company accounting ch1 tut working Essay

Topics 1. 2. 3. 4. 5. 6. Conceptual framework– general. Objectives of financial reporting. Qualitative characteristics of accounting. Elements of financial statements. Basic assumptions. Basic principles: a. Measurement. b. Revenue recognition. c. Expense recognition. d. Full disclosure. Accounting principles– comprehensive. Constraints. Assumptions, principles, and constraints. 28, 29, 30 10 11 Questions 1, 7 2 3, 4, 5, 6, 8 9, 10, 11 12, 13, 14 15, 16, 17, 18 19, 20, 21, 22, 23 24 25, 26, 27 1, 2, 3, 4 6, 11, 13 5, 7 8, 9, 12 8 8, 12, 8, 12 1, 2 2, 3, 4 5 6, 7 6, 7 7 6, 7 6, 7, 8 9, 10 3, 6, 7 6, 7 12 5, 6 5, 6 5, 6, 7, 8, 9, 11 11 Brief

5. No because the amount of the invoice fluctuates for the same product in this type of scheme and therefore it would be difficult to figure out how much the invoice should have been made out for.

Sales invoices are prepared in batches on a daily basis using numbered sales invoices. Sales invoice numbers are automatically generated by the company’s computer system. The accounts receivable clerk does not have appropriate computer rights to override the computer-generated invoice number. Upon preparing sales invoices, the accounts receivable clerk verifies that the first invoice number of the batch is consistent with the last invoice number of the previous batch. Inconsistencies or skipped sales invoice numbers are investigated and resolved before new sales invoices are prepared. The items shipped are compared to the items billed for proper quantity, price, and other sales order terms.

There are several red flags in the invoices. There are several invoice numbers that are repeated and have an A at the end of the repeated invoice.

Amendment #15 was billed 100% in the previous billing but you are billing again in this invoice. (Also the previously billed amount & percentage is off in the current invoice)

In order to properly manage possible obsolete inventory and uncollectable account receivables the company should have well identified the metrics in order to guarantee the proper disclosure of the information in the financial statements. In addition, the company does not apply a strong tone at the top promoting the idea of doing the right thing and avoid any types of misstatement in the financial statements. Also, the company could have stronger policies regarding the level of responsibilities that the managers have in the different divisions within the organization and how to solve possible disagreements between the internal auditors and the managers. Finally, the company should have better communication channels created in order to deal with these types of issues in which the managers, the internal auditor, and the Chief Auditor Executive CAE can come together and achieve an unbiased opinion in how the issue should be solved.

Tax invoice These are items that you are not responsible for – the assumption is that someone else will do them.

If an invoices listed on the inventory is not listed on the query, then on lines, 2, 4, and 5 make sure you change the location, GLAC, and department back to pound signs.

Invoices should be coded to the Inventory Suspense Account (1060-2010-0000) with relevant part numbers, serial numbers, if applicable, and quantities. If invoice is routed to Procurement, the invoice should be rerouted to Asset Management upon receipt.

Total assets at the end of its most recent annual reporting period? Why is this important?

This means a business can purchase inventory in bulk and is allotted an extended period of time (usually 30, 60 or 90 days) to pay the invoice. Aware of the lenient payment terms, criminals will often assume a businesses identity, place large orders with wholesalers, and leave the business owner dazed and confused with collections notices for large, unpaid invoices.

In expenses we have similar issues, the actuals and the total expenses are good but in 30R08 and in 32R20, Salaries are under and Contractual Services are over, in the Division and in the Monthly report.

Unless there is a hidden subtask to the verification of the invoice, then the explanation is details enough to get the job done. However, on the invoice ledger, the miscellaneous charges is itemize or captured as a day guest if that is how is always captured then is understood. for the invoice # NMC 103156, is correct.

Discrepancies appear on reports; that is, invoices or bills that post with a negative value

Send one copy of Invoice to Billing, one with goods to customer, and one directly to customer