Accounting Tools and Practices
Training Materials
As you prepare your training materials for John, use the examples you collected from the company’s Notes to financial documents to illustrate how you address the following items:
Explain how one or more of the following costs are captured:
Advertising.
Store opening. If store opening costs were capitalized, over what time period would you amortize them? Explain why you selected this time period.
Website development.
Analyze the importance of Notes to financial statements in interpreting financial statements.
Explain how the accounting method the company uses affects the financial statements.
Explain how the financial statements would differ if another method were used to capture the costs.
If you have a preference for capitalizing or expensing these costs, explain why it is your preference.
