You Are Reviewing the Accounting Records of Cathy's Antiques,Inc

question 67

Essay

You are reviewing the accounting records of Cathy's Antiques,Inc.owned by Cathy Miller.You have uncovered the following situations.Compose a memo to Ms.Miller that cites the appropriate accounting principle and the suggested action for each separate situation.
In August,a check for $500 was written to Wee Day Care Center.This amount represents child care for her son Brandon.
Cathy plans a Going out of Business Sale for May,since she will be closing her business for a month-long vacation in June.She plans to reopen July 1 and will continue operating Cathy's Antiques indefinitely.
Cathy received a shipment of pine furniture from Quebec,Canada.The invoice was stated in Canadian dollars.
Joseph Clark paid $1,500 for a dining table.The amount was recorded as revenue.The table will be delivered to Mr.Clark in six weeks.

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Definitions:

Different Times

Refers to distinct points or periods in time, often used in the context of comparing historical periods, events, or personal experiences.

Single Group

A research design involving only one group of participants, without a comparison group.

Cross-sectional Study

A research method that analyzes data from a population, or a representative subset, at a specific point in time.

Longitudinal Study

A research approach that follows subjects over a period of time, observing changes and development.