Cl_TransReportLedgers_AE_Sk3of4 (2) (2)
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TAFE NSW - Sydney Institute *
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Course
3
Subject
Accounting
Date
Feb 20, 2024
Type
docx
Pages
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Uploaded by MajorRaccoon4009
Skills Assessment 3 of 4
Criteria
Unit code, name and release number
FNSACC311 | Process financial transactions and extract interim reports
FNSACC312 | Administer subsidiary accounts and ledgers
Qualification/Course code, name and release number
Teaching staff/student to select the correct qualification the student is enrolled in from the below dropdown list:
Student details
Student number
881074465
Student name
Wyatt Frendo
Assessment Declaration
Note: If you are an online student, you will be required to complete this declaration on the TAFE NSW online learning platform when you upload your assessment.
This assessment is my original work and has not been:
plagiarised or copied from any source without providing due acknowledgement.
written for me by any other person except where such collaboration has been authorised by the Teacher/Assessor concerned.
Student signature and date
Wfrendo 21/11/23
Document title: Cl_TransReportLedgers_AE_Sk3of4
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Resource ID: PRJ0059792
_Cl_TransReportLedgers_AE_Sk3of4
Version:
20210816
Date created:
3 September 2020
Date modified:
16 August 2021
© 2021 TAFE NSW
RTO Provider Number 90003 | CRICOS Provider Code: 00591E
This assessment can be found in the: Learning Bank
The contents in this document are copyright © TAFE NSW 2021 and should not be reproduced without the permission of TAFE NSW. Information contained in this document is correct at the time of printing: 11 February
2024. For current information please refer to our website or your Teacher/Assessor as appropriate.
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Assessment instructions
Table 1 Assessment instructions
Assessment details
Instructions
Assessment overview
The aim of this assessment is to assess your skills in:
Processing financial transactions and extracting interim reports
Administering subsidiary accounts and ledgers
Assessment Event number
3 of 4
Instructions for this assessment
This is a skill based assessment and will be assessing you on your ability to demonstrate skills required in both of the units listed above.
This assessment is in one part:
Part 1 Practical tasks
And is supported by:
Source documents - Cl_TransReportLedgers_AE_Sk3of4_Appx_SourceDocuments
Finance Policy and Procedure Manual of Plan2go
Note
: This assessment may contain links to external resources. If a link does not work, copy and paste the URL directly into your browser.
Submission instructions
On completion of this assessment, you are required to submit it to your Teacher/Assessor for marking. Where possible, submission and upload of all required assessment files should be via the TAFE NSW online learning platform. It is important that you keep a copy of all electronic and hardcopy assessments submitted to TAFE and complete the assessment declaration when submitting the assessment. What do I need to do to achieve a satisfactory To achieve a satisfactory result for this assessment you must be available at the arranged time to complete all the assessment criteria as outlined in the assessment instructions.
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Assessment details
Instructions
result?
If a resit is required to achieve a satisfactory result it will be conducted at an agreed time after a suitable revision period.
What do I need to provide?
TAFE NSW student account username and password. If you do not know
your username and password, contact your campus or service centre on
131601.
Access to: •
office equipment including a calculator
•
computer with relevant software •
internet access
•
student workbook, training materials and other research you have completed
What the assessor will provide?
Access to this assessment and learning resources, including the student workbook and any supporting documents or links.
Source documents Cl_TransReportLedgers_AE_Sk3of4_Appx_SourceDocuments
(https://share.tafensw.edu.au/share/items/b4f1a61a-3674-4ca1-8035-
3921df048491/0/?attachment.uuid=c6c37279-666b-4609-a825-
dc4d2b0cf862)
Finance Policy and Procedure Manual of Plan2go
(https://share.tafensw.edu.au/share/items/b4f1a61a-3674-4ca1-8035-
3921df048491/0/?attachment.uuid=52147ca1-c011-4d7f-9986-
0a2d4ce8e11d)
Instructions to access TAFE NSW online learning platform (e.g. TAFE Digital Campus, Moodle) and or Microsoft teams or Adobe Connect if required.
Due date
Time allowed
Venue
The assessment must be submitted by the due date noted on the Unit Assessment Guide or on the learning platform. 3 hours (indicative only) TAFE Digital Campus/ TAFE NSW Moodle
Assessment In accordance with the TAFE NSW policy Manage Assessment Appeals, Document title: Cl_TransReportLedgers_AE_Sk3of4
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Assessment details
Instructions
feedback, review
or appeals
all students have the right to appeal an assessment decision in relation to how the assessment was conducted and the outcome of the assessment. Appeals must be lodged within 14 working days
of the formal notification of the result of the assessment. If you would like to request a review of your results or if you have any concerns about your results, contact your Teacher or Head Teacher. If they are unavailable, contact the Student Administration Officer.
Specific task instructions
The instructions and the criteria in the tasks and activities below will be used by the Teacher/Assessor to determine whether the tasks and activities have been satisfactorily completed by the student. Use these instructions and criteria to ensure the student demonstrates the required skills and knowledge.
If this assessment requires the student to record information, the Teacher/Assessor will provide the appropriate document/template.
The structure of this assessment is as follows:-
Complete the Practical Tasks
Complete student declaration and upload completed assessment to Learning Platform for marking.
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Part 1: Practical Tasks
You will need to refer to the Finance Policy and Procedure Manual of Plan2go Trading as Piper Retail Services to complete some Tasks in this assessment. This document reference is Finance Policy and Procedure Manual of Plan2go
.
Once completed you will need to submit this assessment and the tasks and activities you are required to complete to your assessor for marking as instructed.
Task 1: Prepare Journal Entries
Refer to the Finance Policy and Procedure Manual of PLAN2GO trading as Piper Retail Services Section 11 Accounting requirements and financial reporting
to complete this Task in accordance with organisational requirements.
Required
Using a range of industry-accepted accounting conventions, processes and procedures, perform the following:
Refer to the Source documents provided to you by the Finance Assistant for the month of June 20X1. This document reference is Cl_TransReportLedgers_AE_Sk3of4_Appx_SourceDocuments
a)
CHECK
and VERIFY
the transactions in accordance with policies and procedures for accuracy, consistency and completeness. Correct any invoices according to the company procedure.
b)
ANALYSE
the source documents to determine which journal they will be entered on. (Sales, purchases, cash receipts, cash payments or general journal).
c)
PREPARE
the sales, purchases, cash receipts, cash payments and general journals according to the organisational policies and procedures and within the specified timeframe. Enter the journal entries on the templates provided. d)
JOURNAL AUTHORISATION
: Initial each journal as the preparer and submit for processing with the required authorisation
e)
FILING
: File documents as per organisational policy.
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On the following pages, you will find Templates for the various journals you will need to record the transactions in:
General Journal
Cash Receipts Journal
Cash Payments Journal
Sales Journal
Purchases Journal
Use the chart of accounts for Plan2go Trading as Piper Retail Services provided to help you identify the correct account for Folio References. If you require additional lines in the journals, just insert them.
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Chart of Accounts of PLAN2GO Trading as Piper Retail Services
Account Number
Account Name
ASSETS
Current Assets
1-1001
Accounts Receivable
1-1002
Bank
1-1003
GST Paid
Non Current Assets
1-2001
Computers & Printers
1-2002
Fixtures & Fittings
1-2003
Office Furniture
LIABILITIES
Current Liabilities
2-1001
Accounts Payable
2-1002
GST Collected
Non Current Liabilities
2-2001
Long Term Loan (TAFE Bank)
PROPRIETORSHIP
3-1001
Capital
3-1002
Drawings
INCOME
4-1001
Equipment Hire 4-1002
Interest Income
Cost of Sales
5-1001
Diesel, Oil, Lubricant 5-1002
Freight
EXPENSEs
6-1001
Repairs and Maintenance
6-1002
Photocopier charges
6-1003
Subscriptions
6-1004
Cleaning
6-1005
Salaries & Wages
6-1006
Bank fees and charges
6-1007
Rent
6-1009
Mobile & Internet
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a) Invoice Correction
Blank Tax Invoice for student to complete:
Piper Retail Services
TAX INVOICE
Replacement 127 Piper Street Kingsway NSW 2999
DATE: 5/6/x1
ABN: 70 123 456 789
INVOICE #
5021
BILL TO:
Star Traders Pty Ltd
Customer No: STR001
225 Roe Street
Kellyway NSW 2185
DESCRIPTION
HOURS
RATE
AMOUNT
Cleaning Equipment Hire
6
180
1080.00
SUBTOTAL $1080.00
FREIGHT 0.00
SUBTOTAL $1080.00
10% GST $108.00
TOTAL $1188.00
Please make all cheques payable to Piper Retail Services
Total due in 30 days. Overdue accounts subject to a service charge of 1% per month.
Discount of 3.5% for payment prior to due date
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Authorisation:……………………………….
WFRENDO
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Refer to the organisational Finance policy and procedure manual. What is the timeframe for preparing customer invoices and what are the compliance requirements? Your answer should be between 5 and 10 words
Immediately after following delivery of service or material, no later than within 5 working days after month end.
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b) & c) Prepare journals within the required timeframe
General Journal of Piper Retail Services
GJ08
Date
Details
Folio
Debit
$
Credit
$
15/6/x1
Drawings -
Oil and lubricant taken by owner for own use
3-1002
55
15/6/x1
Diesel, Oil, Lubricant -
Oil and lubricant taken by owner for own use
5-1001
50
15/6/x1
GST Paid –
Oil and lubricant taken by owner for own use
1-1003
5
30/6/x1
Bank -
Input error for EST Canoe club account
1-1002
295
30/6/x1
Accounts receivable – Est canoe club -
Input error for EST canoe Club account
1-1001
295
30/6/x1
Bank -
Input error for EST Canoe club account
1-1002
795
30/6/x1
Accounts receivable – EST canoe club -
Input error for EST canoe club account
1-1001
795
Authorised for processing…………WF………………
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Piper Retail Services SALES JOURNAL
SJ08
Date
Inv
No
Acc Rec
Folio
A/C Rec
Equipment
Hire
GST
Collected 1/6/x1
5020
Accounts Receivable - EST Canoe Club
1-1001
$165.00
$150.00
$15.00
5/6/x1
5021
Accounts Receivable - Star Traders Pty Ltd
1-1001
$1188.00
$1080.00
$108.00
7/6/x1
5022
Accounts Receivable - Ted’s Tyres Pty Ltd
1-1001
$528.00
$480.00
$48.00
10/6/x1
5023
Accounts Receivable - Jack’s
Garage
1-1001
$1419.00
$1290.00
$129.00
15/6/x1
5024
Accounts Receivable - Ted’s Tyres Pty Ltd
1-1001
$660.00
$600.00
$60.00
29/6/x1
5025
Accounts Receivable - Jack’s
Garage
1-1001
$594.00
$540.00
$54.00
16/6/x1
CN010
Accounts Receivable - Jack’s
Garage
1-1001
-$165.00
-$150.00
-$15.00
1-1001
4-1001
2-1002
4389
3990
399
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Authorised for processing:………WF…………………
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Piper Retail Services PURCHASES JOURNAL
PJ08
Date
Inv No
Acc Pay
Folio
A/C Pay
Diesel
Oil
Lubricant Freight
Repairs &
Photocopy
Cleaning Subscriptions
GST
Maintenance
Expenses
Paid
3/6/x1
549
Accounts Payable - HP Copy Services
2-1001
$145.86
$89.00
$43.60
$13.26
5/6/x1
94386
Accounts Payable - Diamond heart fuel supplies
2-1001
$418.00
$360.00
$20.00
$38.00
7/6/x1
C00143
Accounts Payable - Diamond heart fuel supplies
2-1001
-$22.00
-$20.00
-$2.00
12/6/x1
1457
Accounts Payable - YZ Machinery Supplies
2-1001
$704.00
$640.00
$64.00
15/6/x1
94532
Accounts Payable - Diamond heart fuel supplies
2-1001
$401.50
$345.00
$20.00
$36.50
18/6/x1
121189
Accounts Payable - Spotless Cleaning
2-1001
$440.00
$400.00
$40.00
25/6/x1
876114
Accounts Payable - APS Publications
2-1001
$330.00
$300.00
$30.00
2-1001
5-1001
5-1002
6-1001
6-1002
6-1004
6-1004
1-1003
2417.36
685
40
729
43.60
400
300
219.76
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Authorised for processing:………WF…………………
Piper Retail Services CASH RECEIPTS JOURNAL
CR08
Date
Rec
No
Drawer
Folio
Bank
Acc
Equipment Interest
GST
Rec
Hire
Rcd
Collected
2/6/x1
0148
Equipment hire - Cash Sale
4-
1001
$165.00
$150.00
$15.00
2/6/x1
0149
Equipment hire - Jacks Garage
4-
1001
$1200
1200
$1090.91
4/6/x1
0150
Equipment hire - Cash Sale
4-
1001
$396
$360.00
$36.00
12/6/x1
0151
Equipment hire - Ted’s Tyres Pty Ltd
4-
1001
$1287
$1287
$1170.00
15/6/x1
0152
Equipment hire - EST Canoe
Club
4-
1001
$440.00
$440.00
$400.00
20/6/x1
0153
Equipment hire - Ted’s Tyres Pty Ltd
4-
1001
$2200.00
$2200.00
$2000
22/6/x1
0154
Equipment hire - Cash sale
4-
1001
$528.00
$480.00
$48.00
25/6/x1
0155
Equipment hire - Jacks garage
4-
1001
$990.00
$990.00
$900.00
30/6/x1
Interna
l memo
Interest income
4-
1002
8.90
8.90
1-1002
1-1001
4-1001
4-1002
2-1002
7214.90
6117
6550.91
8.90
99
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CASH PAYMENTS JOURNAL
CP08
Date
Chq
No
Payee
Folio
Bank
Acc
Rent
Diesel Oil Mobile & Wages
Sundry
GST
Pay
Lubricant
Internet
Paid
1/6/x1
807126
Rent - Raine & Horne
6-1007
$880.00
$800.00
$80.00
2/6/x1
807127
Accounts payable - YZ Machinery supplies
2-1001
872
$792.73
4/6/x1
807128
Accounts payable - Dimond Head Fuel Supplies
2-1001
$695
631.82
5/6/x1
807129
Accounts payable - Dimond Head Fuel Supplies
5-1001
$55.00
$50.00
$5.00
10/6/x1
Salaries and wages - Cash - wages
6-1005
$2870.00
$2609.09
16/6/x1
Mobile and internet - VITell
6-1009
$187.00
$170.00
$17.00
22/6/x1
807130
Accounts payavle - HP
Copy Service
2-1001
$145.86
$132.60
26/6/x1
87131
DRAWINGS - Cash - Drawings
3-1002
$200.00
181.82
28/6/x1
807132
Accounts payable - Spotless Cleaning
2-1001
$440.00
$400.00
30/6/x1
Bank fee
Bank fees and charges
11
11
1-1002
2-1001
6-1007
5-1001
6-1009
6-1005
6-1006
1-1003
6355.86
1957.15
800
50
170
2609.09
192.82
102
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Refer to the Finance Policy and Procedure Manual. What is the organisation’s timeframe for processing the journals and finalising monthly accounts? Your answer should be between 5 and 10 words
Within 3 business days of the end of the month
d)
Journal authorisation After you complete and approve the journal, what is the next authorisation level prior to processing? Your answer should be between 2 and 5 words
Senior accountant
e)
Filing
Refer to the Finance Policy & Procedure Manual, how are invoices and supporting documentation filed? What is the timeframe for retaining invoices and supporting documentation? Your answer should be between 10 and 30 words
grouped by type and filed in date order in the files for the month
Retain records for 7 years
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Task 2: Banking
Banking is to be completed in accordance with organisational policy and procedure. Refer to Finance Policy and Procedure Manual Section 2 Bank account policy
.
Bank Account details of Piper Retail Services are:
Account name:
Piper Retail Service Trading Account
BSB:
024 442
Account No:
654987
Required:
Using a range of industry-accepted accounting conventions, processes and procedures, perform the following:
a)
Using the information in TASK 1, prepare a bank deposit using the appropriate deposit facility for customer receipts on 2/6/x1 to 4/6/x1.
Assume Customer Bank Account details are Big Bank Piermont Branch
TAFE BANK
Account Identification Number 024 442 654987
Please fill in the following particulars of cheques; proceeds will not be available until cleared
DRAWER
Bank
Branch
Amount
1
Jacks Garage
Big Bank
Piermont Branch
1200.00
2
3
4
5
6
7
8
Carried Forward Sub Total
1200.00
Paid in by –Signature
DATE 6/6/x1
DEPOSIT
JONES STREETS KINGSWAY NSW
DATE
6/6/x1
TELLER USE
Notes
$560
Account Identification Number Teller
$100
5
Coins
$1
024 442 654987
$50
1
Account Name
$20
0
Cheques
$1200.00
Piper Retail Services
$10
1
TOTAL $1761.00
ABN 70 123 456 789
$5
0
TOTAL
$561
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b)
Refer to the Finance Policy & Procedure Manual. What proof of lodgement will you need to keep for the above deposit? File proof of lodgement in accordance with the Finance Policy & Procedure Manual (provide file name). Your answer should be between 10 and 20 words.
Banked Stamped Deposit slips
20x1_July_ProofOfLodgement_06July
c)
You have been asked by your supervisor to bank funds for the week as the employee responsible for banking is away. As you have not done this role before, what steps will you take to determine the organisational policy and industry requirements for banking and apply these to bank funds in a safe and secure manner Your answer should be between 10 and 20 words
You can use the website below as a reference: Safety:
avoid quiet streets and alleyways. Don’t dress up. Use security bags.
Security: drive rather than walk. Tell bank expected arrival time and fellow employee expected return time. Vary route and time. As per policy and procedure manual 2.3 banking arrangements can me made or changed by the senior accountant
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d)
APS Publications requires payment of account as per Term of Payment (Refer to Tax Invoice in the Source documents). Prepare electronic payment to a supplier in accordance with payment terms.
TAFE BANK INTERNET PORTAL
PAYEE DETAILS
Payee Name
APS Publications
Payee’s Bank Name
Big Bank
Payee’s Bank BSB number 032 116
Payee’s Bank Account Number
2136548
Payee’s Account Name
APS Publications Trading
Description ( this will appear on the statement)
Invoice# 876114
PAYER DETAILS
Account Type
Trading account
Account Number
654987
Account Name
Piper Retail Service Trading Account
Amount
$330
Date for Payment
2/7/x1
Payment Frequency
(Pay once or Recurring)
Once
Confirm Details
(Yes/No)
Yes
Authorisation Wyatt
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Task 3: Subsidiary Accounts and Ledgers – Debtors Management
Task 3: Subsidiary Accounts and Ledgers – Debtors Management
Refer to the Finance Policy and Procedure Manual of PLAN2GO trading as Piper Retail Services Section 11 Accounting requirements and financial reporting
to complete this Task in accordance with organisational requirements
Piper Retail Services customer, Jack’s Garage is a regular client, hiring equipment. Piper invoices Jack’s Garage as they provide their services. Jack’s Garage usually pays for each month's invoices on the first or second day of the following month.
As at 1st Apr 20X1 Jack’s Garage owes Piper Retail Services $1,452.00, which it pays on 2nd May 20X1.
On the 2nd June 20X1, Jack’s Garage pays Piper retail Services $1 200 for hire services provided in May. This amount does not agree with Piper Retail Services accounting record for Jack’s Garage for the same period.
Below is Jack’s Garage remittance advice which shows how payment was calculated and an extract from Piper Retail accounts receivable ledger for Jack’s Garage, showing a balance of $582.00 as at 2nd June 20X1
Jack’s Garage Remittance Advice
To: Piper Retail Services
Account No: PPR002
Date
Particulars
Debit
Credit
Balance
20X1
$
$
$
Apr 1
Balance brought forward
1,452.00
1,452.00
20X1
May 2
Cheque 7382 – Payment to Piper Retail
1,452.00
0.00
6
Purchase invoice 4891
528.00
528.00
9
Purchase invoice 4932
495.00
1,023.00
11
Credit note CN 008
165.00
858.00
20
Purchase invoice 5001
198.00
1,056.00
27
Purchase invoice 5012
189.00
1,245.00
Discount for early payment
45.00
1,200.00
31
Cheque 7485 Payment to Piper Retail
1,200.00
0.00
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Piper Retail Services Accounts Receivable Subsidiary Ledger as at 2
nd
June 20X1
Accounts Receivable Jack’s Garage
Folio 1-104
Date
Particulars
Folio
Debit
Credit
Balance
20X1
$
$
1 Apr
Opening Balance
1,452.00
2/5
Payment Received
CR5
1,452.00
0.00
6/5
Sale invoice 4891
SJ5
528.00
528.00
8/5
Sale invoice 4932
SJ5
495.00
1 023.00
10/5
Sales credit CN 008
SJ5
165.00
858.00
19/5
Sales invoice 5001
SJ5
198.00
1,056.00
21/5
Sales invoice 5012
SJ5
198.00
1,254.00
31/5
Sales invoice 5019
SJ5
528.00
1,782.00
2/6
Payment received Chq 7485
CR5
1,200.00
582.00
Assume Piper Retail Services accounts receivable ledger for Jack’s Garage is correct if there is
a discrepancy in any of the figures.
Required
a)
Prepare a reconciliation of the Subsidiary ledger for Jack’s Garage (balance $582.00 as at 2nd June 20X1) to the Remittance advice balance of $0.00. Ensure that you check customer receipts for accuracy, consistency and completeness.
Jack’s Garage - Accounts Receivable Reconciliation as at 2 June 20X1
$
$
$
Opening balance
582
Invoice 5019
528
54
Discounts
45
9
Invoice 5012 error
9
0
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b)
What action do you need to take as the Accounts Receivable clerk to investigate each discrepancy between the customer’s record and company record? Your answer should be between 10 and 30 words
Get in contact with Jacks Garage regarding Purchase 5012 as there was an underpayment made. First contact – phone or email – keep record of conversation or email.
Invoice 5019 has not been paid yet
Discounts have been applied yet not accounted for
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Task 4: Subsidiary Accounts and Ledgers – Bad Debts Management
Refer to the Finance Policy and Procedure Manual of PLAN2GO trading as Piper Retail Services Section 10 Customer debt collection policy for this task.
Assume the date for this task is 31 May 20X1
.
Piper Retail Services Accounts Receivable Subsidiary Ledger for Sunny Cleaning Service
Extract Accounts Receivable
– Sunny Cleaning Service
Folio 1-106
Date
Particulars
Folio
Debit
Credit
Balance
20X1
$
$
$
20X1 Jan 15
Sales invoice 4217
SJ1
590.00
590.00 Dr
20X1 Feb 20
Sales credit CN02
SJ2
45.00
545.00 Dr
27
Sales invoice 4243
SJ2
165.00
710.00Dr
20X1 Mar 1
Sales invoice 4252
SJ3
785.00
1,495.00 Dr
5
Bank rec no: 043
CR3
165.00
1,330.00Dr
20
Sales invoice 4297
SJ3
485.00
1,815.00Dr
20X1 Apr 15 Bank rec no: 048
CR4
785.00
1,030.00 Dr
20X1 Apr 18
Cheque dishonour – Cheque 00215
CR4
785.00
1,815.00 Dr
Required
Using a range of industry-accepted accounting conventions, processes and procedures, perform the following:
a)
Review the debtor’s ledger of Sunny Cleaning Services and complete the aged debtor’s analysis report for Piper Retail Services as at 31 May 20X1. Piper Retail Services Aged Debtors Report as at 31 May 20X1
Account name
Account
Ref
Balance
$
Current
(May)
$
30 Days
(April)
$
60 Days
(March)
$
90 Days and over
$
EST Canoe Club
1-101
1,995.00
165.00
630.00
1,200.00
Star Traders
1-102
1,050.00
1,050.00
Ted’s Tyres Pty Ltd
1-103
2,200.00
2,200.00
Jack’s Garage
1-104
1,782.00
1,782.00
Sunny Cleaning Service
1-106
1815
0
1270
545
Total
8842
4147
1680
2470
545
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b)
Review the above report and identify customers in default of trading terms according
to organisational trading policy. Outline debt recovery type and debt recovery plan (if
applicable) for each customer based on their balances in the aged debtors' report and notes in the overdue customer record. Refer to the organisation Finance Policy and Procedure Manual. Your answer should be between 80 and 100 words.
Piper Retail Service Debtor Action Report as at 31 May, 20X1
Account name
Action required
EST Canoe Club
Direct contact – 60 days or more – should have sent a second reminder notice now – secure a payment date and put services on hold
Star Traders
Overdue reminder notice – try calling, if cant get through – send 1
st
overdue reminder notice via email or mail and make note of any attempt to contact
Ted’s Tyres Pty Ltd
no action is needed as everything is current
Jack’s Garaged
No action is needed as everything is current
Sunny Cleaning Service
Final notice is to be issued – this will be the 3
rd
reminder notice – the final
notice is to be sent via email or main
Sunny Cleaning Service – Customer Collection Notes
28/3 – rang client regarding invoice 4217 for $590.00
. Client advised cannot find the invoice.
10/4 – rang client regarding outstanding account – client advised invoice for February
balance is still missing. Promised payment for remaining March account balance.
3/5 – rang client regarding outstanding account and bounced cheque – client did not answer.
8/5 – sent client 1
st
overdue reminder notice by email – no response
15/5 – rang client regarding payment for outstanding account – again no answer
15/5 - sent client overdue reminder notice by email – email address bounced
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c)
Construct an email to Start Traders about the outstanding debt and request payment.
To: StarTraders@ymail.com
From: AccountsReceivable@PiperRetail
Date: (Insert current date)
Subject: Star Traders Account
Dear Star Traders,
Please be advised of this formal notice of an overdue account with Piper Retail Service. Please find attached the outstanding invoices for reference.
Your account is now overdue with an amount of $1050.00 outstanding for 30+ days.
Please let us know if there are any issues with payment or the outstanding invoices, and please advise an expected payment date.
All the best.
Thanks and kind regards,
d)
Review previous activities and communication with Sunny Cleaning Services and comment on the adequacy of follow-up procedures to recover debt. What follow up procedure need to be implemented to ensure recovery of debt? Develop a plan to pursue debt recovery to comply with organisational policy for recommendation to Senior Accountant about the debt owed by Sunny Cleaning Service
? Use the Debt Recovery Plan Template to prepare a report to Senior Accountant for approval recommending a course of action. Your answer should be between 50-80 words.
First contact did not ask when they will receive payment – assumed that client has been sent invoice – first contact should have been sooner.
Did not advise how many people they attempted to contact – did not get a date
Couldn’t get ahold of them – emailed but didn’t advise that the account is to be put on hold
Send mail too
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Debt Recovery Plan - Report to Senior Accountant
Debt Recovery Plan (insert Customer Name)
Information
Details
Customer name
Suny Cleaning Service
Amount owning
$1815
No days in arrears
60 days $1,270 and 90 days + $545
Action to be taken
(specify type of contact)
Final notice to be next action – sent by email or mail
Debt recovery type
Debt collection not financially effective
Recommended action
After final notice
Close account – write off bad debt – do not engage in business with client in future
Senior Accountant approval
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e)
In accordance with the policies and procedures, write an email to distribute the Aged
Debtors Report, Action Report and Debt Recovery Plan to appropriate personnel and file in accordance with company policy and procedure. Your answer should be between 10 to 20 words.
To: From: AccountsReceivable@PiperRetail
Date: (Insert current date)
Subject: Aged Debtors Report and Action Report
Dear _____,
Please find the attached files.
Advise ASAP if cannot access or open files, and if you have any queries.
Thanks and kind regards,
Filed in _______20x1_Month_AccountsReceivable_StarTraders _________________________________
f)
Prepare the general journal entries required to make an Allowance for Doubtful Debts. Refer to the company’s policy on Doubtful Debts to calculate the amount of the allowance. Refer to Finance Policy & Procedure Manual Section 11.2.2 Aged Accounts. (Show calculations, round to the nearest dollar)
GJ….
Date
Details
Folio
Debit
$
Credit
$
xx.xx.xx
Doubtful debt
$452
xx.xx.xx
Allowance for Doubtful debt
452
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g)
Prepare the general journal entries required at the end of the period (30 June 20X1) to write off the debt owed by Sunny Cleaning Service. The client has declared bankruptcy and cannot be contacted.
GJ…..
Date
Details
Folio
Debit
$
Credit
$
xx.xx.xx
Bad debts
1650
xx.xx.xx
Gst collected
165
xx.xx.xx
Accounts receivable bad debts write off
1815
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TAX INVOICE
No
3250
Plant Supplies Pty Ltd
Maryville ABN 89 667 998 NSW 2076
Date:
27/5/X0
To: Connelly Pty Ltd Task 5: Subsidiary Accounts and Ledgers – Creditors Management
Connelly Pty Ltd placed a Purchase Order with a new supplier Plant Supplies Pty Ltd for gardening supplies as below. Prices quoted are excluding GST.
You, as the Accounts payable officer at Connelly Pty Ltd are required to process the invoice and arrange payment to the supplier.
Connelly Pty Ltd 111 Easy St BigTown 2995
ABN 61 789 456 321
Order Form Purchase Order No: PR002
To: Plant Supplies Maryville NSW 2076
Date: 25 May 20X0
Quantity
Description
Unit cost ($)
Total cost ($)
250 units
Plant Boxes
2.50
625.00
500 units
Seedlings 1.54
770.00
20 bags
Potting Mixture
8.50
170.00
Goods were received from the supplier as per the above order by the warehouse staff and matched to the delivery docket for accuracy and quality. Delivery was correct.
Plant Supplies Pty Ltd sent a Tax Invoice (below) to Connelly Pty Ltd Accounts Payable department for payment. Document title: Cl_TransReportLedgers_AE_Sk3of4
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Required: a)
Before paying the tax invoice, review the Tax Invoice for accuracy and compliance with requirements. Identify any errors on the Tax Invoice, ensure that all goods were received and the correct amount charged. Your answer should be between 20 to 30 words.
Plant boxes – correct amount – wrong price Seedlings – correct amount – correct price
Potting mixture – wrong amount – correct price
no payment information for EFT payment
No contact information
no addresses
b)
What steps will you take to rectify any errors? Your answer should be between 30 to 50 words.
Kindly get in contact with plant supplies and querie the invoice – note the amount ordered
and how it matches the amount supplied, however the invoice seems to have errors.
They will issue a credit.
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TAX ADJUSTMENT (Credit Note)
No
CN50
Plant Supplies Pty Ltd
Maryville ABN 89 667 998 887
NSW 2076
Date:
29/5/X0
To: Connelly Pty Ltd 111 Easy St BigTown 2995
ABN 61 789 456 321
Quantity
Description
Price
Total
250 units
-$1.00/unit
-$250.00
c)
Prepare the general journal entries to record the original Tax Invoice and Tax Adjustment received from the supplier (see below).
Connelly Pty Ltd
GJ….
Date
Details
Folio
Debit
$
Credit
$
Gardening supplies - COGS
1900
GST paid
190
Accounts payable – plant supplies Pty Ltd
2090
Accounts payavle – Plant supplies pty ltd
368.50
Gardening supplies COGS
335
Gst paid
33.5
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d)
The following Statement was received at the end of the month from Plant Supplies Pty Ltd. Check the statement for accuracy for tax invoices and tax adjustments received by Connelly Pty Ltd. (Assume Tax Invoices and Tax Adjustments dated 9/5/X0 to 11/5/X0 are correct). Prepare a reconciliation of the Subsidiary ledger for Plant Supplies Pty Ltd.
Supplier Statement
Plant Supplies Pty Ltd
STATEMENT
ABN 89 667 998 887 for the month of
Maryville
May 20X0
NSW 2076
TO:
Connelly Pty Ltd
111 Easy Street
BigTown NSW 2995
Terms
: 30 days from Invoice Date
Date
Reference
Description
Charges
Payments/
Adjustments
Balance
1/05/20X0
Balance from previous month
$236.00
8/05/20X0
Chq 00203
Payment
$224.20
$11.80
9/05/20X0
Inv 3222
Sales
$618.70
$630.50
10/05/20X0
Inv 3236
Sales
$896.50
$1,527.00
11/05/20X0
Adj CN41
Adjustment - Returns
$33.00
$1,494.00
25/05/20X0
Inv 3250
Sales
$2,090.00
$3,584.00
29/05/20X0
Adj CN50
Adjustment
$330.00
$3,254.00
> 60 days Overdue
30 days Overdue
Current
Total Amount Owing
$11.80
$3,242.20
$3,254.00
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Extract of Connelly Pty Ltd Accounts Payable Subsidiary Ledger as at 31nd May 20X0
Accounts Payable – Plant Supplies Pty Ltd
Folio 215-10
Date
Particulars
Folio
Debit
Credit
Balance
20X0
$
$
$
1 May
Opening Balance
236.00
4/5
Payment of April Balance Chq 00203
CP5
224.20
11.80
4/5
Discount CP5
11.80
0.00
10/5
Purchase Inv 3222
PJ5
618.70
618.70
12/5
Purchase Inv 3236
PJ5
896.50
1 515.20
13/5
Purchase Adj CN41
PJ5
33.00
1 482.20
25/5
Purchase Inv 3250
PJ5
2 090.00
3 572.20
31/5
Purchase Adj CN50
PJ5
368.50
3203.70
Plant Supplies Pty Ltd - Accounts Payable Reconciliation as at 31 May 20X0
$
$
Balance owing as per supplier statement
(3254)
Less adjustment on supplier statement (CN50)
(38.50)
Less discounts missing from supplier statement
(11.80)
Balance as per sub ledger
(3203.70)
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e)
Complete a short report to the Senior Accountant to identify any discrepancies a seek
authorisation for payment. Your answer should be between 20 to 40 words.
Accounts Payable Report
To: Senior Accountant From: (Insert Your Name)
Date: (Insert current date)
Subject: Plant Supplies Pty Ltd Supplier Statement
Discrepancies and recommended action:
Discount not added to supplier statement $11.80
Adjustment on supplier statement differing from credit note issued $38.50
Bring to suppliers attention and request an amended statement.
Senior Accountant Authorisation: f)
Prepare a cheque requisition and cheque to pay the supplier for the purchase made on 25 May to comply with organisation policy. CHEQUE REQUISITION
Cheque payable to: Plant Supplies Pty Ltd
Cheque No: 0216
Date: 10-06-x0
Details
Amount
Invoices
3250 $2090
Cn50 ($368.5)
1721.50
AMOUNT TO BE DRAWN:
1721.50
APPROVED BY: Date: (date)
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Date: 10/06/x0
To: plant supplies
For: $1721.50
This cheque:
000216
g)
Prepare the general journal entries to record the payment GJ….
Date
Details
Folio
Debit
$
Credit
$
10/06/x0
Accounts payable – Plant supplies pty ltd
Paid supplier chq000216
1721.50
10/06/x0
Bank account
1721.50
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Resource ID: PRJ0059792
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TAFE BANK
00216
BigTown Branch
Date: 10/6/X0
Pay_ -----Plant supplies------------------------
or bearer
The sum of --one thousand, seven hundred and twenty one dollars and fifty cents---------------
$1721.50
Connelly Pty Ltd 000216
024 442 654987 Signature
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Assessment feedback
NOTE: This section must
have the Teacher/Assessor and student signature to complete the feedback. If you are submitting through the TAFE NSW online learning platform, your Teacher/Assessor will give you feedback via the platform.
Assessment outcome
☐
Satisfactory
☐
Unsatisfactory
Assessor feedback
☐
Has the assessment declaration for this assessment event been signed and dated by the student?
☐
Are you assured that the evidence presented for assessment is the student’s own work?
☐
Was reasonable adjustment in place for this assessment event?
If yes, ensure it is detailed on the assessment document.
Comments
:
Assessor name, signature and date
Student acknowledgement of assessment outcome
Would you like to make any comments about this assessment?
Student name, signature and date
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The comparative balance sheets of Constantine Cavamanlis Inc. at the beginning and the end of the year 2020 are as follows.
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Jan. 1, 2020
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$ 13,000
$32,000
Inc.
Accounts receivable
91,000
88,000
3,000
Inc.
Equipment
39,000
22,000
17,000
Inc.
Less: Accumulated Depreciation-Equipment
17,000
11,000
6,000
Inc.
Total
$158,000
$112,000
Liabilities and Stockholders' Equity,
Accounts payable
$ 20,000
$ 15,000
5,000
Inc.
Common stock
100,000
80,000
20,000
Inc.
Retained earnings
38,000
17,000
21,000
Inc.
Total
$158,000
$112,000
Net…
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v Question Completion Status:
Florist Grump, Inc., had beginning retained earnings of $137,000. During the year, Florist Grump had net income of $63,000 and declared
and paid dividends of $18,000. What will be shown for ending retained earnings on Florist Grump's year-end balance sheet?
QUESTION 9
For the year ended December 31, Year 2
For the year ended December 31, Year 1
Revenues
$ 7,500
$ 500
Expenses
1,500
Net Income
December 31, Year 2
December 31, Year 1
Assets
$ 16,500
$ 1,000
500
Liabilities
Stock
300
300
Retained Earnings
1.$
200
Assume Year1 is the company's first year of business and there were $100 dividends in Year 1 and $100 dividends in Year 2. After
determining the missing amounts ($
Earnings 1.$
in the above…
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Quick ratio
Adieu Company reported the following current assets and current liabilities for two recent years:
Dec. 31, 20Y4 Dec. 31, 20Y3
Cash
$830
$1,090
Temporary investments
1,200
1,500
Accounts receivable
820
910
Inventory
2,100
2,500
Accounts payable
1,900
2,500
a. Compute the quick ratio on December 31 for each year. Round to one decimal place.
20Υ4
20Υ3
Quick Ratio
b. Is the quick ratio improving or declining?
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Assignment - 1. Credit Scores and Loans
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Match the option with the lowest monthly payment to highest monthly payment.
$12,000 loan with 1% simple
1.
lowest payment
interest over 7 years
$7,500 loan with 4% simple interest
2. second highest payment
over 5 years
$8,500 loan with 2% simple
3. third highest payment
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4. fourth highest payment
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The information for preparing a trial balance on a worksheet is obtained from
general journal entries.
financial statements.
business documents.
general ledger accounts.
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Redbird Company is considering a project with an initial investment of $300,000 in new equipment that will yield annual net cash flows of $57,626 each year over its seven-year life.
The company's minimum required rate of return is 12%.
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Estimating Allowance for Doubtful Accounts
Evers Industries has a past history of uncollectible accounts, as follows.
Age Class
Percent Uncollectible
Not past due
1 %
1-30 days past due
31-60 days past due
12
61-90 days past due
30
Over 90 days past due
75
Estimate the allowance for doubtful accounts, based on the aging of receivables information provided in the chart below.
Evers Industries
Estimate of Allowance for Doubtful Accounts
Not Past Days Past Days Past Days Past
Days Past
Due 1-30 Due 31-60 Due 61-90 Due Over 90
Balance
Due
Total receivables
1,124,500 607,400 233,000
121,600
96,500
66,000
1%
3%
12%
30%
75%
Percentage uncollectible
Allowance for doubtful accounts
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During the current year, Sokowski Manufacturing earned income of $332,760 from total sales of $5,640,000 and average capital assets of $12,000,000.
A. Based on this information, calculate asset turnover. If required, round your answer to two decimal places.
times
B. Assume sales margin is 5.9%, what is the total ROI for the company during the current year?. If required, round your answer to one decimal place.
%
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Assignment Problem
Anand Kalaimani Al Harthi SAOG located in Muscat Sultanate of Oman involved in manufacturing of
Drugs and Pharmaceutical Industry from 1981 to till now. The SAOG Company has provided the
following information for the months of September, October, November and December 2023.
Month
Sales
Material
Wages
Postage
Electrical
Other
September
Expense
Expense
10,000
6,000
350
1,200
1,000
5,000
October
12,500
7,500
550
2,400
2,000
6,000
November
13,600
8,200
850
3,600
3,000
5,500
December
19,400
9,000
950
4,800
4,000
3,200
Additional information:
a) Cash Balance on 1/10/2023 is RO X000000
b) Sales 25 per cent is for Cash in the same month. 50 per…
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Question 1
What is the Payback Period for the following investment?
Year
1
2
3
4
5
O a. 3.77
Ob. 3.73
Oc. 3.89
Od. 3.96
Cash Out
$ (1,600,000)
(710,000)
Cash In
550,000
580,000
610,000
640,000
670,000
A Moving to the next question prevents changes to this answer.
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900
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