Please respond to each topic with at least 120-150 words. Provide citations with in text citations for each topic.

Topic: Reporting Various Income Items

According to your text, the accounting profession has adopted a modified all-inclusive concept to income reporting. Using this approach companies report unusual or irregular items as a part of net income.What are these items and are they reported separately on the income statement?

Topic: The Balance Sheet as an Investor’s ToolYou know that both internal and external users have not only the short-term success, but also the long-term success of the company at the forefront of their minds. One way that users determine short-term and long-term success is by use of the Balance Sheet. On the Balance Sheet a user may look at Retained Earnings along with the portfolio of assets displayed and compare that to the liability side of the Balance Sheet.What are the major limitations of the balance sheet as a source of information, and how can your role as an accountant ensure that the information presented does not include errors? How would you support your claims?

Topic: Simple and Compound Interest Compared

What are the differences between simple interest and compound interest? Which type of interest would you prefer to receive as an investor? Why?

Topic: Time Value of Money

How does the time value of money have an effect on the role of an accountant? What are the key items that an accountant must understand around present and future value concepts, annuities, and compound interest?

Topic: Collection of Write-Offs

There are two methods for writing off uncollectible accounts which include the direct write-off method and allowance method.

1.Which method is most commonly utilized and what is the process for writing these accounts off under each method?2.Explain the entries that are made to record payment of an account that has previously been written-off?

Topic: Whose Inventory is it?You were asked to travel to Milwaukee to observe and verify the inventory of the Milwaukee branch of one of your clients. When you arrive on Thursday, December 30, and find that the inventory procedures have just been started. You spot a railway car on the sidetrack at the unloading door and ask the warehouse superintendent, Buck Rogers, how he plans to inventory the contents of the car. He responds, “We are not going to include the contents in the inventory.”Later in the day, you ask the bookkeeper for the invoice on the carload and the related freight bill. The invoice lists the various items, prices, and extensions of the goods in the car. You note that the carload was shipped December 24 from Albuquerque, f.o.b. Albuquerque, and that the total invoice price of the goods in the car was $35,300. The freight bill called for a payment of $1,500. Terms were net 30 days. The bookkeeper affirms the fact that this invoice is to be held for recording in January.

1. Does your client have a liability that should be recorded at December 31? Discuss.

2. For what possible reason(s) might your client wish to postpone recording the transaction?

Topic: Applying Lower of Cost or Market

You have been asked by the financial vice president (VP) to develop a short presentation on the lower of cost or market method for inventory purposes. The financial VP needs to explain this method to the president because it appears that a portion of the company’s inventory has declined in value.

The financial VP asks you to answer the following questions:

1. What is the purpose of the lower?of?cost?or?market method?
2. What is meant by “market”? (Hint: Discuss the ceiling and floor constraints.