ACG 11 Accounting For Business Sp 3 Assignment 278 Marks Wei
Acg 11accounting For Business Sp 3assignment 278 Marks Weighting 20
Acg 11Accounting For Business, SP 3 Assignment Marks – Weighting 20% Here are the details for assignment 2. There are four (4) questions in this assignment. Please aim to complete the assignment a few days before the due date to allow for any unforeseen circumstances such as illness, family issues, work commitments etc. You may submit the assignment early if you have too many other commitments around the due date. The due date and time is stated in the unit outline and above.
It is your responsibility to ensure you factor in any time difference between Adelaide, South Australia (ACST) and your location when submitting your assignment. Please note that instructions relating to file types, files sizes and number of files are also provided when you actually log into Gradebook, but please note the following: 1. The assignment must be completed using the Word document template provided. No other formats or file types will be accepted. Due to the nature of Turnitin (the plagiarism software used by UniSA), students cannot scan images (such as hand written responses), or Excel calculations and insert as pictures. 2. To assist with marking, please delete the questions from the template prior to submission. 3. Remember to fill out the assignment coversheet which is the first page of this document. 4. All assignments must be lodged via the ACG11 Learnonline page. You can find the submission link under the ‘Assessment’ tab. Assignments submitted via e-mail (or any other method) will NOT be accepted. 5. Make sure that you upload the correct file. You will not be allowed to submit a second file if you discover (after the due date) that you have uploaded a draft version or the wrong file. Please note that this is an individual piece of assessment. Pay particular attention to the student declaration which forms a part of the cover sheet. You must type your name and the date in the appropriate field in this declaration. Best of luck with assignment 2.
Question 1 (25 marks) Gary Green has started a lawn mowing business (GG Grass of Home Mowing) as a temporary job/business which he intends to run until he starts his business degree at the University of South Australia in four months.
Gary has never owned or run a business before. To start the business on 1 April 2014, he deposited $1,000 into a new bank account opened in the name of the business. The $1,000 consisted of a $600 loan from his father and $400 of his own money. Gary rented some equipment, purchased supplies, and hired friends to mow and trim his customer’s lawns. At the end of each month Gary sent invoices to his customers.
On 31 July, he was ready to dissolve the business and start his university studies. As he was so busy, he kept few records other than his cheque book and a list of amounts owed to him by customers. At 31 July, Gary’s business account cheque book shows a balance of $690, and his customers still owe him $500. During the period, he collected $4,250 from customers. His cheque book lists payments for supplies totalling $400, and he still has fuel and supplies that cost a total of $50 on hand.
He paid his employees $1,900, and he still owes them $200 for their final week of work. Gary rented some equipment from Scholes Machine Shop. On 1 April, he signed a six-month rental agreement on lawnmowers and paid $600 for the full period. Scholes will refund the unused portion of the prepayment if the equipment is in good order when he returns it. In order to get the refund, Gary has kept the equipment in excellent condition.
In fact during May, Gary paid $300 to repair one of the mowers. To transport employees and equipment to jobs, Gary used a trailer that he bought for $300. He believes that the period’s work used up one-third of the trailer’s service potential. The business cheque book lists a payment of $460 for private cash withdrawals by Gary during the period. In July Gary paid back the money his father had lent to him.
Gary estimates that he spent approximately 70 hours working on the business during the period. He plans to recommence operations on a similar basis during major breaks in his university study and believes he will do better in later periods as he now has an existing customer base to work from. Required a) Prepare the business Income Statement for the period. (9 marks) b) Prepare the classified Balance Sheet at the end of the period. (11 marks) c) Was Gary’s venture successful? Give the reasons for your answer. 150 – 250 words only. (5 marks) Total for Question 1: 25 marks All calculations must be shown .
Solutions provided without calculations will not receive marks.