Continuing Cookie Chronicle (1) CCC1 Natalie Koebel spent much of her childhood learning the art of cookie-making from her grandmother. They spent many happy hours mastering every type of cookie imaginable and later devised new recipes that were both healthy and delicious. Now at the start of her second year in college, Natalie is investigating possibilities for starting her own business as part of the entrepreneurship program in which she is enrolled. A long-time friend insists that Natalie has to include cookies in her business plan. After a series of brainstorming sessions, Natalie settles on the idea of operating a cookie-making school. She will start on a part-time basis and offer her services in people’s homes. Now that she has started thinking about it, the possibilities seem endless. During the fall, she will concentrate on holiday cookies. She will offer group sessions (which will probably be more entertainment than education) and individual lessons. Natalie also decides to include children in her target market. The first difficult decision is coming up with the perfect name for her business. She settles on “Cookie Creations,” and then moves on to more important issues. Instructions (a) What form of business organization—proprietorship, partnership, or corporation— do you recommend that Natalie use for her business? Discuss the benefits and weaknesses of each form that Natalie might consider. (b) Will Natalie need accounting information? If yes, what information will she need and why? How often will she need this information? (c) Identify specific asset, liability, revenue, and expense accounts that Cookie Creations will likely use to record its business transactions. (d) Should Natalie open a separate bank account for the business? Why or why not? (e) Natalie expects she will have to use her car to drive to people’s homes and to pick up supplies, but she also needs to use her car for personal reasons. She recalls from her first-year accounting course something about keeping business and personal assets separate. She wonders what she should do for accounting purposes. What do you recommend? Continuing Cookie Chronicle (Note: This is a continuation of the Cookie Chronicle from Chapter 1.) CCC2 After investigating the different forms of business organization, Natalie Koebel decides to operate her business as a corporation, Cookie Creations Inc., and she begins the process of getting her business running. While at a trade show, Natalie is introduced to Gerry Richards, operations manager of “Biscuits,” a national food retailer. After much discussion, Gerry asks Natalie to consider being Biscuits’ major supplier of oatmeal chocolate chip cookies. He provides Natalie with the most recent copy of the financial statements of Biscuits. He expects that Natalie will need to supply Biscuits’ Watertown warehouse with approximately 1,500 dozen cookies a week. Natalie is to send Biscuits a monthly invoice, and she will be paid approximately 30 d.

1. Continuing Cookie Chronicle (1)
CCC1 Natalie Koebel spent much of her childhood learning the
art of cookie-making from her grandmother. They spent many
happy hours mastering every type of cookie imaginable and
later devised new recipes that were both healthy and delicious.
Now at the start of her second year in college, Natalie is
investigating possibilities for starting her own business as part
of the entrepreneurship program in which she is enrolled.
A long-time friend insists that Natalie has to include cookies in
her business plan. After a series of brainstorming sessions,
Natalie settles on the idea of operating a cookie-making school.
She will start on a part-time basis and offer her services in
people’s homes. Now that she has started thinking about it, the
possibilities seem endless. During the fall, she will concentrate
on holiday cookies. She will offer group sessions (which will
probably be more entertainment than education) and individual
lessons. Natalie also decides to include children in her target
market. The first difficult decision is coming up with the
perfect name for her business. She settles on “Cookie
Creations,” and then moves on to more important issues.
Instructions
(a) What form of business organization—proprietorship,
partnership, or corporation— do you recommend that Natalie
use for her business? Discuss the benefits and weaknesses of
each form that Natalie might consider.
(b) Will Natalie need accounting information? If yes, what
information will she need and why? How often will she need
this information?
(c) Identify specific asset, liability, revenue, and expense
accounts that Cookie Creations will likely use to record its
business transactions.

2. (d) Should Natalie open a separate bank account for the
business? Why or why not?
(e) Natalie expects she will have to use her car to drive to
people’s homes and to pick up supplies, but she also needs to
use her car for personal reasons. She recalls from her first-year
accounting course something about keeping business and
personal assets separate. She wonders what she should do for
accounting purposes. What do you recommend?
Continuing Cookie Chronicle
(Note: This is a continuation of the Cookie Chronicle from
Chapter 1.)
CCC2 After investigating the different forms of business
organization, Natalie Koebel decides to operate her business as
a corporation, Cookie Creations Inc., and she begins the process
of getting her business running.
While at a trade show, Natalie is introduced to Gerry Richards,
operations manager of “Biscuits,” a national food retailer. After
much discussion, Gerry asks Natalie to consider being Biscuits’
major supplier of oatmeal chocolate chip cookies. He provides
Natalie with the most recent copy of the financial statements of
Biscuits. He expects that Natalie will need to supply Biscuits’
Watertown warehouse with approximately 1,500 dozen cookies
a week. Natalie is to send Biscuits a monthly invoice, and she
will be paid approximately 30 days from the date the invoice is
received in Biscuits’ Chicago office.
Natalie is thrilled with the offer. However, she has recently read
in the newspaper that Biscuits has a reputation for selling
cookies and donuts with high amounts of sugar and fat, and as a
result, consumer demand for the company’s products has
decreased.
Instructions
Natalie has several questions. Answer the following questions
for Natalie.
(a) What type of information does each financial statement
provide?

3. (b) What financial statements would Natalie need in order to
evaluate whether Biscuits will have enough cash to meet its
current liabilities? Explain what to look for.
(c) What financial statements would Natalie need in order to
evaluate whether Biscuits will be able to survive over a long
period of time? Explain what to look for.
(d) What financial statement would Natalie need in order to
evaluate Biscuits’ profitability? Explain what to look for.
(e) Where can Natalie find out whether Biscuits has
outstanding debt? How can Natalie determine whether Biscuits
would be able to meet its interest and debt payments on any
debts it has?
(f) How could Natalie determine whether Biscuits pays a
dividend?
(g) In deciding whether to go ahead with this opportunity, are
there other areas of concern that Natalie should be aware of?
Continuing Cookie Chronicle
(Note: This is a continuation of the Cookie Chronicle from
Chapters 1 through 6.)
CCC7 Part 1 Natalie is struggling to keep up with the recording
of her accounting transactions. She is spending a lot of time
marketing and selling mixers and giving her cookie classes. Her
friend John is an accounting student who runs his own
accounting service. He has asked Natalie if she would like to
have him do her accounting.
John and Natalie meet and discuss her business. John suggests
that he do the following for Natalie.
1. Hold onto cash until there is enough to be deposited. (He
would keep the cash locked up in his vehicle). He would also
take all of the deposits to the bank at least twice a month.
2. Write and sign all of the checks.
3. Record all of the deposits in the accounting records.
4. Record all of the checks in the accounting records.
5. Prepare the monthly bank reconciliation.
6. Transfer all of Natalie’s manual accounting records to his

4. computer accounting program. John maintains all of the
accounting information that he keeps for his clients on his
laptop computer.
7. Prepare monthly financial statements for Natalie to review.
8. Write himself a check every month for the work he has
done for Natalie.
Continuing Cookie Chronicle
(Note: This is a continuation of the Cookie Chronicle from
Chapters 1 through 7.)
CCC8 One of Natalie’s friends, Curtis Lesperance, runs a coffee
shop where he sells specialty coffees and prepares and sells
muffins and cookies. He is eager to buy one of Natalie’s fine
European mixers, which would enable him to make larger
batches of muffins and cookies. However, Curtis cannot afford
to pay for the mixer for at least 30 days. He asks Natalie if she
would be willing to sell him the mixer on credit.
Natalie comes to you for advice and asks the following
questions.
1. “Curtis has provided me with a set of his most recent
financial statements. What calculations should I do with the
data from these statements, and how will the results help me
decide if I should extend credit to Curtis?”
2. “Is there an alternative other than extending credit to
Curtis for 30 days?”
3. “I am thinking seriously about permitting my customers to
use credit cards. What are some of the advantages and
disadvantages of letting my customers pay by credit card?”
The following transactions occurred in June through August.
June. 1 After much thought, Natalie sells a mixer to Curtis on
credit, terms n/30, for $1,100 (cost of mixer $600).
2 Natalie meets with the bank manager and arranges to get
access to a credit card account. The terms of credit card
transactions are 3% of the sales transactions and a monthly
equipment rental charge of $75.
30 Natalie teaches 13 classes in June. Seven classes were paid

5. for in cash, $1,050; the other six classes were paid for by credit
card, $900.
30 Natalie receives and reconciles her bank statement. She
makes sure that the bank has correctly processed the monthly
$75 charge for the rental of the credit card equipment and the
3% fee on the credit card transactions.
30 Curtis calls Natalie. He is unable to pay the amount
outstanding for another month, so he signs a one-month, 6%
note receivable.
July. 15 Natalie sells a mixer to a friend of Curtis's. The
friend pays $1,100 for the mixer by credit card (cost of mixer
$600).
30 Natalie teaches 16 classes in July. Eight classes are paid
for in cash, $1,200; eight classes are paid for by credit card,
$1,200.
31 Natalie reconciles her bank statement and makes sure the
bank has recorded the correct amounts for the rental of the
credit card equipment and the credit card sales.
31 Curtis calls Natalie. He cannot pay today but hopes to have
a check for her at the end of the week. Natalie prepares the
appropriate journal entry.
Aug. 10 Curtis calls again and promises to pay at the end of
August, including interest for 2 months.
31 Natalie receives a check from Curtis in payment of his
balance plus interest outstanding.
Instructions
(a) Answer Natalie’s questions.
Case Study Part 1: Details and Rubric
Initial Notes:

6. 1. Only the Title Page, Abstract, Headings and Subheadings for
the final analysis paper and preliminary Reference List are due
in Unit 3.
2. The Full Case Study will be due in Unit 4.
3. A PowerPoint Presentation for the Case will be due in Unit 5.
4. The Case Project is developed over 3 Units: 3, 4 & 5. The
Case Project should be considered a single assignment, not 3
separate assignments. Therefore, do not overemphasize the
score on any single component of the Case. Rather, take a
broader and more accurate view, of the Case as a single, unified
assignment worth a total of 175 points. The Case point
distribution is as follows:
a. Part I (Due Unit 3) -The Initial formatting/outline =
25 Points
5. The Textbook, Continuing Problem Assignment Instructions,
Classroom/course assignment instructions, etc. use several
terms interchangeably. The following terms can be understood
as referring to your Project or individual elements of the
project: Case Project, Continuing Problem, Continuing Case,
“CC”, “CCC.”
6. Much of the Case Project will be an exercise in developing
your skill at following instructions. Therefore, be sure to read
all assignment instructions (All Units – 3, 4 and 5) very
carefully before starting the writing process.
VERY IMPORTANT INITIAL GENTLE REMINDER: If you do
not understand Plagiarism and how to avoid violating the rules
of Academic Integrity, please review the tutorial in the
classroom title “Plagiarism”. It can be found under the
“Academic Tools” tab. All written papers (and many of the
Discussion Posts) will be submitted to Turnitin to determine
originality of content. In particular, do NOT simply “cut and
paste” ANY content from ANY source unless you intend to use
the material as a properly formatted and attributed Direct
Quote. If you do not understand the rules for proper attribution

7. of unoriginal sources, please carefully review the information
available in the Writing Center in the material related to “Using
Sources.”
Unit 3 Case Part 1 Assignment Specifics:
Part 1 of the Continuing Case, due in Unit 3, includes creating
the Title Page, Abstract and preliminary Reference List for a
formal analysis paper. For the Case, you are to complete a
series of “Continuing Problems” from your textbook. Those
Continuing Problems involve a series of business issues related
to the “Cookie Creations” company progressive narratives in the
textbook end-of-chapter resources.
This is the list of Continuing Problems you will complete:
Textbook’s “Continuing Problems:”
· CC 1 – page 37 In the physical text.
· CC 2 – page 83 in the physical text.
· CC 7 – Part 1, ONLY, page 366 in the physical text.
· CC 8 – Requirement (a), ONLY, page 415 in the physical
text.
NOTE: Although not due in the Case Paper, Part 1 or 2, the
following additional Continuing Problem will be included in the
Unit 5 Case Part 3 PowerPoint Assignment:
· CC 11– Part 1, (a), ONLY, page 581 in the physical text.
· You should preview the Unit 4 & 5 Assignment Instructions.
Special Note: The full Continuing Problem Narratives may NOT
be included in the physical textbook pages. The full CC
narratives can be located at the Textbook Companion Website:
www.wiley.com/college/kimmel
The order of presentation MUST follow the grading rubric
order.
You should consider using the CC Problem elements or the
grading rubric as a basic “Outline” (ie, Headings and

8. Subheadings) for your paper. You may use the individual CC
Problem parts to build your headings and subheadings. The
rubric is provided at the end of this document.
Thinking ahead to Unit 4, Do NOT simply answer the
components in each CC Problem. Be thorough! Short answers
do not provide the necessary analysis for critical thinking. Be
sure to complete all required sections for all CC problems.
IMPORTANT NOTES:
1. Your Unit 3 Assignment should ONLY include sufficient
page length to include: Title Page, Abstract, Full Paper
Headings and Subheadings (for the full analysis) and a
preliminary Reference List.
2. Use the APA Template provided in the classroom as the basis
for constructing your Unit 3 Assignment.
3. The physical Textbook only supplies a portion of the
complete Narrative in some CC Problems. Therefore, you
MUST use the additional resources available in WileyPLUS or
the Textbook Student Companion Website.
Additional NOTES:
1. Use the APA Template here.
2. Part 2 is an Analysis; do NOT present an “Interview” format
with “questions and answers”. Do not simply provide “short-
answers,” use a more formal approach in the communication
style. In case you do not understand the difference between
formal and informal styles, please review the information
provided by the Writing Center in their link related to “Formal
versus Informal Writing.”
3. A properly formatted Title Page with Running head and
abstract is required.
4. Do NOT include a table of contents.
5. Do NOT repeat or copy the assignment question narratives.
You may use abbreviated versions of the questions as headings
and sub-headings. Anything that artificially increases the length
of the paper but does not add value to the analysis will result in

9. a reduced score.
GB518 Unit 3 Assignment Grading Rubric
Category/Description
Points Possible
Points Earned
Instructor Additional Comments (If necessary)
Part 1) Create the Continuing Problem Case Title Page:
Properly formatted Running head with page numbers in upper
right corner, only.
1
NOTE: Please review all guidance and feedback presented in
the margins and within the paper.
Properly formatted Title Page body.
1
Are ONLY the 3 required elements for the Body of the Title
Page included?
1
Other considerations, as appropriate. For example, no graphics
or color in Title Page
1
Part 2) Write an Abstract
Properly formatted Abstract page.
i. Proper Length (150 to 250 words).
ii. Proper margins and paragraph format.
2
1

10. Is the Abstract Content appropriate?
2
Other considerations, as appropriate.
1
Part 3) Heading and Subheading Outline.
Are ALL CC Problem Narrative elements represented in the
Outline as Headings or Subheadings?
1
Are the Headings and Subheadings appropriately formatted in
Level One and Level Two APA style?
1
Other considerations, as appropriate.
1
Part 4) Preliminary Reference List:
Heading centered and properly formatted.
2
Proper “Hanging Indent” paragraph format used.
2
Minimum of Four or 5 References included.
2

11. Preliminary References formatted properly.
2
Preliminary References include all required reference list
elements.
2
Preliminary References in alphabetical order.
1
Other considerations, as appropriate.
1
Content Subtotal
25
Deduct Late Penalty in accordance with Syllabus if necessary.
Total
25
Running head: THE TITLE GOES HERE WITH FEWER THAN
50 CHARACTERS 1
THE TITLE GOES HERE
7

12. The Title Goes Here and Should be Centered with Primary
Words Capitalized
Your Name
Name of School
Abstract
This is the abstract. Having an abstract is mandatory for
dissertations and final course projects. An abstract may be
required based upon assignment requirements or instructor
stipulation; however, usually student papers do not require an
abstract. Please check with your instructor. Unlike the rest of
the paper, it is not indented. The abstract should be an
interesting, short, accurate representation of what your paper
says in 150–250 words. Because conciseness is so important in
the abstract, use digits for all numbers except at the beginning
of sentences. Try to restructure sentences so they do not begin
with a number. Also, use abbreviations more liberally than you
would in the body of the paper (less common abbreviations need
to be explained, just as you would in the body of the paper). See
the APA Manual for the content required in an abstract.
The Title Goes Here and Should be Centered with Primary
Words Capitalized
The title placed above where you start your text should not be
in bold font. The title should be identical to the title in the
center of the title page. The introduction of the paper begins
here. Times New Roman, size 12 font is one approved font
style. Double-space throughout the paper, including the title
page, abstract, body of the document, and references. Two

13. spaces are used after terminal punctuation — a period,
exclamation point, question mark. The body of the paper begins
on a new page (page 3, if there is an abstract). Subsections of
the body of the paper do not begin on a new page. The title of
the paper (in uppercase and lowercase letters) is centered on the
first line below the manuscript page header. All level one
headers within the body of the text are in bold, however,
headers on stand alone pages and the title on page one of the
body of the text; i.e., The Title page, Abstract, the reference
page, and all following pages are not in bold. The introductory
section, which is not labeled, begins on the line following the
paper’s title. Headings are used to organize the document and
reflect the relative importance of sections. This is the first
paragraph. Do not use words such as “The research project will
cover . . .” or “This paper will discuss . . .” because these are
instances of anthropomorphism where we give inanimate objects
human behaviors.
The introduction or opening of the paper should be worded to
engage the reader by capturing his or her attention, provide
background on your topic, develop interest in your topic, and
guide the reader to the thesis. A thesis statement in an essay or
formal paper is a sentence that explicitly identifies the purpose
of the paper or previews its main ideas.
Top Level Section (Level 1 Heading)
The meat of your paper follows the introductory section. Here is
where you start to discuss your topic in detail. Typically, you
begin your discussion with your main theme or thesis and then
discuss supporting evidence, arguments, or details that
substantiate your point or fulfill the purpose of the paper. The
discussion section can be broken down into subsections and
organized in a logical, well-organized manner, providing
appropriate details. If you have at least one Level 1 Heading,
then you need to have more than one. This holds for all heading
levels you use.
Text Citations (Level 2 Heading)
All facts that are not common knowledge must be documented

14. in the body of the paper by citing the author(s) and date(s) of
the sources. Common knowledge is often defined as information
known by the typical person walking downtown. Citations serve
the purpose of giving proper credit to the ideas and words of
others and to substantiate facts you provide. The reader can
obtain the full source citation from the list of references that
follows the body of the paper. When the names of the authors of
a source are part of the formal structure of the sentence, the
year of the publication appears in parentheses following the
identification of the authors; for example, “Eby (2001) found
that . . .” provides the information necessary in the correct
order. When the authors of a source are not part of the formal
structure of the sentence, both the author(s) and year of
publication appear in parentheses. If more than one source
provides the same factual information, separate the citations by
semi-colons. For example, you might have this as a citation:
(Eby & Mitchell, 2001; Passerallo, Pearson, & Brock, 2000).
When a source with three, four, or five authors is cited, all
authors are included the first time the source is cited. When that
source is cited again, the first authors’ surname and “et al.” are
used.
When a source has one or two authors, all authors listed are
cited every time. If there are six or more authors to be cited, use
the first authors’ surname and “et al.” the first and each
subsequent time it is cited.
Direct Quotes (level two heading)
When a direct quotation is used, always include the author,
year, and page number as part of the citation. A quotation of
fewer than 40 words should be enclosed in double quotation
marks and should be incorporated into the formal structure of
the sentence. A longer quote of 40 or more words should
appear, without quotation marks, in block format with each line
indented with a left margin of 0.5 in.
Conclusion (level one heading)
The conclusion section should be a reflection of the

15. introduction. The introduction outlined what the purpose of the
paper was and what the writer will discuss, mentioning the key
evidence, whereas the conclusion section of the paper outlines
what the writer discussed and how key evidence supported the
writer’s argument. The writer summarizes the main points,
emphasizes the special importance of the main point, and ties up
any loose ends. No new information should be provided in the
conclusion.
The conclusion should also provoke the reader into
thinking more deeply about the topic. One way to stimulate this
consideration is by using a thought-provoking comment or
question. Another option is to use a final comparison or
metaphor to bring the reader back to the beginning of the paper.
Finally, the conclusion is worded to help the reader to draw a
final conclusion, look to the future about where the issue might
be headed, and connect the thesis to the assignment, leaving the
reader with one final strong thought about the topic.
The Reference Section (Level 1 Heading)
The reference section begins on a new page. The heading is
centered on the first line below the manuscript page header. The
references (in hanging indent format) begin on the line
following the references heading. The reference pages are also
double-spaced. The easiest way to create a hanging indentation
is to type all your entries out to the left margin as if you were
not using the hanging indentation, hitting enter at then end of
each citation, to start a new citation on a new line.
Word 2003 (Level 2 Heading)
When you complete the list of citations, highlight all the
sources, select tools in the column above, then select paragraph,
and then under special in the open box, select hanging and click
ok. Word will automatically format the entries with the hanging
indentation.
Word 2007 (Level 2 Heading)
When you complete the list of citations, highlight all the
sources, select paragraph, and then under special in the open
box, select hanging and click ok. Word will automatically

16. format the entries with the hanging indentation.
When entering references, pay special attention to the format
for the particular type of reference being used. Especially look
at capitalization, making sure there is no underlining, and check
your punctuation. On the next page are two examples of
references. Please refer to the APA manual for more details as
this is intended just to show you how a reference page looks.
References
Abramson, L. Y., Seligman, M. E. P., & Teasdale, J. D. (1978).
Learned helplessness in humans: Critique and reformulation.
Journal of Abnormal Psychology, 87(1), 49–74.
Bolling, M., Kohlenberg, R. J., & Parker, C. R. (2000).
Depression: A radical behavioral analysis and treatment
approach. In M. Dougher (Ed.), Clinical behavior analysis (pp.
127–152). Reno, NV: Context Press.