Simulation 1 - Game of Monopoly

Play the game of Monopoly. This can be done with an online version or with friends for the traditional board game. (Hint: Whining that you are forced to play this game for an accounting class may make your friends feel bad enough that they will bring you pizza :-) )

OBJECTIVE: Each player will be considered a company. Your objective in playing this game is to create a year end report to your shareholders following 4 quarters. Each quarter report will include a balance sheet, profit and loss statement, and cash flow statement along with a narrative/report to shareholders for the quarter. The overall annual report will compile the data for all 4 quarters into a single annual balance sheet, profit and loss statement, statement of shareholder's equity and cashflow statement along with a narrative/report summary to shareholders.

RULES:

1. Write down your accounting transactions for each round (each player plays once, equaling one month of the year) including amount of cash at start and end, rent collected, expenses paid, community chest or chance cards your company draws, other income (passing go), hotel/motel purchases, or other expenses. Each will be an account line in your financial reports (rental income, tax, lodging, etc.)

To make the process of recording easier, it is suggested that you create a chart of accounts prior to starting the game that you can use to easily record transactions as they occur.

1. One year is equal to 12 rounds of the game. You will need to create your financials for each quarter, for a total of 4 quarters and 1 full year (12 turns).
2. Create your financials for each quarter, along with a narrative explaining your financials. For any assumptions or calculations conducted, include this in an appendix for each quarter.
3. Compile your annual statements for the year.