Quick books | Accounting homework help

 As the owner of QB Cloud, you are responsible for ensuring the accuracy of your customer invoices as well as the bills you receive. As a small startup company with a lot going on, and only you on staff to take care of everything, sometimes you feel overwhelmed with the amount of paperwork and business communications to address.

This week, you received a bill from CloudZ Channel for 10,000 feet of cable costing $1400, which is attached here: CloudZ Channel Billing Click for more options

You are unsure of the legitimacy and accuracy of this billing, but knowing you have recently forged a relationship with this vendor, you decide to investigate if this is an accurate billing before entering it into your computerized accounting system. You only recall purchasing web servers from CloudZ, which makes this investigation very important.

Address the following questions in a Microsoft Word document. Explain your reasoning for each item in a few complete sentences or a short paragraph.

  1. What specific areas of your computerized accounting system would you review to verify the legitimacy of this billing or to prove it’s not an accurate billing? Be specific.
  2. What is the financial statement impact of entering this incorrect bill in your computerized system? If it wasn’t caught as an incorrect billing and was entered in your system, what is the effect of paying this bill on your financial statements? Consider all accounts and statement impacts in your response.
  3. After determining this is not an accurate billing and that you won’t be paying this bill, is there need to record this in your computerized accounting system anywhere? Why or why not?
  4. Now that you have analyzed the impacts of this inaccurate billing and have determined that you don’t need to pay this bill, you need to respond to the vendor so they can clear their records and remove this charge from your account. In the same document but on a new page, write an email response to the vendor regarding the inaccurate billing.
    • Be clear and professional in your response and exercise proper etiquette, as this is an email being sent external of your organization.
    • Follow the proper email format.
    • Use the following contact information in your communication:
      • Contact Name: Chen May, Billing Manager
      • Contact Email: [email protected]
      • Use the current date
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