ASSESSMENT BRIEF
\nSubject Code and Name ACCT6002 Accounting Fundamentals
\nAssessment Assessment 2 – Case Study
\nIndividual\/Group Individual
\nLength (1,500 words +\/- 10%)
\nLearning Outcomes
\nb) Explain the accounting cycle and apply double entry accounting principles to process transactions.
\nc) Differentiate between periodic and perpetual inventory systems and apply appropriate accounting procedures.
\ne) Prepare an accounting worksheet, Income
\nStatement, Statement of Changes in Equity and Balance Sheet for sole proprietors and partnerships.
\ng) Interpret, understand and analyse financial statements for decision making, and communicate their significance to accounting and non-accounting professionals.
\nSubmission By 11:55pm AEST\/AEDT Sunday of Module 5.1 (week 9)
\nWeighting 30%
\nContext:
\nThe purpose of this assessment is to apply the conceptual and technical aspects of accounting and prepare relevant business financial statements. Students are expected to contenxtualise and evaluate accounting information presented in statements for decision making purposes. Each question uses realistic data and the professional practices similar to that found in workplaces.
\nACCT6002_Assessment Brief 2_Individual Case Study
\nSubmission Instruction
\nDue Date\/Time: 11:55pm Sydney time (AEST\/AEDT) on Sunday 18th April 2021
\nPlease aim to complete this assignment a few days prior to the due date to allow for any unforeseen circumstances such as illness, holidays, family issues, work commitments etc. You may submit the assignment early if you have other commitments around the due date.
\nAll times listed are local (Sydney) times. Please ensure you factor in any time difference between Sydney and your location when submitting your assignment, to avoid incurring any late submission penalties.
\nPlease note the following important instructions relating to the assignment format and submission:
\n\u2022 Note that this is an individual piece of assessment. You will need to work individually to prepare a response to ALL of the questions listed in the assessment.
\n\u2022 You must submit your assessment in one Excel file. Any submissions in any other file formats will not be accepted.
\n\u2022 Each question (including all sub-questions) should be presented in a single worksheet. As there are 5 questions in this assessment, your Excel file should contain 5 worksheets in total.
\n\u2022 You cannot scan handwritten responses and submit. All answers must be typed in Excel.
\n\u2022 Your assessment needs to be submitted though the submission link available on the Blackboard. Assignments submitted via e-mail (or any other method) will NOT be accepted.
\n\u2022 Make sure that you upload the correct file. If you discover (after the due date) that you have uploaded a draft version or the wrong file completely, you will not be allowed to submit a second file.
\nQuestion 1: Preparation of Adjusted Trial Balance
\nCliff Clarendon operates a small retail store. The unadjusted trial balance of Cliffs Retail Store is shown below.
\nCliff\u2019s Retail Store
\nUnadjusted Trial Balance As at 30th June 2020
\nAccount Debit ($) Credit ($)
\nCash at Bank 35,000
\nAccounts Receivable 5,000
\nInventory 14,600
\nOffice Supplies 2,400
\nMotor Vehicle 15,000
\nAccumulated Depreciation \u2013 Motor Vehicle 4,000
\nAccounts Payable 3,000
\nCliff Clarendon, Capital 44,000
\nCliff Clarendon, Drawings 2,000
\nSales Revenue 57,000
\nSales Returns and Allowances 2,000
\nPurchases 15,000
\nPurchases Returns and Allowances 4,000
\nSalaries Expenses 11,000
\nRent expense 10,000
\nTotal 112,000 112,000
\nACCT6002_Assessment Brief 2_Individual Case Study
\nThe following additional information was not considered while preparing unadjusted trial balance:
\na) The Sales Revenue account includes $5,000 for the services to be provided in August 2020.
\nb) The rent expense account includes an amount of $1,000 paid in advance for July 2020.
\nc) The unused office supplies on hand totalled $1,500.
\nd) Estimated depreciation on the motor vehicle is $2,000.
\nNote: In addition to those accounts listed in unadjusted trial balance, the chart of accounts of Chiffs Retail Store contains the following accounts: Prepaid rent, Unearned Revenue, Office Supplies Expense and Depreciation Expense.
\nRequired
\nPrepare adjusted trial balance using the template provided over the page.
\nCliffs Retail Store Worksheet as at 30 June 2020
\nUnadjusted Trial Balance Adjustments Adjusted Trial Balance
\nAccount Name Dr Cr Dr Cr Dr Cr
\nCash at Bank 35,000
\nAccounts Receivable 5,000
\nInventory 14,600
\nOffice Supplies 2,400
\nMotor Vehicle 15,000
\nAccumulated
\nDepreciation \u2013 Motor Vehicle 4,000
\nAccounts Payable 3,000
\nCliff Clarendon, Capital 44,000
\nCliff Clarendon, Drawings 2,000
\nSales Revenue 57,000
\nSales Returns and Allowances 2,000
\nPurchases 15,000
\nPurchases Returns and Allowances 4,000
\nSalaries Expenses 11,000
\nRent expense 10,000
\nTotal 112,000 112,000
\n2: Journal Entries
\nHaro Bicycles is a retail business that purchases racing bicycles from suppliers and sells them to customers at a higher price. The business is registered for GST and uses perpetual inventory system. The following transactions occurred during March 2021.
\nDate Details
\nMar-03 Purchased 500 bicycles on credit for $385 each (plus GST) from Redline Central, terms 5\/15, n\/30.
\nMar-05 Sold 275 bicycles on credit to Sun Bicycles for $572 (including GST); terms 3\/10, n\/30.
\nMar-09 Received credit for the 8 damaged bicycles returned to Redline Central.
\nMar-11 Paid Redline Central for the purchase of bicycles on 3rd March.
\nMar-13 Sun Bicycles returned 6 bicycles as they were defective. Credit was granted for returned products.
\nMar-14 Received payment from Sun Bicycles for the sales on 5th March.
\nNote: Haro Bicycless chart of accounts contained the following accounts: Cash at Bank, Inventory, Accounts Receivable, GST Receivable, Accounts Payable, GST Payable, Sales, Sales Return and Allowances, Discount Received, Discount Allowed, Cost of Sales.
\nRequired
\nPrepare journal entries for the above transactions for the month of March 2021 for Haro Bicycles. 3: Preparation of Financial Statements
\nFinancial statements for Katherine\u2019s Retail Shop are prepared annually. The adjusted trial balance amounts at June 30 are shown below.
\nWo Katherines Retail Shop rksheet as at 30 June 2020
\nAdjusted Trial Balance
\nAccount Name Dr Cr
\nCash at Bank 39,000
\nAccounts Receivable 10,000
\nInventory 19,600
\nOffice Supplies 1,280
\nMotor Vehicle 20,000
\nAccumulated Depreciation \u2013 Motor Vehicle 8,000
\nAccounts Payable 1,050
\nMortgage payable 45,000
\nKatherine, Capital 29,500
\nKatherine, Drawings 6,000
\nSales Revenue 59,650
\nSales Returns 2,900
\nPurchases 24,500
\nPurchase Returns 2,500
\nSalaries Expense 12,000
\nRent Expense 6,000
\nInterest Expense 2,700
\nUnearned Revenue 1,300
\nInterest Payable 900
\nOffice Supplies Expense 1,920
\nDepreciation Expense 2,000
\nTotal 147,900 147,900
\nThe end-of-period stocktake shows an inventory balance of $11,320 on 30 June.
\nRequired
\nPrepare the following:
\na) the closing entries on 30th June 2020.
\nb) Income Statement
\nc) Statement of Changes in Equity
\nd) Balance Sheet in narrative format
\n4: Special Journals
\nJustin opened a corner store on 1 July 2020. He balances his books at the end of each month and uses special journals and the periodic inventory system. Transactions for July 2020 were as follows:
\nDate Details
\n5-Jul Purchased inventory from Orion Ltd. on account for $6,500 plus GST. The credit term is 2\/15, n\/30.
\n14-Jul Sold $2000 inventory plus GST to Metro Ltd, the credit term is 3\/10, n\/30.
\n18-Jul Paid Orion Ltd. for 5th July purchase. Cheque No.103.
\n27-Jul Received cash payment from Metro Ltd.
\n31-Jul Recorded depreciation expense for furniture, $300.
\nThe chart of account for Justins Corner Store is shown below:
\nAccounts Payable
\nCash at Bank 100 200
\nControl
\nAccounts Receivable Control 110 GST Payable 210
\nOffice Supplies 120 Justin, Capital 300
\nGST Receivable 140 Sales 400
\nFurniture 150 Discount Received 401
\nAccumulated depreciation – Furniture 151
\nPurchase 501
\nPurchase Return and Allowances 502
\nDiscount Allowed 510
\nSalary Expense 520
\nDepreciation Expense 530
\nRequired
\nPrepare the journal entries for the transactions above in the relevant journal books. Use Cash Receipts Journal, Cash Payments Journal, Purchases Journal, Sales Journal and General Journals where applicable. For each transaction, you need to do only one journal entry.
\nYou may use the templates provided over the page.
\nCash Receipts Journal
\np. 1.
\nDate
\nAccount
\nPost Ref. Debits Credits
\nCash at
\nBank Disc. Allowed GST Payable Sales GST Payable Acc. Recei. Other
\nCash Payments Journal
\np. 1.
\nDate Account Ch. No. Post Ref. Debits Credits
\nOther Acc. Payable Purchase GST
\nRec. Cash at
\nBank Disc. Received GST
\nRec.
\nPurchases Journal
\np. 1.
\nDate Account Terms Post Ref. Purchases GST
\nReceivable Accounts Payable
\nSales Journal
\np. 1.
\nDate Account Terms Post Ref. Sales GST Payable Accounts Receivable
\nGeneral Journal
\np. 1.
\nDate Account Post Ref. Debit Credit<\/p>\n
Question 5: Financial Statement Analysis
\nSarah works at a public company called JPG Manufacturing Ltd. She has observed that the company is trying to expand its operation in the market over the past one year. The management has heavily invested in plant and equipment over this period. Considering the high growth potential of the business, Sarah is planning to invest in this company by purchasing shares. She consulted with her friend Linda regarding this plan. After reviewing JPG Manufacturing\u2019s balance sheet for past two years, Linda commented, -While I understand that this company is focusing on growth, they have taken a risky approach to achieve the growth-. Do you agree with Linda\u2019s comment? Why or why not? Justify your answer.
\nNote: You will not be penalized if you do not use financial statement analyses ratios to answer this question. You need to provide explanation of why you agree or not-agree with Linda\u2019s comment.
\nJPG Manufacturing Ltd
\nComparative Balance Sheet Sarah works for JPG Manufacturing Ltd. She has seen that the corporation has been seeking to broaden its market reach. La direction a put a lot of money into plant and equipment Sarah intends to buy shares in the company due to its great growth potential. Her strategy was discussed with Linda. The company has taken a riskier method to pursue expansion, Linda stated after studying JPG Manufacturing’s balance statement for the previous two years. Do you concur with Linda? So, why? Justify your response.
\nThere is no penalty for not using financial statement ratios to answer this question. You must explain why you agree or disagree with Linda’s opinion.
\nJPG Manufacturing Ltd Balance Sheet
\nAs at 30th June 2019 and 2020
\n2019 2020
\nASSETS
\nCurrent Assets Cash at Bank
\n35400
\n9,300
\nAccounts Receivable 62700 76,650
\nInventory 48000 60,600
\nOther current Assets 9600 8,850
\nTotal Current Assets
\n155700 155400
\nNon-current Assets Land and Building
\n81000 81,000
\nPlant and Equipment 93000 285,000
\nFurniture 8700 7,950
\nLong-term investment 13800 13,500
\nTotal Non-current Assets
\nTotal Assets
\nLIABILITIES
\nCurrent liabilities
\nAccounts Payable 196500
\n387450
\n352200 542850
\n78600
\n78,150
\nTotal current liabilities
\n78600 78150
\nNon-current liabilities Long-term debt
\n123600 313,200
\nTotal non-current liabilities
\nTotal Liabilities
\nEQUITY
\nShare Capital 123600
\n313200
\n202200 391350
\n150000
\n151,500
\nTotal Equity
\nTotal Liability and Equity
\n150000
\n151,500
\n352200 542,850
\nLearning Rubric: Assessment 2
\nAssessment
\nCriteria Fail
\n(Unacceptable) 049% Pass
\n(Functional)
\n50-64% Credit
\n(Proficient) 65-74% Distinction
\n(Advanced)
\n75 -84% High Distinction
\n(Exceptional) 85100%
\nUnderstanding and ability to analyse and\/or
\ncritique accounting techniques and methods used in practice and financial information that are prepared. Shows very little to no understanding of how to apply the accounting system technique to the case study questions.
\nKey components of the assignment are not addressed. Shows limited understanding of how to apply the accounting system technique to the case study questions.
\nHas answered some parts incorrectly. Thorough knowledge or understanding of the accounting system techniques relevant to the case study. Highly developed understanding of the accounting system techniques relevant to the case study. A sophisticated understanding of the accounting system techniques relevant to the case study.
\n10% Demonstrates little to no capacity to explain and apply relevant concepts.
\nHas answered most parts incorrectly.
\nKnowledge and understanding of accounting concepts, techniques and processes
\n40% Limited awareness of relevant accounting information required for business decisions
\nDifficulty and\/or confusion in identifying correct accounting concepts, tools and processes required for case study questions Understanding and being able to identify relevant accounting information for business decisions
\nUnderstanding a range of accounting techniques and processes available for generating and analysing information
\nAbility to use appropriate accounting techniques and processes
\nUnderstanding rationale for selecting specific accounting
\ntools and processes
\nUnderstanding and being
\nable to explain quantitative and qualitative characteristics of accounting information useful for business decisions Thoroughly understanding the accounting concepts, techniques
\nand processes
\nBeing able to justify selection of specific accounting tools and processes Thoroughly understanding accounting concepts, techniques and processes, and accounting information
\nrequired for solving practical
\nproblems
\nBeing able to
\ncritically justify selection of applicable accounting tools and processes
\nDiscuss and apply accounting tools, concepts and techniques to prepare accounting information
\nthat is useful for decision making,
\n40% No or little use of accounting information
\nfor decision making
\nDifficulty and\/or confusion in preparing accounting reports
\nDifficulty and\/or confusion in identifying and applying correct accounting procedures
\nApplying correct steps in preparing
\naccounting reports
\nApplying appropriate accounting procedures
\nIdentify and explain quantitative and qualitative characteristics of accounting information, which are useful for business decisions
\nAnalysing quantitative and qualitative characteristics of accounting information, and applying analysis to
\nsolve practical problems
\nCorrectly preparing and interpreting different accounting statements.
\nCorrectly preparing and interpreting different accounting statements.
\nCritically justifying business decisions using relevant accounting information
\nEffective communication
\n10% Difficulty in explaining rationale for selected accounting tools and processes Mostly clear information presentation, with some minor errors
\nEvidence of attempts to make clear to audience, the rationale and application of selected accounting tools and processes Mostly clear and understandable presentation of information Clearly presented and adequately justified
\nresponses
\nGood references to quantitative and qualitative information where applicable Clearly presented and adequately substantiated responses, which indicate full understanding and thorough application of relevant accounting tools and
\nprocesses
\nSufficiently substantiated discussion of quantitative and qualitative information<\/p>\n","protected":false},"excerpt":{"rendered":"
ASSESSMENT BRIEF Subject Code and Name ACCT6002 Accounting Fundamentals Assessment Assessment 2 – Case Study Individual\/Group Individual Length (1,500 words +\/- 10%) Learning Outcomes b) Explain the accounting cycle and apply double entry accounting principles to process transactions. c) Differentiate between periodic and perpetual inventory systems and apply appropriate accounting procedures. e) Prepare an accounting […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7724,7548,8080,8079,8077,8078,8081],"tags":[187,22,181,175,186,177,180,97,179,91,73,9,7,178,182,77,184,183,185],"class_list":["post-98315","post","type-post","status-publish","format-standard","hentry","category-best-dissertation-writing-services","category-dissertation-writing-services-cost","category-master-thesis-writing-service","category-online-thesis-writing-services","category-phd-dissertation-help-and-editing-helper-in-usa","category-professional-dissertation-writing-service","category-write-my-dissertation","tag-best-assignment-help-websites-in-canada","tag-best-nursing-paper-writing-service","tag-buy-psychology-essay","tag-cheap-psychology-essay-writing-service","tag-dissertation-assignment-help","tag-history-dissertation-writing-services-by-uk-writers","tag-nursing-assignment-acers","tag-nursing-assignment-help","tag-nursing-assignment-help-canada","tag-nursing-assignment-writers","tag-nursing-dissertation-writing-help-online","tag-nursing-paper-writing-service","tag-online-nursing-essay-writing-service","tag-online-nursing-papers","tag-online-psychology-assignment-help-writing-services","tag-pay-for-nursing-essay","tag-psychology-assignment-topics","tag-psychology-homework-market","tag-write-my-history-essay-for-me"],"_links":{"self":[{"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/posts\/98315","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/comments?post=98315"}],"version-history":[{"count":0,"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/posts\/98315\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/media?parent=98315"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/categories?post=98315"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.colapapers.com\/assessments\/wp-json\/wp\/v2\/tags?post=98315"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}