BACT105 Business Accounting

COURSE:      Bachelor of Business / Bachelor of Accounting
Unit Code:  	BACT105
Unit Title:  	Business Accounting
Type of Assessment:  	Assessment 3 – Individual Business Report
Kent Institute Australia

ASSESSMENT BRIEF-ASSESSMENT 3

Unit Learning Outcomes addressed:

1 Use the language of financial accounting and financial reporting

2 Explain the purpose, content, format and practical applications of the following financial statements, the Profit and Loss Statement, the Balance Sheet, the Statement of Cash Flows and the relationship between these financial statements

5 Apply the accounting cycle and the business process of accounting information systems and their ethical implications

6 Use financial information to support management decision making for solving both programmed and non-programmed business problems

7 Apply the Principle of Double entry system efficiently

Assessment Task:

Business reports are practical learning tasks where students apply the theories they have been studying to real world situations. The students are required to select a topic or work on a topic provided by the lecturer, collect information (Primary and/or secondary) or work on the information provided by the lecturer, and prepare a report describing a business problem or incident. The details will be provided on Moodle course website.

Assignment

Zac Brown Company has just started the operations in July. The company is owned by Zac Brown. The following transactions have taken place in the first month of operation.

Date Transactions
July 1 received cash investment of $500,000from Zac  Brown.
1 purchases two computers for $75,000for cash. The computers are estimated to have useful life of 5 years and salvage value ot be $5,000 Zac Brown decided to use straight line depreciation method.
1 rented an office and paid $12,000for next 6 months.
4 received $5,500service income in cash from services provided.
5 purchased supplies $3,000on credit. The payment will be made on 20 July.
6 paid advertising expense $1,000
12 provided $5,000worth of sevices on account.
15 received cash in advance from ABC $5,600.The company will receive the service for the next three months.
20 paid telephone bill $250
20 paid supplies purchased on 5 July.
31 Zac withdrew $1,000for his personal use.
31 paid monthly salary to emplyee $6,000
31 supplies on hand now becomes $1,200
31 The company has provided service of $1,000to ABC.
31 The company makes all necessary adjusting entries.

The chart of accounts is as follows

{`
Account no Account name
101        Cash
102        Accounts receivable
103        Supplies
105        Prepaid rent
110        Equipment
111        Accumulated depreciation
201        Accounts payable
205        Unearned revenue
301        Owner's capital
302        Owner's drawings
350        Income Summary
401        Service revenue
501        Salary expense
503        Supply expense
505        Advertisement expense
507        Depreciation expense
510        Rent expense
511        Telephone expense
`}

Required:You need to use Word in preparing your answers

a. Journalize the transactions in July using the BACT105 Business Accounting below.(Narration has to be provided.

J1 Date Account Titles and Explanation Reference Debit Credit

b. Post from Journal to Ledger accounts using the BACT105 Business Accounting below for the accounts

Account name Account no

Date Explanation Reference Debit Credit Balance

C. Prepare adjusted trial balance

d. Prepare Income Statement and Balance Shee

e. Prepare closing entries in the journal.

f. Please define Historical Cost Principle and Fair Value Principle. Please explain the advantages and disadvanges of both.Reference requirement: You must provide both in-text reference and reference list according to Harvard Style reference

ASSESSMENT SUBMISSION:

The assignment must be submitted online in Moodle. All materials MUST be submitted electronically in Microsoft Word format. Other formats (e.g., pdf or MAC file) may not be readable by markers. Please be aware that any assessments submitted in other formats will be considered LATE and will lose marks until it is presented in MS Word. No paper based or hardcopy submission will be accepted.

Our Academic Learning Support (ALS) team would be happy to help you with understanding the task and all other assessment-related matters. For assistance please speak to our Academic Learning Skills Coordinators, Barbara Karena in Sydney (barbara.karena@kent.edu.au) or Ryan Honner in Melbourne (ryan.honner@kent.edu.au). They can help you with understanding the task, draft checking, structure, referencing and other assignment-related matters. For online help and support please click the following link and navigate Academic Learning Support in Moodle:

http://moodle.kent.edu.au/kentmoodle/course/view.php?id=5

MARKING GUIDE (RUBRIC):

GENERAL NOTES FOR ASSESSMENT TASKS

Content for Assessment Task papers should incorporate a formal introduction, main points and conclusion.

Appropriate academic writing and referencing are inevitable academic skills that you must develop and demonstrate in work being presented for assessment. The content of high quality work presented by a student must be fully referenced within-text citations and a Reference List at the end. Kent strongly recommends you refer to the Academic Learning Support Workshop materials available on the Kent Learning Management System (Moodle). For details please click the link http://moodle.kent.edu.au/kentmoodle/mod/folder/view.php?id=3606 and download the file titled “Harvard Referencing Workbook”. This Moodle Site is the location for Workbooks and information that are presented to Kent Students in the ALS Workshops conducted at the beginning of each Trimester.

Kent recommends a minimum of FIVE(5) references in work being presented for assessment. Unless otherwise specifically instructed by your Lecturer or as detailed in the Unit Outline for the specific Assessment Task, any paper with less than five (5) references may be deemed not meeting a satisfactory standard and possibly be failed.

Content in Assessment tasks that includes sources that are not properly referenced according to the “Harvard Referencing Workbook” will be penalised.

Marks will be deducted for failure to adhere to the word count if this is specifically stated for the Assessment Task in the Unit Outline. As a general rule there is an allowable discretionary variance to the word count in that it is generally accepted that a student may go over or under by 10% than the stated length.

GENERAL NOTES FOR REFERENCING

References are assessed for their quality. Students should draw on quality academic sources, such as books, chapters from edited books, journals etc. The textbook for the Unit of study can be used as a reference, but not the Lecturer Notes. The Assessor will want to see evidence that a student is capable of conducting their own research. Also, in order to help Assessors determine a student’s understanding of the work they cite, all in-text references (not just direct quotes) must include the specific page number(s) if shown in the original. Before preparing your Assessment Task or own contribution, please review this ‘YouTube’ video (Avoiding Plagiarism through Referencing) by clicking on the following link: link:

http://moodle.kent.edu.au/kentmoodle/mod/folder/view.php?id=3606

A search for peer-reviewed journal articles may also assist students. These type of journal articles can be located in the online journal databases and can be accessed from the Kent Library homepage. Wikipedia, online dictionaries and online encyclopaedias are acceptable as a starting point to gain knowledge about a topic, but should not be over-used – these should constitute no more than 10% of your total list of references/sources. Additional information and literature can be used where these are produced by legitimate sources, such as government departments, research institutes such as the National Health and Medical Research Council (NHMRC), or international organisations such as the World Health Organisation (WHO). Legitimate organisations and government departments produce peer reviewed reports and articles and are therefore very useful and mostly very current. The content of the following link explains why it is not acceptable to use non-peer reviewed websites (Why can't I just Google?): https://www.youtube.com/watch?v=N39mnu1Pkgw (thank you to La Trobe University for access to this video).