Assignment 408 Bai Giai

8/8/2019 Assignment 408 Bai Giai.

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BUSINESS ADMINISTRATION

Assignment ADM408A

Prepare Financial Reports

BSBADM408A

Activity Pass Comment

Part A: Prepare

Financial Statements:

Task 1 Y / N

Task 2 Y / N

Task 3 Y / N

Task 4 Y / N

Task 5 Y / N

Task 6 Y / N

Part B: Depreciation

& Deposal

Task 1 Y / N

Task 2 Y / N

Task 3 Y / N

Task 4 Y / N

STUDENT NAMEFACILITATOR

DATE

UNIVERSITY

Assessment Conditions: Closed Book, Calculator Allowed, NO MOBILESRecommended time: 3 hours pluss 15 minutes reading time

INT08S2V14-06


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ADM408A Assessment

This is a (CLOSED BOOK) assessment of a maximum of 3 hours with 15minutes reading time.

You are allowed a calculator, but mobile phones are NOT to be used andmust beswitched off during the entire the assessment.

There are TWO PARTS and both must be attempted and satisfactorilycompleted in orderto pass the unit ADM408.

If you do not successfully complete apart(S), you may be permitted tpattempt a resit in the week allowed by your lecturer. however, a resit isconditipon upon you making areasonable first attempt, and this is determined by the lecturer. Studentsmust achieve at

least 40% in their first attempt to quatify for resit. No exception to thisprinciple is given.

Student please read and sign the following declaration:-

I certify that the answers in this assessment are my our work and that I amaware of Tafe South Australias policy concerning plagirism,

and

I accept the conditions under which this assessment is set.

Student signature_________________

INT08S2V14-06 December 2008 Page 2 of 14Cert IV\Assessment\ADM408_V6_Assessment.doc


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ADM408A Assessment

PART A PREPARE FINANCIAL STATEMENTS

The trial balance on the attached Sheet was axtracte from ledger of CStanston on30 June 0X.

Required:

1. open the ledger accounts with their unjusted entries as at 30 June0X from the

Trial Balance.2. Journalise and post the Ajusting Entries.3. Journalise and post the Closing Entries.4. Prepare the Income and Profit Statement.5. Prepare Owner Equity Statement.6. Prepare the Balance Sheet Statement.

Addition information:

(a)Supplies on hand at year-end, $3 500.(b)Depreciation on Furniture an Fixtures, $32 000.(c) Depreciation on Building, $27 000.(d)Salaries Owed but not yet paid, $3 000(e)Accrued Service revenue, $23 000.(F) Of the $95 000 balance of Unearned Service Revenue $ 31 000 was

earned during 0X.



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ADM408A Assessment

Trial BalanceOf S Stanston

At 30/6/

Debit CreditCash at bank 201 000Accounts Receivable 505 000Stock 9800Furnitures and Fixtures 230 000Accuminated Depreciation Furnitures andFixtures

62 000

Building 440 000Accuminated Depreciation - Building 370 800Accounts Payable 236 000

Salary PayableUnearned Service Revenue 95 000Capital 506 000Drawings 55 000Service RevenueSalary Expense 241 000Stock ExpenseDepreciation Expense Furnitures andFixturesDepreciation Expense - Building

Accrued Revenue (Work in Progress)Miscellaneous Expense 30 000Total $ 1,756,800 $ 1,756,800



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ADM408A Assessment

1. Post Entries2. Post Ajust Entries3. Closing Entries

cash at bank stock

201000 9800201000 6300

3500

Acc receivable furnitures and fix tures

550000 230000

550000 230000

Acc dep furnitures and fixtures building62000 440000

32000 44000094000

ACCDEP - BUILDING ACCPAYABLE

370800236000

27000236000

397800

SALARYPAYABLE UNEARNEDSERVICEREVENUE

3000 950003000

31000 64000

CAPITAL DRAWINGS

506000 55000506000 55000

201700 55000550000 0652700

SERVICESREVENUE DEPEXPENSE

487000 2700023000 27000



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ADM408A Assessment

31000541000 541000

0



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ADM408A Assessment

SALARYEXPENSEACCRUED

241000 230003000 23000

244000 2440000

STOCKEXPENSE MISCELLANEOUSE6300 30000

6300 30000 300006300 0

0

DEPEXPENSEPURNITUREFIXTURES INCOMESUMMARY32000 541000

32000 339300

32000 2017000

0



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ADM408A Assessment

Ajusting General journal EntriesDate Ledger Accounts Debit Credit30/6 Stock expense 6300

stock 6300Supplies on hand at year end

Depreciation exp fur.. and fix 32000Accum Dep 32000Depreciation on fur.. and fixDepreciation exp building 27000

Accum Dep 27000Depreciation on buldingSalary exp 3000

Salary payable 3000Salary owned but not yetpaidAccrued service revenue 23000

service revenue 23000Accrued service revenueUnearned service revenue 31000

service revenue 31000Service revenue earedduring 20xx



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ADM408A Assessment

Post Closing EntriesDate Ledger Accounts Debit Credit

Services revenue 541000

Income summary 541000To record the closing entryforthe service revenue accountIncome summary 339300

Salary expense 244000Stock expense 6300Dep-exp-fur and fix 32000Dep-exp-building 27000Miscellaneous exp 30000

To record the cloding entryfor drawing accountIncome summary 201700

capital 201700The record the tranferynet profit into capitalCapiatal 55000

drawing 55000To record the closing entryfor the drawing account



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ADM408A Assessment

4. Prepare the Income and Profit Statement.5. Prepare Owner Equity Statement.6. Prepare The Balance Sheet Statement.

C Stanston

Profit and loss statementOn 30 June 0xServices revenue 541000Expense

Salary exp 244000Stock exp 6300Dep-exp-fur and fix 32000Dep-exp-building 27000Miscellaneeous exp 30000

Detail expense 334300Net profit 201700

C Stanstonowners equity statement

on 30 June 0x

opening capital 506000

plus net profit 201700

707700

Less drawing 55000

Closing capital 652700



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ADM408A Assessment

C stanstonBalance SheetAt 30 June 0x

Assets

Current assetsCach at bank 201000Account receivable 550000Stock 3500Accruied receivable 23000

Total current asset 777500

Non current assetFurniture & fixtures 23000Accum dep furniture & fixture94000Buiding 440000Accum dep buiding 397200

Total non current asset 178200Total asset 955700Liabilities

Current liabilitiesAccount payable 236000Salary payable 3000Unearned service revenue 64000

Total current liabilities 303000Net asset 652700

Owner EquityCapital 652700

Total owner equity 652700



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ADM408A Assessment

PART B DEPRECIATION AND DISPOSAL OF ASSETS1. Explain what is meant by the following accounting terms:

Non current assets:Non current assets are assets which cannot be classified as current,which usually means they will be help in their present form for morethan a year from balance date. The two broad categories of non

current assets are tangible(having physical existence andtangible).tangible assets include the categories: long terminvestments, nutural resourse, fixed assets and other assets.Intangible assets are those assets that do not have physical existence,but rather derive their value from the rights that possessions confers totheir owners,Depreciation:

The portion of the cosst of a noncurrent asset that is assigned to anexpense over time.It is important to note that recording depreciation is a process of

location, not of evaluation; it really represents no more than the usedup part of a fixed asset. A fixed asset can be used up in the sense thatits future economic benefits decline, due to wear and tear, or due totechnical or commercial obsolescence, the standard says depreciationexpense means an expense recognised sydtematically for the purposeof allocating the depreciable amount of a deprecible asset over itsuseful life.

2. Using the straight line method of depreciation, calculate the annualdepreciation charge on Contruction Equipment purchased $ 113,000cash plus GST. The expected life of the epuipment is 9 Years andresidual value is $4,500. shows your calculations.

Depreciation change on construction equitmentDepreciation exp=11300-54500/9= $12055



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ADM408A Assessment

3. Asset name: CompressorDate purchased: 31 Dec 2004Purchased price: $ 25,300Depreciation rate: 12%Purchased from: Barrett and Barrett ContructionFreight costs: $1,200 Paid on: 31 Dec 2004Date deposed of: 30 June 2008Deposal price: $9,200

The asset was sold for cash to: Add- on Builders(i) Using the above information:

Calculate the preciation charge for the asset usingthe reducing method of depreciation.

Depreciation change on construction equitment anded 30June 2005Dep exp 2005=(25300-1200)x12%/2=$ 1590

Depreciation change on construction equitment anded 30June 2006Dep exp 2006=(26500-1590)x12%=$ 2989Depreciation change on construction equitment anded 30June 2007Dep exp 2007=(24910-2989)x12%=$ 2631Depreciation change on construction equitment anded 30June 2008Dep exp 2008=(21921-2631)x12%=$ 2315

Total accum dep1590+2989+2631+2315=$9525End value26500-9525=16975Net profit & lossProfit(loss) = 9200-16975= 7775 loss



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ADM408A Assessment

(ii) Record

Assume that the finacial your

DATE LEDGER ACSOUNT DEBIT CREDIT04/05 Dep Exp 1590

Accum Dep 1590Depreciation exp of compresor04/05 financial year

05/06 Dep Exp 2989Accum dep 2989

Depreciation exp of compresor05/06 financial year

06/07 Dep Exp 2631Accum dep 2631

Depreciation exp of compresor

06/07 financial year07/08 Dep Exp 2315

Accum depCash at bank 9200

Profit and loss on saleAccum dep 9525

Profit and lossProfit and loss on sale 26500compressor


Documents

Assignment 408 Bai Giai