ACC 421 Experience Tradition/uophelp.com ACC 421 Experience Tradition/uophelp.com | Page 18

relations, and has the power to exertinfluence on entities whose actions lie within the scope of its authority. (a) Explain from where the Securities and Exchange Commission receives its authority. (b) Describe the official role of the Securities and Exchange Commission in the development of financial accounting theory and practices. (c) Discuss the interrelationship between the Securities and Exchange Commission and the Financial Accounting Standards Board with respect to the development and establishment of financial accounting theory and practices. E3-14 (Closing Entries) Presented below is information related to Gonzales Corporation for the month ofJanuary 2014. P3-11 (Cash and Accrual Basis) On January 1, 2014, Norma Smith and Grant Wood formed a computer sales and service company in Soapsville, Arkansas, by investing $90,000 cash. The new company, Arkansas Sales and Service, has the following transactions during January. a. Identify the items in the cash-basis financial statements that make cash-basis accounting inconsistent with the theory underlying the elements of financial statements. b. ========================================= ACC 421 Week 3 CPA Practice For more course tutorials visit www.uophelp.com ACC 421 Week 3 CPA Practice 1