Questions from Financial Accounting

Q: The board of trustees of a local church is concerned about the

The board of trustees of a local church is concerned about the internal accounting controls for the offering collections made at weekly services. The trustees ask you to serve on a three-person audit...

Q: As a new auditor for the CPA firm of Eaton, Quayle

As a new auditor for the CPA firm of Eaton, Quayle, and Hale, you have been assigned to review the internal controls over mail cash receipts of Pritchard Company. Your review reveals the following. Ch...

Q: You are the assistant controller in charge of general ledger accounting at

You are the assistant controller in charge of general ledger accounting at Linbarger Bottling Company. Your company has a large loan from an insurance company. The loan agreement requires that the com...

Q: If your school has a subscription to the FASB Codification, go

If your school has a subscription to the FASB Codification, go to http://aaahq.org/ascLogin. cfm to log in and prepare responses to the following. (a) How is cash defined in the Codification? (b) How...

Q: Callison Company performs the following accounting tasks during the year.

Callison Company performs the following accounting tasks during the year. ______ Analyzing and interpreting information. ______ Classifying economic events. ______ Explaining uses, meaning, and limita...

Q: (a) The following are users of financial statements.

(a) The following are users of financial statements. ______ Customers ______ Securities and Exchange Commission ______ Internal Revenue Service ______ Store manager ______ Labor unions ______ Su...

Q: Sam Cresco, president of Cresco Company, has instructed Sharon Gross

Sam Cresco, president of Cresco Company, has instructed Sharon Gross, the head of the accounting department for Cresco Company, to report the company’s land in the company’s accounting reports at its...

Q: The following situations involve accounting principles and assumptions. 1.

The following situations involve accounting principles and assumptions. 1. Tina Company owns buildings that are worth substantially more than they originally cost. In an effort to provide more relevan...

Q: Bailey Cleaners has the following balance sheet items. Accounts payable

Bailey Cleaners has the following balance sheet items. Accounts payable………………Accounts receivable Cash…………………………………………Notes payable Equipment……………Salaries and wages payable Supplies…………………………………..Commo...

Q: “When perpetual inventory records are kept, the results under the

“When perpetual inventory records are kept, the results under the FIFO and LIFO methods are the same as they would be in a periodic inventory system.” Do you agree? Explain.