Reference no: EM132713768
Question - Please note that you will need to address these questions in a way that is specific, appropriate, and directly relevant to the business chosen. (I am not after general information. You will need to be specific and your answers should be relevant and suitable to the characteristics of the business you have chosen).
1. The assignment requires you to form a business and to make a brief introduction about it (name, services or products, legal form, merchandising or manufacturing, retail or wholesale, size, industry, etc...)
2. In deciding on the legal form for your business, discuss the reasons for your choice.
3. Discuss the different financing options to set up your business and the reasons for your choice (s).
4. Briefly define the role of accounting as it relates to your business (your answer should include accounting information, users of information, accounting process, financial accounting and management accounting, etc...)
5. Discuss whether financial statement analysis would be useful for the management of the business (include in your answer the types of analysis that can be used and how they are useful).
6. Name examples of the Property Plant and Equipment assets that are used in your business, and discuss the depreciation method that is suitable for these assets and the reasons for your choice.
7. Give ONE example of unearned revenue and ONE example of prepaid expense that may occur in your business.
8. Provide a list of items (statements, accounts, ratios, etc...) that a bank would be interested in, in making a decision to grant your business a loan.
9. Discuss the considerations that the management of your business would take into account in deciding on whether to distribute profits or to retain them in the business.
10. Discuss a hypothetical cash flow statement of your business and give examples of operating activities, investment activities and financing activities.
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