure responsible accounting practices Value 16 16 Accounting System: Internal Controls Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Operations Meets \"Proficient\" criteria and uses concrete examples to substantiate claims Performance: Strengths and Weaknesses Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Right Direction Meets \"Proficient\" criteria and demonstrates awareness of what makes a company profitable Performance: Opportunities Meets \"Proficient\" criteria and demonstrates keen awareness of the opportunities available Articulation of Response Submission is free of errors related to citations, grammar, spelling, syntax, and organization and is presented in a professional and easy-to-read format Describes the overall accounting Describes the overall accounting process and types of internal process but does not describe controls for cash that are in place the types of internal controls for cash that are in place, or response contains inaccuracies Analyzes the results of Analyzes the results of operations, describing what the operations but does not describe results tell a business, supported what the results tell a business, by workbook information or response contains inaccuracies or lacks support Interprets what financial Interprets what financial statements say about the statements say about the strengths and weaknesses of the strengths and weaknesses of the company's financial position, company's financial position but discussing role of ratio analysis does not discuss the role of ratio analysis Discusses whether the company Discusses whether the company is going in the right direction and is going in the right direction and why, supporting response with why, but with gaps in logic, workbook information accuracy, or support Identifies opportunities that the Identifies opportunities that the company can explore given its company can explore given its strengths and weaknesses, strengths and weaknesses, describing how the opportunities describing how the opportunities could be beneficial, supported by could be beneficial, but with gaps workbook evidence in logic, accuracy, or support Submission has no major errors Submission has major errors related to citations, grammar, related to citations, grammar, spelling, syntax, or organization spelling, syntax, or organization that negatively impact readability and articulation of main ideas Does not describe the overall accounting process 16 Does not analyze the results of operations 12 Does not interpret what financial statements say about the strengths and weaknesses of the company's financial position 12 Does not discuss whether the company is going in the right direction and why 12 Does not identify opportunities that the company can explore given its strengths and weaknesses 12 Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas Earned Total 4 100% Running head: ACC 201 FINAL PROJECT PART I ACCOUNTING CYCLE REPORT 1 DELETE EVERYTHING THAT APPEARS IN RED Review the Final Project Part I Guidelines and Rubric document to see how your paper will be scored. Be sure to follow APA format when providing references. If you have questions on APA formatting, you can check the Purdue OWL website or seek help from the SNHU Writing Lab. Notes on APA in a Formal Assignment Use one-inch margins on all sides. Use 12-point Times New Roman font with double spacing. Paragraphs should be at least three to four sentences in length. Do not include the headings \"Introduction\" and \"Conclusion.\" These are included below to help you lay out your paper. APA format assumes that the introduction begins the paper, the body continues the paper, and the conclusion wraps up the paper, so those headings are not needed. Indent the first line of every paragraph by 0.5\". Be careful not to use personal pronouns such as \"I.\" Make sure to delete headings such as Paragraph One, Paragraph Two, and so on. Be sure to replace all of the text in red with your own writing. (This entire first page can be deleted after you review the guidelines. Your paper should begin with the title page that follows.) ACC 201 Final Project Part I Accounting Cycle Report ACC 201 Final Project Part I Accounting Cycle Report Your Name Southern New Hampshire University 2 ACC 201 Final Project Part I Accounting Cycle Report 3 REMEMBER: DELETE EVERYTHING THAT APPEARS IN RED Introduction (delete this heading in your final paper) In your opening paragraph, very briefly introduce the purpose of your paper. Recall that you will be discussing the accounting cycle in keeping with the key terms of steps, role, omission, and finally financial statements, as explained in your rubric instructions. Three or four sentences are sufficient. Paragraph One (delete this heading in your final paper) Using content from your accounting cycle workbook submitted in Final Project Part I and from your readings in Chapter 4 of the textbook, identify the steps of the accounting cycle. Provide a description of each step. Also, discuss what role each step plays in the success of a business. Paragraph Two (delete this heading in your final paper) Describe how the omission of a step could impact the success of a business. What strategies could be used to avoid this? Include in your discussion the omission of at least three different steps. A minimum of five to six sentences is required to support your thoughts. Focus your thinking around the role of each step, as discussed in the previous paragraph, and how its omission will impact the success of a business. Paragraph Three (delete this heading in your final paper) Identify and describe the major financial statements that come out of the accounting cycle. Why are they important? A minimum of five to six sentences is required to support your thoughts. Be specific in your answer and use examples to support your thoughts. Conclusion (delete this heading in your final paper) ACC 201 Final Project Part I Accounting Cycle Report The conclusion reminds the reader what your paper is about and allows you to make a final point without introducing new information. Three or four sentences are sufficient. 4 ACC 201 Final Project Part I Accounting Cycle Report 5 References Nobles, T. L., Mattison, B. L., Matsumura, E. M. (2014). Horngren's financial and managerial accounting (4th ed.). Upper Saddle River, NJ: Pearson Education, Inc. Make sure that you provide appropriate citations in APA style. The textbook is provided as an example and should be kept in the references for your paper. Feel free to add other resources. To add credibility to your paper, remember to cite ALL of the sources within the body of the paper as well as in the References list at the end. References should be in alphabetical order by the author's last name. ACC 201 Final Project Part II Guidelines and Rubric Overview One of the measures of success in any business is profitability. Managers and business owners must have an understanding of how to assess the profitability of a company using information about its financial transactions. This is done through the use of accounting. By working through the accounting cycle, you will understand how money flows through a company. Using this information can help you determine whether an organization can afford to stay open while employing current practices and what types of changes might be needed to allow the organization to become profitable if it is currently struggling financially. This process also helps you understand the level of commitment to attention to detail that is required in a successful business venture. In this part of the final project, you will use your workbook and course-provided information to provide an overview of Peyton Approved's accounting system and general profitability. This will take the form of a bank memo. This assessment addresses the following course outcomes: Interpret financial statements for informing business decisions Analyze how core accounting principles support responsible practices throughout the accounting cycle Prompt Your dog, Peyton, has severe allergies and cannot have the usual store-bought dog treats. You have been making homemade treats for him that are all-natural and hypoallergenic. Over the past year, you have been making and selling these treats out of your home and have been quite successful. You now have an opportunity to open your own dog treat bakery. You have decided on a corporate form of business and have named your company Peyton Approved. During Part I of the final project, you were asked to follow the business transactions for your company for a three-month period from the first step of the accounting cycle through the reporting process. Now you will use this information to compose a memorandum to the bank detailing the results of operations as communicated in the financial statements, as supporting documentation for a request for funding to expand Peyton Approved. Use your completed workbook from Part I to prepare your memo. Be sure to include an overview of the company's accounting system, a discussion of the results of operations, and opportunities for the company to improve its profitability. Specifically, the following critical elements must be addressed: 1. Provide an overview of the company's accounting system. Specifically: a) What basis of accounting is used? Why is this basis most appropriate? How does it support responsible practices within the company? b) What strategies is the business using to ensure responsible accounting practices? Why have these strategies been selected? c) Describe the overall accounting process and internal controls for cash that are in place. For example, when are entries made, how often are statements produced and reviewed, and why? 2. Analyze the company's performance based on the accounting information you recorded. Specifically: a) Analyze the results of operations. What do these results tell a business? For example, what is the company doing well, and what changes might be needed? Use the information in your workbook to support your answer. b) What do the financial statements say about the strengths and weaknesses of the company's financial position? Be sure to discuss the role of ratio analysis in your response. c) Is the company going in the right direction? Why or why not? Use the information in your workbook to support your answer. d) What opportunities can the company explore given its strengths and weaknesses? How would these be beneficial? Support your response with information from your workbook. Final Project Part II Rubric Guidelines for Submission: Your memo should be approximately 2-4 pages and should use double spacing, one-inch margins, and 12-point Times New Roman font. Sources should be cited according to APA style. Instructor Feedback: This activity uses an integrated rubric in Blackboard. Students can view instructor feedback in the Grade Center. For more information, review these instructions. Critical Elements Accounting System: Basis Exemplary (100%) Meets \"Proficient\" criteria and demonstrates exceptional knowledge of different bases of accounting Accounting System: Strategies Meets \"Proficient\" criteria and demonstrates especially keen insight into strategies and their implications for accounting practices Proficient (85%) Identifies the basis of accounting used, why it is most appropriate, and how it supports responsible accounting practices Needs Improvement (55%) Identifies the basis of accounting used but does not address why that basis is most appropriate and how it supports responsible accounting practice, or response contains inaccuracies Identifies strategies being used Identifies strategies being used to ensure responsible accounting to ensure responsible accounting practices, describing why practices but does not describe strategies were selected why strategies were selected Not Evident (0%) Does not identify the basis of accounting used Does not identify strategies being used to ensure responsible accounting practices Value 16 16 Accounting System: Internal Controls Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Operations Meets \"Proficient\" criteria and uses concrete examples to substantiate claims Performance: Strengths and Weaknesses Meets \"Proficient\" criteria, and description is exceptionally clear and contextualized Performance: Right Direction Meets \"Proficient\" criteria and demonstrates awareness of what makes a company profitable Performance: Opportunities Meets \"Proficient\" criteria and demonstrates keen awareness of the opportunities available Articulation of Response Submission is free of errors related to citations, grammar, spelling, syntax, and organization and is presented in a professional and easy-to-read format Describes the overall accounting Describes the overall accounting process and types of internal process but does not describe controls for cash that are in place the types of internal controls for cash that are in place, or response contains inaccuracies Analyzes the results of Analyzes the results of operations, describing what the operations but does not describe results tell a business, supported what the results tell a business, by workbook information or response contains inaccuracies or lacks support Interprets what financial Interprets what financial statements say about the statements say about the strengths and weaknesses of the strengths and weaknesses of the company's financial position, company's financial position but discussing role of ratio analysis does not discuss the role of ratio analysis Discusses whether the company Discusses whether the company is going in the right direction and is going in the right direction and why, supporting response with why, but with gaps in logic, workbook information accuracy, or support Identifies opportunities that the Identifies opportunities that the company can explore given its company can explore given its strengths and weaknesses, strengths and weaknesses, describing how the opportunities describing how the opportunities could be beneficial, supported by could be beneficial, but with gaps workbook evidence in logic, accuracy, or support Submission has no major errors Submission has major errors related to citations, grammar, related to citations, grammar, spelling, syntax, or organization spelling, syntax, or organization that negatively impact readability and articulation of main ideas Does not describe the overall accounting process 16 Does not analyze the results of operations 12 Does not interpret what financial statements say about the strengths and weaknesses of the company's financial position 12 Does not discuss whether the company is going in the right direction and why 12 Does not identify opportunities that the company can explore given its strengths and weaknesses 12 Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas Earned Total 4 100%