Explain the essential differences between perpetual and periodic inventory systems

Task Q1 Naming cells in spreadsheets (4 marks) See support.office.com/en-us/article/Define-and-use-names-in-formulas-4D0F13AC-53B7-422E-AFD2-ABD7FF379C64 Why replace cell references with names? Create a simple spreadsheet and paste Sales less Expenses = Net Profit.

Q2 Negative numbers (3 marks) Why do accountants display negative numbers in brackets? How can negative numbers be displayed in brackets? Paste a simple spreadsheet example. See: support.office.com/en-us/article/change-the-way-negative-numbers-are-displayed-104b47a6-8ae2-471f-8f73-c4b96e7bb146

Q3 Separation of data and report areas (5 marks) Evaluate why an accountant should design spreadsheets with a completely separate data entry area and a separate report area? Paste a simple spreadsheet example.

Q4 IF functions (5 marks) What is an 'IF' statement (function)? Reference a Youtube. Provide a spreadsheet accounting example for net profit/net loss.

Q5 Perpetual versus Periodic systems (5 marks) Explain the essential differences between perpetual and periodic inventory systems. Give examples of products/situations suited to each. (Watch the 3 videos on Inventory in Interact2 Resources).

Q6 Worksheet and financial reports (12 marks) Watch the Foot Worksheet movie in Interact2 resources. Download the relevant doc file also on Interact2 resources. This doc file has a template of the example below. Examine the original data from the video. Create a new report/solution and change every data number and enhance/improve the example to prepare a ten column spreadsheeted worksheet and the Financial Reports. Change the presentation of settlement discounts so it complies with the method in chapter 5 of your text. Do not create journal entries or ledger accounts. Ensure your trial balance still balances after your data changes. The changes should be your personal choice. So your solution will be unique. Follow the spreadsheet requirements including a separate data entry and report area and implement IF functions wherever appropriate. As usual, paste the normal view and the formula view. Write a business report evaluating spreadsheets as a tool for accounting. You may wish to search the Internet with terms such as “advantages of spreadsheets”. Use the following resource to help you prepare and format your report