Premium Essay

Accounting Ii

In: Business and Management

Submitted By alexlok93
Words 800
Pages 4
Question 1
Carelessness
- Carelessness is the common reasons by which accounting errors may be occur. The person who keeping the books of account must be responsible to his/her job when he/she is careless or not serious may cause such errors happen.

Lack of Knowledge
- Accounting is based on certain principles and rules. Due to the lack of knowledge of the accounting principles and rules, accounting errors may be occurs.

Dishonest of records
- If the person who is responsible for keeping books of account is dishonest, he/she may intentionally commit errors in the books of account for the purpose of taking undue advantage.

Computer and Software Errors
- A professional firm keeps its account records in computer. However, defective computer program and easy access to unauthorized person to the accounting program may also result in the accounting errors. Most of the firm did not update their accounting software may cause many errors in their accounting program.

Question 2
Lack of Knowledge
- For accountant who is lack of knowledge must take part-time course to update their knowledge which helps in accounting. Besides that, the firm also must providing more training and practice for accountants to update their knowledge and experience to improve their efficiency in his/her job.

Carelessness
- For person who is newly involved in accounting firm, advice he/she must double check their account works to avoid careless in account records. Senior accountants should give more opinion on which common mistake or careless that accountant will make.

Computer Errors
- Manager who is in charge must check and update their accounting program on time. To confirm account records are done and saved with back up, firms must do service their computer every month to avoid software outdated or hardware crashed.

Question 3-Implications
Profits
-The profit of the…...

Similar Documents

Premium Essay

Accounting Ii Practice Questions

...E13-1 Pioneer Corporation had these transactions during 2011. | (a)   | Issued $50,000 par value common stock for cash. * Cash inflow from financing activities. | | (b)   | Purchased a machine for $30,000, giving a long-term note in exchange. * Noncash investing and financing activities. | | (c)   | Issued $200,000 par value common stock upon conversion of bonds having a face value of $200,000. * Noncash financing activities. | | (d)   | Declared and paid a cash dividend of $18,000. * Cash outflow from financing activities. | | (e)   | Sold a long-term investment with a cost of $15,000 for $15,000 cash. * Cash inflow from investing activities. | | (f)   | Collected $16,000 of accounts receivable. * Cash inflow from operating activities. | | (g)   | Paid $18,000 on accounts payable. * Cash outflow from operating activities. | | Classify transactions by type of activity Instructions Analyze the transactions and indicate whether each transaction resulted in a cash flow from operating activities, investing activities, financing activities, or noncash investing and financing activities. E13-2 An analysis of comparative balance sheets, the current year's income statement, and the general ledger accounts of Gagliano Corp. uncovered the following items. Assume all items involve cash unless there is information to the contrary. | (a)   | Payment of interest on notes payable.Operating activity | | (b)   | Exchange...

Words: 351 - Pages: 2

Premium Essay

Acc 206 Principles of Accounting Ii

...ABC Company ACC 206 Principles of Accounting II The ABC Company is a manufacturing firm that specializes in making cedar roofing and siding shingles, introducing the new project to build cedar dollhouses by shingle scrap materials for reaching $3 million annual sales within the next 3 years. Explain the overall risk profile of the ABC Company based on current economic and industry issues. In order to help out the CEO I prepare reports that will contain the information regarding the project. These statements refer to the accompanying Excel spreadsheet as well as word documents. The statements are; Cash Flow statements, Product Cost, Net present value, Depreciation, Contribution Margins and Break-even Point of sales. In the last conclude the major risk factors in this project, management accountant responsibilities of the project and recommendations. I. An overall risk profile of the company based on current economic and industry issues that it may be facing. It’s a mystifying time to be in the manufacturing industry. After a severe global financial crisis hasten merchandise prices and flounce to the side a year detonation, a promising revival give the industry reason to hope. But the global economy has degenerated into another less severe downturn in 2011, hindering global demand and forcing down merchandise prices once again. The move of the industry focusing on all over the risk based on current economic and industry concerns. Many industry......

Words: 1466 - Pages: 6

Premium Essay

Finance Ii

...Finance II Corporate Finance Investment Selection Criteria and NPV Corporate Finance: Raise cash in financial market, invest into firm's ops, have the result of investment, reinvest or give dividents. Accounting Notions: Types of Financial Statements: -Balance Sheet: Asset = Liabilities + Stockholders' equity Net Working Capital = Current Assets – Current Liabilities . It is the capital needed to keep the company running. Earnings differs from cash flows. In the latter, you must add back non-cash expenses (Depr. And Amort.) and deduct investment expenses and changes in the net working capital. Retained Earnings = Net Income – Dividends Investment Appraisal Methods: Should we invest in all? How to choose between mutually exclusive projects. Investment Project Selection Criteria 1-NPV: Ra: reflects the risk of the project and can be assessed by looking into projects with similar risk. If NPV greater than 0, it's a go. -Properties: Time value of money, NPV depends on expected free cash flow and on the rate of the project, NPV is additive (NPVAB=NPVA+NPVB) 2-Book rate of return= Book income/Book asets. It is an accounting measure, it depends on how the accountant classifies the CF. The components reflect tax and accounting figures, not CF. It is not project specific, it reflect the whole company. It ignores the time value of money and it is rarely used. 3-Payback period: It is the number of years it takes the company to recover the......

Words: 2409 - Pages: 10

Premium Essay

Principles of Accounting Ii Exam 1 -2010 Version

...Principles of Accounting II Exam 1 -2010 Version 1-16. Decentralization refers to:  A. reporting for the company as a whole. B. focusing reporting on parts of the company. C. the delegation of decision-making authority throughout an organization. D. differences in organizations. 2-21. Dorra Corporation manufactures lawnmowers in five work stations. Dorra's weekly demand is 5,000 mowers but Dorra can only produce 4,200. According to the theory of constraints, to increase production output Dorra would benefit the most by concentrating improvement efforts on the:  A. first work station. B. last work station. C. largest work station. D. fastest work station. E. slowest work station.  3-23. One of the steps in the lean thinking model is to organize work arrangements around the flow of the business process. This is often accomplished by:  A. automating the business process. B. implementing an enterprise system. C. instituting a six sigma program. D. creating a manufacturing cell. 4-18. Managerial accounting:  A. has its primary emphasis on the future. B. is required by regulatory bodies such as the SEC. C. focuses on the organization as a whole, rather than on the organization's segments. D. Responses a, b, and c are all correct. 5-20. Which of the following IS a characteristic of financial accounting?  A. not mandatory B. must follow GAAP C. emphasis on relevance of data, rather than precision D. both A and C above 6-21. The corporate......

Words: 2941 - Pages: 12

Premium Essay

Acc 206 (Principles of Accounting Ii) Complete Class All Assignments , Dqs and Problems / Homework-Aid

...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the......

Words: 4140 - Pages: 17

Premium Essay

Accounting

...Masters in Management BMAN 73071 Introduction to Accounting First Assessment – Financial Reporting Part A. A short answer only is required. How will each of the following affect the amount of cash in a limited liability company? (i) A write down of the value of the company’s office block. (ii) The amortisation of one of the company’s brands by 20%. (iii) A decrease in the level of inventories. (iv) An issue of 10,000 £1 preference shares at £1.50 per share. (v) A bonus issue of ordinary shares. (vi) The sale by a major shareholder of all her shares in the company. The owner of a business asks you to explain why his accountant says he has made a profit of £75,000, but his bank manager is complaining that he is overdrawn by £40,000. Give 2 short examples of transactions that could lead to a bank overdraft even if the company is profitable Answers: (i) A write down of the value of the company’s office block does not affect the amount of cash . (ii) The amortisation of one of the company’s brands by 20% does not affect the amount of cash. (iii) A decrease in the level of inventories will do positive effect to the cash amount. (iv) An issue of 10,000 £1 preference shares at £1.50 per share will cause the increase of the cash amount. (v) A bonus issue of ordinary shares does not influence the amount of cash. (vi) The sale by a major shareholder of all her shares in the company does not influence the amount of cash ...

Words: 1653 - Pages: 7

Premium Essay

Acc 206 (Principles of Accounting Ii) Complete Class All Assignments , Dqs and Problems

...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the......

Words: 4140 - Pages: 17

Premium Essay

Acc 206 (Principles of Accounting Ii) Complete Class All Assignments , Dqs and Problems

...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the......

Words: 4140 - Pages: 17

Premium Essay

Acc 206 (Principles of Accounting Ii) Complete Class All Assignments , Dqs and Problems

...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the......

Words: 4140 - Pages: 17

Premium Essay

Acct 221 Principles of Accounting Ii Final Exam Answers

...ACCT 221 Principles of Accounting II Final Exam Answers Follow Link Below To Get Tutorial http://homeworklance.com/downloads/acct-221-principles-of-accounting-ii-final-exam-answers/ ACCT 221 Principles of Accounting II Final Exam Answers Part A. On January 1, 2014, Flip Corporation had 560,000 shares of $1 par value common stock issued and outstanding. There was a $3,000,000 balance in the Retained Earnings account at the beginning of the year. During the first quarter of the year, the following transactions occurred: Jan. 8 Issued 40,000 shares of its own common stock for $400,000. Jan. 18 Declared a cash dividend of $1 per share to stockholders of record on Jan. 10. Jan. 31 Paid the $1 cash dividend declared on Jan. 18. Feb. 2 Purchased 3,000 shares of its own common stock for the treasury at $11 per share. Feb. 14 Sold 2,000 shares of the treasury stock purchased on Feb. 2 for $12 per share. March 25 Declared a 2 for 1 stock split on outstanding shares. Instructions Prepare journal entries to record the above transactions. Part B. The following information is available for Flip Corporation for the year ended December 31, 2014: Beginning retained earnings $ 340,000 Cost of goods sold 620,000 Declared cash dividends 50,000 Operating......

Words: 26449 - Pages: 106

Premium Essay

Accounting Ii

...services, or a charge against available funds in settlement of an obligation as evidenced by a source document like invoice, voucher, receipt, etc. All payments made by a company can be broadly categorized into capital expenditure and revenue expenditure. Capitol expenditure is an amount spent to acquire or enhance a productive asset to increase the capacity or efficiency of a company for more than an accounting period is defined as capital expenditure. That is, simply, capital expenditure is the expenditure made with the intension of getting the benefit from that expenditure for more than one year (usually accounting period is one year). For example, amount spent on long-term assets like machinery, plants, buildings, etc, either to improve or to acquire, is capital expenditure. Normally capital expenditure is capitalized in the books of accounts and then that amount will be depreciated over the useful life of the assets. It is also known as capital spending. It is essential to understand the differences between capital expenditure and revenue expenditure as the accounting treatments are different. Revenue expenditure is cash or resources spent on sales revenue generation or for maintaining a revenue-generating asset is defined as revenue expenditure. Revenue expenditure is an expenditure, which is made with an intension of getting some benefits within a short period of time (mostly, less than a year). Revenue expenditures are recurring in nature such as......

Words: 442 - Pages: 2

Premium Essay

Intermediate Accounting Ii

... SCHAUM’S OUTLINE OF THEORY AND PROBLEMS OF INTERMEDIATE ACCOUNTING II Second Edition BARUCH ENGLARD, M.S., M.B.A., CPA Associate Professor of Accounting The College of Staten Island The City University of New York SCHAUM’S OUTLINE SERIES New York Chicago San Francisco Lisbon London Madrid Mexico City Milan New Delhi San Juan Seoul Singapore Sydney Toronto Copyright © 2007, 1992 by The McGraw-Hill Companies, Inc. All rights reserved. Manufactured in the United States of America. Except as permitted under the United States Copyright Act of 1976, no part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written permission of the publisher. 0-07-151048-6 The material in this eBook also appears in the print version of this title: 0-07-146974-5. All trademarks are trademarks of their respective owners. Rather than put a trademark symbol after every occurrence of a trademarked name, we use names in an editorial fashion only, and to the benefit of the trademark owner, with no intention of infringement of the trademark. Where such designations appear in this book, they have been printed with initial caps. McGraw-Hill eBooks are available at special quantity discounts to use as premiums and sales promotions, or for use in corporate training programs. For more information, please contact George Hoare, Special Sales, at george_hoare@mcgraw-hill.com or (212) 904-4069. TERMS...

Words: 107484 - Pages: 430

Premium Essay

Accounting

... THEORY OF ACCOUNTS ACCOUNTING CONCEPTS 1. Which of the following statements is/are true? I. Accounting is a service activity intended to fulfill a useful function in society II. Accounting involves the art of recording, classifying and summarizing transaction and events, and interpreting the results thereof. III. Accounting is an art but not a science IV. Accounting provides quantitative financial information intended to be useful in making economic decisions a. I, II, III, IV c. I, II, IV b. I, II, III d. II, III, IV 2. The branch of accounting concerned with the presentation of financial information primarily for use of third person outside of business enterprise. a. Financial Accounting c. Government Accounting b. Management Accounting d. All of the above 3. Accounting is an art because a. of the existence of a body knowledge governing accounting practice b. of accounting theory c. the necessity of applying creative skill and ability d. None of the above 4. Financial accounting is the branch of accounting that focuses on a. special purpose reports of financial position and results of operations b. financial statements c. the various need of statement users d. general purpose reports of financial position and results of operations 5. General-purpose information is a. not intended to satisfy the specialized needs of individual users. b. intended to satisfy the specialized needs of individual users c. not intended to satisfy the...

Words: 1052 - Pages: 5

Premium Essay

Accounting Ii

...The Company Play Book – The Operating Budget Accounting is the language of business; the operating budget is the company play book for the coming year. With the operating budget the company can forecast the overall health of the enterprise. Management is able to foresee the financial strength of the company based on the sales revenue, Cost of Goods Sold (COGS), the operation expense that then provides the budgeted income statement. Although good management is required to ensure a company’s fiscal health, the operation budget if well planned is the actual path that will ensure success. The operating budget is a part of the Master Budget. What makes it so important is that it contains the projected operating net income for the business. What are the elements that make up a budget? “The operating budget is the set of budgets that project sales revenue, cost of goods sold, and operating expenses, leading to the budgeted income statement that projects operating income for the period.” (Horngren, Harrison, & Oliver, 2012 pg. 1056). Sales revenue in the operating budget is the guideline that assists in letting managers know the health of the company. The sales revenue projects the number of units to be sold, and the timeline for the payments for the units. The forecasting for sales is a science unto itself. The company determines the amount of units by historical reference, the life cycle of the product, the financial market (example if we are in a recession we do......

Words: 1232 - Pages: 5

Free Essay

Chapter Ii

...CHAPTER II REVIEW OF RELATED LITERATURE AND STUDIES This Chapter discusses the local and foreign literature and studies of the proposed study. Related Literature The proponents gathered some information that is related in the proposed study entitled, “Payroll System for United Auctioneers Incorporated” to have a guide and background in developing a system. Local. According to Ramon Faloran (2008), in the article “The Computer Edge of the New Employment and Opportunities” that he wrote in the Philippine Daily Inquirer. He stated that: “Computer gives you a different feeling about what is happening in the company. Business will be highly competitive and innovative because the computer provides instant information.” According to Ms. Stephanie Manalaysay (2010), in the essay she wrote in www.studymode.com. She stated that: “Payroll processes are the perfect place to begin when looking to control costs. New developments in software, such as allowing the integration of payroll system info into existing HR systems, mean you can look beyond traditional ERP options.” Junald Astronomo Lagod (2010) stated that: “Any small business owner can tell you that paying employees involves a lot more than writing a check every two week. There are dozens of laws governing employee compensation. If you don’t want to run afoul of various government agencies, you have to be well organized and stay up to date on federal and state guideline.” Gabriel Esteban (May, 2012) stated......

Words: 1213 - Pages: 5

Meissen Kaffeegedeck Rote Rose mit breitem Goldrand 1.Wahl 19.Jh. 3 x Verfügbar | Monster Hunter World (ISO) (MULTI) 2018 | Maid Sama!