Reference no: EM132743878 , Length: word count:2000

GHL3001 Fundamentals of Management and Accounting - Gulf College

Learning outcome 1: Demonstrate knowledge and understanding of the meaning of accounting and various terms used in accounting; and

Learning outcome 2: Exhibit knowledge and comprehension of the rule of debit and credit, recording of transactions and preparation of special purpose books.

Assessment Task

Accounting is the process of identifying, measuring, recording, classifying, summarising, interpreting and communicating the financial transactions of an organisation or a concern to the interested users of the information. On this basic accounting concept, you need to prepare a report of 2,000 words by answering the following tasks. The structure of the report should be as follows:

I. Introduction (100 words)
a. Explain the meaning and different functions of accounting.
II. Discussion (1,800 words)
a. "Accounting records transactions and events that can be measured in money terms". In reference to this statement, an accounting is a limitation or an advantage? Support your answers with the reasons and examples.
b. Resignation given by the Marketing Manager is not recorded in the books of accounts. Why?
c. Which of the following is not recorded in the books of accounts? And why?
i. Sales of goods
ii. Payment of salary
iii. Quality of staff
d. Give an example for the following type of transactions that will:
i. Increase an asset and increase capital
ii. Increase an expense and increase a liability
iii. Increase an asset and decrease another asset
iv. Increase an expense and decrease an asset
v. Increase an asset and increase a revenue
You are required to record the transactions, identify the accounts involved in the transactions and state the nature of each account. Also mention how it increases or decreases the accounts for the transactions by applying the debit and credit rules.
e. Give examples of transactions took place in an electronics store. Record these transactions in a purchase book and return outwards book.
i. Electronic items purchased for cash (2 transactions)
ii. Electronic items purchased on credit (4 transactions)
iii. Electronic items purchased with trade discount (1 transaction)
iv. Electronic items purchased with cash discount (1 transaction)
v. Electronic items purchased on credit but returned to the supplier for defects (2 transactions)
III. Conclusion (100 words)

Attachment:- Fundamentals of Management and Accounting.rar