accounting homework 495107

Accounting conventions represent the principles, assumptions, and rules that guide an accountant as he or she analyzes the effects of business events on the accounting cycle and applies them to various cycle procedures. This assignment requires you to identify which of these conventions apply to a given business scenario to enhance your understanding of the foundation of accounting procedures and processes. Instructions For this assignment, use worksheet u01a3 on the BUS3061 Unit 1 Excel Workbook Template (listed in Resources). Identify the applicable accounting convention for each of the following business scenarios. More than one convention may apply to each scenario. Please explain your choices for each scenario. Scenario 1: The Acme Company is undergoing a reorganization to improve its financial structure. As part of this process, the company is considering lowering its expense calculations to improve the bottom line net income. Scenario 2: Regal Enterprises has purchased $45,000 worth new equipment for use in its manufacturing operations and would like to write off the cost of this equipment in just a couple of years, instead of the usual 10 years for this equipment type. The company’s president fears that the economic conditions in its industry will worsen and cause the company to sell the equipment sooner than expected. Scenario 3: Bozrah Industries, a small independent retailer, wants to change its accounting system from cash-based to accrual-based, and is concerned about how this change will affect the recording of sales and expenses. Scenario 4: Randolph, Inc. has experienced major turnover in its accounting department, and the new head of accounting has been going through the current records of transactions. A couple of those transactions appear problematic. The first contains an error of $10,000 that the previous accountant decided was not large enough to adjust before the financial statements were prepared. This error would understate income and…