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CPA Professional Services
Assignment

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Assignment
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ACTIVITIES:

ACTIVITIES:

 

Your team is a CPA firm and the individuals and companies listed below are your clients.

 

ROUND- 1

For each of the independent situations, identify the CPA service that you are providing for your client. For each correct answer, award your firm $10,000! For each incorrect answer, award zero dollars.

 

ROUND- 2

For each of the independent situations, identify the CPA service that your client needs. For each correct answer, award your firm $10,000. For each incorrect answer, deduct $10,000 from your firms total!

 

Use the table below to score your CPA firms results and remember that for each situation there can be more than one answer, BUT there is one answer that is best.

 

Round 1: Identify the Service that Your CPA Firm is Providing

Round 2: What Service Does Your Client Need?

Job A1    $

Round 1 Total   $

Job A2    $

Job B1               $

Job A3    $

Job B2               $

Job A4    $

Job B3               $

Job A5    $

Job B4               $

Job A6    $

Job B5               $

Job A7    $

Job B6               $

Job A8    $

Job B7               $

Job A9    $

Job B8               $

Job A10  $

Job B9               $

Round 1 Total $

Job B10             $

 

Grand Total       $

 

 

Round-1: Identify the service that your CPA firm is performing.

 

Job# A1: The Wyatt Corporation has engaged your services. Their financial statements report a cash balance of $1 million. You contact Wyatts bank to verify that the balance is accurate.

 

Job# A2: The Casden Company plans to invest $5 million in a new computer system over the next year. You review Casdens operations, systems and technology needs. Next, you research and determine the type of information and computer system to purchase.

 

Job# A3: Adam and Alexis have engaged your services and agree to meet with you. At the meeting, you request the following information from Adam and Alexis: age; yearly salary; number of children; mortgage amount; credit card balances and other debt; type and amount of investments; expected retirement age.

 

Job# A4: The Eldridge Group, a domestic company based in New York City, is a retailer of home furnishings. On their behalf, you research possible international distribution channels and the tax laws of various European countries.

 

Job# A5: The Nyles Production Team, Inc., a manufacturer of bicycle racing equipment, has engaged your services. You are conducting productivity tests, including performance, operational and efficiency studies to determine the true cost to produce the equipment that Nyles sells.

 

Job# A6: Joel, an enterprising college student, has invented a new and improved computer chip and established his own company, called ChipWare. Andrews Corporation, a manufacturer of computer hardware, approached Joel regarding the purchase of ChipWare. Joel has engaged your firm to research the best alternatives for completing this transaction.

 

Job# A7: The Reeves Corporation has purchased the latest automated inventory control system and has engaged you to conduct training sessions at the Reeves Corporation to explain the uses of the system. You will conduct the seminars every Tuesday for three months.

 

Job# A8: The Verda Group is a real estate partnership that has engaged your firm. The Verda Group earns less than most real estate companies, but has been assessed tax penalties by the Internal Revenue Service the past two years. Your firm has requested from the Verda Group tax returns for the past five years and has planned monthly and quarterly meetings with them.

 

Job# A9: Tahoo Inc., is a national retailer of fine mens clothing. During the past year, Tahoo has expanded its stores from 72 to 98. Tahoo is now considering developing a Web site to advertise its clothing and provide customers the opportunity to place orders and purchase clothing over the Internet. Tahoo has contacted you to determine the cost, feasibility, and technological requirements of developing a Web site, including assuring customers that their site will be secure.

 

Job# A10: Michael Rodney has engaged your services. Michael Rodney owns 13 car dealerships sell the following cars: Rolls Royce, Lamborghini, Porsche, and Mercedes Benz. The financial statements of Rodneys dealerships report Inventory of $22.5 million. You travel to each of the 13 dealerships to witness that the Inventory figure is fairly presented.

 

 

 

 

 

 

Part-2: WHAT SERVICE DOES YOUR CLIENT NEED?

 

Job# B1: Edith is 67. She lives alone, in a house in Pennsylvania. She has four children who live in California, Maine, North Carolina, and Texas. Ediths children are concerned about her healthcare and finances.

 

Job# B2: The Wilson Company started a fast food restaurant called Willys and is in its fifth year of operation. Sales at Willys have increased every year and the Wilson Company is now considering opening additional restaurants or offering franchises or both.

 

Job# B3: The Rumba Company manufactures distinctive chinaware patterns. Rumba has been quite successful in the United States and now plans to distribute its chinaware in Europe and eventually set up a facility in Italy.

 

Job# B4: Margaret is the controller of a large sports arena. While she was on her honeymoon, a temporary employee was hired to fulfill her role. Margaret believes funds from a secret concert were embezzled because they are recorded in the computer ledgers but do not show up on the bank statement.

 

Job# B5: Joan and Jim, who are both employed, are expecting their first child in March. Joan and Jim hope to have a second child as well as end both children to college and graduate school.

 

Job# B6: The Wallford Company is owned by five individuals and has been in operation for ten years. The owners now plan to offer stock of the Wallford Company on the New York Stock Exchange in order to raise additional capital.

 

Job# B7: The Central Partnership is a free Web-based dating service that has experienced tremendous growth in the last two years. It now wishes to sell gifts and other products over its site and wants to assure customers that the site is secure.

 

Job# B8: Joe, a college graduate, started his own insurance agency ten years ago. At the time, Joe had one office with two employees and filed applications with the insurance companies manually. Joe now has eight offices in three states with over 100 employees and is finding that the manual system of filing insurance applications is inefficient.

 

Job# B9: The Rodgers Corporation is a profitable, well-known exercise and fitness business. The company, however, has had difficulty hiring and retaining quality personnel. On average, most new hires leave the company after three years.

 

Job# B10: Sweet Pea, Inc., a large domestic producer of fruits and vegetables, is a public company.  According to Securities and Exchange Commission  (SEC) guidelines, public companies must report quarterly earnings and produce an annual report.