Assignment Two
In this assignment you will:
	Setup A Basic Accounting Structure For Your Company --
	The three basic components of an accounting system are: Assets Liabilities Owner's Equity When Owner's Equity is expanded, we see the two additional accounts of: Revenue Expenses If you have a feel for what your company's Assets and Liabilities are, set up a worksheet(s) listing them. If you do not already have an idea about which Assets and Liabilities you need, approach the project as a new startup and use the following list I have provided for you to determine which items are needed for your new business. I have also provided some common Revenue and Expense types in the handout. Select the ones appropriate for your business.
	Using the items you have selected, create the Chart of Accounts for your business. (There is a Chart of Accounts worksheet in my downloads section) You must have at a minimum of: four Assets one Liability a Capital Account a Revenue stream four Expenses You may either: create a minimum of 20 transactions that use your Chart of Accounts AND are consistent with your business OR you may use the 20 Activities in this downloadable document Using the information from your Chart of Accounts, create a corresponding FAE Balance Work Sheet Income Statement Statement of Owner's Equity Balance Sheet as covered in class. (All Financial Statements are located on my web page in the downloads area)
	Email --
	Attach all required documents to an email (ex: the list of your activities (whether they are the ones you've created or the list I have created), Chart of Accounts, the FAE Balance Work Sheet, the Income Statement, Statement of Owner's Equity and Balance Sheet). Send these to me making sure to add "Lab 2" in the subject line and include your name in the body of the email.
Part of Final Project This project will also become part of your Final Project / Final Exam. At this stage you may not know enough to produce the final version, however, it is to your advantage to start now and set this assignment up so it does not have to be re-done from scratch for the future assignments. To be a bit more specific, if you do the minimum to get the assignment done, you will re-visit and possibly re-do it several times during the semester. However, if you read the book and answer the question "How should the Chart of Accounts for my company be set up?" you may finish the assignment with a near final ready version.

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