ACCT 212 (Financial Accounting) Devry Week 3
Internal Controls, Cash, Short-term Investments and Accounts Receivables Discussion 1
Ethical Business Decisions (graded)
Unfortunately, a quick scan of the
business news will normally result in reports of unethical business
behavior. To prove this point, let’s start with a review of the news for
stories about fraud and other unethical behavior in business. You can
use the University Library to start your search. Once you have located
an article share it with the class by developing a summary of the
important information. Make sure that you give credit to your source.
Week 3: Internal Controls, Cash, Short-term Investments and Accounts Receivables â Discussion 2
Trade Credit – Accounts Payable (graded)
The ability to extend trade credit is
a benefit to both sides of the transaction. The seller can increase
sales while the buyer can conduct business without spending cash
immediately. (For example, imagine you own a business the sells wood to
construction companies that build homes. Using trade credit, the
construction company can purchase the wood without spending cash
immediately and you as the owner have more sales!) It sounds like a
perfect relationship and it would be if people were not involved.
Letâs take a look beyond the obvious and discuss the pros and cons of
Accounts Receivable. Why do companies offer trade credit, and what are
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