Generally accepted accounting principles & annual reports

Weekly Discussion, Learning Activity and Required Resources

Part 1 and Part 2 must be at least 200 words

Part 1: Generally Accepted Accounting Principles (G.A.A.P)

Briefly discuss Generally   Accepted Accounting Principles or G.A.A.P.  What are they? What is their   purpose? Name the U.S. and international standard-setting bodies that   established these principles.  Are all companies required to follow   these principles?  Why or why not?

Your answer   should illustrate understanding of generally accepted accounting principles   and their international counterpart.

Part 2: Annual Reports

Visit the   website for Tootsie   Roll (www.tootsie.com).  Click   on “Company Information” then “Financial Information”. Open the latest annual   report and review it to find the answers to the following questions:

· What are Tootsie Roll’s corporate principles?    Do you agree with these principles, or do you feel there are additional   principles that should be included?

· What was the total amount of Tootsie Roll’s assets   for the most current year available?

· What was the total amount of Tootsie Roll’s   liabilities for the most current year available?

· What is the amount of the difference between Tootsie   Roll’s assets and liabilities? What is this difference called?

Based on your   initial findings at the Tootsie Roll website, would you consider investing in   them? Why or why not? Your answer should illustrate critical thought and   understanding of the annual report and financial statements. 

Learning Activity

Read the “Continuing Problem Cookie Creations” for Chapters 1 and 2 on the Textbook’s Companion Website, at www.wiley.com/college/kimmel – http://bcs.wiley.com/he-bcs/Books?action=index&bcsId=9831&itemId=1118953908. Choose the Student Companion site to access the Continuing Cookie Chronicle under Additional Exercises and Problems.

Jot down answers in your own notes for each of the questions asked. This information will be used when you complete your summative assignment. You do not need to submit your answers to the instructor but reading and familiarizing yourself with the questions and answers will help as you progress through the project.

Required Resources:

Kimmel, P. D., Weygandt, J. J., & Kieso, D. E. (2016). Financial accounting: Tools for business decision making (8th ed.). Retrieved from https://content.ashford.edu/.

· Chapter 1: Introduction to Financial Statements

· Chapter 2: A Further Look at Financial Statements

Website

Tootsie Roll Corporate Website (www.tootsie.com)

Recommended Resources:

Website

Textbook Student Companion Site http://bcs.wiley.com/he-bcs/Books?action=index&bcsId=9831&itemId=1118953908

Review the PowerPoint presentations for Chapter 1 and Chapter 2 found on the textbook publisher’s website.

· Review the PowerPoint presentations for Chapter 1 and Chapter 2 found on the textbook publisher’s website.