Accounting I am writing this memo in regards to your question of how to record the transaction of transferring the company’s receivables to the financial institution. The company is doing this to get $100‚000 because of the shortage in cash. The accounts receivables are being used as collateral with a charge of 12% fee on this amount and Hamilton’s is required to repurchase the receivables back from the financial institution. In transfers of an entire receivable‚ a group of entire receivables‚
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its accounts payable and when it collects on its accounts receivable. The cash conversion cycle is equal to the inventory conversion period plus the receivables collection period minus the payables deferral period” (Emery‚ et. al.‚ 2007‚ pg. 659). Looking in detail at Lawrence Sports current payment arrangements‚ the follow agreements are in place: · Revenue - Mayo Stores – 20% collection on sales‚ 80% payable the following week · Costs – Gartner – 40% collection on sales – 60% payable the following
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1995 Actual 1996 Forecast Year Ended Percent of 1995/1/29 1995 Salesb Current Assets: Cash 43 1.2% 66 Short Term Investments 484 13.9% 484 Accounts Receivables‚ net 538 15.5% 820 Inventories 293 8.4% 447 Other 112 3.2% 171 Total Current Assets 1‚470 42.3% 1‚988
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purchase order? How does the responsible individual ensure that computer-generated orders are correct and are generated only for purchases that should be made? Dq3 Explain how an automated matching process works with the processing and payment of accounts payable. What controls need to be implemented in the automated matching process to ensure that only authorized payments are made for goods and services actually received‚ and that payments are made at the authorized prices? ACC 492 Week 2 Discussion
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the accounting cycle for the final operating period prior to liquidation. This includes preparing adjusting entries and financial statements. It also involves preparing closing entries and a post-closing trial balance. Thus‚ only balance sheet accounts should be open as the liquidation process begins. In liquidation‚ the sale of noncash assets for cash is called realization . Any difference between book value and the cash proceeds is called the gain or loss on realization . To liquidate
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------------------------------------------------- Top of Form Problem 3-1A Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries posted in the previous part of the question.) Cash | | | | No. 101 | Date | Explanation | Ref | Debit | Credit | Balance | June 30 | Balance | √ | | | | Accounts Receivable | | | | No. 112 | Date | Explanation | Ref | Debit | Credit | Balance | June 30 |
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C 5.Prenumbering of documents for accounting sequences C 6.Internal verification of documents C C C C C 7.Chart accounts C 8.Processing for procedures C 9.Monthly reconciliation of Accounts Payable Master file with the general ledger C Deficiencies* 1. 2. 3. Assessed control risk Low Low Low Low Low Low * Note:
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over outflows for purchasing‚ accounts payable‚ cash disbursements‚ finance‚ investment‚ and payroll. Internal Controls for Cash Disbursements A cash disbursement is the final process in the acquisition and expenditure cycle. Prior events in the cycle affect the issuing of a cash disbursement for a product or service. To begin the cycle a company will make a purchase as a result of a company need‚ the company receives the products or services‚ and the accounts payable department enters the invoices
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ACCT 1040 - Section 3 Started on Thursday‚ 15 May 2014‚ 7:26 PM State Finished Completed on Thursday‚ 15 May 2014‚ 7:37 PM Time taken 10 mins 34 secs Grade 9.00 out of a maximum of 10.00 (90%) Question 1 Correct Mark 1.00 out of 1.00 Flag question Question text Private corporations: Select one: a. must follow GAAP for private companies b. must follow IFRS c. do not use standards when creating financial statements d. have a choice of following GAAP for private companies or IFRS
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1. The book store chain keeps high inventory‚ high plant and equipment assets‚ and profit per revenue is low. 2. Commercial bank has an extremely high accounts receivable and the longest receivables collection period. And their biggest part of liabilities is notes payable. It really meets the features of Commercial bank. 3 Computer software developer sells most of their products online and direct to customers‚ so most of their sales and transaction online. This explains the high receivable
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