ACCT1008- Accounting for Business

Accounting for Business Assignment – Learning Outcomes

The Assignment is a further opportunity to apply the knowledge and skills that you are developing. The Assignment also develops learning outcomes which are highly valued by the employers of accounting graduates: Knowledge, Judgement, Critical analysis and Problem solving skills, and Communication skills. Learning outcomes are the knowledge and skills that graduates are expected to know, understand and be able to do as a result of their learning. 

Communication skills

Employers want graduates who are strong communicators. Communication skills rank among the most important selection criteria that employers use when recruiting graduates (Source: Graduate Careers Australia). These three aspects of your written communication skills development will be assessed in the assignment to a maximum of 9 marks:

Paraphrasing,

Being relevant and the art of selection, and

An introduction to writing for a professional business audience.

Please refer to the resource Developing written communication skills in Accounting for Business on the course learnonline site. It has information about the three aspects of your written communication skills development and links to resources that will assist you develop your skills. As you use the resources in your assignment, remember that your studies is the perfect time to start developing these skills and appreciating their importance in your career.

Question 1:

General Journal, General Ledger, Trial Balance

Required:

Record the General Journal entries in the proforma provided on the following page to record each of the following transactions where required. Remember to format the journals correctly and include narration (explanation) for each journal entry.

Claude Cogsworth is the sole proprietor of Classic Clocks. He has been operating Classic Clocks successfully and has now decided to expand his business to include a watchmaking school. The following is a list of transactions that took place during the month of November 2017. 

Nov 1 Classic Clocks received $1,540 from a new student who has enrolled in the watchmaking school.

Nov 2 Claude Cogsworth visited a physiotherapist for a sore back as a result of an injury sustained while coaching the local soccer team. He paid $183 for the appointment using the business bank account.

Nov 4 Classic Clocks sold and delivered 4 new silver framed wall clocks to the Hilton Hotel for their foyer for $2 520 each. The Hilton Hotel paid 20% in cash and would pay the remaining amount within 30 days. 

Part B 

Required:

Post the General Journals recorded below to the General Ledger provided on the following page. Remember to foot each ledger to determine the ledger balance.

Nov 13 Classic Clocks purchased a new laptop for $2,760 cash. 

Nov 14 Busy Bee Cleaners Ltd cleaned the shop and left invoice #6435 for $120 with payment terms of 30 days.  

Nov 17 Classic Clocks purchased 7 new adjustable tables for the watchmaking school. The adjustable tables cost $896 each, 50% of the purchase was paid for in cash, with the balance payable in 30 days.

Nov 29 Classic Clocks paid the business electricity bill for the quarter which amounted to $1376.

Nov 30 Classic Clocks received the outstanding amount from the Hilton Hotel from the sale of the silver framed wall clocks on November 4th.

Question 2:  Conceptual Framework (10 marks)

**(Element: Asset, Liability, Revenue, Expense, Equity)

Claude Cogsworth has written to the managing partner of the accounting firm you work at because he is confused about some of the transactions you have recorded in question 1 Part A. 

Required:

Please write a letter in your own words to the managing partner of your accounting firm explaining the following with reference to your journal entries in question 1 Part A:

Explain with reference to the appropriate accounting definition the accounting element** that was credited on the 14th of November. 

Identify which accounting assumption is relevant to the transaction which occurred on November 2nd and explain in your own words how this assumption is relevant to recording the transaction. 

Up to an additional 3 marks will be awarded for following the formatting requirements below.