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    Blue Nile Case 1. Blue Nile’s Strategy for success in the marketplace is to increase Blue Nile recognition and create more customer traffic. They want to build a brand loyalty among their customers to encourage repeat purchases. Blue Nile has both online and offline advertising. They offer a wide range of high quality diamonds to appeal to more buyers. Also to keep their pricing competitive. a. I would think that Blue Nile relies on operation excellence to keep customers coming back. They continue

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    "Financial accounting produces information for external parties such as stockholders‚ suppliers‚ banks‚ and government regulatory agencies" (Horngren‚ Sundem‚ & Stratton‚ 2005‚ p. 5). "Financial accountants prepare financial statements based on general ledgers and participate in important financial decisions involving mergers & acquisitions‚ benefits/ERISA planning and long-term financial projections"(Accounting: Job Options‚ 2000). These reports are used by owners of a business‚ or by people who

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    Chapter 1 Accounting Information Systems and the Accountant INTRODUCTION WHAT ARE ACCOUNTING INFORMATION SYSTEMS? Accounting Information Systems—A Definition Accounting Information Systems and Their Role in Organizations CASE ANALYSES The Annual Report Universal Concrete Products Ross‚ Sells‚ and Young‚ LLP REFERENCES AND RECOMMENDED READINGS ANSWERS TO TEST YOURSELF WHAT’S NEW IN ACCOUNTING INFORMATION SYSTEMS? Suspicious Activity Reporting Countering Terrorism Corporate Scandals and Accounting

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    Chapter 01 1. The business entity assumption requires that a business be accounted for separately from other business entities‚ including its owner or owners.  2. The four basic financial statements include the balance sheet‚ income statement‚ statement of retained earnings and statement of cash flows.  3. A balance sheet covers a period of time‚ such as a month or year.  4. The income statement shows the financial position of a business on a specific date. 

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    Controlling Inventory: It is important for business owner’s to constantly monitor the inventory held by a trading business since the success or failure of a business is often decided by the decision-making of management in relation to its inventory. Inventory is the most valuable asset reported in the balance sheet. If inventory is not managed effectively‚ the overall performance of a trading firm will suffer and so will the returns to the owner in terms of profit. As the success of a trading firm

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    E17-5 1 On the basis of the reorganization value‚ Baxter Hardware qualifies for fresh start reporting because the estimated reorganization value of $2‚000‚000 is less than the postpetition liabilities and allowed claims. | Estimated reorganization value | | $2‚000‚000 | | Liabilities: | | | | Postpetition liabilities | $1‚200‚000 | | | Prepetition liabilities | 1‚500‚000 | | | Fully secured debt | 900‚000 | 3‚600‚000 | | Excess liabilities over reorganization value

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    CHAPTER 1 Scope and Meaning of Accounting ˆ Introduction ˆ Need and Role of Accounting ˆ Meaning of Book -keeping and Accountancy Book-keeping ˆ Accounting — Science or Art ˆ Definition and Explanation of Accounting ˆ Users of Accounting ˆ Scope/Branches of Accounting z Financial Accounting z Cost Accounting z Management Accounting ˆ Systems of Accounting ˆ Objectives/Advantages of Accounting ˆ Limitations ˆ Terminology often used — Some Basic TTerms erms ˆ Check Y our

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    CHAPTER 1 FINANCIAL ACCOUNTING AND ACCOUNTING STANDARDS IFRS questions are available at the end of this chapter. TRUE-FALSE—Conceptual Answer No. Description F 1. Definition of financial accounting. T 2. Purpose of financial statements. T 3. Definition of financial accounting. T 4. Capital allocation process. F 5. Financial reports. F 6. Fair value information. F 7. Objectives of financial reporting. F 8. Accrual accounting. T 9. Generally accepted accounting principles. T 10. Users

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    A) Straight-line Depreciation Computation End of Year Year DC X DR = ADE AD BV 2012 220‚000 25% 55‚000 55‚000 195‚000 2013 220‚000 25% 55‚000 110‚000 140‚000 2014 220‚000 25% 55‚000 165‚000 85‚000 2015 220‚000 25% 55‚000 220‚000 30‚000 ($250‚000 – $30‚000) 1/4 = 25% Please note abbreviations are the same as bellow Double- Declining-Balance Depreciation Computation End of Year Book Value Annual

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    ACCOUNTING EXAM 2 STUDY GUIDE Chapter 5 1.      Know the following terms: merchandise inventory‚ sales‚ sales returns and allowances‚ sales discounts‚ net sales‚ cost of merchandise sold‚ gross profit‚ operating expenses‚ operating cycle‚ purchase discounts‚ purchase returns and allowances‚ FOB shipping point‚ FOB destination‚ and inventory shrinkage. 2.      Be able to prepare a multiple step income statement. 3.      Be able to prepare the journal entries for the seller and buyer including

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