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ACC1001-Accounting I SU01

Week 3 Discussion

 

Discussion

There will be two discussion questions listed below. By the due date assigned, respond to one of the discussion questions and submit your response to the Discussion Area below, using the lessons and vocabulary found in the reading. Support your answers with examples and research and cite your sources using the APA format.

 

Discussion Question One:

 

Most companies do their accounting with computer software programs. Research a technical computer or accounting or business magazine for their most current list of the best accounting software programs. Describe and compare their top four programs for their features, advantages/disadvantages, and costs. Which one would you use if you were starting a small retail store and why?

 

Discussion Question Two:

 

Dress-for-Success, Inc. is a successful C Corporation in its sixth year of business and already has $5 million gross sales. The company sells and automatically ships gently used clothing items to online customers. It collects the monthly fixed fee at the beginning of each month and ships one item each week. The owner, Linda Smith, does not see any reason to follow GAAP accounting principles. The company is not publicly traded but does put the financial statements on the company’s Web page for customers to see. Research this issue and answer the following:

 

Explain how Dress-for-Success is accounting for the transactions under the cash basis method and how she should account for them if she did follow GAAP.

Should Dress-for-Success, Inc. use GAAP? Why or why not?

Are there any ethical issues in this situation? Explain.

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