What are the consequences of not making all of the required adjustments at the end of the accounting period?

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This assignment will familiarize you with the remaining steps in the accounting cycle. After completing this assignment, you will understand:

How to use the worksheet to summarize and complete the accounting cycle steps.
The purpose and steps in the closing process at the end of an accounting period.
How a classified balance sheet is prepared.
How to use the current ratio as a tool for financial analysis.
Instructions

Respond to the following questions or problems using grammatically correct language and appropriate APA citations. To achieve a proficient grade in this assignment, answer the proficient-level queries for each question. To achieve a distinguished grade, answer both sets of queries for each question.

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8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Question 1:

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Proficient:

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You have taken over a set of accounting books for a small business as a part-time job. At the end of the first accounting period, you have partially completed the work sheet by entering the proper ledger accounts and balances in the Trial Balance columns. You turn to the manager and ask, Where is the list of additional information I can use in entering the adjusting entries? The manager indicates there is no such list. In all the text problems you have done, you have always been given this information. How would you obtain the information for this real-life situation?

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Distinguished:

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What are the consequences of not making all of the required adjustments at the end of the accounting period?

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9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Question 2:

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Proficient:

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After the Adjusted Trial Balance columns of a work sheet have been totaled, which account balances are extended to the Income Statement columns, the Statement of Retained Earnings columns, and the Balance Sheet columns?

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Distinguished:

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Describe how is the statement of retained earnings prepared.

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10.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Question 3:

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Proficient:

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§&nbsp;

This assignment will familiarize you with the remaining steps in the accounting cycle. After completing this assignment, you will understand:

  • How to use the worksheet to summarize and complete the accounting cycle steps.
  • The purpose and steps in the closing process at the end of an accounting period.
  • How a classified balance sheet is prepared.
  • How to use the current ratio as a tool for financial analysis.

Instructions

Respond to the following questions or problems using grammatically correct language and appropriate APA citations. To achieve a proficient grade in this assignment, answer the proficient-level queries for each question. To achieve a distinguished grade, answer both sets of queries for each question.

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8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Question 1:

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Proficient:

< pstyle=”margin-left: 144.0pt; mso-list: l0 level4 lfo2; tab-stops: list 144.0pt; text-indent: -18.0pt;”>

§&nbsp; 

You have taken over a set of accounting books for a small business as a part-time job. At the end of the first accounting period, you have partially completed the work sheet by entering the proper ledger accounts and balances in the Trial Balance columns. You turn to the manager and ask, Where is the list of additional information I can use in entering the adjusting entries? The manager indicates there is no such list. In all the text problems you have done, you have always been given this information. How would you obtain the information for this real-life situation?

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·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Distinguished:

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§&nbsp; 

What are the consequences of not making all of the required adjustments at the end of the accounting period?

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9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Question 2:

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·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Proficient:

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§&nbsp; 

After the Adjusted Trial Balance columns of a work sheet have been totaled, which account balances are extended to the Income Statement columns, the Statement of Retained Earnings columns, and the Balance Sheet columns?

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·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Distinguished:

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§&nbsp; 

Describe how is the statement of retained earnings prepared.

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10.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 

Question 3:

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Proficient:

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Describe, in order, the four basic steps in the closing process performed at the end of each accounting period.

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§&nbsp; 

Explain why the closing process is so important.

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Explain why the closing process is so important.