After studying Chapter 6, you will be able to:
- Define accounting terms related to a work sheet for a service business organized as a proprietorship.
- Identify accounting concepts and practices related to a work sheet for a service business organized as a proprietorship.
- Prepare a heading and a trial balance on a work sheet.
- Plan adjustments for supplies and prepaid insurance.
- Complete a work sheet for a service business organized as a proprietorship.
- Identify selected procedures for finding and correcting errors in accounting records.
Mastery Problem 6-5
- Make a copy of this spreadsheet.
- Place this file in your Chapter 6 folder.
- Rename the file to Mastery Problem 6-5-(Your Initials)
- Complete the spreadsheet according to the directions on page 173 or below.
Challenge Problem 6-6
- Make a copy of this spreadsheet.
- Place this file in your Chapter 6 folder.
- Rename the file to Challenge Problem 6-6-(Your Initials)
- Complete the spreadsheet according to the directions on page 174 or below.
Auditing For Errors
- Make a copy of this spreadsheet, rename it Auditing-(Your Initials), and more it into your Chapter 6 folder.
- Read the instructions on page 175 of your textbook.
- Using the trial balance as shown in the textbook, enter the accounts and numbers in columns A-C in the spreadsheet as shown in the textbook.
- After completing step 1 in the instructions, use columns D-E to show your corrections.
Best Buy’s Financial Statements
- The length of time for which a business summarizes and reports financial information is known as a fiscal period. Annual statements use a fiscal period equal to one year. However, the fiscal year does not necessarily have to begin on January 1 and end on December 31 (a calendar year). A company’s fiscal year can begin on any date. Most companies choose a fiscal year that ends during a period of low business activity, often after a period of high activity, when inventories are low. Look at the second page of Note 1 to Best Buy’s financial statements on Appendix B page B-10 in your textbook.Directions: To complete this task, follow the steps below:
- Make a copy of this Google Document, name it Best Buy-(Your Initials), and move it into your Chapter 6 folder.
- Use Appendix B in the page of your textbook as well as Best Buy’s most recent financial statements to complete the questions within the document.
Study Guide 6
- Complete this Chapter 6 Study Guide to assess your learning from Chapter 6. You have as many attempts as needed to get as good of a score as you can.