Ryan_ Paige_Unit3Case

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Purdue University *

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518

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Accounting

Date

Jan 9, 2024

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docx

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6

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1 COOKIE CREATIONS: A BUSINESS CASE Cookie Creations: A Business Case Paige Ryan Purdue Global University
2 COOKIE CREATIONS: A BUSINESS CASE Abstract The adage is that when you do what you love, you never work a day in your life. Natalie Kobel has decided to take this to heart and open her cookie-making business. With the launch of a new business comes the evaluation of its financial feasibility. Launching a business means evaluating and determining the correct financial accounting structure. Analyzing the necessary account types, debt management, and other pitfalls will help to support Natalie's launch; as the business grows, choices such as expanding the product line and taking accounts on credit become part of the decision-making process. Often, business owners bring skillsets other than accounting to the table; this means that as their company grows, they add support from accountants. The structure of accounts and controls is necessary to ensure that the accounting is successful. As Natalie builds Cookie Creations, she seeks support to make these pivotal financial decisions; this paper evaluates Natalie's accounting structure and develops the best practices.
3 COOKIE CREATIONS: A BUSINESS CASE Cookie Creations: A Business Case CC1 – Initial Business Decisions To Incorporate or Not: Best Business Practices Tracking the Money: How to Handle Accounting Accounting for Accounts: What Line Items to Track Business Banking: What to Do Asset Management: Keeping the Lines Clean CC2 – Accounting Decisions Financial Statements: What to Look For How to Read the Books: Analyzing Financial Statements Tracking Statements: What Statements are Needed Long Term Is It Working: Statements for Analyzing Profitability Debt: Where to Find It and What to Do Paying Off Investors: Do We Need Dividends? Worth It? Ways to Determine Financial Feasibility CC5 – Inventory Decisions Inventory or Supplies? What to Classify When Perpetual or Periodic? Choosing the Best Inventory Systems What to Count and When? Tracking Inventory CC7 – Internal Control Issues Accounting Controls: Locating Pitfalls in Management Curbing Controls: Best Practices for Protecting Finances CC8 – Credit Policy Determining Client Credit Viability
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4 COOKIE CREATIONS: A BUSINESS CASE Extending Credit Alternatives Credit Card Benefits and Drawbacks
5 COOKIE CREATIONS: A BUSINESS CASE Conclusion
6 COOKIE CREATIONS: A BUSINESS CASE References Baber, W. R. (1985). A Framework for Making a Class of Internal Accounting Control Decisions. Journal of Accounting Research . (Wiley-Blackwell), 23(1), 360–369. Diamond, M. A. Stice, J. D. & Stice, E. K. (2000). Financial Accounting . (5th ed.) South-Western College Publishing. Kimmel, P. Weygandt, J. & Mitchell, J. (2022). Accounting Tools for Business Decision Making. (8th ed.) John Wiley & Sons, Inc Paul, S. K. (2019). Financial Accounting: Theory and Practice. (Revised edition.) Central Educational Enterprises. Stittle, J. Robert, W. (2008). Financial Accounting . SAGE Publications Ltd.
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