1. ANDRY MORALES MONTES DE OCA
REPORTING TO MANAGEMENT: Gemstar
Productions, Inc.
BUSINESS ACCOUNTING
MAY 27,2020

2. BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT
BALANCE
SHEET

3. BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT
CURRENT ASSETSCURRENT
RATIO =
CURRENT LIABILITIES
=
$14,100.00
$4,000.00
WORKING
CAPITAL $14,100.00 $4,000.00 =
DEBT TO
ASSETS =
$54,000.00
$163,100.00
x
=100
3.5
33.1%
$10,100.00
=
CURRENT ASSETS
CURRENT ASSETS
=
=
x
100

4. BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT
NET INCOME
RETURN ON
ASSETS
=
AVG. TOTAL ASSETS
= =
$89,100.00
$163,100.00
=
NET PROFIT
AVG. SHAREHOLDERS’
EQUITY
= =
$89,100.00
$109,100.00
$0.55
81.6%
RETURN ON
EQUITY
x
x
100
100

5. INCOME
STATEMENT
VS BUDGET
BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT

6. STATEMENT OF CASH FLOW
BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT

7. BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT
1.Employee screening and training: Implement a program for
training every new employee over ethical behavior.
2.Physical control over assets: Buy a safe deposit box where to
keep the cash. Install locks on each office door in particular those
where assets are stored.
3.Monthly reconciliation of departmental transaction: Make
monthly reconciliations on the first five days of each month.
INTERNAL CONTROLS

8. BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT
INTERNAL CONTROLS
4. Physical inventories: Establish a cycle counting method instead
of a physical inventory to reduce expenses.
5. Review organizational performance: Include in the annual
agenda a review of organizational performance. Establish a
schedule to solve issues and strengthen organizational
mechanisms.

9. REFERENCES
Finance & Accounting. (2020, January 31). Types of Internal Controls.
University of Florida. Retrieved from https://www.fa.ufl.edu/directives/
types-of-internal-controls/
Rick Weber. (December 1, 2016). The caustic cost of occupational
fraud. Trailer/Body Builders. Retrieved from https://advance-lexis-
com.oclc.fullsail.edu/api/document?
collection=news&id=urn:contentItem:5M9B-MWD1-JBKS-
P2F0-00000-00&context=1516831
BUSINESS ACCOUNTING-REPORTING TO MANAGEMENT