Solved by verified expert :BUS 591
Financial Accounting and Analysis
Generally Accepted Accounting Principles (G.A.A.P.).Briefly
discuss Generally Accepted Accounting Principles or G.A.A.P. What are they?
What is their purpose? Name the U.S. and international standard-setting bodies
that established these principles. Are all companies required to follow these
principles? Why or why not?
Your answer should illustrate understanding of generally accepted accounting
principles and their international counterpart. Respond to at least two of your
classmates’ posts.
Annual Reports.Visit the website for Tootsie Roll
(www.tootsie.com). Click on “Company Information” then “Financial Information”.
Open the latest annual report and review it to find the answers to the
following questions:
§ What are Tootsie Roll’s corporate principles? Do you agree with these
principles, or do you feel there are additional principles that should be
included?
What was the total amount of Tootsie Roll’s assets for the most current year
available?
§ What was the total amount of Tootsie Roll’s liabilities for the most
current year available?
§ What is the amount of the difference between Tootsie Roll’s assets and
liabilities? What is this difference called?
Based on your initial findings at the Tootsie Roll website, would you
consider investing in them? Why or why not? Your answer should illustrate
critical thought and understanding of the annual report and financial
statements. Respond to at least two of your classmates’ posts.
Week 1 Homework Problems. Complete the following Workbook
Template Week One or you may complete the Problem 1-3B on page 36, 1-4B on page
37 (Chapter 1) and Problem 2-7B on page 90 (Chapter 2) of your text. Submit
your work to your instructor by the posted due date. Show all your work in order
to earn full credit
Debits and Credits. Define debits and credits and explain
how they are used to record business transactions. Is it true that debits
always increase and credits always decrease? Why or why not?
Respond to at least two of your classmates’ posts.
Revenue & Expense. Review the section called “Investor
Insight” in Chapter 3 of your text which shows the major revenue and expense
accounts of the Chicago Cubs baseball team. Considering the huge increase in
professional baseball players’ salaries in the last decade, what do you think
has happened to total expenses and net income of professional baseball teams?
If net income has not decreased, what has been done to offset the higher
salaries? Should fans be expected to pay higher prices for ‘America’s national
pastime’ to help offset the costs of higher salaries? Respond to at least two
of your classmates’ posts
Week 2 Homework Problems. Complete Workbook Template Week
Two or you may find the problems 3-2B on page 150 and 3-5B on page 151 from Chapter
3 of your text. Also complete problems E4-13, E4-14, E4-15, E4-16, E4-17, and
E4-18 from Chapter 4. Submit your work to your instructor by the posted due
date. Show all your work in order to earn full credit.
Perpetual Inventory System. Present a detailed explanation
of the recording of purchases under a perpetual inventory system. Use
hypothetical figures to illustrate the perpetual inventory system. After
presenting your hypothetical figures, discuss how a perpetual inventory system
is different from a periodic inventory system. Your answer should illustrate
understanding of the perpetual inventory system. Respond to at least two of
your classmates’ posts.
Inventory Valuation Methods. Identify the differences
between F.I.F.O., L.I.F.O., and the average-cost methodof
inventory valuation. Be sure to include the effects of each method on cost
of goods soldand net incomein your answer. Also
discuss the differences between the physical movement of goods and cost flow
assumptions. Your answer should illustrate understanding of the three major
inventory valuation methods, and the relationship between physical inventory
flow and cost flow assumptions. Respond to at least two of your classmates’
posts.
Week 3 Homework Problems. Complete the following Workbook
Template Week Three or you may complete the problems E5-2, E5-6 and P5-5B from
Chapter 5 and Problems 6-2B and 6-3B Chapter 6. Submit your work to your
instructor by the posted due date. Show all your work in order to earn full
credit.
Why do I need accounting?Consider the following
scenario: Your friend (who is also in school) just emailed you to express
frustration with his accounting class. In the email, he said, “Why do I need to
take accounting? What will I ever need to know about reporting and analyzing
long-lived assets? I am a management major.” Write a 100- to 250-word response
to your friend, including specific details about the benefits of learning
accounting. Focus particularly on reporting and analyzing long-lived assets
from a manager’s perspective. Discuss the benefit and purpose of learning
accounting as a business student. Respond to at least two of your classmates’
posts.
Sarbanes-Oxley Act of 2002. Search the Internet and locate
an annual financial report for a public U.S. company. Read the Notes to the
Financial Statements to determine the criteria for cash equivalents and how
cash and cash equivalents are handled. Discuss your findings. Find information
about the internal control policy of the company and summarize this policy in your
post. Is it in compliance with SOX? What are some references to SOX mentioned
in the annual report? Your answer should demonstrate understanding of the
Sarbanes-Oxley Act, and be a minimum of 100 to 200 words in length. Respond to
at least two of your classmates’ posts.
Week 4 Homework Problems. Complete the following
Workbook Template Week Four or you may complete the problems P8-2B and P8-6B
from Chapter 8 and Problems 9P-2B and P9-7B from Chapter 9. Submit your
assignment to the instructor by the posted due date. Show all your work to earn
full credit.
Liabilities and Financial Analysis. Discuss current
liabilities and long-term liabilities. What are the differences between the
two? Illustrate your understanding of liabilities, making sure to identify
major types of current liabilities. Respond to at least two of your classmates’
posts
Colgate’s Annual Report. Obtain a copy of Colgate’s annual
report from the Ashford Online Library or from a valid academic source found
elsewhere on the Internet. Use this information to answer the following
questions. If researching online, go to the Colgate company website
(http://www.colgate.com). Use the ratios discussed in Chapter 11 (dividend
payout ratio and return on common stockholders’ equity) to evaluate Colgate’s
dividend and earnings performance from a stockholder’s perspective. Your answer
should illustrate understanding of dividend ratios and return on equity ratios,
an analysis of financial statements. Respond to at least two of your
classmates’ posts.
Sarbanes-Oxley Act of 2002/Methods of Depreciation. Select
one of the following topics for your research paper:
Research and discuss the Sarbanes-Oxley Act of 2002. Identify key components
of the Sarbanes-Oxley Act of 2002, and its primary objective. What are some of
the criticisms surrounding the Act? Are there any economic consequences
for companies as a result of implementing the Act? Has the Sarbanes-Oxley Act
achieved its goals so far?
Explain the methods of depreciation. Explain the methods of depletion. How
do depletion and depreciation methods differ? Compare and contrast the
depreciation and depletion methods. Use scholarly references (no Wikipedia,
Answers.com, etc.) to support the points you make in your paper.
Indirect Method vs. Direct Method. Financial statement
preparers have two choices in preparing the statement of cash flows: the
indirect method and the direct method. The indirect method is used extensively
in practice even though the F.A.S.B. has expressed a preference for the direct
method. Discuss the similarities and differences between the direct and
indirect methods, and the advantages of using each method.
Your answer should illustrate understanding of the cash flow statement. A
minimum of 100 to 200 words is required for your answer. Respond to at least
two of your classmates’ posts.
Horizontal vs. Vertical Analysis. Discuss the horizontal
and vertical analysis of a financial statement, and how each is used to help
financial statement users make better decisions. Also, explain the liquidity,
solvency, and profitability ratios introduced throughout the text. Describe how
the ratios are used in analyzing a firm’s liquidity, solvency, and
profitability. Your answer should illustrate understanding of financial
statement analysis, including ratios. A minimum of 100 to 200 words is required
for your answer. Respond to at least two of your classmates’ posts.
FINAL PAPER
You should begin working on elements of the Final Project in Week One. Each
week, there is a recommended learning activity associated with helping you
complete the Final Project. There are ungraded and graded practice exercises,
which will allow you to practice applying accounting skills learned in class to
different scenarios. Work through the problems, starting with Chapter 1, following
the instructions in the textbook and Excel template.
Download and open the Excel file marked “BUS 591 Final Project Template”.
Review the instructions presented on the Instructions Tab in the Workbook and
the weekly recommended learning activity. If you complete each part as
recommended, you will have the complete Final Project finished by Week Six.
Chapters 1, 2 and 3 are ungraded practice problems, while Chapters 4 and 13 are
graded problems. Take your time and complete all requirements. Also, if you
complete the practice problems from Chapter 3, completing the graded portion
from Chapter 4 will be much easier.
Do not work ahead unless you read the corresponding chapters. For example,
read Chapters 3 and 4 before completing the Continuing Cookie Chronicle problem
from those chapters.
