You Have Just Accepted Your First Job Out of College

question 147

Essay

You have just accepted your first job out of college, which requires you to evaluate loan requests at Beach Front National Bank. The first loan request you receive is from Surfer Dude Enterprises, a small proprietorship. Marty Monroe, the owner, is requesting $75,000 and brings you the following trial balance (or Statement of Accounts) for his first year of operations ended December 31, 2010.
What three accounts do you think should be relabeled for greater clarity?
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Definitions:

Diabetic Footwear

Specially designed shoes intended to reduce the risk of skin breakdown in diabetics with existing foot disease, providing support and reducing pressure points.

Soiled Dressings

Bandages or materials that have been used to cover wounds and have become dirty or contaminated with bodily fluids and need to be changed to prevent infection.

Contaminated

Refers to objects or areas that have been infected with pathogens or polluted with hazardous substances.

Wound Treatment

Medical management and care strategies applied to injuries involving breaks in the skin or underlying tissues to promote healing and prevent infection.