Premium Essay

Revenue and Expenses

In: Business and Management

Submitted By charlesjeffries
Words 1137
Pages 5
Affirmative Action and Social Psychology

Tamara Hill

PSY11017VA016-1134001(Social Psychology)

Profess. Jason Hamilton

June 08, 2012
Bottom of Form

Over the years there are a number of laws that have been put in place that has shaped society and paved the way for many to succeed. The Affirmative Action Law is one of the laws that were established to provide an equal playing field in many environments such as schools, employment, businesses and our daily lives in society. For many years there have been unrepresented groups that experienced discrimination during times of enrollment into schools, on the job promotions and even when trying to receive bank loans to start up his or her own business. Since the establishment of Affirmative Action in 1961it has paved the way to ensure that unrepresented groups are represented throughout society as we know it today. This law has been amended several times to ensure that no minority group is unrepresented in any circumstance. In the 1960’s Affirmative Action in the United States was used as a tool to

address the persistent discrimination against African Americans. This specific term was

first used to describe US government policy in 1961. President John F. Kennedy in 1961

mandated "affirmative action to ensure that applicants are employed, and that employees

are treated equally during employment, without regard to their race, creed, color, or

national origin (Peters,G and Woolley, T.,1961). Although, this law was established and

defined by President John F. Kennedy it would be revised a number of time throughout

the course of United State History.

On September 24, 1965, President Lyndon B. Johnson signed Executive Order 11246, thereby replacing President John F. Kennedy order by affirming Federal Government commitment “ to promote the...

Similar Documents

Premium Essay

Revenue and Expense Recognition

...CASE 2-1 Revenue and Expense Recognition—Orthodontic Centers of America CASE OBJECTIVES The objective of this case is to evaluate the revenue and expense recognition methods used by the company. INTRODUCTION The following information was extracted from the 1999 and 2000 annual reports of Orthodontic Centers of America [OCA]. The company provides practice management services to orthodontic practices in the United States. OCA acquires and develops orthodontic centers and manages the business operations and marketing aspects of affiliated orthodontic practices. At December 31, 2000, there were 592 orthodontic centers, of which the company developed 306 and acquired 361 (75 were consolidated into another center). The affiliated orthodontists control the orthodontic practices, determine which personnel, including orthodontic assistants, to hire or terminate, and set their own standards of practice in order to promote quality orthodontic care. A typical patient receives an initial consultation and preliminary procedures (teeth impressions, x-rays, and the placing of spacers between the teeth for braces) in advance of the next appointment. The patient signs a contract for treatment in the event the orthodontist recommends orthodontic treatment. Generally, braces are applied two weeks later and subsequent adjustments to the braces are made every four to eight weeks. The contract specifies the terms and the length of the treatment as well as the total fees. The average contract......

Words: 1561 - Pages: 7

Premium Essay

Finance

...CHAPTER 4 Accrual Accounting Concepts ASSIGNMENT CLASSIFICATION TABLE | | | | |Brief | | | |A | |B | |Study Objectives | |Questions | |Exercises | |Exercises | |Problems | |Problems | | | | | | | | | | | | | |*1. Explain the revenue | |1, 2, 3, 4 | |1 | |1, 2 | |1A | |1B | |recognition principle and the matching | | | | | | | | | | | |principle. | | | | | | | | | | | | | | | | | | | | | | | |*2. Differentiate between | |5 | |2 | |3 | |2A, 3A | |2B, 3B | |the cash basis and the accrual basis of | | | | | | | | | | | |accounting. ...

Words: 13799 - Pages: 56

Premium Essay

Management

...at the end of the accounting period to record all revenues and expenses that have not been recorded but belong in the current period. They update the balance sheet and income statement accounts at the end of the accounting period. 2. A trial balance is a list of the individual accounts, usually in financial statement order, with their debit or credit balances. It is used to provide a check on the equality of the debits and credits. 3. The four different types are adjustments for: (1) Unearned revenues -- previously recorded liabilities that need to be adjusted at the end of the period to reflect revenues that have been earned (e.g., Unearned Ticket Revenue must be adjusted for the portion of ticket revenues earned in the current period). (2) Accrued revenues -- revenues that have been earned by the end of the accounting period but which will be collected in a future accounting period (e.g., recording Interest Receivable for interest revenues not yet collected). (3) Prepaid expenses -- previously recorded assets that need to be adjusted at the end of the period to reflect incurred expenses (e.g., Prepaid Insurance must be adjusted for the portion of insurance expense incurred in the current period). (4) Accrued expenses -- expenses that have been incurred by the end of the accounting period but which will be paid in a future accounting period (e.g., recording Utilities Payable for utilities expense incurred during the period that has not yet......

Words: 14964 - Pages: 60

Premium Essay

Accounting Solutions

...CHAPTER 3 ADJUSTING THE ACCOUNTS SUMMARY OF QUESTIONS BY STUDY OBJECTIVES AND BLOOM’S TAXONOMY Item | SO | BT | Item | SO | BT | Item | SO | BT | Item | SO | BT | Item | SO | BT | Exercises | 1. | 1 | AP | 10. | 2 | AP | 19. | 2,3 | AP | 28. | 2,3 | AP | *37. | 5 | AP | 2. | 1 | AP | 11. | 2 | AP | 20. | 2,3 | AP | 29. | 2,3,4 | AP | *38. | 5 | AP | 3. | 1 | AP | 12. | 2 | AP | 21. | 2,3 | AP | 30. | 2,3,4 | AP | *39. | 5 | AP | 4. | 1 | AP | 13. | 2,3 | C | 22. | 2,3 | AP | 31. | 3 | AP | *40. | 5 | AP | 5. | 1 | AP | 14. | 2,3 | C | 23. | 2,3 | AP | 32. | 3 | AP | *41. | 5 | AP | 6. | 1 | AP | 15. | 2,3 | AN | 24. | 2,3 | AP | 33. | 3 | AP | | | | 7. | 1,2 | AP | 16. | 2,3 | AN | 25. | 2,3 | AP | 34. | 3 | AP | | | | 8. | 1,2 | AP | 17. | 2,3 | AP | 26. | 2,3 | AP | 35. | 4 | AP | | | | 9. | 1,2 | AP | 18. | 2,3 | AP | 27. | 2,3 | AP | 36. | 4 | AP | | | | Note: C = Comprehension AN = Analysis AP = Application * This topic is dealt with in an Appendix to the chapter. SUMMARY OF QUESTIONS BY LEVEL OF DIFFICULTY (LOD) Item | SO | LOD | Item | SO | LOD | Item | SO | LOD | Item | SO | LOD | Item | SO | LOD | Exercises | 1. | 1 | M | 10. | 2 | E | 19. | 2,3 | E | 28. | 2,3 | H | *37. | 5 | M | 2. | 1 | E | 11. | 2 | M | 20. | 2,3 | E | 29. | 2,3,4 | H | *38. | 5 | H | 3. | 1 | M | 12. | 2 | H | 21. | 2,3 | E | 30. | 2,3,4 | H | *39. | 5 | H | 4. | 1 | E | 13. | 2,3 | H | 22. | 2,3 | M | 31. | 3 | E | *40....

Words: 12342 - Pages: 50

Premium Essay

Intro to Financial Accounting: Journal Entries

...D.E.A.L.O.R Divdends Expenses Assets Debit Liabilities Owners' equity Revenues Credit Debit Credit General Form Date Account name Debit Account name Credit Initial Investment in a Company Date Cash Assets Debit Common Stock Liabilities + + Cash Owners' Equity + Common Stock Credit Purchase Building with a Loan Date Buildings Assets Debit Notes Payable = +Buildings Liabilities + Owners' Equity + Note Payable Credit Purchase Equipment for Cash Date Equipment Assets Debit Cash Credit Pay one year's Rent Date Prepaid Rent = Debit Provide Business Services on Credit Date Accounts Recievable Debit Service Revenue Credit Liabilities + Owners' Equity = Liabilities + Owners' Equity = Liabilities + Owners' Equity +Buildings -Cash Assets Cash = +Prepaid Rent -Cash Assets +Accounts Recievable Credit +Service Revenue (Revenue increases NI increases RE) Provide Business Services for Cash Date Cash Assets Debit Service Revenue = Liabilities + +Cash +Service Revenue (Revenue increases NI increases RE) Credit Pay for Advertising with Cash Date Advertising Expense Cash Assets Debit = Liabilities + -Cash Purchase Supplies on Account Assets Debit Accounts Payable = +Supplies Liabilities + Purchase......

Words: 1142 - Pages: 5

Premium Essay

Chapter 4 Solution Accounting

...CHAPTER 4 Accrual Accounting Concepts Study Objectives 1. Explain the revenue recognition principle and the matching principle. 2. Differentiate between the cash basis and the accrual basis of accounting. 3. Explain why adjusting entries are needed, and identify the major types of adjusting entries. 4. Prepare adjusting entries for deferrals. 5. Prepare adjusting entries for accruals. 6. Describe the nature and purpose of the adjusted trial balance. 7. Explain the purpose of closing entries. 8. Describe the required steps in the accounting cycle. 9. Understand the causes of differences between net income and cash provided by operating activities. 10. Describe the purpose and the basic form of a worksheet. Summary of Questions by Study Objectives and Bloom’s Taxonomy |Item | | 1. | | 1. | | 1. | | 1. ...

Words: 9678 - Pages: 39

Premium Essay

Accounting Cycle

...CHAPTER 4 THE ACCOUNTING CYCLE: ACCRUALS AND DEFERRALS OVERVIEW OF BRIEF EXERCISES, EXERCISES, PROBLEMS, AND CRITICAL THINKING CASES Brief Exercises B. Ex. 4.1 B. Ex. 4.2 B. Ex. 4.3 B. Ex. 4.4 B. Ex. 4.5 B. Ex. 4.6 B. Ex. 4.7 B. Ex. 4.8 B. Ex. 4.9 B. Ex. 4.10 Learning Objectives 3, 4 3, 4 3 3 6 4 5 5 5 8 Topic Deferred expenses and revenue Deferred expenses and revenue Accounting for supplies Accounting for depreciation Accrued revenue Unearned revenue Accrued salaries Accrued interest Accrued taxes Concept of materiality Skills Analysis Analysis Analysis Analysis Analysis Analysis Analysis Analysis Analysis Judgment, communication, analysis Exercises 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 Topic Accounting terminology Effects of adjusting entries Deferred expenses and revenue Deferred expenses and revenue Accrued revenue Real World: American Airlines Deferred revenue Accruals and deferrals Notes payable and interest Interpreting business transactions Adjustments and the balance sheet Real World: Various firms Deferred revenue Analyzing the adjusted trial balance Effects of adjusting entries Accounting principles Real World: Home Depot an annual report Using Learning Objectives 1–9 1–6, 9 1-7 1-7 1-7 1, 2, 4 1-6, 9 1, 2, 5 1–7, 9 1, 3–5, 7 1, 4, 7 1–7, 9 1–6 1–8 1, 2 Skills Analysis Analysis Analysis Analysis Analysis Analysis Analysis Analysis Analysis, judgment Communication, analysis Analysis, judgment Analysis Analysis......

Words: 10928 - Pages: 44

Premium Essay

Week 4 Exercise 2

...Bergmann BE 4-1 A) The revenue for the airlines will be recognized when the flight is complete in December. This is because the customer can still cancel and get a refund. B) The revenue for home theater system cannot start to be recognized until the first payments are made one year later. C) The revenue for selling game tickets online for a season can be recognized right away as most season tickets are nonrefundable. The revenue can recognized in April. D) The revenue for the loan should be recognized when is repaid in November. E) The revenue for sweater should be recognized when the bill is paid in October. The reason for this is because the sweater was purchased on account and that account must be paid in order for the revenue to be recognized. P 4-2 A (A) 1. June 30 Supplies Expense…………………………………………………….. 1,280 Supplies…………………………………………………………... 1,280 (To record supplies used) 2. 30 Utilities Expense……………………………………………………... 180 Utilities Payable……………………………………………….. 180 (To record unpaid utility bill) 3. 30 Insurance Expense…………………………………………………. 240 Prepaid Insurance……………………………………………. 240 (To record insurance expired) 4. 30 Unearned Service Revenue…………………………………… 4,100 Service Revenue…………………………………………….. 4,100 (To record revenue earned) 5. ......

Words: 1121 - Pages: 5

Premium Essay

Accrual Accounting

...Income Short Exercises (10 min.) S 3-1 Millions Sales revenue……………………………………………. 960 Cost of goods sold……………………………………… (270) All other expenses……………………………………… (300) Net income……………………………………………….. $ 390 Beginning cash………………………………………….. $ 105 Collections ($700 − $30)……………………………….. 935 Payments for: inventory………………………………. (370) everything else………………………. (285) Ending cash……………………………………………… $ 385 (10 min.) S 3-2 Statement Reports (Amounts in millions) Income statement Interest expense………………. $1.8 Balance sheet Notes payable ($3.9 + $2.3 − $2.0)…………. $4.2 Interest payable……………….. 0.1 (10 min.) S 3-3 At the end of each accounting period, the business reports its performance through the preparation of financial statements. In order to be useful to the various users of financial statements they must be up-to-date. Accounts such as cash, Equipment, Accounts Payable, Common Stock and Dividends are up-to date and require no adjustment at the end of the accounting period. Accounts such as Accounts Receivable, Supplies, Salary Expense and Salaries Payable may not be up to date as of the last day of the accounting period. Why? Because certain transactions that took place in the month may not have been recorded. The accrued salaries, which are owed to the employees yet have not been paid, are an expense related to the current period. The salaries that are owed to the......

Words: 11383 - Pages: 46

Premium Essay

Homework

... |$ 2,920 | | |Accounts Receivable ($3,231 – $180) |3,051 | | |Supplies ($800 – $500) |300 | | |Equipment ($3,800 + $500) |4,300 | | |Accounts Payable ($2,666 – $206 – $260) | |$ 2,200 | |Unearned Service Revenue ($1,200 – $325) | |875 | |Common Stock | |6,000 | |Dividends |575...

Words: 1441 - Pages: 6

Premium Essay

Financial Accounting

...flow through time 2.) in terms of the its status or state as of one moment of time Flows in a business are continuous (see diagram below) Selling Activities Collection Activities Purchasing or Production Activities Financial Accounting: Basic Accounting Concepts: (The Income Statement) There are three commonly types of businesses, namely merchandising, service oriented, and manufacturing. In all of these three types of businesses the income statement focuses on the section the flow diagram is labelled selling activities. In selling activities reporting consist of two elements, inflows and outflows. For the inflow: Revenue-the result from sale of goods and services to customers For the outflow: Expenses- the outflows that were made in order to generate these revenues Income is the amount by which revenues exceed expenses. Since the word income is often used with various qualifying adjectives, the term net income is used to refer...

Words: 2877 - Pages: 12

Premium Essay

Actt

...(b) Collection of an accounts receivable from a customer. (c) Transfer of an accounts payable to a note payable. 2. Transactions (a), (b), (d) are considered business transactions and are recorded in the accounting records because a change in assets, liabilities, or equities has been effected as a result of a transfer of values from one party to another. Transactions (c) and (e) are not business transactions because a transfer of values has not resulted, nor can the event be considered financial in nature and capable of being expressed in terms of money. 3. Transaction (a): Accounts Receivable (debit), Service Revenue (credit). Transaction (b): Cash (debit), Accounts Receivable (credit). Transaction (c): Office Supplies (debit), Accounts Payable (credit). Transaction (d): Delivery Expense (debit), Cash (credit). 4. Revenue and expense accounts are referred to as temporary or nominal accounts because each period they are closed out to Income Summary in the closing process. Their balances are reduced to zero at the end of the accounting period; therefore, the term temporary or nominal is sometimes given to these accounts. 5. The double-entry system means that for every debit amount there must be a credit amount and vice-versa. At least two accounts are affected. It does not mean that each transaction must be recorded twice. 6. Although it is not absolutely necessary that a trial balance be taken periodically, it is customary and desirable. The trial...

Words: 8285 - Pages: 34

Premium Essay

Analizing Financial Statement

...863.00 259,979.00 Long-term solvency ratio =1.38 Contribution ratio: Contribution ratio = Largest revenue source Total revenues Contribution ratio =632,889.00 1,244,261.00 Contribution ratio =0.51 Programs/expense ratio: Programs/expense ratio =Total program expenses Total expenses Programs/expense ratio =945,579.77 1,316,681.00 Programs/expense ratio =0.72 General and management/Expense ratio: Total general and management expenses General and management/Expense ratio = Total expenses General and management/Expense ratio =371,101 1,316,681.00 General and management/Expense ratio =0.28 Fund-raising/Expense ratio: Fund-raising/Expense ratio =Total fund-raising expenses Total expenses Fund-raising/Expense ratio =79,888 1,316,681.00 Fund-raising/Expense ratio =0.06 Revenue/expense ratio: Revenue/Expense ratio =Total revenues Total expenses Revenue/Expense ratio =1,244,261 1,316,681 Revenue/Expense ratio =0.94 Current Ratio: 2004 Current ratio=Current assets Current liabilities Current ratio =302,902.00 337,033.00 Current ratio =0.90 Long-term solvency ratio: Long-term solvency ratio =Total assets Total liabilities Long-term solvency ratio =699,004.00 338,937.00 Long-term solvency ratio =2.06 Contribution ratio: Contribution ratio = Largest revenue source Total revenues Contribution ratio =1,078,837.00 2,191,243.00 Contribution ratio =0.49...

Words: 2010 - Pages: 9

Premium Essay

Analyzing Financial Statements

...solvency ratio = 359,863.00 259,979.00 Long-term solvency ratio = 1.38 Contribution ratio: Contribution ratio = Largest revenue source Total revenues Contribution ratio = 632,889.00 1,244,261.00 Contribution ratio = 0.51 Programs/expense ratio: Programs/expense ratio = Total program expenses Total expenses Programs/expense ratio = 945,579.77 1,316,681.00 Programs/expense ratio = 0.72 General and management/Expense ratio: Total general and management expenses General and management/Expense ratio = Total expenses General and management/Expense ratio = 371,101 1,316,681.00 General and management/Expense ratio = 0.28 Fund-raising/Expense ratio: Fund-raising/Expense ratio = Total fund-raising expenses Total expenses Fund-raising/Expense ratio = 79,888 1,316,681.00 Fund-raising/Expense ratio = 0.06 Revenue/expense ratio: Revenue/Expense ratio = Total revenues Total expenses Revenue/Expense ratio = 1,244,261 1,316,681 Revenue/Expense ratio = 0.94 Current Ratio: 2004 Current ratio= Current assets Current...

Words: 2032 - Pages: 9

Premium Essay

Accounting-Chapter3 Solutions

...or not cash is received or paid. Revenues are recognized when they are earned, and expenses are recognized when they are incurred—not necessarily when the cash changes hands. The cash basis of accounting recognizes revenues only when cash is received and expenses only when cash is paid. 2. The revenue principle provides guidance on (a) when to record revenue. (b) the amount of revenue to record. 3. The matching principle directs the accounting for expenses. Accountants identify all the expenses incurred during the period, measure those expenses, and match them against the revenue earned during the period. Matching expenses against revenues means to subtract the expenses from the revenues to compute net income or net loss for the period. Chapter 3 Accrual Accounting and the Financial Statements 153 4. Five categories of adjusting entries, with examples, are: a. Prepaid expenses — prepaid rent, prepaid insurance, and supplies b. Amortization — amortization of buildings, furniture, and equipment c. Accrued expenses — accrued salary expense and accrued interest expense d. Accrued revenues — accrued service revenue and accrued interest revenue e. Unearned revenues — unearned service revenue and unearned subscription revenue 5. Yes, all adjusting entries affect net income or net loss. Adjusting entries assign revenues to the period in which they are earned and expenses to the period in which they are incurred, and revenues and expenses affect income or loss. 6. At the......

Words: 12546 - Pages: 51