Student name:_________________________ Case Study No.

All values Start of period Balance Sheet Items Machinery Equipment Advertising Plant Mortgage

Student ID_____________________________ Business Name End of period Expenses Tafe Trading 30th June 2004.

30,000 1st July 2003 Annual Leave Commission Revenue Insurance on Purchases

Telephone Rent Rates

PREPARE FINANCIAL REPORTS CASE STUDY NO. SUBMISSION DATE:

The owner of period ended Tafe Trading 30th June 2004. has contracted you to finalise the business accounts for the

The owner has provided you with the trial balance of the annual accounts as at the end of the year and additional information relating to adjustments to be made and reporting requirements. From the information provided you are required to provide the owner with the following: (a) general journal entries to account for balance day adjustments and posted to the general ledger

BSBFIA401A: Prepare financial reports Learner Assessment Version 1.0 May 2011 Southern Cross Education Institute

(b) general journal entries to close accounts and posted to the general ledger (c) a fully classified profit and loss statement for the year (d) a fully classified balance sheet at the end of the year (e) a worksheet of the annual accounts (f) journal entries recording reversals at 1st July and posted to the general ledger

BALANCE DAY ADJUSTMENTS at

* Machinery to be depreciated at on the straight line method * Equipment to be depreciated at on the reducing balance method * Additional bad debts to be written off * Wages owing $90 * Advertising prepaid $150 (excluding GST) * Provide for doubtful debts at 5% of debtors * Provide for 10% of wages as Annual Leave * Commission Revenue owing $600 (excluding GST) * Stock at end $3,000 ADDITIONAL INFORMATION * Wages and associated leave costs to be apportioned 80% Administration, 20% Sales. * Equally proportion the the depreciation on machinery to selling and administration expenses

30th June 2004. 15% per annum 22.50% per annum $1,320

BSBFIA401A: Prepare financial reports Learner Assessment Version 1.0 May 2011 Southern Cross Education Institute

ounts for the

BSBFIA401A: Prepare financial reports Learner Assessment Version 1.0 May 2011 Southern Cross Education Institute

he straight line method he reducing balance method

uding GST)

n expenses

BSBFIA401A: Prepare financial reports Learner Assessment Version 1.0 May 2011 Southern Cross Education Institute

Tafe Trading As at Trial Balance Dr Capital Drawings Rent Advertising Purchases Stock Insurance on Purchases Wages Telephone Machinery Accumulated Depreciation Equipment Accumulated Depreciation Bank Debtors Creditors Sales GST Payable GST Receivable Provision for Provision for Doubtful Debts Commission Revenue Sales Returns Bad Debts Mortgage Condemnation of Buildings Plant Rates Discount Received Discount Expense Petty Cash 660 4,500 900 54,000 2,400 10,800 13,230 180 72,000 30,000 45,000 4,500 75,000 17,400 13,500 360,000 3,000 750 600 522 90 3,000 6,000 120,000 55,800 186,000 1,500 1,800 600 600 550,320 Adjustments Cr 16,308 Dr Cr Adj Trial Balance Dr

550,320

Adj Trial Balance Cr

Balance Sheet Dr Cr

Profit & Loss Dr Cr

Description

Dr

Cr