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rationale for your plan.
b. The form of your business and the benefits it offers your
particular business,
c. A chart of accounts specific to your business, including a
rationale as to the selection of each account. (Note: The chart of
accounts is a blueprint of your business for the lender/investor. It
should report the expected resources that you will consume in your
business (assets), the sources of those resources (liabilities and equity),
the sources of revenue, and expenditures that you expect to incur to
earn those revenues. You may build a detailed chart that includes
business units, divisions, product lines, etc.)
2. Based on the form of your business, analyze whether or not you
will be required to use Generally Accepted Accounting Principles
(GAAP) or International Financial Reporting Standards (IFRS)
accounting methods and how the IFRS / GAAP convergence will
impact your business.
3. Suggest how you will incorporate any changes into your books
and records. (Note: You need to demonstrate to the lender/investor that
you have recognized possible changes to GAAP that may impact the
accounting and reporting of your accounting events.)
4. Prepare a pro forma balance sheet and income statement
providing the assumptions made and support the valuations assigned.
5. Considering the value of assets (assigned per your balance sheet)
used within your business, recommend two (2) specific internal
controls that you will implement to protect your company’s assets and
resources, justifying how each will provide assurances to management.
(NOTE: Safeguarding assets and protecting personal data are
paramount to ensuring the viability of a business.