ACC 545 Week 2 R6 - ABC Company

Income Statement and Balance Sheet Preparation

Resource:ABC Company History, ABC Financial and Supplemental Data Excel^®spreadsheets, and footnotes from the Week 2 Learning Team assignment

Calculatethe deferred tax asset or liability of an error for the scenario provided.

Calculateinventory calculation average cost, first-in-first-out (FIFO), and last-in-first-out (LIFO). Record the calculated average cost in the financial statement.

Calculatethe straight-line depreciation.

Createan income statement using the results calculated above.

Createa balance sheet using the results calculated above. Insert your Learning Team's footnotes into the balance sheet and income statement. Identify in the footnotes the depreciation methods being used for the fixed assets. Also identify the footnotes the methodology used to determine deferred taxes.

Submitthe Income Statement and Balance Sheet in a Microsoft^® Excel^® spreadsheet that includes the required calculations.

Please disregard Los Lobos, Jamona, etc

The purchases only included the actual purchases for the period. The beginning inventory balance needs to be included in the calculations, but is not considered a purchase for the period