information will be available through corporate Intranet and the Internet. Having the proper hardware and software integrating Riordan’s data into automated systems will make life easier for those involved with all the accounting cycles‚ especially accounts receivable. Who Needs Access To What Information Many different departments of Riordan will need access to different levels of the new system. The accounting clerk needs access to enter and edit billings‚ payments‚ and adjustments of credits/debits
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Aramis Company has accounts receivable of $800‚000 and an allowance for doubtful accounts of $40‚000. On January 16‚ 2008‚ Aramis Company determined that its receivable from Ramirez Company of $6‚000 will not be collected‚ and management authorized its write-off. Instructions (a) Prepare the journal entry for Aramis Company to write off the Ramirez receivable. (b) What is the net realizable value of Aramis Company’s accounts receivable before the write-off of the Ramirez receivable? (c) What is the
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procedures on an annualised basis and compared the results to industry averages and last year’s audited financial information. The results are given below : Airclean Sdn Bhd Industry Average Ratio 2012 2011 2012 1. Current ratio 1.7 2.2 2.7 2. Days in receivables 93 68 55 3. Inventory turnover ratio 4.3 5.5 5.8 4. Debt to equity ratio 47% 38% 30% 5. Gross margin 43% 35% 39% Required : (i) Discuss the conclusions that you can draw from the above ratios about Airclean’s financial position. (10 marks) (ii)
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documents and controls. 4‚ 5‚ 6‚ 7‚ 8 54‚ 55‚ 61‚ 63‚ 64‚ 66 3. Give examples of tests of controls over customer credit approval‚ delivery‚ and accounts receivable accounting. 9‚ 10‚ 11‚ 12‚ 13‚ 14 56‚ 65 4. Give examples of substantive procedures in the revenue and collection cycle and relate them to assertions about account balances at the end of the period. 15‚ 16‚ 17‚ 18‚ 19‚ 20‚ 21‚ 22 57‚ 58‚ 60‚ 61‚ 67‚ 68‚ 69‚ 70‚ 71‚ 72‚ 73 5. Describe some common errors and
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3 Methodology 3.1 This report has been written using information gathered from the accounts staff at Chic Paints Ltd. A brief overview about each accounts employee‚ an overview of the accounting system and a list of events that have occurred over the past six months can be found in the company diary. 3.2 A SWOT Analysis of Chic Paints Ltd has been produced to find out any strengths‚ weaknesses‚ opportunities and threats to Chic Paints Ltd. The SWOT Analysis can be found in Appendix 1. 3.3 A
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inventory to working capital percentage is fluctuated due to poor inventory management skills . This is reflected negatively in year 3 ‚ which indicates poor quality of liquidity. As a solution‚ M arine S upply should keep a better track of the ir inventories in order to improve the inventory turnover and to decrease the percentage of inventory to working capital. On the other hand‚ the receivables to working capital is increasing over time and is currently higher than the industry
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Transactions- quantifiable business events w/c can be expressed in terms of money. Exchange of values. ( What? *Books of Accounts (journals / ledgers) ( Where? *Chronologically & Systematically (accordance to procedures & established rules of acctg) ( How? 2. Classifying- similar & inter-related transactions of events *Account / Account Title- device used to classify *3 Broad Categories – Assets / Liabilities / Capital 3. Summarizing- preparation of financial statements
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Chapter 5 18. a. They should use the resistance of meeting auditing standards and contributory neglegence. Stuart Supply Company management is responsible for the fraud. The fraud was complicated and difficult to discover‚ but the steps recommended by Lauren Yost & Co made it possible. The president of Stuart Supply Company ignored the proposal to count the inventory on the same day‚ and was therefore responsible to breakdown of detecting the fraud due to his decision. Luckily‚ Lauren Yost & Co
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Accepted 1 November 2012 The impact of corporate governance on working capital management efficiency of American manufacturing firms Amarjit S. Gill The University of British Columbia (Okanagan Campus)‚ Kelowna‚ Canada‚ and Nahum Biger School of Business‚ Academic Center Carmel‚ Haifa‚ Israel Abstract Purpose – The purpose of this study is to investigate the impact of corporate governance on working capital management efficiency. This study also seeks to extend the findings of Gill and Shah. Design/methodology/approach
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the most part. Using management’s projections‚ a growing TCI is revealed with great sales growth and stable ratios.1 The management case reveals slight decreases in Current and Quick ratios as well as slight increases in Total Liability to Total Assets and Total Liability to Equity do to the increase in Bank Loans Payable from the forecasted loan for the warehouse.2 Accounts
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