Week 2 Discussions and Required Resources
Part 1 and Part 2 must be at least 200 words
Part 1: Debits and Credits
Define debits and credits and explain how they are used to record business transactions. Is it true that debits always increase and credits always decrease? Why or why not?
Part 2: Revenue & Expense
Review the section called “Investor Insight” in Chapter 3 (chapter attached as a PDF) of your text which shows the major revenue and expense accounts of the Chicago Cubs baseball team. Considering the huge increase in professional baseball players’ salaries in the last decade, what do you think has happened to total expenses and net income of professional baseball teams? If net income has not decreased, what has been done to offset the higher salaries? Should fans be expected to pay higher prices for ‘America’s national pastime’ to help offset the costs of higher salaries?
Kimmel, P. D., Weygandt, J. J., & Kieso, D. E. (2016). Financial accounting: Tools for business decision making (8th ed.). Retrieved from https://content.ashford.edu/
· Chapter 3: The Accounting Information System
· Chapter 4: Accrual Accounting Concepts
(Chapters 3 & 4 are in the attachments for the assignments)
Textbook Student Companion Site (http://bcs.wiley.com/he-bcs/Books?action=index&itemId=1118953908&bcsId=9831)
· Review the PowerPoint presentations for Chapter 3 and Chapter 4 found on the textbook publisher’s website. (Chapters 3 & 4 PowerPoints are in the attachments for the assignments).
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