Accounting for Hospitality 2011 M6 Assignment 2 – Business Performance Review DEBI MARCHAND CONTENTS: 3.1) Source and structure of the trial balance PAGE: 3 3.2) Evaluation of a range of business accounts‚ adjustments and notes 3.3) Process and purpose of budgetary control TO 3.4) Calculation of variances with suggestions for appropriate future management action PAGE: 7 4.1) Calculation and analysis of ratios and consistent
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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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management on SME profitability using the panel data methodology. Findings – The results‚ which are robust to the presence of endogeneity‚ demonstrate that managers can create value by reducing their inventories and the number of days for which their accounts are outstanding. Moreover‚ shortening the cash conversion cycle also improves the firm’s profitability. Originality/value – This work contributes to the literature in two ways. First‚ no previous such evidence exists for the case of SMEs. Second‚ unlike
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Week 8 CP-W07 Accounts receivables and cash Ang Hui Shin A0102395L Chimene Lim A0092043N Estee Amanda Tan A0083721J Tay Kai Zhi Angie A0100488J CP-W07 1) Account receivables turnover ratio for 2012 Net sales for 28 January 2012 4‚158‚058 thousands Receivables at 29 January 201174‚777 thousands Receivables at 28 January 2012 89‚350 thousands Average accounts receivable (89‚35074‚777)/2 82063.5 thousands Account receivables turnover ratio Net Sales / Average Accounts Receivable 4‚158‚058/
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Peregrine was done by inflating revenue by booking revenue when sales never occurred. By recognizing revenue from sales that never occurred‚ the accounts receivable balance and net income were fraudulently overstated; the accounts receivable would never be collected‚ because the merchandise was never sold. To cover up their high‚ outstanding‚ accounts receivable balance as a result of booking sales that did not occur‚ Peregrine fraudulently engaged in financial agreements with banks. Evidently‚ Peregrine
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records. c. The credit memo is a document indicating a reduction in the amount due from a customer because of returned goods or an allowance granted. It often takes the same general form as a sales invoice‚ but it reduces the customer’s accounts receivable balance rather than increasing it. d. The remittance advice is a document that accompanies the sales invoice mailed to the customer and can be returned to the seller with the payment. It is used to indicate the customer name‚ sales invoice
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information include: a. b. c. lenders prospective owners customers d. e. labor unions all of the above 4. Expenses can be found in the: a. b. c. statement of owner’s equity income statement balance sheet d. e. both b and c all of the above 5. This account does not appear on the income statement: a. b. c. accumulated depreciation depreciation expense sales revenue d. e. marketing expense interest expense 6. A brand new company has a building costing $10‚000‚ machinery costing $5‚000‚ cash of $700
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Biltrite Practice Case Module III: Control Testing – Sales Processing 1. The sampling plan in the design of controls does not provide tests about revenues and accounts receivables. The weakness that I could see is the fact that goods that were delivered to customers were not billed which result in bill of lading not being pre-numbered. Because of this‚ bills of lading do not count as an effective sampling unit. For a successful audit‚ auditors need to evaluate orders randomly and check to see
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Comparing the financial performance between Wal-Mart and Amazon by the metrics : Return on Equity Ratio(ROE): This ratio demonstrates how efficiently the business is utilizing and deploying the equity‚ either invested in the business or generated by the business‚ to generate profits. ROE= Net income/ avg shahloder equity ROE in Wal-Mart stores is: 2.726840403 A ration of 272.6% would show the business is earning $2.73 in pretax or operating profit for each $1of equity employed in the business
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chain correspond to balance sheet B‚ due to keeping high inventory‚ high plant and equipment assets‚ and profit per revenue is low. 3. The online direct factory to customer personal pc vendor correspond to balance sheet C‚ due to high number of account receivable‚ low inventory‚ low plant and equipment‚ but high inventory turnover. Because the inventories are presold‚ the company doesn’t need long term assets and high inventory. 4. The pharmaceutical manufacturer corresponds to D‚ due to high number
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