Our entrepreneur in problem 4 above is trying to set up a well-organized office filling system that will make it easier (and less costly) for the company’s accountant to do their work. The accountant has told the entrepreneur to put all Profit and Loss source documents in one file and all Balance Sheet items in another file. The entrepreneur has made a list of every piece of paper she can think of and a checklist to help get the filing system organized. How would you complete this checklist to get the financial files organized? Answer the following 13 questions to show how you would organize the files for the accountant.
1. Sales receipts
2. Bank statements showing cash in the bank
3. Payrolls from your payroll firm that have bccn paid
4. Receipts for business travel
5. Utility bills paid
6. Orders for supplies that you have 60 days to pay
7. Receipts for major equipment purchases
8. Insurance premiums paid
9. Rent paid for office space
10. Advertising bills paid
11. Bounced checks from customers for prior sales
12. Statement showing balance due on bank loan
13. Credit card statements showing balances due