please do it on the word that i gave it to you
SUPP ASSESSMENT Student Number: (enter on the line below) Student Name: (enter on the line below) HA1020 ACCOUNTING PRINCIPLES AND PRACTICES final assessmeNt Trimester 1, 2021 Assessment Weight: 50 total marks Instructions: · All questions must be answered by using the answer boxes provided in this paper. · Completed answers must be submitted to Blackboard by the published due date and time. Submission instructions are at the end of this paper. Purpose: This assessment consists of six (6) questions and is designed to assess your level of knowledge of the key topics covered in this unit HA1020 Final Assessment T1 2021 Question 1(11 marks) As at 30 June 2019, the unadjusted trial balance of Green Ltd was noted as follows: Green Ltd TRIAL BALANCE AS AT 30 JUNE 2019 Accounts Debit ($) Credit ($) Cash at bank 8 985 Account receivables 31 200 Prepaid insurance 3 900 Office Supplies 4 680 Office equipment 14 100 Accumulated depreciation - equipment 2 850 Accounts payable 315 Salary payable Unearned service revenue 1 230 Loan payable 10 500 Capital 33 300 Drawings 60 000 Service revenue 159 270 Salary expenses 66 000 Depreciation expenses - equipment Miscellaneous expenses 18 600 TOTAL 207 465 207 465 The following additional information is available at the end of June for adjustments: · A physical count of office supplies on 30 June shows $660 of unused supplies on hand · Depreciation of the office equipment is 10% each year (straight line method is used) · Of the $1230 unearned service revenue, $300 is still unearned · Of prepaid insurance, 60% expired this period · Salaries owed but not yet paid $1920 · Provided consultancy service of $2000 on credit. This was not recorded for the month. Required: a) Prepare adjusting entries at the end of 30 June, 2019. (6 marks) b) Calculate the balance of the total revenue of the company after adjustment. (2 marks) c) Explain why accrual accounting adjustments are required? (3 marks) ANSWER: ** Answer box will enlarge as you type Question 2(11 marks) The following information has been extracted from the records of Bradbury Pty Ltd, which is a retailer of office stationery and art supplies. The company uses the perpetual inventory system to record the inventory of its products. Its monthly reporting date is 30 April. Required: a) Ignoring GST, complete the inventory stock record below for one of Bradbury’s products – a specialty pen. All transactions occurred in the month of April. (8 marks) b) Calculate the Cost of Sales (COS) for 30 April, assuming the FIFO Method. (1 mark) c) Calculate the Ending Inventory at 30 April, assuming the FIFO Method. (1 mark) d) Briefly define the term “FIFO” as an inventory method. (1 mark) (Note: please write your answers in by completing the table, as provided below.) Date Transaction Quantity $ Unit Cost 1/04 Beginning balance 600 5.00 6/04 Purchases 400 5.20 15/04 Sold @ $10(sales price per unit)) 800 ? 20/04 Purchases 600 4.75 25/04 Sold @$12(sales price per unit) 400 ? 30/04 Sales Return from 25/04 Sales 100 ? COS Ending Inventory ANSWER: Question 3(7 marks) On 1 July 2019, Briarly Pty Ltd purchased a new printing machine for $152,000. The company expected the machine to be used for ten (10) years or 20,000 machine hours, with an estimated residual value of $2,000 at the end of its useful life. Actual usage of the machine for the first three (3) years was noted as follows: · Year 1: 400 hours · Year 2: 1200 hours · Year 3: 2000 hours Required: a) Calculate the depreciation expense for the second year using each of the methods below: (3 marks) I. Straight-line II. Units of production III. Reducing balance method at the rate of 20% each year b) If the straight – line method was used and the machine was sold at the end of year 2 for $110,000, calculate the carrying amount of the machine at the end of year 2. (2 marks) c) Prepare the journal entry to record the sale of the machine. (2 marks) ANSWER: Question 4(7 marks) As at 30 June 2019, the Assets, Liabilities, Equity, Income and Expense amounts for Ronaldo Shop fitters Pty Ltd were listed as follows: Cash in Bank $ 68,400 Accounts receivable $202,800 Supplies 79,200 Equipment 226,800 Accounts payable 101,100 Capital ? Service income 1,158,000 Salary expense 483,000 Prepaid Insurance 24,000 Supplies expense 142,500 Bank loan 30,000 Advertising expense 15,000 Required: a) Prepare a Balance Sheet in narrative (vertical) format as at 30 June 2019. (5 marks) b) Explain what key information the Balance Sheet provides to users of the financial statements. (2 marks) ANSWER: Question 5(7 marks) Required: Differentiate between Current liabilities, Non-Current Liabilities and Provisions (3 marks). Provide an example of each type (3 marks). Why is it important to make this distinction? (1 mark) ANSWER: Question 6(7 marks) Using the following information, prepare a bank reconciliation for Biron Bay Ltd as at 31 May. a. The bank statement balance is $18,200. b. The cash account balance is $14824. c. Outstanding cheques totalled $3200. d. Deposits in transit are $600. e. The bank service charge is $24. f. Collection of note by bank, $800. ANSWER: END OF FINAL ASSESSMENT Submission Instructions: · Save submission with your STUDENT ID NUMBER and UNIT CODE e.g. EMV54897 HA1020 · Submission must be in MICROSOFT WORD FORMAT ONLY · Upload your submission to the appropriate link on Blackboard · Only one submission is accepted. Please ensure your submission is the correct document. · All submissions are automatically passed through SafeAssign to assess academic integrity.