Midnight Melt: Close the Books Before Sunrise

What you have been hired to do

Midnight Melt Inc. sells grilled cheese out of a truck parked near campus until two in the morning. Three people own it. Their bank wants December 31 financial statements before it will discuss a loan for a second truck, and the books are not ready.

You are the junior accounting associate they hired to close the books. You will reconcile the bank account, decide what the year-end adjustments should be, build the three financial statements, and write the owner a memo she can hand to her lender.

There is also an argument going on about missing cash. You will be asked what you think about it. Be careful what you claim you know.

• Nothing here is a trap. Every number you need is legible and available at no cost.
• Getting an entry wrong never blocks you. You can always keep going.
• Some questions you can ask cost you inquiry time. Broad or accusatory ones cost more and tell you less.
• Your reasoning is graded, not just your final numbers, and changing your mind when the evidence changes counts in your favor.