Task 1
Answer the following questions:
1. What are meant by the terms assets and liabilities?
2. What is a bank statement and how does it assist in identifying discrepancies?
3. What is the GST, who pays it and how is it calculated when shown as a GST exclusive price and as a GST inclusive price?
4. Describe the differences between accrual accounting and cash accounting?
5. Explain the following:
a. General ledger
b. Chart of accounts
c. Journals
d. Double entry accounting
Task 2
Using the following ledgers and bank statement answer the following questions.
Cash Receipts Journal
CASH RECEIPTS JOURNAL OF THE RESORT – STUDENTS LODGE – JULY 20XX
Day
Description
Bank
Food
Beverage
Accommodation
1
Days takings – food
$ 764.00
$ 764.00
Days takings – beverage
$1375.00
$1375.00
3
Days takings – beverage
$5000.00
$5000.00
7
Days takings – food
$6400.00
$6400.00
10
Takings – Accommodation
$10125.00
$10125.00
17
Takings – Accommodation
$3775.00
$3775.00
Days takings – beverage
$1045.00
$1045.00
21
Days takings – food
$4675.00
$4675.00
25
Days takings – food
$4880.00
$4880.00
31
Days takings – beverage
$6500.00
$6500.00
31
Balance b/d
$5544.00
TOTAL
$50083.00
$11839.00
$13920.00
$18780.00
T-1.8.1
Finance 1 Assessment Task 1, v1.0
Last updated on 15/05/2017 Page 6
Cash Payment Journal
CASH PAYMENTS JOURNAL FOR THE RESORT – STUDENTS LODGE – JULY 20XX
Date
Chq No
Payee
Details
Bank
Purchase Food
Purchase Beverage
Wages
Advertising
Insurance
Misc
1/7/XX
1101
No Spots
Laundry
$1000.00
$1000.00
1102
One Stop Food
Purchases – Food
$4150.00
$4150.00
3/7/XX
1103
Cash Wages
Wages
$2625.00
$2625.00
7/7/XX
1104
Integra Energy
Electricity
$315.00
$315.00
10/7/XX
1105
Cash Wages
Weekly Wages
$2625.00
$2625.00
14/7/XX
1106
Cowan Comps
Purchase of new computer
$1750.00
$1750.00
17/7/XX
1107
Cash Wages
Weekly Wages
$2625.00
$2625.00
22/7/XX
1108
Finley Gellars
Purchases – liquor
$4750.00
$4750.00
24/7/XX
1109
Cash Wages
Weekly Wages
$2625.00
$2625.00
1110
Cash
Purchases Beverages
$2000.00
$2000.00
26/7/XX
1111
Office Supplies
Stationery
$995.00
$995.00
29/7/XX
1112
News Ltd
July’s advertising
$325.00
$325.00
1113
ITT Insurance
Insurance premium
$4145.00
$4145.00
31/7/XX
1114
Cash Wages
Weekly Wages
$2625.00
$2625.00
1115
ANZ Bank
Interest on mortgage
$1458.00
$1458.00
1116
Cash- Food
Purchase Food
$4875.00
$4875.00
1117
ABC Office
July’s stationery
$107.00
$107.00
Total
$38995.00
$9025.00
$6750.00
$13125.00
$325.00
$4145.00
$5625.00
T-1.8.1
Finance 1 Assessment Task 1, v1.0
Last updated on 15/05/2017 Page 7
Bank Statement
ACADEMIES BANK
THE RESORT – STUDENTS LODGE
STATEMENT FOR THE MONTH OF: JULY 20XX
JUL- XX
Debit
Credit
Balance
1
Balance brought forward
2
Deposit
$2139.00
$2139.00
Cr
3
Cheque
103
$2625.00
$486.00
Dr
6
Deposit
$5000.00
$4514.00
Cr
Cheque
1101
$1000.00
$3514.00
Cr
8
Deposit
$6400.00
9914.00
Cr
10
Deposit
$3775.00
13689.00
Cr
Cheque
1107
$2625.00
11064.00
Cr
11
Cheque
1102
$4150.00
6914.00
Cr
15
Deposit
$1045.00
7959.00
Cr
17
Cheque
1110
$2000.00
5959.00
Cr
18
Cheque
1109
$2625.00
3334.00
Cr
Deposit
$10125.00
13459.00
Cr
19
Cheque
1104
$315.00
13144.00
Cr
Cheque
1108
$4750.00
8394.00
Cr
26
Cheque
1111
$995.00
7399.00
Cr
27
Deposit
$4675.00
12074.00
Cr
29
Cheque
1112
$325.00
11749.00
Cr
Cheque
1113
$4145.00
7604.00
Cr
30
Deposit
$4880.00
12484.00
Cr
Cheque
1105
$2625.00
9859.00
Cr
Cheque
1106
$1750.00
8109.00
Cr
31
Cheque
1114
$2625.00
5484.00
Cr
Cheque
1115
$1458.00
4026.00
Cr
B/Fees
$8.00
4018.00
Cr
1. Complete a bank reconciliation, the balance in the general ledger account as at 30 June 20XX was $0 as this is the first month the profit centre of the Backpackers Lodge has commenced. (Excel file)
2. Complete a Cash Balance Summary (Excel file)
3. Complete a Bank deposit slip for the cheque deposited on the 18th July 20XX (at the bottom off assessment)
4. Complete a Profit and Loss Statement for the month of July 20XX (Excel file)
T-1.8.1
Finance 1 Assessment Task 1, v1.0
Last updated on 15/05/2017 Page 8
5. Business Activity Statement Locate the BAS form by visiting the Australian Tax Office (ATO) website (https://www.ato.gov.au/Forms/BAS-A—quarterly-BAS/). Print, complete and submit the form with this assessment
Task 3
Complete and answer the following table
Complete the following – don’t round off calculations Budget as a model Regular Queen size Total
Rooms
40
20
60
Occupancy
60%
60%
Rooms sold per day
by 30 days
Room nights
Nightly tariff
$ 85
$ 100
Revenue
Manipulating the model (1) Regular Queen size Total
Rooms
40
75%
15
20
60
Occupancy
75%
75%
Rooms sold per day
by 30 days
Room nights
Nightly tariff
$ 85
$ 95
Revenue
Manipulating the model (2) Regular Queen size Total
Rooms
40
20
60
Occupancy
55%
55%
Rooms sold per day
by 30 days
Room nights
Nightly tariff
$ 80
$ 100
Revenue
Manipulating the model (3) Regular Queen size Total
Rooms
40
63%
13
20
60
Occupancy
50%
50%
Rooms sold per day
by 30 days
Room nights
Nightly tariff
$ 75
$ 100
Revenue
The best outcome model for maximum sales is?
T-1.8.1
Finance 1 Assessment Task 1, v1.0
Last updated on 15/05/2017 Page 9
Task 4A
Iain Hew owns The French Travel Agency, at Cape Drayton, Queensland and is thinking of buying new office furniture in three months’ time (December, 20XX) at a cost of $65,000. The old furniture will be sold at that time for $3,000. Assume an opening bank balance of $50,000 at the beginning of October. Other details include:
1. Iain estimates $70,000 sales for each month. Half these sales are received in cash and half are received in the next month as they are credit sales. Octobers credit sales from September, amount to $35,000.
2. Purchases amount to 25% of sales (excluding scrap) and are paid for in cash.
3. Labour costs are $20,000 each month.
4. Superannuation ($3,000), rent (3,000), energy bills ($2,000), miscellaneous ($2,500) are all paid monthly.
5. Transport costs to the dock, town accommodation areas, and general couriering work amount to $1,000 per month.
6. Rates are paid once in October of $5,000. Requirements:
1. Prepare a cash budget for each month for The French Travel Agency, with the view to advising Iain whether he is in a position to pay $65,000 cash for the furniture at the end of the third month (December). Include also an accurate heading for this cash budget.
2. Suppose your balance at end was negative, what (new approaches) actions to rectify the problem would you consider?
3. Who would you consult and inform in relation to resource decisions?
Cash budget for the three months ending 31/12/08 October November December Quarter Cash receipts Cash sales Debtors Scrap Total cash receipts Cash payments Purchases Labour cost Superannuation Rent Energy bills Miscellaneous Transport and couriers Rates New bread oven Total cash payments Surplus / Deficit Cash balance at start Cash balance at end
T-1.8.1
Finance 1 Assessment Task 1, v1.0
Last updated on 15/05/2017 Page 10
Task 4B
Recalculate The French Travel Agency’s cash budget for the same period if:
1. sales still averaged $70,000 per month,
2. with sales averaging 90% cash and 10%, debtors for September were $ 6,000
3. purchases averaging 30% of sales
4. bank balance to start was $4,000
5. all else remains the same.
6. is there a problem with resource decisions?
Cash budget for the three months ending 31/12/08 October November December Quarter Cash receipts Cash sales Debtors Scrap Total cash receipts Cash payments Purchases Labour cost Superannuation Rent Energy bills Miscellaneous Transport and couriers Rates New bread oven Total cash payments Surplus / Deficit Cash balance at start Cash balance at end
T-1.8.1
Finance
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