Accounting News and Notes

Alpharetta/Duluth/Gwinnett CPA Advises on Tracking Your Atlanta Business Financial Affairs 

A Company’s Financial statements are often misused and abused. They are often ornately presented with accountant’s opinions ranging from audits to compilations. Often we even find a statement of cash flows and financial footnotes. What do these statements tell us? Numbers and data when prettily presented often are an accountant’s representation of the financial status of an entity.

I believe that financial statements without narratives, analysis of trends, and a review of expenditures are nothing more than formal proof that the bank account has been reconciled and that everything balances. Data without thorough critique is useless. Helping a business owner keep and maintain sound internal data and financial statements should be the predominant focus of the CPA. A Certified Public Accountant can do much to guide you to the proper chart of accounts, financial statement presentation and account classification. The below is a sample excerpt that we might forward a client to assist the business owner/entrepreneur in maintaining adequate books and records:

Please make these changes to you corporate books as of 12-31-09. These entries will reflect the adjustments/amendments we made to prior returns and the updates you gave me on the fixed asset schedule. 

Debit Accumulated Amortization and Credit Accumulated Depreciation for $1000 to adjust your internal books to the detailed Fixed Asset Schedule. 

Re-title the Account Accumulated Depreciation to Accum/Depr/Amort. 

To record the new detail of the leasehold improvements you provided, to reflect past depreciation claimed and their transfer to the LLC please debit Leasehold Improvements for $70,000 Credit  Accumulated Depreciation for $30,000, and adjust your internal books to equal the Retained Earnings on the Tax Return by crediting the account for $40,000. 

To record 2009 Depreciation Expense, Debit Depreciation Expense on the Profit & Loss and Credit  Accumulated Depreciation on the Balance Sheet for $16,000. 

http://www.hiscpa.com/forensic-accounting.html Georgia Forensic Accounting by Atlanta CPA
http://www.hiscpa.com/budgeting.html  CPA Helps Reduce Unnecessary Spending: Budgeting 101 by Roswell CPA
http://www.hiscpa.com/article1.html Atlanta CPA Illustrates Difference Between Planning & Historical Accounting
http://www.hiscpa.com/article3.html Gwinnett/Duluth CPA Teaches Personnel Keys to Managing Business Growth
http://www.hiscpa.com/article6.html Alpharetta/Roswell CPA Teaches the Tax Effects of Entity Choice
http://www.hiscpa.com/marketing-efforts.html Norcross/Sandy Springs CPA on Tracking Marketing Statistics for Your Georgia Business 

And this is only some of the information available on our web site. You also have at our blog a host of other varied and timely tax and business management issues you can use. 

John Dillard, CPA of His CPA, PC (An Atlanta Christian CPA firm) 1940 Woods River Lane, Duluth, GA 30097  Phone 770-814-9304   http://www.hiscpa.com/    http://www.john-dillard.com/ To retain John Dillard CPA (An Atlanta Christian Speaker/Author) for your business group or church congregation, you can contact him today at 770.814.9304 

Dare to Attempt Something so Great for the Kingdom of God that it is doomed to failure, lest Christ be in it! 

We advise clients on: IRS representation, Offer in Compromise, Tax Problems, Incorporation in Georgia, Corporate and Personal Income Tax Returns, Part-time CFO, Virtual Controller, Business Planning, Offer in Compromise, Back Taxes, Business

Related posts:

1. Duluth GA/Johns Creek/Suwanee CPA Advises Atlanta Business Owners/Entrepreneurs on Bookkeeping & Financial Statement Issues
2. Alpharetta/Duluth/Atlanta CPA Advises Atlanta Business Owners on Tracking Your Internal Books & Records
3. Duluth CPA: Advisers Entrepreneurs on QuickBooks & Bookkeeping for Your Gwinnett Business
4. Atlanta/Alpharetta/Roswell CPA Offers Tips to the Proper Preparation of Financial Statements & Bookkeeping for Atlanta Business Owners
5. Duluth/Gwinnett/Atlanta CPA Advises Atlanta S Corporation Owners on Deducting Tax Losses

This entry was posted on Thursday, March 25th, 2010 at 1:20 pm and is filed under Atlanta/Gwinnett Bookkeeping Services, Financial Statements & Bookkeeping for Atlanta Business Owners.
Tags: Alpharetta CPA, Atlanta Forensic Accounting, Atlanta/Gwinnett CPA, Duluth/Gwinnett CPA, Gwinnett CPA, Norcross CPA, Roswell CPA, Sandy Springs CPA. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.