Accounting Assignment

PROBLEM 6-5 INTERNAL CONTROL 1.Morris does not understand the differences of entirely duties, speckle Mary does all accounts of allurements. 2.2 employees should mail invoices and bills. 2 should chord the mail open. 2 should require for gatherings. All work should be shared and Mary should not do everything. 3.Mary should be told just about how fraud can happen this allow cut the line if she does continue on. PROBLEM 7-3 ACCOUNTS receivable TURNOVER FOR COCA-COLA AND PEPSICO 1. disturbance Ratios: Coca-Cola: $24,088/$2,434 = 9.90 PepsiCo: $35,137/$3,493 = 10.06 2.AVG. battle array period: Coca-Cola: 360/9.90 = 36.36 DAYS PepsiCo: 360/10.06 = 35.79 DAYS Each confederacy has collection about 35-36 days and that is justified. 3.Both companies let very similar perturbation rate balances and average collection periods. Compare turnover ratio and collection periods with other companies and earlier years. PROBLEM 7-7 EFFECTS OF CHANGES IN RECE IVABLE BALANCES ON STATEMENT OF CASH FLOWS 1. notes Flow controversy: STEGNER INC.

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2008 drip light on Income130,000 Operating Activities: Accounts Receivable Increase140,000 Notes Receivable Decrease5,000(135,000) specie in courses from operating activities(5,000) 12-31-07- change in110,000 12-31-07-Cash105,000 2.Memo: TO:Owner of Stegner, Inc. FROM:Baber Naeem DATE:January 02, 2009 SUBJECT:Cash Flow The company had a damaging impact on cash, precisely was still profitable because you need information I have a copy of the com panys cash flow statement for 2008 is below.! The companys cash went negative by $5,000 during the year but net income was $130,000 for the year. The accounts receivable was haughty by $140,000. By not collecting sales the company mixed-up cash receivable by $5,000. If we make up for to a greater extent collections of cash sales this will help revenue.If you want to contain a full essay, distinguish it on our website: OrderCustomPaper.com

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