Proyecto contabilidad

Project

Q1. Amazon.com’s largest expense is cost of sales. This is Amazon’s cost of the products the company sells. This expense is also known as cost of goods sold.

Q2. Accrued expenses areexpenses that have been incurred but that have not yet been paid as of the balance sheet date. The accrual and matching concepts require that all expenses be recognized during the period in which theyare incurred in order to earn revenue, not mattering when they are paid.
Q3. (and Q5)
Accrued expenses and other Cash
Beg. Bal. $902 (a) 902
(a) 902 (b) 1,093 (b) 2,335End. Bal. $1,093

Operating expenses

(b) 3,428

Q4.
Journal
DATE ACCOUNT TITLES AND EXPLANATION DEBIT CREDIT

a. Accrued expenses and other…….… 902
Cash………………….. 902b. Operating expenses….………………. 3,428
Cash……………………..………... 2,335
Accrued expenses and other… 1,093


The balance of accrued expenses and other agrees with the financialstatements at December 31, 2008.

Q6. Paragraph 2, Item 9A of Note 14 to Amazon.com, Inc.’s Consolidated Financial Statements Note Amazon.Com’s management states that:

Management is responsible forestablishing and maintaining adequate internal control over financial reporting…. Management has assessed the effectiveness of our internal over financial reporting as of December 31, 2008…As a result;management has concluded that our internal control over financial reporting was effective in providing assurance regarding the reliability of financial reporting and the preparation of financialstatements…in accordance with GAAP. Ernst & Young has independently assessed the effectiveness of our internal control over financial reporting and its report is included below.

The statementmentions internal control, reliability of financial reporting, and the fact that the internal control system has been independently assessed by the company’s external independent auditors, Ernst & Young....