ACC2_M1_C1

The submission should be five to six pages and include answers to the entire questions listed above. Show your computations, discuss the results, and include references in APA format.

The assignment is attached. The product must be typed in Times New Roman, Font 12, and Double Spaced. References will be listed in APA format at the end of the paper, and identified in text. Any references found via the internet must be listed.

The Assignment:

There are three main parts to this case that requires you to prepare and submit a five to six page paper. Please make sure this paper is well organized and covers all of the items below.

Part I

Search the course background information, the internet and/or the cyber library. Discuss the terms listed below. Your discussion should expand on the definition as given in the module background. Explain why these concepts are important to financial statements.

· Generally Accepted Accounting Principles (US GAAP);

· International Accounting Standards (IFRS);

· Securities and Exchange Commission (SEC);

· Annual report; and

· 10-K, 10-Q, and 8-K

Part II

Explain the basic formats of financial statements such as income statement, balance sheet, statement of cash flows, and statement for retained earnings.

Part III

1. Everything in Accounting typically falls into one of three catergories, as illustrated by the Accounting Equation. State the Accounting Equation:

Assets = ________________ + __________________

2. You will note that the Accounting Equation Comprises three “categories”, each of which can be broken down further into accounts. For each of the three main categories of the Accounting Equation, list five or more accounts with actual amounts that would typically be classified into each. For instance, Land & Equipment would be categorized as Assets.

To simplify your answers if necessary, complete the assignment using a basic table or diagram.

Module 1 – Background Information To Assist in Research For This Module

Financial Statements

Accounting is the language of business. It is important to have some understanding of accounting standards and the financial statements.

The term GAAP or generally accepted accounting principles refer to the standards promulgated by the Financial Accounting Standards Board (FASB). All US publicly held companies and other companies audited by external auditors must adhere to these standards.

The four financial statements required by US GAAP are:

· The income statement

· The balance sheet (or statement of financial position)

· The statement of cash flow

· The statement of retained earnings

The financial statements are based on the accounting equation, i.e.

Assets = Liabilities + Equity

Publicly companies must file a number of reports with the Securities and Exchange Commission (SEC) including quarterly and annual financial statements. These statements are typically released to the public and published on the corporate website. The annual report is traditionally associated with the release of financial information to the public.

The Profession