accountant

Zambrano Wholesale Corporation maintains its records on a cash basis. At the end of each year the company’s accountant obtains the necessary information to prepare accrual basis financial statements. The following cash flows occurred during the year ended December 31, 2021:
Cash receipts:From customers$720,000Interest on note4,720Loan from a local bank80,000Total cash receipts$804,720Cash disbursements:Purchase of merchandise$399,000Annual insurance payment7,080Payment of salaries219,000Dividends paid to shareholders10,000Annual rent payment28,500Total cash disbursements$663,580
Selected balance sheet information:

12/31/202012/31/2021Cash$29,500$170,640Accounts receivable66,500101,000Inventory89,00066,500Prepaid insurance3,400?Prepaid rent11,900?Interest receivable3,540?Note receivable59,00059,000Equipment145,000145,000Accumulated depreciation(44,500)(59,000)Accounts payable (for merchandise)114,500131,000Salaries payable20,90025,800Notes payable080,000

Interest payable0?
Additional information:
On March 31, 2020, Zambrano lent a customer $59,000. Interest at 8% is payable annually on each March 31. Principal is due in 2024.
The annual insurance payment is paid in advance on April 30. The policy period begins on May 1.
On October 31, 2021, Zambrano borrowed $80,000 from a local bank and signed a note promising repayment. Principal and interest at 6% are due on October 31, 2022.
Annual rent on the company’s facilities is paid in advance on June 30. The rental period begins on July 1.
Required:
1. Prepare an accrual basis income statement for 2021 (ignore income taxes).

2. Determine the following balance sheet amounts on December 31, 2021:

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public accounting firm

Tana Thorne works in a public accounting firm and hopes to eventually be a partner. The management of Allnet Company invites Thorne to prepare a bid to audit Allnet’s financial statements. In discussing the audit fee, Allnet’s management suggests a fee range in which the amount depends on the reported profit of Allnet. The higher its profit, the higher will be the audit fee paid to Thorne’s firm.

Required

  1. Identify the parties potentially affected by this audit and the fee plan proposed.
  2. What are the ethical factors in this situation? Explain.
  3. Would you recommend that Thorne accept this audit fee arrangement? Why or why not?
  4. Describe some ethical considerations guiding your recommendation.

Letters to the editor

Write a letter to the editor. “Letters to the editor” sections, sometimes called “Letters,” “Mail” or “From Our Readers”. of newspapers and magazines give readers a chance to comment on current controversies, news stories, etc. If you are not familiar with this section of newspapers or magazines, they are typically located on the editorial/opinion pages or usually at the front of magazines. The letters tend to be short, less than a page, and commonly attempt (but often fail) to present well reasoned arguments.

Your Discussion Question 3 assignment is to write an argument as a letter to the editor. Choose a topic, story, issue, etc. from recent events that interests you. Write a letter presenting your argument, and post a copy here on the Discussion page (for class credit).

Your argument must include at least one deductive inference and at least one inductive inference.

profit-making business

Assignment Questions:
Please answer the following questions (12 points, Times New Roman, Double Spaced; World Limit: 2,000 words in total):
1. Consider what it would feel like to be told that you are no longer an employee; you must be an entrepreneur and run a profit-making business in order to earn a payback. How well did Chairman Zhang and his executives manage this transition? Have there been enough successes to date? Is this an important strategy for Haier’s overall business growth, especially in the digital age and Internet of Things?
2. What are the challenges of setting up “micro-enterprises” (some with the hope that they will become large) within an established company? What excites you about this model, and what concerns you?
3. What would you advice Chairman Zhang about the “tipping point” for this business model innovation?

Task A: Lean Six Sigma Approach used in Industry

Task A: Lean Six Sigma Approach used in Industry (1500 words)

Lean intends to minimise waste, increases speed, maximise value; Six Sigma helps the organisation to measure, analyse, reduce and control defects. An integrated approach can help the firm to reap the benefits of process excellence faster. The present body of knowledge reports both success and failures of such integrated philosophy. The success primarily on the macro-environment (including social, political and environmental dimensions) and micro-environment (including leadership, skill, culture) of the firm. This task will develop your skills and the application of Lean and/or Six Sigma approaches and theories in a real world context or firm (manufacturing or service industries) in which you are regularly involved. Specifically, you are expected to select and answer one of the following topics of interest (choose one):-

Q1: How can firms align, adapt and deploy Lean/Six Sigma Strategies to effectively response and support the current environmental challenges without jeopardising their business success?

Q2: How can Lean Six Sigma aid firms to balance the need for operational excellence and profits gains with that of environmental compliance?

Q3: Discuss the challenges of Lean Six Sigma application to support the shift towards greener operations and supply chains.

Q4: Discuss the management of Lean Six Sigma with environmental oriented focus on specific sectors (e.g. manufacturing, construction, healthcare, etc.)

You can frame your idea with one particular case application (i.e. Ruben 2017 case application as an example section 5 as well as from your textbook pg. 132 – Six Sigma Implementation for Health Care Industry) and discuss how organisation can utilise Lean Six Sigma approach to address the current environmental challenges.

Alternatively, you can do comparative studies for multiple case applications but you need to show clear studies and a lot of readings are needed to be able to write and evaluate multiple case applications in terms of practical implications, limitations, theoretical and practical aspects.

Task A: Lean Six Sigma Approach used in Industry

1. Try to explore first about Six Sigma and/or Lean initiatives in industries

2. Select appropriate refereed sources to frame and understand the above core question of report’s argument.

3. Take stock of insights. Consider the evidence. Confirm the nature of the core topic of interest based on selected refereed sources (i.e. Journal articles, Conference Proceedings, Book Chapters, etc.).

4. What findings do you reach when gathering the insights and evidence from refereed sources and/or your work experience if any?

5. You may include tables/figures/charts if needed.

6. You should include at least 12-13 references and no more than 50 references in your report. All sources must be highly credible and fully referenced using the APA referencing style.

TASK B (500-800 words)

Briefly explain four market structures (Perfect competition, Monopolistic compition, Oligopoly, Monopoly), and identify the key factors that distinguish them such as number of sellers, type of product, entry conditions, profits and losses in the short and long run. Identify the key characteristics of your company in relation to the factors used to differentiate between the market structures. Use real data from your company.

accounting concepts, theories

Reflections 1″ Please respond to the following:

  • 1.Select three (3) advanced accounting concepts, theories or transactions that you found eye-opening and were excited to learn. Please explain and provide examples to support your response.
  • 2.In the context, you are going to apply what you learned in being employable, what would apply from this course to your current or future position and soft skills? Please be specific and support your response.

 

“Reflections 2” Please respond to the following:

  1. In the context, you are going to apply what you learned in being employable, what would be significant from this course to your current or future position and soft skills? Please be specific and support your response.
  2. Discuss your career goals and how taking this course shaped your decision to pursue a career in the auditing profession.

initial public offering (IPO)

Assume you are the partner in an accounting firm hired to perform the audit on a fortune 1000 company.  Assume also that the initial public offering (IPO) of the company was approximately five (5) years ago and the company is concerned that, in less than five (5) years after the IPO, a restatement may be necessary. During your initial evaluation of the client, you discover the following information:

  • The client is currently undergoing a three (3) year income tax examination by the Internal Revenue Service (IRS). A significant issue involved in the IRS audit encompasses inventory write-downs on the tax returns that are not included in the financial statements. Because of the concealment of the transaction, the IRS is labeling the treatment of the write-down as fraud.
  • The company has a share-based compensation plan for top-level executives consisting of stock options. The value of the options exercised during the year was not expensed or disclosed in the financial statements.
  • The company has several operating and capital leases in place, and the CFO is considering leasing a substantial portion of the assets for future use. The current leases in place are arranged using special purpose entities (SPEs) and operating leases.
  • The company seeks to acquire a global partner, which will require IFRS reporting.
  • The company received correspondence from the Securities and Exchange Commission (SEC) requesting additional supplemental information regarding the financial statements submitted with the IPO.
  • Write an eight to ten (8-10) page paper in which you:
  1. Evaluate any damaging financial and ethical repercussions of failure to include the inventory write-downs in the financial statements. Prepare a recommendation to the CFO, evaluating the negative impact of a civil fraud penalty on the corporation as a result of the IRS audit. In the recommendation, include essential internal control procedures to prevent fraudulent financial reporting from occurring, as well as the major obligation of the CEO and CFO to ensure compliance.
  2. Examine the negative results on stakeholders and the financial statements of an IRS audit which generates additional tax and penalties or subsequent audits. Assume that the subsequent audit and / or additional tax and penalties result from the taxpayer’s use of an inventory reserve account, applying a 10 percent reduction to inventory over three (3) years.
  3. Discuss the applicable federal tax laws, regulations, rulings, and court cases related to the inventory write-downs, and explain the specific relevance of each to the write-down.
  4. Research the current generally accepted accounting principles (GAAP) regarding stock option accounting. Evaluate the current treatment of the company’s share-based compensation plan based on GAAP reporting. Contrast the financial benefits and risks of the share-based compensation stock option plan with the financial benefits and risks of a share-based stock-appreciation rights plan (SARS). Recommend to the CFO which plan the company should use and provide the correct accounting treatment for each.
  5. Research the reporting requirements for lease reporting under GAAP and International Financial Reporting Standards (IFRS). Based on your research, create a proposal for future lease transactions to the CFO. Within the proposal, discuss the use of off-the-balance sheet financing arrangements, capital leases, and operating leases, and indicate the related business and financial risks of each.
  6. Create an argument for or against a single set of international accounting standards related to lease accounting based on the global market and cross border leases of assets. Examine the benefits and risks of your chosen position.
  7. Examine the major implications of SAS 99 based on the factors you discovered during the initial evaluation of the company. Provide support for your rationale.
  8. Analyze the potential for a material misstatement in the financial statements based on the issues identified in your initial evaluation. Make a recommendation to the CFO for the issuance of        restated financial statement restatement. Identify at least three (3) significant issues that can result from the failure to issue restated financial statements.
  9. Examine the economic effect of restatement of the financial statements on investors, employees, customers, and creditors.
  10. Use at least five (5) quality academic resources in this assignment. Note: Wikipedia and similar websites do not qualify as academic resources. You have access to Strayer University’s Online Library at https://research.strayer.edu or iCampus University Library Research page at https://icampus.strayer.edu/library/research.
  11. Your assignment must follow these formatting requirements:
  • This course requires use of new Strayer Writing Standards (SWS). The format is different than other Strayer University courses. Please take a moment to review the SWS documentation for details.
  • Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow SWS or school-specific format. Check with your professor for any additional instructions.
  • Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
  • The specific course learning outcomes associated with this assignment are:
  • Apply the proper accounting rules and make recommendations to ensure compliance with generally accepted accounting principles.
  • Determine the appropriateness of decision making in terms of professional standards and ethics
  • Apply advanced federal taxation concepts to business situations.
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