ACC 566 Acc Systems and Processes

Published : 28-Sep,2021 | Views : 10

Questions:

Briefly summarise the key lessons from the ABC Learning case study.
2. What are the major financial reports What is the purpose of each
3. Why are profits important Why is cash flow important Relate to ABC,
4. Identify 3 ethical issues from the case study.

Balance Sheet Statement
for the year ended 31/12/16
Particulars	Amount (in $)
Accounts receivable	9,200
Cash	4,600
Prepaid expenses	8,000
Total current assets	21,800
Office furniture	28,000
Investments	5,000
Total non-current assets	33,000
Total assets	54,800
Accounts payable	2,400
Salaries payable	3,400
Total current liabilities	5,800
Loan payable	17,300
Total non-current liabilities	17,300
Total Liability	23,100
Davis, capital	35,000
Retained earnings	38,700
Total owner's equity	73,700
Drawings	18,900
Total liabilities and owner's equity	54,800
Service revenue	1,55,800
Rent expense	23,000
Office supplies	3,300
Salary expense	49,000
Electricity and gas expense	6,500
Supplies expense	33,600
Total operating expenses	1,15,400
Operating income	40,400
Property tax expense	1,700
Net Income	38,700