SOLUTION MANUAL
Financial Accounting Fundamentals, 8th Edition
By John Wild, Chapter 1 - 13 with appendix B&C
,Chapter 1: Accounting in Business
s s s s
Chapter 2: Accounting for Business Transactions
s s s s s
Chapter 3: Adjusting Accounts for Financial Statements
s s s s s s
Chapter 4: Accounting for Merchandising Operations
s s s s s
Chapter 5: Inventories and Cost of Sales
s s s s s s
Chapter 6: Cash, Fraud, and Internal Control
s s s s s s
Chapter 7: Accounting for Receivables
s s s s
Chapter 8: Accounting for Long-Term Assets
s s s s s
Chapter 9: Accounting for Current Liabilities
s s s s s
Chapter 10: Accounting for Long-Term Liabilities
s s s s s
Chapter 11: Corporate Reporting and Analysis
s s s s s
Chapter 12: Reporting Cash Flows
s s s s
Chapter 13: Analysis of Financial Statements
s s s s s
,Chapter 1 s
Accounting in Business s s
QUICK STUDIES
s
Quick Study 1-1 (10 minutes)
s s s s
1. f Artificial Intelligence s
2. c Recording
s
3. h Recordkeeping (bookkeeping)
s s
Quick Study 1-2 (10 minutes)
s s s s
a. External user s g. External user
s
b. External user s h. External user
s
c. External user s i. Internal user
s
d. External user s j. External user
s
e. Internal user s k. External user
s
f. External user s l. External user
s
Quick Study 1-3 (10 minutes)
s s s s
1. Opportunity 4. Opportunity
2. Pressure 5. Pressure
3. Rationalization 6. Rationalization
Quick Study 1-4 (5 minutes)
s s s s
, 1. Principle 3. Assumption
2. Assumption 4. Principle
Quick Study 1-5 (10 minutes)
s s s s
Attribute Present s Proprietorship Partnership Corporation LLC
1. Business taxed s no no yes no
2. Limited liability s no no yes yes
3. Legal entitys no no yes yes
Quick Study 1-6 (10 minutes)
s s s s
1. Revenue recognition principle
s s
2. Measurement (cost) principle s s
3. Business entity assumption
s s
Quick Study 1-7 (5 minutes)
s s s s
Assets = Liabilities + Equity
$700,000 (a) $280,000
s $420,000
$500,000 (b) $250,000
s (b) $250,000
s
Quick Study 1-8 (10 minutes)
s s s s
1.
Assets = Liabilities + Equity
$75,000 (a) $35,000
s $40,000
(b) $95,000
s $25,000 $70,000
$85,000 $20,000 (c) $65,000
s
2.
+s Common
Assets = Liabilities Stock -s Dividends +sRevenues -sExpenses
$40,000 $16,000 $20,000 $ 0 (a)s$12,000 $s 8,000
$80,000 $32,000 $44,000 (b)s$2,000 $24,000 $18,000