You are opening Quail Creek Pet Kennel. Your purpose is to earn a profit, and you organize

Question:

You are opening Quail Creek Pet Kennel. Your purpose is to earn a profit, and you organize as a corporation.

Requirements

1. Make a detailed list of 10 factors you must consider to establish the business.

2. Identify 10 or more transactions that your business will undertake to open and operate the kennel.

3. Prepare the Quail Creek Pet Kennel income statement, statement of retained earnings, and balance sheet at the end of the first month of operations. Use made-up figures and include a complete heading for each financial statement. Date the balance sheet as of January 31, 20XX.

4. Discuss how you will evaluate the success of your business and how you will decide whether to continue its operation.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...