Question: You have just completed the income statement for the reporting period. The CEO (who has no accounting background) is reviewing the statement you have prepared,

You have just completed the income statement for the reporting period. The CEO (who has no accounting background) is reviewing the statement you have prepared, and asks you to explain why the profit is relatively low compared to the increase in the cash at bank during the reporting period. Prepare a report for the CEO offering some suggestions that would explain this.

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To Joe Blogg CEO From Accountant Date XXXXXXX Subject Accrual and cash accounting Dear Mr Blogg I am ... View full answer

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