ACCT 221 Principles of Accounting

Week 5 Report Balance Sheet

Hide Assignment InformationInstructions

Overview

• Review the instructions for the SEC 10-K project. This week’s report focuses on the Balance Sheet.
• Review the discussion board in week two on the Balance Sheet.
• Write a brief report of at least one page in whole paragraphs. You may use bullet points.
• This report will assist you in the final SEC 10-K project deliverables.
• Submit it as a Word document.

Requirements

As part of our project, we must include a section on the Balance Sheet. This statement is a significant financial document that provides information on a company’s assets, liabilities, and equity at a specific point in time.

To create a report on the Balance Sheet, please follow these instructions:

1. Introduction: Begin with a brief introduction to the purpose of the Balance Sheet and why it is important for businesses and investors.
2. Key Components: Describe the key components of the Balance Sheet, including assets, liabilities, and equity. Explain how these components are categorized and what they represent regarding a company’s financial position.
3. Analysis: Analyze the Balance Sheet by examining the assets, liabilities, and equity trends over time. Identify any significant changes in the components and explain their potential impact on the business. To do this, you must show at least 2 key account balances for a 2 year period, compute the difference in $ and then express the changes in percentage terms as well. Discuss any challenges or limitations in interpreting the statement. Present your analysis in the following format:Account NameCurrent Year BalancePrevious Year Balance$ DifferenceDifference in %Explanation     A BA -B
4. Conclusion: Summarize the key points discussed in the report and provide final thoughts on the importance of the Balance Sheet for businesses and investors.