match with 1 or 2 Cater a large event for family or...
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Accounting
match with 1 or 2
Cater a large event for family or friends on December 31 and invoice them at a premium _1_-- rate. Then, after the financial statements for year-end are issued, provide a discount of 30%. Management requests to forfeit their 2023 _._-_ bonuses with no expectation of the amount being paid in the future. 1 Delay purchasing a new refrigerator until January of 2024. Hire temporary personnel, as needed, so that 1 all catering orders for December will be performed, ensuring that zero customers will be turned away for lack of capacity. Obtain discounts from food suppliers in _-_ 2_- December, with an agreement to pay higher rates to food suppliers in January. Call customers and offer them a 10% _-_ 1_- discount if they pay off the balance in their account before year-end. Include as deposits-in-transit, checks from ____- customers, dated December 31 , but received during the first week of January. Reduce accounts payable by paying its -_ 2 -- vendors via wire transfers made on 12/31/2023. SG Catering holds a substantial dollar amount of inventory in canned sauces and foods that were not preferred by customers. These inventory amounts have been identified for disposal to food shelves before year-end. SG could delay the disposal and the write-down of inventory until after yearend. Prepare and record disbursements to 1 _- vendors before year-end, but wait to mail those checks until January 15, 2024. 1. Acceptable business tactic under GAAP to improve the current ratio. Unacceptable business tactic under GAAP to 2. improve the current ratio. OR, This business tactic will not improve liquidity as measured by the current ratio. 1
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