This subject introduces students to the accounting discipline in an integrated manner dealing with financial accounting and developing and applying critical thinking, information technology and communication skills. The subject provides the basis for an iterative and spiral approach to accounting, exposing students to areas of accounting including accounting as an information system, ethics, business communication and report writing, computer applications, the accounting cycle, financial reports and the fundamentals of management accounting.
Learning Outcomes
Upon successful completion of this subject, students should:
• be able to apply conceptual and technical aspects of accounting and prepare relevant business financial statements;
• be able to discuss the historical development of accounting;
• be able to appraise the use of information technology including spreadsheet software in accounting problem solving, and evaluate the Internet as a professional resource;
• be able to demonstrate relevant business communication skills including report writing;
• be able to contextualise and evaluate accounting information for decision making purposes; and
• be able to explain the importance of ethics in accounting.
1. reviewing the topic: study guide in Interact ‘Topics’, PowerPoint slides.
2. completing the: textbook readings and other prescribed readings as directed in the ‘Topic’ study guide, review questions and activities as detailed in the Interact ‘Topic’ study guide.
3. attending and participating in weekly lectures and tutorials during the session. These classes will have a practical focus, where we will work through activities to help you apply the theory that you have learned in each topic, and you can also ask any questions that you may have.
Learn How To:
• use Primo Search to find eReserve material and journal articles
• search journal databases and web resources for information for your assessments
• identify appropriate sources of information and peer reviewed material, and evaluate resources.
You must obtain a mark of at least 18 out of 20 in order to pass the Academic Integrity Quiz.b Failure in this quiz will automatically lead to a fail grade for the subject irrespective of the marks obtained in all other assessments. If you marginally fail these pass criteria you are entitled to a second chance in the following circumstances:
1. You are eligible for an Additional Assignment (AA) if you submitted all assessment items, passed the exam (i.e. you scored 50% or above) but received an overall mark between 45 and 49;
2. You are eligible for an Additional Examination (AE) if you submitted all assessment items (including the final exam) but failed the exam (i.e. you scored less than 50%) and received an overall mark of 45 or above.
Prepare an essay on the history of the double-entry bookkeeping system; how accounting records were prepared/maintained using this system in times prior to the existence of computers, accounting software, internet, emails, and online banking; and how technology has impacted the double-entry system.
Required:
i. List and explain each of the ethical principles in APES 110 Code of Ethics for Professional Accountants (effective from 1 January 2020).
ii. APES 110 Code of Ethics for Professional Accountants (effective from 1 January 2020) also contains a conceptual framework. Discuss the purpose of the conceptual framework as well as its key aspects.
This assessment task will assess the following learning outcome/s:
• be able to discuss the historical development of accounting.
• be able to demonstrate relevant business communication skills including report writing.
• be able to explain the importance of ethics in accounting
Required:
i. Prepare journal entries for January – June 2020 transactions listed above (including any adjusting entries). In relation to adjusting entries for prepaid expenses, depreciation and unearned revenue, prepare these entries as at 30 June 2020 (rather than at the end of each month). Include dates, references and narrations.
ii. Prepare T-accounts in an Excel spreadsheet. Post all of the above journal entries to the T-accounts. Include dates and references for each entry. Total all of the T-accounts to determine their balances at the end of June 2020.
iii. Prepare the ‘Adjusted Trial Balance’ in an Excel spreadsheet as at 30 June 2020. Use formulas to generate all of the figures in the ‘Adjusted Trial Balance’ from the balances in the T-Accounts.
iv. Prepare the income statement, balance sheet, and statement of changes in equity in Excel. Use formulas to generate all of the figures in the financial statement reports from the ‘Adjusted Trial Balance’.
This assessment task will assess the following learning outcome/s:
• be able to apply conceptual and technical aspects of accounting and prepare relevant business financial statements.
• be able to appraise the use of information technology including spreadsheet software in accounting problem solving, and evaluate the Internet as a professional resource.
• be able to demonstrate relevant business communication skills including report writing.
• be able to contextualise and evaluate accounting information for decision making purposes.
Spreadsheet Requirements:
1. For good spreadsheet design, it is very important that you have completely separate data and solution/report areas. A good spreadsheet solution format is to key in the question in a structure which allows the solution to be completely formula driven. There should be no data in the report/solution area.
2. Name the worksheet tag(s) at the bottom of the Excel screen with the question number. Use a separate worksheet for each question that needs to be completed in Excel. See examples in the ‘Spreadsheet Advice’ PDF in the ‘Resources’ folder on Interact.
3. Where appropriate, use the ‘IF function’ to provide built in checks of balances (eg. to check that the balance sheet balances).
4. We have provided spreadsheet examples to guide you in the ‘Spreadsheet Advice’ PDF document in Interact. Also consider using the spreadsheet templates available with your text and other online spreadsheet advice, but note that the text templates do not comply with all of the assignment spreadsheet requirements above.
i. Prepare a business report* for ‘Splash Out The Back’ to help the owners understand the different inventory accounting systems (periodic and perpetual), and costing methods (specific unit cost; first-in-first-out (FIFO); last-in first-out (LIFO); and average cost methods). In your report, also discuss any advantages and disadvantages of these different systems and methods. Given your knowledge of the business and your knowledge of the regulatory requirements that will apply to ‘Splash Out The Back’, include a recommendation on the inventory system and costing method/s that ‘Splash Out The Back’ should consider adopting.
ii. Prepare Excel worksheets for the swimming pools for November using the perpetual inventory system and the FIFO, LIFO, and average-cost methods. In your spreadsheets, keep track of the number of swimming pools purchased, swimming pools sold, swimming pools on hand, cost of goods sold, and gross profit made.
iii. Now assume that ‘Splash Out The Back’ has adopted the perpetual inventory system and the FIFO costing method. Prepare journal entries (including any adjusting entries) for all of the business’s transactions for November. Include dates, references and narrations.
iv. Prepare T-accounts in an Excel spreadsheet, and post all of the above journal entries to the T-accounts. Include dates and references for each entry. Total all of the Taccounts to determine their balances at the end of November 2019.
v. Prepare the ‘Adjusted Trial Balance’ in an Excel spreadsheet as at 30 November 2019. Use formulas to generate all of the figures in the ‘Adjusted Trial Balance’ from the balances in the T-Accounts.
vi. Prepare the income statement, balance sheet, and statement of changes in equity in Excel. Use formulas to generate all of the figures in the financial statement reports from the ‘Adjusted Trial Balance’.
vii. Assume that ‘Splash Out The Back’ has a year-end date of 30 November. Prepare the closing entries as at 30 November 2019.
Please also refer to the ‘Requirements’ section below for additional submission and spreadsheet requirements.
This assessment task will assess the following learning outcome/s:
• be able to apply conceptual and technical aspects of accounting and prepare relevant business financial statements.
• be able to appraise the use of information technology including spreadsheet software in accounting problem solving, and evaluate the Internet as a professional resource.
• be able to demonstrate relevant business communication skills including report writing.
• be able to contextualise and evaluate accounting information for decision making purposes.
