Reference no: EM132312423 , Length: word count:2000

Corporate Accounting - Business Report Assignment

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.

ASSESSMENT DESCRIPTION: This assessment is designed to assess the students' ability to research and analyse accounting standards, and interpret how to apply relate corporate accounting concepts to various scenarios. It evaluates students' problem solving and researching skills and enables them to communicate the financial affairs of a company. The assignment is consist of 2 sections; the theory section which assesses the researching skills and case study section with complex calculations which allows the students to apply relevant accounting standards to the real life case.

Part A: A short essay about the following: Explain the accounting standard on fair value measurement.

Part B: Provide all calculations and related journal entries for the following case: Gali Ltd has determined that its fine china division is a CGU. The carrying amounts of the assets at 30 June 2015 are as follows:

Account	Carrying Amount
Equipment	$203,700
Franchise	$47,000
Furniture	$30,000
Inventory	$13,000
Goodwill	$11,000
Total CA	$304,700

 

Gali Ltd calculated the value in use of the division to be:	$271,700
If the fair value less costs of disposal of the Equipment is:	$195,718

Required - Prepare the journal entry(ies) for any impairment loss occurring at 30 June 2015 including supporting calculations.

Attachment:- Assignment Files.rar