Recording Process
Financial Statement Analysis
Cash flow & budgets
Business Planning
Sustainability Accounting
100
Always on the left hand side of the journal entry
What is a debit
100
The three broad categories of ratios calculated when performing financial statement analysis
What is liquidity, solvency and profitability.
100
True or false The longer the budget period, the more accurate the budget will be.
What is false. Information is more accurate in the near future, it is harder to predict events the further they get into the future
100
True or False. A business plan is ongoing an iterative
What is true
100
True or False. The Starters Guide to Sustainability Reporting is issue by the Canadian Government to assist businesses in understanding how to do sustainability reporting.
What is False - it is produced by the Chartered Professional Accountants (CPA) of Canada
200
True or False Sales taxes owing is a current liability
What is true
200
True or False A current ratio of 1:1 is always good.
What is false. The current ratio may be okay, but you should never use only one ratio by itself without looking at other liquidity ratios; and assessing where the company fits with others in the industry.
200
True or false Generally cash control is considered better if payments are made by cash.
What is false, payments should be made by cheque or electronic payment to ensure a record is kept
200
The four main sections of the business strategy section of your business plan according to CBCA
What are introduction, current position, competitive advantage and growth plan.
200
Three of the stakeholders that may be interested in a company's sustainability information.
Who are (any three) consumers; customers; potential partners for business ventures; employees; governments; inventors; communities; industry associations; media [possibly others too]
300
When preparing statements, this is the statement normally done last.
What is the balance sheet or statement of financial position.
300
Days in inventory calculation
What is 365 / inventory turnover (COGS / average inventory) Average inventory is (current year inventory plus last year inventory) / 2
300
The amount that would be calculated for supplies expense next year if supplies were 50% of sales, sales this year were $800 and expected to increase by 20%.
What is 48 ((80 x 1.2) x 50%))
300
The two internal parts of the SWOT analysis
What are strengths and weaknesses, opportunities and threats are normally external to the corporation
300
A SMART key performance indicator
What is a KPI that is Specific, Measurable, Attainable, Relevant, Time-Bound
400
The account that is credited to close the dividends account at the end of a fiscal period
What is dividends (it is in a debit balance), the account you would credit is Retained Earnings.
400
Earnings per share calculation
What is (Net income - Preferred Dividends) / Weighted average number of common shares
400
The amount of accounts receivable at the beginning of September if a company had sales of $10,000 in August, $20,000 in September and $30,000 in October and expects to collect 75% in the month of the sale and the remainder the following month.
What is $2,500 (25% of August sales)
400
Three common mistakes in writing a business plan
What is (any three will do) ignoring the competition; too many ideas; relying on a few customers; diluting priorities; procrastinating; being overly optimistic; copying a sample plan without letting your own business shine through
400
The three components of sustainability
What are social, environmental and economic. Social and environmental are bearable, social and economic are equitable, environmental and economic are bearable = it all all three components together that makes somethings sustainable.
500
The debit site of the year end accrual journal entry to correct a payment of one year insurance on June 1 where the total was originally debited to insurance expense (assume any prior years were cleared already).
What is $500 - January to May of the next year should be in prepaid insurance.
500
Calculate net earnings using the accrual method: Company earned $26,000 in service revenue. Of that amount $4,000 was on account and the remainder was collected from customers Company incurred operating expenses of $15,500. Of that amount $13,750 was paid in cash and $1,750 was still owing on account Company expects to owe $1,500 in incomes taxes for year Company is in first year of business
What is $9,000 [26,000 - 15,500 - 1,500]
500
The amount of inventory you need to produce in June if your anticipated sales for the month of June are 2000 units and for July are 3000 units. Your goal is to always keep 10% of the following months sales in inventory, but your inventory at the start of June was 120
What is 2,180 (2000 + 3000 x 10% - 120)
500
The additional sources of funding according to Sanders Chapter 12 that do not involve professional investors.
What are trade credit, asset-based loan, factoring of accounts receivable, loan, leasing, relationship lending.
500
The first business leader that Theo meets with in the Business Leader or Eco Warrior video
Who is Richard Branson
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