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Kim Fuller Case 1 2 Essay

332 words - 2 pages

Case 1-2 & 2-3
Anthony Case 1-2 & Anthony Case 2-3

Anthony Case 1-2: Kim Fuller
1. In order for Kim Fuller’s plastic bottle grinding business to get off the ground she will need to manage the business with non-accounting and accounting information. The following information to run the business is non-accounting information, as it is not owned by the company did not occur through a monetary transaction: 2 grind machine workers, 1 truck drive, 1 accountant, and the 2 contracts with ...view middle of the document...

2. Below is the beginning balance sheet for Kim Fuller’s Business.
[pic]b.) To address the question of how Fuller should go about putting a value on the company’s assets, she must utilize the generally accepted accounting principles (GAAP) regarding the worth of her assets. Specifically through these principles, Fuller will be able to determine the fair value or cost of each asset – as a transaction occurred for each purchased item of equipment. Additionally, she will be able to add the value of the Warehouse based on the value at the time of her purchase. Through associating a cost with each, Fuller can easily determine the company’s assets.
c.) Based on the balance sheet at the onset of the business, the Owners’ Equity is valued at $165,000.
3. Once Fuller begins to make her sales she will need to determine her revenues and expenses, as she will acquire inventory and the sell the goods for monetary value, which generates revenue. In order for Fuller to stay on top of her accounting for these revenues and expenses, which are also known as “profits and...

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