x
Info
x
Warning
x
Danger

Solution for Financial Accounting: The Impact on Decision Makers 7th Edition Chapter 3, Problem 1

by Gary A. Porter, Curtis L. Norton
315 Solutions 13 Chapters 30793 Studied ISBN: 9781439080528 Finance 5 (2)

Chapter 3, Problem PA 1 : LO 3 Analyzing the Effects of Transactions on...

LO 3 Analyzing the Effects of Transactions on the Accounting Equation

In-class discussion: What accounts will our business need?

The transition from seeing accounts listed in the text to choosing accounts to use in a real business is not always obvious. An interesting and informative exercise involves inventing a small business, and asking students to suggest a list of accounts (chart of accounts) that the business will need as it begins operations. Use very simple examples like a lemonade stand, a babysitting service, or newspaper delivery.

Step-By-Step Solution

LO 3 Solution

Encourage students to think about what it is that a business has to “keep track of.” A lemonade stand, for example, would probably need a cash account, perhaps accounts receivable, inventory, furniture, perhaps accounts payable, owner’s capital, and then a revenue account and some expenses: wages, supplies, permits. A lot will depend upon how your class imagines this business. In all cases, students have an opportunity to apply the textbook’s theory to a realistic situation.

5.0
( 1 )
100%
0%
0%
0%
0%
Unlimited Access Free
Signup & Access More than 10 Million+
  • Textbook Solutions
  • Flashcards
  • Homework Answers
  • Documents
All Chapters Solved

FAQ's

Is this a textbook?

We do not endorse or sell any Textbooks in this service. This is only a solution guide for the textbook shown. So, you will find all the answers to questions in the textbook, indexed for your ease of use. ExploreNow!

I am unable to find the book I need.

You can request for your textbook to be answered. While you may get the book resolved within 15-20 days’ subject to expert availability and can access it at no cost if you are premium member, We encourage you to use our Study Help service for the specific question or even a full chapter you currently, need within a 24-48-hour window.

My book is similar but not the same!

This may be due to different versions or editions of the same book. You can check the table of contents and match the questions in each chapter (As you can see, the questions are free to view for the entire book). You can subscribe if you decide the step-by-step solutions will be useful albeit the differences.

Not all questions are answered!

We try not to post guidebooks that are under progress. However, some guides are so high in demand that we have to post them as we work on them. If you find the notification stating, "An expert is currently solving this for you" in the answer section, you can contact customer support to know the status or even get an instant answer if you are a premium member.

The ISBN's are not matching!

Check if there are other ISBN's mentioned on the book cover page. If it still does not match, check the samples available to ensure you are on the right guide. 

Can I see some samples?

Every chapter in the book has the first three solutions displayed in full for free. Browse the chapters and questions to view the same. 

Is it possible to see a specific answer before I subscribe?

Contact customer support via Live Chat to request the same. They will assist you with the full answer if it is a simple question or a partial answer to assure you of the availability if it is a large solution.