ACX5903 Semester 2 2024 Assignment 1 - Accounting Basics

ACX5903 Semester 2 2024
Assignment 1 - Accounting Basics
Assessment Marks:
This assignment accounts for 15% (part A 10% and part B 5%) of the total marks for the unit. The assignment must be completed and submitted individually.
Due Date:
Part A: 23 August 2024, 11:55 PM
Part B: a 15-minute quiz to be completed between 4:30PM - 11:55PM, 30 August 2024
Objective:
The assignment's objective is to give you experience in recording business transactions and preparing and evaluating (where appropriate) financial reports for a service business.
Data Sheet:
The datasheet is available at the end of this document.
The datasheet is assigned to students based on the last digit of your student ID. E.g., if the last digit of your student ID number is 1, you should use the first data sheet.
You will be deducted 20% marks if you use the wrong datasheet.
Requirements:
Submission Details:
The Assignment consists of two parts. Part A must be submitted through Moodle. The link for the submission is under the section titled Assessments.
If you are unable to submit Part A on time due to circumstances out of your control, you must apply for extensions or special consideration.
If you are unable to finish Part B during the designated period, you must apply for special consideration. The guidance on how to apply for extensions and special consideration is here.Students who submit an assessment task after the due date will receive a late- submission penalty of 5 per cent ofthe available marks in that task. Tasks submitted more than seven days after the due date will receive a mark of zero for that task. The detailed university policy is here.
Assignment Part A must be submitted with the Faculty cover sheet attached. The cover sheet can be accessed in the Assessments section on Moodle.
If you are a student registered with Disability Support Services and require approved forms of support to complete this assignment, please notify the Chief Examiner at least one week before the due date.

PART A
1. Use an accounting worksheet to analyse transactions and balance-day adjustments for the month's activities, then record it in an excel worksheet. An Excel worksheet to assist you is available on Moodle.
2. Based on your worksheet, prepare the Income Statement, Balance Sheet, and Statement of Cash Flows. Show all calculations. Please refer to the formats in the prescribed textbook.
3. Calculate the profit if the business uses cash accounting. Show all calculations. Compare the profit from cash and accrual accounting for the business and give 3 reasons why the amounts are different. Explain which accounting method is better for the business in your datasheet.
4. You need to submit two pdf files. The first pdf file includes items 1-2 in the following table. The second pdf file includes items 3-8 in the following table.
You need to submit: Score

1 Assessment Cover Sheet 2
2 Datasheet 3
3 Worksheet 44
4 Income Statement for the month of June 8
5 Balance Sheet at 1 June (excluding transactions on 1 June) 5
6 Balance Sheet at 30 June 8
7 Classified Statement of Cash Flow for the month of June 10
8 Analysis of difference between two profit numbers 20
Total 100

Note:
• Use the Notes column of the Worksheet to describe the type of expense and income - this will make your preparation of the Income Statement easier;
• You may need to add the column headings of the accounting worksheet (i.e. the account names) and/or add columns/rows;
• You must show and explain your calculation of the values of all adjusting entries. This can be provided either in the Worksheet or on separate pages;
• Formatting: ensure it fits well on an A4 page and is readable at Moodle;
• The Statement of Cash Flows must be classified, i.e. cash flows must be shown in the categories of operating, investing, and financing cash flows;
• You must use the Direct Method to prepare the Statement of Cash Flows. Show all calculations;
• Round all monetary amounts to the nearest dollar;
• All non-current assets are depreciated using the straight-line method.
PART BPart B consists of a 15-minute quiz. The skills and knowledge required for the task are relevant to those required for Part A. The questions are either multiple choice questions or calculation questions.

If the last digit of your student ID number is 1, use this data sheet.
Proprietor: Ms. Nicole Coffeur Name: Teenage Style. Bag
Description: Hair and Beauty Salon

The business has the following opening balances: Additional Information:
Cash At Bank $13,561 Bank loan interest rates (% per year) 8 Account Receivable$ 19,245 Motor vehicle useful life (years) 3
Motor Vehicle $34,878 代写ACX5903 Semester 2 2024 Assignment 1 - Accounting Basics Motor vehicle scrap value ($ ) 3,890
Account Payable $7,653 Insurance paid for (months) 3 Bank Loan (due 2027)$ 28,929 Rent paid for (months) 4
Hair Styling Equipment $17,574 Hair styling equipment useful life (years) 3 Hair Styling Supplies$ 759 Hair styling equipment scrap value ( $) 3,176 Capital ? Closing stock of hair styling supplies on 30/6 ($ ) 679
Staff work a 14 day fortnight and are paid on the 15th day.
Transactions:
Date Description Amount Date Description Amount
1-Jun Paid General Insurance $2,709 2-Jun Motor Vehicle Expenses$ 538
3-Jun Rent of Business Premises $4,453 6-Jun Receive Payment from Account Customers$ 1,990
6-Jun Facial services fees - Cash $1,400 8-Jun Purchase books and magazines$ 100
8-Jun Hair styling fees - Account $1,765 8-Jun Manicure services - Account$ 1,349
11-Jun Cash Withdrawals by Owner $802 12-Jun Hair styling fees - Cash$ 1,074
12-Jun Facial services fees - Cash $1,747 12-Jun Advertising Expense - Cash$ 920
12-Jun Facial services fees - Cash $1,593 13-Jun Hair styling fees - Cash$ 1,423
14-Jun Receive Payment from Account Customers $1,280 15-Jun Manicure services - Cash$ 867
15-Jun Staff Wages $2,419 16-Jun Payment to Account Payable$ 1,263
18-Jun Purchase hair styling supplies - account $703 19-Jun Payment to Account Payable$ 906
21-Jun Advertising Expense - Account $1,165 21-Jun Manicure services - Account$ 1,329
24-Jun Hair styling fees - Account $1,538 24-Jun Additional cash contributed by owner$ 2,644
28-Jun Sundry Expenses $332 29-Jun Manicure services - Cash$ 952
29-Jun Staff Wages $2,419 Comments: - Assume that this assignment involves an existing business that was purchased by the new owner on 1 June 2024. - Note the list of transactions is in date order, left to right, line by line. - Use three separate accounts for revenue, namely hair styling services, manicure services and facial services. All revenues relate to the month of June. - Transactions involve cash unless specified as 'Account'. - Record payments for rent and insurance in prepaid accounts initially. - Information relevant to complete adjusting entries can be found in the top right section of this page. - The periods to which the rent and insurance apply commence on 1 June. - Round your calculations to the nearest dollar. If the last digit of your student ID number is 2, use this data sheet. Proprietor: Mr. lsell Holmes Name: Realtor 21 Description: Real Estate Agent The business has the following opening balances: Additional Information: Staff work a 14 day fortnight and are paid on the 15th day. Transactions: Date Description Amount Date Description Amount 1-Jun Paid General Insurance $ 2,621
3-Jun
Rent of Business Premises $3,813 3-Jun Motor Vehicle Expenses $ 278
4-Jun
Receive Payment from Account Customers $1,427 5-Jun Advertising Expense - Account $ 1,157
5-Jun
Advertising Expense - Cash $866 6-Jun Advertising placement fees - Account $ 1,177
8-Jun
Auction commission - Account $1,051 9-Jun Purchase promotional materials $ 639
10-Jun
Rental commission - Cash $1,668 12-Jun Receive Payment from Account Customers $ 1,880
13-Jun
Rental commission - Account $1,264 15-Jun Rental commission - Account $ 1,282
15-Jun
Staff Wages $2,637 15-Jun Cash Withdrawals by Owner $ 834
15-Jun
Payment to Account Payable $1,059 16-Jun Advertising placement fees - Cash $ 770
16-Jun
Auction commission - Account $778 18-Jun Auction commission - Cash $ 1,773
19-Jun
Advertising placement fees - Cash $893 20-Jun Advertising placement fees - Account $ 1,193
21-Jun
Sundry Expenses $534 23-Jun Rental commission - Cash $ 1,618
23-Jun
Additional cash contributed by owner $4,419 24-Jun Payment to Account Payable $ 1,078
26-Jun
Auction commission - Cash $1,766 29-Jun Staff Wages $ 2,637

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