How do you think the misstatement of funds will impact the income statement and balance sheet?

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Effective financial reporting depends on sound ethical behavior. Financial scandals in accounting and the businesses world have resulted in legislation to ensure adequate disclosures and honesty and integrity in financial reporting. A sound economy is contingent on truthful and reliable financial reporting.

Instructions:

Read the following scenario.
Answer the questions that follow. This will be a 2-3 page submission in a question and answer format (also in paragraph form). An introduction and conclusion is not required.
Refer back to your textbook for guidance on how to think through the scenario.

You have been recently hired as an assistant controller for XYZ Industries, a large, publically held manufacturing company. Your immediate supervisor is the controller who also reports directly to the VP of Finance. The controller has assigned you the task of preparing the year-end adjusting entries. In the receivables area, you have prepared an aging accounts receivable and have applied historical percentages to the balances of each of the age categories. The analysis indicates that an appropriate estimated balance for the allowance for uncollectible accounts is $180,000. The existing balance in the allowance account prior to any adjusting entry is a $20,000 credit balance.After showing your analysis to the controller, he tells you to change the aging category of a large account from over 120 days to current status and to prepare a new invoice to the customer with a revised date that agrees with the new category. This will change the required allowance for uncollectible accounts from $180,000 to $135,000. Tactfully, you ask the controller for an explanation for the change and he tells you “We need the extra income, the bottom line is too low.”

Required:

In a 2-3 page paper, discuss the following:

Consider what you have learned relative to ethics and financial reporting. What is the rationale for the calculations/process used to estimate the $180,000 uncollectible allowance?
How do you think the misstatement of funds will impact the income statement and balance sheet?
What is the ethical dilemma you face? What are the ethical considerations? Consider your options and responsibilities as assistant controller.
Identify the key internal and external stakeholders. What are the negative impacts that can happen if you do not follow the instructions of your supervisor?
What are the potential consequences if you do comply with your supervisor’s instructions? Who will be negatively impacted?

Additional Requirements:

Use at least one (1) quality academic resource (in addition to your textbook) for this assignment. Note: Wikipedia and similar websites do not qualify as academic resources.

Your assignment must follow these formatting requirements:

Your paper should be double spaced (Arial or Times Roman 12 pt font) and follow general Writing Standards (SWS) as they relate to references and citations. Please take a moment to review the SWS documentation for details (more information and an example is included in the Writing Standards menu link located in your Blackboard).
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.

Which of the three basic accounting statements do you feel would the most important in your day-to-day operations?

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There are three basic accounting statements, as follows:

Profit and Loss Statement
Balance sheet
Statement of cash flows
Each statement provides valuable data for users of financial information.

Imagine that you are operating the small business that you opened in the previous unit.

Which of the three basic accounting statements do you feel would the most important in your day-to-day operations?
Why do you feel this accounting statement is the most important?
Read through your peers’ posts, and when you respond to them, consider the following:

List some additional advantages and disadvantages to the accounting statement your peer selected.
Discuss why you agree or disagree with the rationale that your peers gave for their selected accounting statement

Discuss additional ways to prevent the fraud.

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You may have heard of the accounting and fraud scandals that flooded the news in the early 2000s. Many of these scandals are examples of large-scale fraud. Fraud can happen to individuals or organizations of any size.

Think of a personal or professional situation where you were either involved in or heard about fraudulent activity.

What elements of the fraud triangle were present in that situation?
How could the fraud have been prevented?
Read through your peers’ posts, and when you respond to them, consider the following:

Provide additional suggestions to your peers about the elements of the fraud triangle that were present in the situations that they discussed.
Discuss additional ways to prevent the fraud.

Compare and discuss the similarities and differences you see in the companies.

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My classmate responded to the following: identify a company that you believe would use job order costing and another company that you believe would use process costing. Identify a third company that uses activity-based costing allocations. Discuss why each might use the method you identified with them. Compare and discuss the similarities and differences you see in the companies.

You are to write a reply to my classmate if I agree or disagree with their findings.

If you opened a small business, would you use the cash basis or the accrual basis of accounting?

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Businesses elect to use different accounting approaches. Two of the popular approaches are accrual and cash basis accounting methods.

If you opened a small business, would you use the cash basis or the accrual basis of accounting?
What factors would you consider in your decision

What are some of the ethical implications of what occurred at WorldCom?

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https://www.sec.gov/Archives/edgar/data/723527/000093176303001862/dex991.htm#ex991902_1

List the key issues involved in this case.
What are some of the legal implications of what occurred at WorldCom?
What are some of the ethical implications of what occurred at WorldCom?
Do you think that this scandal could have been prevented or detected? How?

Discuss the current no product-costing policy, and present an argument to top management in support of implementing a Job-Costing system

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Part One

You have just been appointed as a consultant to an organization with increasing sales and expanding customer acceptance in the 25-30 year-olds clothing market.

A growing concern of top management that has been brought to your attention is as follows:

Top management has found the relationship between the reported production costs and selling prices for the various lines of clothing (simple to complex clothing) hard to match up, but are reluctant to implement a proper product costing system on the basis that the company accountant is already far too busy; “why can’t we just use the same financial reports prepared for the shareholders for which we are already paying so much money for anyway!” being their usual push-back comment.

Required:

Discuss the current no product-costing policy, and present an argument to top management in support of implementing a Job-Costing system, focusing on how such a policy will benefit the business going forward.

Part Two

BUSU PTY LTD

BUSU PTY LTD (Busu) was started by Neil ‘Red’ Williams and Jack Soso in the town of Goroka in the Eastern Highlands Province of Papua New Guinea.

Initially the business focused on small scale coffee-cherry and parchment–coffee buying activities from smallholder village growers. Eventually the business grew and became successful during times of high coffee prices.

Buoyed by these initial successes, Busu ventured into other areas of commerce and started the following subsidiary businesses:

Busu Coffee Factory – buying and processing coffee cherry into green bean (unroasted coffee bean) for sale to coffee exporters.

ABOL Electrical – electrical contracting services and sale of electrical components.

Goroka Wreckers – New and Used automotive parts and vehicle repairs.

Busu Motors – Mazda vehicle dealership, vehicle servicing, and retail fuel stations.

Markham Poultry – chicken farm supplying frozen chickens for supermarkets.

Goroka Butchers – retail fresh meat supply for the Goroka township

While encouraged by the growing success, Red and Jack have become increasingly aware and concerned by the great diversity within the many business activities of BUSU. From conversations with business associates as well as competitors recently, they have heard ‘Activity Based Costing’ being mentioned as a way to improve accuracy in costing their diversified products and services.

Required:

Explain the difference between the ‘traditional’ costing approach and Activity Based Costing (ABC), and how ABC may “improve the accuracy in costing their diversified products and services, and provide 2 examples from the many businesses of BUSU that may support the need to move to an ABC approach.

Please Note:

 You must not just provide a textbook summary of the theory and principles.

 You must read the Report Guidelines prior to writing up your report. There are strict requirements as regards page limits, formatting, and layout.

It is also very important that you be familiar with the Report Marking Guide to ensure that you have addressed the necessary components that will award marks for this assessment.

 This assessment must be submitted via Turnitin in Blackboard.

No hard-copy is required for submission.

 

Explain the sources of law in England and Wales?

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BAF-5-BLA2019/20 3 SECTION ONE Answer ALL questions in this section. (35% of the total marks of this coursework component available)

1. In relation to English legal system, Requireda. Explain the sources of law in England and Wales? (10 marks)

b. Explain and discuss the differences between private law and public law including the areas of law that they cover. (10%)

2. In relation to the laws of tort, explain the case and legal principles established in Donoghue v Stevenson 1932, Hedley Bryne v Heller 1964,Caparo v Dickman 1990. (15%) (Total: 35 marks)SECTION TWOAnswer ALL questions in this section. (55% of the total marks of this coursework component available)You are a practising lawyer with a wide variety of clients. One of your clients John Wright runs a business selling paintings by famous artists. John owns an Art Gallery in London from where he has to travel extensively to meet customers and artists. He has contacted you to seek advice on his legal position in the following situation. On 11th November a Friday at 9.00am he put an advertisement in the window of his Art Gallery which reads: “This unique Matisse Painting “Cornfields” to purchase for £5000 cash. This is a serious offer- the painting will be sold to the first person who accepts it tomorrow Saturday 12th-valid for one day only!” When Mick saw the notice he immediately posted a letter of acceptance of John’s offer but stated he would only be prepared to pay £4,800. The letter arrived first thing on Saturday morning. John read it before opening his shop for business, but decided that he was not interested in dealing with Mick. Ronnie was the first person to arrive at John’s premises on Saturday morning. He offered John a cheque for £5,000, but John refused to accept the cheque and told Ronnie he could not have the painting.

Create a list of accounts (essentially a chart of accounts) that your restaurant would have for accounting (and operating) purposes.

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1. Decide on a restaurant that you have recently visited. My suggestion is to pick a locally
owned restaurant; however, feel free to select any restaurant.
2. Think about your recent visit to the restaurant from step 1.
3. Think about the various accounts that the restaurant would have/need to operate and
how they would fit within the basic accounting equation.
4. Create a list of accounts (essentially a chart of accounts) that your restaurant would
have for accounting (and operating) purposes. The list should contain assets, liabilities,
revenues, and expenses. For full credit, you should meet the minimum number of
accountsfor each category as stated below. In addition, the notes/assumptions need to
be considered and included in your accounting listing.
a. Asset Accounts = 6
b. Liability Accounts = 4
c. Revenue Accounts = 2
d. Expense Accounts = 8
5. Summarize the account list by preparing a Memo

Example memo:
The memo should begin with an introduction (a short paragraph prior to the first formal heading that
explains the purpose of the memo and the type of restaueant you select). You are currently reading the
introduction to this memo. A memo does not begin with a salutation (Dear xx) in the same way a letter
would. For this memo, I would suggest something like “Based upon a recent visit to Local Restaurant

Explain the history of how that exclusion made it into the tax code and cite the history

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About the exclusions from gross income. Please do the following

1. Pick an Exclusion

2. Explain what that exclusion means

3. Explain the history of how that exclusion made it into the tax code and cite the history

4. Explain the best and worst argument for this exclusion existing.