Define the Income Statement. What is the purpose of the income statement?

Areas of Focus:Define Inventory. How is inventory accounted for? What are inventory cost flow assumptions? What is the purpose of cost flow assumptions?

Define the Income Statement. What is the purpose of the income statement? What is a classified income statement?

Define Cash. Why is a bank reconciliation important? Consider other controls that ensure a company’s financial reporting is accurate.

Define Account and Note Receivables. Understand Direct Write-off vs Allowance.

Excel exercises:

B.08.03Focuses on inventory.http://www.principlesofaccounting.com/chapter8/chapter8.html#InventoryB 5.06

Focuses on the income statement

http://www.principlesofaccounting.com/chapter5/chapter5.html

Scroll down to mid page and find the detailed income statement to help you complete this problem

B.06.03

Focuses on Bank Reconciliation

http://www.principlesofaccounting.com/chapter6/chapter6.html#Reconciliation

B.08.03 Note Receivable Terminology

http://www.principlesofaccounting.com/chapter7/chapter7.html#Accounting

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