Solved Assignments

Differentiate among FIFO, LIFO and Average inventory cost flow system

Question 1 (Periodic inventory system) Horan Ltd has the following inventory transactions for the month of December 2016. All inventory items are identical. During the month of December, the following inventory transactions took place in the Horan: Opening inventory recorded 1 December 2016; 1000 units @$10 Purchases on 1 December 2016; 3000 units @$12 Purchases on 12 December 2016; 4000 units @$14 Purchases on 21 December 2016; 2000 units @$15 Horan Ltd sells 8000 units during the month and has 2000 units on hand at the month end. At the month end, the net realisable value of the inventory item is $20 per unit. Required: Compute the costs of sales and ending inventory following the periodic system to record inventory the…

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Carnival Corporation has recently placed into service some of the largest cruise ships

Carnival Corporation has recently placed into service some of the largest cruise ships in the world. One of these ships, the Carnival Glory, can hold up to 3,000 passengers and cost $510 million to build. Assume the following’ additional information: The average occupancy rate for the new ship is estimated to be 80% of capacity. There will be 300 cruise days per year. The variable expenses per passenger are estimated to be $75 per cruise day. The revenue per passenger is expected to be $310 per cruise day. The fixed expenses for running the ship, other than depreciation, are estimated to be $78,000,000 per year. The ship has a service life of 10 years, with a salvage value of $85,000,000 at…

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Polly is a Year 9 student. She currently has $3,000 in a savings account

Question 1 Polly is a Year 9 student. She currently has $3,000 in a savings account that pays 4% annually. She intends to use her current savings plus what she can save over the next 4 years to buy a car. The car will cost $15,000 in 4 years. How much should she save each year if she intends to purchase the car in 4 years? All relevant cash flows will occur at the end of each year and interests are compounded yearly. Ben took up a loan to purchase a farm machine. The terms of his loan require him to make quarterly payments of $3,434 over 7 years. The relevant rate of interest is 7.2% per year, compounded quarterly. For…

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BUDGETED FINANCIAL STATEMENTS – Sachin Reddy operates a gift store at Brightwater Mall called Lucky Star

Sachin Reddy operates a gift store at Brightwater Mall called Lucky Star. Sachin’s estimate of sales are given in the table below. Sales tend to reduce in the winter.   Projected Sales   Month $ April 56,000 May 55,000 June 45,000 July 40,000   As a general rule 70% of sales are for cash with the remainder on credit. Of the credit sales, 90% will be received in the month after sale and the balance two months after. Purchases and Inventories Sachin sources most of the gifts from wholesalers in the Nelson region. Goods are purchased in anticipation of the next month’s sales. The purchases cost is 65% of the selling price. The wholesalers give a month’s credit with payment due…

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ACC515 – You wish to go on an overseas family holiday

Question 1 (a) You wish to go on an overseas family holiday in 15 months’ time which will cost $20,000. If your financial institution is offering you 6% pa (compounded monthly), how much do you need to deposit in your account each month in order to save the required amount before you go on holidays? (b) You have been offered the opportunity to purchase a mining business investment which is priced at $16,000,000. The investment involves some start-up costs in the first years and some mine re-mediation costs after the project is completed in 10 years. The expected cash flows for the project are below and you have an expected rate of return of 15% pa. End of year Cash flow…

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ACST101 Finance 1A – Excel Assignment, Session 1 2019

ACST101 Finance 1A – Excel Assignment, Session 1 2019 General Instructions All students must submit an Excel assignment of their individual own work. Rewording something that someone else prepares constitutes cheating. No soliciting answers from others. No providing answers for others. Download the Excel Assignment Template from iLearn and save it with the name of “studentfamilyname” “IDnumber” S1 2019.xlsx, e.g., Smith 45678901 S1 2019.xlsx. Use Microsoft Excel for Windows or Mac. The version can be no older than Microsoft Office 2013. If in doubt, use a computer lab at the University. Don’t just switch to use another computer unless you know it uses the correct version. A penalty of 5 marks applies if the sheets are found to be unprotected, which…

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Rishi Preetam Thiruthani Ltd is an established retail business

Rishi Preetam Thiruthani Ltd is an established retail business. Data from the 2018 financial statements has been extracted and entered for all of the opening balances with the exception of Retained earnings. You are required to calculate and enter the opening balance for Retained earnings. Additional information Other current assets relate to prepaid selling & marketing expenses. Other current liabilities are accrued expenses relating to administrative expenses. The item Investments comprises a combination of long-term cash deposits and/or shares held in other entities. The following is a summary of transactions and events for the financial year ending on 30 June 2019 Event 1. Paid occupancy expenses of $555. Event 2. Credit purchases of inventory were $3,553. There were no cash purchases.…

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ACCT305 Accounting Information Systems Excel – Adjusted Trial Balance of John Brown Home Services

John Brown is the owner of John Brown Home Services. This Company provides service such as cleaning, car details, lawn and gardening to customers in Melbourne. The adjusted trial balance columns of the worksheet for John Brown Home Services are as shown in Table 1 below.   Table 1. Adjusted Trial Balance of John Brown Home Services John Brown Home Services Worksheet for the month ended 31 August 2019 Account Adjusted trial balance Income statement Balance Sheet Debit Credit       Debit   Credit   Debit   Credit   Cash at Bank $45,000           Accounts Receivable      19,500           Prepaid Rent        7,500           Equipment   37,500      …

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MAA262 – Management Accounting – The table below has the amounts spent on quality costs

Question 2 The table below has the amounts spent on quality costs: Activity Year 1 Year 2 Year 3 Systems development $0 $150 $0 Technical support to suppliers of components $0 $175 $175 Technical support to suppliers of raw material $0 $160 $150 Field testing at customers’ sites $0 $275 $275 Inspection on assembling line $0 $500 $500 Rework on assembling line $450 $45 $20 Warranty repairs of delivered products $700 $500 $400 Warranty replacements for products $1,750 $1,300 $1,000 Total quality costs $2,900 $3,105 $2,520   Required Considering the activities listed in the table above, classify these 8 activities among the four types of quality costs. Provide an example of an appraisal cost, different from the activities listed on the…

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FIN201 – Corporate Finance – If you deposit $100 in one year

Question 1: If you deposit $100 in one year, $200 in two years, and $300 in three years, how much will you have in three years? How much of this is interest? How much will you have in five years if you do not add additional amounts? Assume a 7% interest rate throughout. Bond has a face value of $100 with coupon rate of 14% paid semi-annually; the bond has 7 years to maturity and the yield to maturity is 16%. What is the bond price? What is the effective annual yield on this bond? What is the expected return on this portfolio? What is the beta of this portfolio? Does the portfolio have more or less systematic risk than an average asset?…

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ACC203 – Foxwood Company is a metal and woodcutting manufacturer

ACC203 Assignment    Question 2 Foxwood Company is a metal and woodcutting manufacturer, selling products to the home construction market. Consider the following data for 2018:   Sandpaper $2,000 Materials-handling costs 70,000 Lubricants and coolants 5,000 Miscellaneous indirect manufacturing labour 40,000 Direct manufacturing labour 300,000 Direct materials inventory 1 Jan 2018 40,000 Direct materials inventory 31 Dec 2018 50,000 Finished goods inventory 1 Jan 2018 100,000 Finished goods inventory 31 Dec 2018 150,000 Work in process inventory 1 Jan 2018 10,000 Work in process inventory 31 Dec 2018 14,000 Plant leasing costs 54,000 Depreciation – plant equipment 36,000 Insurance on plant equipment 3,000 Direct material purchased 460,000 Sales revenues 1,360,000 Marketing promotions 60,000 Marketing salaries 100,000 Distribution costs 70,000 Customer service…

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Preparation of accounting records – using spreadsheets – Flash Cleaning Services

Preparation of accounting records – using spreadsheets Flash Cleaning Services commenced operations on 1 July 2018. The company opened a cleaning business – providing cleaning services to local schools, preschools and childcare centres. During its first month of operations, the following transactions occurred: Date Transaction details   1 July 2018 Sally Flash invested $30,000 into the business, and the money was deposited into the bank account. Sally Flash operates the business as a sole-trader.   1 July 2018 Flash Cleaning Services borrowed $20,000 from the bank. The loan is interest-only, and interest is charged at 12% p.a.   1 July 2018 Flash Cleaning Services purchased a motor vehicle – a van that will be used for the cleaning business. The motor…

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