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Website icon Writing Feedback Tool. This assignment will familiarize you with the remaining steps in the accounting cycle. After completing this assignment, you will understand: How to use the worksheet to summarize and complete the accounting cycle steps.
The purpose and steps in the closing process at the end of an accounting period. How a classified balance sheet is prepared. How to use the current ratio as a tool for financial analysis. InstructionsRespond to the following questions or problems using grammatically correct language and appropriate APA citations.
To achieve a proficient grade in this assignment, answer the proficient-level queries for each question. To achieve a distinguished grade, answer both sets of queries for each question. You have taken over a set of accounting books for a small business as a part-time job.
At the end of the first accounting period, you have partially completed the work sheet by entering the proper ledger accounts and balances in the Trial Balance columns.
In all the text problems you have done, you have always been given this information. How would you obtain the information for this real-life situation? What are the consequences of not making all of the required adjustments at the end of the accounting period?
After the Adjusted Trial Balance columns of a work sheet have been totaled, which account balances are extended to the Income Statement columns, the Statement of Retained Earnings columns, and the Balance Sheet columns?
Describe how is the statement of retained earnings prepared. Describe, in order, the four basic steps in the closing process performed at the end of each accounting period.
Explain why the closing process is so important.
After the closing process has been completed, what account types remain open? Describe how a classified balance sheet is different from a basic unclassified balance sheet. Rearrange the following steps in the accounting cycle in proper order: Financial statements are prepared. An adjusted trial balance is prepared.
Adjustment data are assembled and analyzed. Adjusting entries are journalized. Closing entries are journalized and posted to the ledger. An unadjusted trial balance is prepared. Transactions are posted to the ledger.
Transactions are analyzed and recorded in the general journal. An optional end-of-period work sheet is prepared. A post-closing trial balance is prepared. Describe how the current ratio is used to analyze financial results? What are the components of the ratio and how is the ratio calculated?
Current assets and current liabilities for the Fortson Company are: Determine the current ratio for and Does the change in the current ratio from to indicate a favorable or unfavorable trend? Write your responses in a Microsoft Word document and submit it as an attachment in the assignment area.
Prior to submitting your assignment, review the Completing the Accounting Cycle Scoring Guide to ensure you have met all of the requirements and as a self-assessment of your work.
Be sure to address the questions at the proficient and distinguished levels to achieve the highest grade possible.Completing the Accounting CycleResourcesWebsite icon Completing the Accounting Cycle Scoring leslutinsduphoenix.come icon APA Style and leslutinsduphoenix.come icon Writing Feedback leslutinsduphoenix.com assignment will familiarize you with the remaining steps in the accounting cycle.
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