...After graduating high school, I never had an immediate plan or intended major of what I wanted to do. I started off working full time and taking general education courses at College of DuPage. At the time I didn’t have any guidance or help from my family and always felt like the black sheep. After taking intro to business courses, I truly enjoyed marketing. I fell in love with the innovation and creativity forces that were driven behind branding, promoting, and selling. During my newfound epiphany, I worked at goodwill. Goodwill is a not for profit business that strictly builds its capital and success from blind donations. For 40 hours a week I would dig through perpetual garbage bags filled with clothes from target, Walmart, and come across...
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...Choosing a degree in Economics is a result of my interest in knowing why economies are they way they are and how capital markets operate. Studying economics at A level further strengthens my will to go further in the subject. Coming from a fast developing country, Nigeria. My interests tend to lean towards macroeconomics and learning how an economy can be driven forward. With the knowledge gained from an economics degree, I intend to someday be a part of the process of driving the Nigerian economy forward. In terms of career paths I intend on entering the commercial world and being a part of a fast growing sector of our economy, such as banking. I would eventually like to run a business of my own. The other subjects I am studying at A Level provide a good grounding in skills and knowledge for this course. The knowledge gained in geography has sharpened my analytical skills as I have learnt to gather and evaluate data. This will be very important for my research skills. Politics is valuable as it helps me look at issues from different angles, improved my essay writing and most importantly, keeps me on top with contemporary world issues and offers insight into how/why political choices are made by governments around the world. My interest in the subject goes beyond the classroom, as I have recently become an avid reader of the economist and financial times. I also read the famous ‘the undercover economist’ which raises questions such as why the gap between rich and poor countries...
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...PBL 1 GST ACT 1999 s29.40 Choosing to account on a cash basis Is the GST done on an accruals or cash basis? Cash basis GST ACT 1999 s195.1 "GST exclusive market value" , in relation to a supply or acquisition: (a) other than of a * luxury car--is 1 0 / 11 of the * GSTinclusive market value of the supply or acquisition; or (b) of a * luxury car--is 1 0 / 11 of the * GSTinclusive market value of the luxury car (excluding any * luxury car tax that is, or would be, payable on the supply of that car). What was the cost of the vehicle? $90,000 GST inclusive $57,466*60%=$34,480 $34,480*10/11= $31,345 G10 GST=$3,135 How much was the car used for business? 60% Did you use an ABN number when buying vehicle? Yes How is the Car depreciated? Straight line depreciation over 8 years What method do we use for the car? Log-book method, car has driven over 5000km What is the loss on sale of non-current asset? We sold a computer for $1,100 (GST 100). We bought it for $2,900 and had a depreciation of $1,520. So it had a written down value of $1,380 (2,900-1,520), resulting in a loss of $380. GST ACT 1999 s38.3-food that is not GST-free What are the food sales? Fresh food - $58,000(GST-free) Sandwich – $14,000 (GST 1,400) Microwave Meals – $8,000 (GST 800) Chocolate, lollies and snacks – $10,650(GST 1,065) Total – $90,650 (GST free sale 58,000) GST 1400+800+1065=3265 GST ACT 1999 s38.3(d) Beverage...
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...EXAMPLE: Business activity statement ‘My Business’ has chosen Option 1 for reporting GST. Refer to the completed cash receipts and cash payments books on pages 44 and 42 for the source of the figures used in the ‘Option 1’ GST calculations. Front of activity statement A Office use only O When completing this form, please • use a BLACK pen only (to help with processing) • leave boxes blank if not applicable (do not use N/A, NIL) • show whole dollars only (do not show cents) • do not use symbols such as +, –, /, $ Complete Option 1 OR 2 OR 3 (indicate one choice with an X) X PL E 2 6 , 0 0 0 .00 No Goods and services tax (GST) Option 1: Calculate GST and report quarterly Total sales Option 2: Calculate GST quarterly and report annually Total sales G1 Does the amount shown at G1 include GST? (indicate with X) G1 $ , OR N LY Document ID ABN Form due on Payment due on GST accounting method Contact phone number Contact person who completed the form My Business 2003 Bass Road Mt Pleasant NSW Business activity statement 41890404 0 2 5 5 5 1 2 3 4 5 my name $ Yes , No , .00 M , , , , Does the amount shown at G1 include GST? (indicate with X) Export sales Other GST-free sales X Yes G2 $ G3 $ G10 $ G11 $ , .00 Report GST on sales at 1A and GST on purchases at 1B in the Summary section over the page Option 3: Pay GST instalment amount quarterly SA 8 , 3 5 0 .00 OR Capital purchases ...
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...Provide bookkeeping services as follows: a. Process sales transactions b. Process purchase transactions c. Process cash receipt and cash payment transactions d. Produce a report of all outstanding debtors e. Process general ledger transactions, including journal entries f. Carry out bank reconciliations on a weekly basis 2. Payroll Services a. Enter staff timesheets b. Prepare payroll runs as per required frequency c. Monitor employee entitlements d. Reconcile payroll on monthly basis to ensure no discrepancies e. Prepare end of year payroll reconciliation and payment summaries 3. GST/BAS a. Reconcile, verify and report in relation to the GST accounting b. Prepare and Lodge Business Activity Statement as required c. Prepare and lodge Instalment Activity Statement as required d. Liaise with Australian Taxation Office in relation to these services 4. General a. Provision of telephone support b. Liaise with external accountant Should you require any additional work outside the above scope could you please advise in an email before commencement. If I believe this work to be outside my experience or competency I retain the right to decline the work and/or seek help from a person who holds the expertise. Service Fees any Payments All bookkeeping fees for the services I provide to you will be based on the time spent and the degree of skill necessary to complete the tasks required as between the parties. We will issue you with an invoice...
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...current taxation system-Australian Taxation Office- has its roots in the Land Tax Act 1910. TASA 2009 was enacted on 1st March 2010 and it governs the behavior and business dealings of al bookkeepers, tax agents, and BAS agents. Activity 2 Determining which GST code should be allocated to a transaction Activity 4 GST Legislation: it refers to an act that plays a significant role in creating provision for the imposition and collection of goods and services tax as well as other matters connected therewith. Any businesses in Australia with a turnover higher than the minimum threshold (75,000 dollars per annum) are required to register for GST; however, it is not a must for businesses with a lower threshold than the minimum to do so. Australian Business Number (ABN): ABN refers to a unique number that has 11 digits that businesspersons utilize when dealing with other businesspersons; applying for ANB is free. One may apply for an ABN or rather access and update his or her details online A bookkeeper can consult an accountant on insurance issues; help set up both bookkeeping and account systems in order to facilitate the evaluation of profitability and modification of prices. They can further help you in tax planning and compliance. Planning help you reduce the overall burden whereas compliance helps you obey and adhere to business-related laws. Activity 8 It is appropriate to reconcile all amounts withheld from wages, salaries, and other payments in order to ensure agreement of all financial...
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...Application of Financial Statements: The Balance Sheet Tonesha Gadson Strayer University Financial Accounting (ACC 557) Professor Mary Johnson May 27th, 2012 Abstract Many people may ask why Financial Accounting is needed and is so prevalent in the business world and in personal living. What is its importance and activities involved? Why is it so crucial in commerce performance and individual responsibilities? Most significantly, which financial statements are of great magnitude in work and life? To the point, financial accounting is the process of summarizing financial data taken from an organization's accounting records and publishing in the form of annual (or more frequent) reports for the benefit of people outside the organization. This financial data are then entered into financial statements, which is based on the main accounting equation: Assets = Liabilities + Owners’ Equity. Financial statements show you the money and show you where a company’s money came from, where it went, and where it is now (U.S. Securities and Exchange Commission, 2007). With that said, there are four basic financial statements in calculating an organization’s and one’s own financial stability: -Balance Sheet -Income Statement -Cash Flow Statement -Statement of Owners’ Equity In this report, a major emphasis will be placed on the initial basic financial statements and how it’s applied in the business world and personal use-the Balance Sheet. Not only...
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...Abstract This paper explores the uses of financial statements, specifically the balance sheet and income statement. It explores them from a personal point of view and how the balance sheet is used in an everyday life of an individual using his own assets and liabilities and determining his net worth. As it also discusses how a manager can benefit his company by understanding the concept of a balance sheet and using it to determine how well the company is doing and its ability to pay its debts and continue in the business. This paper also discusses my understanding of the balance sheet and income statement and how they may be applied to my future position of planning to start a small business. Select either the balance sheet or income statement and explain how the use of it may be applied to your everyday life. The accounting balance sheet is one of the major financial statements used by accountants and business owners. The balance sheet is also referred to as the statement of financial position. The balance sheet presents a company's financial position at the end of a specified date. Some describe the balance sheet as a "snapshot" of the company's financial position at a point in time. For example, the amounts reported on a balance sheet dated December 31, 2011 reflect that instant when all the transactions through December 31 have been recorded. (2012, Averkamp) Because the balance sheet informs the reader of a company's financial position as of one moment in time, it...
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...Assignment 1: Application of Financial Statement Tasha L. Hodge Professor Doshi Acct 557: Financial Accounting. December 5, 2011 Abstract The purpose of this paper is to explain my reasoning on the importance of financial statements in a personal and professional environment. The balance sheet and the income sheet are the two most important factors that all business needs in order to attract and keep investors. The balance sheet reports assets, liabilities and equity while Income statement lists total income and total expenses. Select either the balance sheet or income statement and explain how the use of it may be applied to your everyday life. According to the principles of accounting website, “ Accounting is a set of concepts and techniques that are used to measure and report financial information about an economic unit. The economic unit is generally considered to be a separate enterprise. The information is reported to a variety of different types of interested parties ( principles of accounting, 2011). To greatly explain, these interested parties use either a balance sheet or income statement. The balance sheet, “reports the assets, liabilities, and stockholders equity of a company at a specific date”, (Weygandt, 2011). The income statement “ presents the revenues and expenses and resulting net income or net...
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...Comprehensive Statement Analysis Business organizations come in different forms, and although they all have financial gains and losses, not all have the same rules and regulations that need to be complied with when preparing financial statements. The Advantages and Disadvantages of the Different Forms of Business Organization Sole proprietorship is a business organization that is owned by one individual. The advantages to a sole proprietorship is that all profits go to the business-owner and that the owner has full control of the business (Kimmel, Weygandt, & Kieso, 2011). There are also some disadvantages in a sole proprietorship-such as the owner is personally liable for all debts and obligations of the business. Another disadvantage is that the business and the owner are not separate beings (Cheeseman, 2013). A business organization that is owned by two or more individuals is a partnership. The advantages to a having a business partnership are that there is more capital put into the business and that the obligations and debts are shared among each partner. Individuals who are part of a partnership can also deduct their losses through their personal income tax. There are a few disadvantages to being part of a partnership are that all profits are shared and that all decisions need to be made by each partner (Cheeseman, 2013). A C Corporation is any corporation that is taxed separately from its owners. Corporations are a “separate legal entity (or legal person) for most...
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...Questions - Unit 1 1. Consider the information stored on your personal computer. Do you, at this moment, have information stored in your computer that is critical to your personal life? If that information became compromised or lost, what effect would it have on you? (150 - 200 words) I do have personal information stored on my computer that is very critical to my personal life. My personal computer holds credit card numbers, bank account details, passwords, medical information, websites I have visited, personal family pictures, some private letters and all my business ideas. Basically my whole life is on my personal computer and if it fell into the wrong hands someone might use it to commit fraud against me. I will have to take action quickly to minimize the potential for the theft of my identity. I will have to close compromised credit card accounts immediately and put an initial fraud alert on my credit report. I will have to place new passwords on old and new accounts that I open. I think getting my personal information compromised would leave me very paranoid and I will be watching for signs that my information is being misused and I think at the end it will leave me feeling much violated. 2. What is a mission statement? What is a vision statement? What is a values statement? Why are they important? What do they contain? Provide an example of one of the three. (150 - 200 words) A mission statement is a clear definition of what an organization is, the reason for...
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...Financial Statement Select either the balance sheet or income statement and explain how the use of it may be applied to your everyday life. According to Weygandt, Kimmel, and Kieso (2010), “an income statement presents the revenues and expenses and resulting net income or net loss of a company for a specific period of time” (p. 21). Using an income statement in one’s personal everyday life allows you to document and track monthly or annual income and expenditures for personal budgets. Income statements can be used to gauge your incoming funds and match them to the amount of funds that you’ve limited yourself to use for a determined amount of time. There are many beneficial incentives to using personal income statements. Using income statements is a great way to monitor both monthly and annual expenses. Just as income statements contain the list of expenses for a business (e.g. salaries expense, rent expense, and utilities); income statements can also be used on a personal basis to list one’s car payments, rent/mortgage, groceries, auto fuel and even entertainment. Monitoring monthly expenses, as well as income, income statements permits oversight of one’s financial health. You are able to see where you are spending in excess and where you can cut back on unnecessary expenditures. A well-structured and managed monthly or annual income statement will allow one to budget better and save more for those unexpected emergencies. Utilizing income statements to document...
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...Introduction Corporate financial systems represent the business analysis phase of a company. Large companies -- particularly publicly held companies -- use a financial system to help assess financial performance. In some cases, the corporate financial system is a bridge between accounting and management. Rather than focusing solely on the preparation of financial information, financial systems look to gauge performance and make forecasts. Many different financial activities fall under the corporate financial system. Budgets, sales forecasts, profitability measurements, cash flow management, financing decisions and capital structure are just a few of the most common. The department's core purpose is to measure how well the company generates cash and what financing options will result in the best opportunities for growing the business. Individual analysts often make suggestions to management on the best investment opportunities for the company. The corporate financial system often operates under the responsibility accounting theory. This dictates that a business should place individuals in charge of activities under their direct control. For example, one manager may be responsible for budgeting and cash-flow forecasting. Another manager is over capital structure and another over business valuation. This segregation allows each manager to focus on increasing the value added from their section of the department. The aggregate value added is the result of all managers working...
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...Abstract This paper is about the importance of financial statements and their application in everyday life. Financial statements help determine the financial status of any individual or business. For example, a business manager uses financial statements to make important decisions regarding their business. Individuals on the other hand use financial statements as a way to budget their finances and allowing them to make major decisions such as buying a house or purchasing a new car. The main purpose of this paper is to show how a balance sheet is important for an individual and a business. * Select either the balance sheet or income statement and explain how the use of it may be applied to you everyday life. One of the financial statements is the balance sheet. This summarizes a company’s or individual’s assets, liabilities and equity at a specific time. On a given date, I use a personal balance sheet. This statement lists my assets, my debts, and my wealth or equity. Assets are the things that I own. My assets are my checking account, saving accounts, my 401K, the value of my house and car. Now, the debts or liabilities are what I owe to others and creditors. My debts are my mortgage payments, utility bills, etc. Wealth is the abundance of valuable resources or material possessions. By using this financial statement, I can spend within my income limits and choose whether or not to purchase an item. Also, I can get an outline of my finances and determine if I am spending...
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...Small Business Analysis James Dillon ACC/561 March 9, 2015 Tom Myers Small Business Idea My idea for a business is to open a business consulting firm for small business. I want to be able to provide expert insight to business owners on how to run the best and most profitable that they can. This business would start small with a handful of consultants and possibly in the future scale to multiple locations geographically. Sole Proprietorship In a sole proprietorship a company is owned and operated by one person. The only advantage to sole proprietorship is the owner will obtain the profits that the business makes as well as it is not difficult to obtain a sole proprietorship. The main disadvantage to sole proprietorship is the owner’s personal assets are liable for all business encounters. Due to this fact, a sole proprietorship is never the optimal choice for a form of business. DeFrancesco states the following about a sole proprietorship: “If the practice is structured as a professional corporation, S or C corporation, or a limited liability partnership, the assets of the company, rather than the physician’s assets, would be at risk in such cases” (DeFrancesco, 2006). Partnership A partnership is when two or more people bring their assets together and create a business. A couple of advantages of a partnership is that both of the parties are bringing in their time, effort and money to form the business. Also many times in partnership there is one person...
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