Reference no: EM133623144

Computer Based Assignment

Assignment Introduction:

In this assignment, the students are required to use the sets of Business Data given to complete the tasks required, which include:

Part 1 : Using Excel spreadsheet to record all the business transactions and end of month adjusting entries from the data given. Part 1 will be due in by the end of Week 9 on Friday 23.30 pm (Sydney time).

Part 2: Using MYOB Accounting program to record the same business transactions and end of month adjusting entries and generate the required reports from MYOB to submit in by then end of Week 11 on Friday 23.30 pm (Sydney time)

Business Data:
The business is a Home Furniture Retailer which buys from suppliers and sells to other retail businesses. The business name is "Student Name Furniture Pty Ltd" (students are to insert their name) and is located at Your Address - Sydney NSW 2000. The business' sales are both over-the- counter cash and credit to well-known customers.

 

Company Name	Address	ABN	Current Financial Year	Starter Chart
"Your name" Furniture Pty Ltd	Your Address	Your student Number	2022-23	Wholesale Furniture store

Financial Year: 1st July 2022 - 30th June 2023

Transaction Sources:
Cash registers - for cash sales Invoices - for credit sales EFT Transfers - for cash payments
Cash Register - for cash receipts
Bank statements - for direct charges and direct deposits Supplier invoices - for goods and services
Working papers - for adjusting and miscellaneous entries

GST
Please note that GST free items are bank fees, salaries and wages, commissions, interest expense, superannuation, and fines. Adjusting entries (Accruals) do not incur GST.

All other transactions incur GST. Invoices from Suppliers include GST. Product sale prices do not include GST. This means you must calculate the GST and add it to the quoted prices on all sales.

Balances as of 1 July 2022

TRIAL BALANCE YOUR NAME Furniture Pty Ltd as of 1 July 2022,
Account	Dr ($)	Cr ($)
Cash at Bank	30,500
Accounts Receivable	33,000
Inventory control	46,500
Prepaid Insurance	30,000
Shop Fixtures and Equipment	180,000
Accumulated Depreciation - Shop Fixt & Equip		60,000
Accounts Payable		21,500
GST payable (collected)		18,000
GST receivable (paid)	12,000
Accrued Expenses (e.g., Commission Payable)		15,000
PAYG Withholding Tax		2,000
Provision for dividend		9,000
Loan - noncurrent		100,000
Issued and paid-up capital		65,000
Retained Earnings		41,500
Total	332,000	332,000

Customers:

1. Students are required to make up their own unique customer names and addresses.

2. The business' credit policy is 30 days.

3. Information provided for customers and their balance as at 1 July 2022 is as follows:

Accounts Receivable Control
Customer Code	Balance Outstanding $	Days Outstanding
C01	13,000	30
C02	6,000	60
C03	6,500	30
C04	7,500	10
Total	33,000

Suppliers:
Students are required to make up their own unique supplier names and address.
Accounts Payable ledger has suppliers entered for trading stock as well as other goods and services acquired on credit.
Cash purchases are processed directly through the cash book.
All suppliers extend the normal 30-day terms, with no discount for prompt payment.
Information provided for suppliers and their balance as at 1 July is as follows:

Accounts Payable Control
Supplier Code	Balance Outstanding ($)	Invoice Date
S01 - Trading Goods	5,000	1st June
S02 - Trading Goods	2,500	5th June
S03 - Trading Goods	8,500	7th June
S04 - Telephone Co	1,000	12th June
S05 - Stationery	500	15th June
S06 - Advertising Co	1,700	16th June
S07 - Electricity	2,300	30th June
Total	21,500

Be sure to enter an ABN number for each supplier when creating the Supplier's account
otherwise there are taxation implications.
All suppliers must have an ABN Number.

Inventory:
1. Inventory unit measure is per furniture item
2. The business uses the perpetual inventory method of accounting for inventory, that is:
when inventory is purchased, it is added (debited) to ‘Inventory' account; and
when it is sold, the cost is debited against ‘Cost of sales' and credited against ‘Inventory'.
3. Information provided for inventory and their balance as at 1 July is as follows:

Inventory Control
Product Code	Quantity on Hand	Unit cost	Value of Inventory	Unit Sell Price Excluding GST
P01 - Dining Chairs	135	$100.00	$13,500	$180.00
P02 - Dining Table	12	$600.00	$7,200	$1,000.00
P03 - Office Desk	40	$150.00	$6,000	$300.00
P04 - Office chair	40	$120.00	$4,800	$240.00
P05 - Coffee Table	50	$300.00	$15,000	$600.00
TOTAL			$46,500

Transactions & Economic Events for July 2022
Data source- Suppliers' Invoices.
Dates shown are invoice dates, amounts include GST.

Date	Credit Purchases
1st Jul	Received invoice from S01 for 11 Dining Tables - stock item P02, for $7,260.
2nd Jul	Received invoice from S03 for 10 Coffee Tables - stock item P05, for $3,300.
7th Jul	Received invoice from S02, for 30 Office Desks- stock item P03, for $4,950.
14th Jul	Received invoice from S05 for Stationary $385.
24th Jul	Received invoice from S04 for telephone for the month $660.
26th Jul	Received invoice from S06 for advertising undertaken in July $715.
26th Jul	Received invoice from S01 for 100 dining chairs - stock item P01, for $11,000.

Data source - sales invoices and cash register tapes.
Sales include GST.

Date	Cash Sales
1st Jul	Sold 6 units of P01
10th Jul	Sold 4 units of P01 and 1 unit of P02
26th Jul	Sold 5 units of P03 and 5 units of P04 and 3 units of P05

Date	Credit sales
6th Jul	Invoice to C01 for 50 units of P01
10th Jul	Invoice to C02 for 30 units of P01 and 5 units of P02
19th Jul	Invoice to C03 for 25 units of P03 and 20 units of P04
27th Jul	Invoice to C04 for 15 units of P05

Data source - deposit book (cash receipts)
The daily over-the-counter cash sales are banked the same day. Other receipts include payments by account customers, as follows:

Date	Cash Receipts from Credit Customers
18th Jul	Customer C01 paid $6,000.00
20th Jul	Customer C02 paid $7,000.00
21st Jul	Customer C03 paid for balance of her account as at 30 June, plus the purchases during the month made prior to 20th July.
31st Jul	At the end of the month, after the depreciation charge was made for the month, the business sold old Shop Fixtures and equipment for cash for $5,500 (GST inclusive). The Fixtures and Equipment had a written down value of $2,000.00 at the time of sale. The Fixtures and equipment originally cost $18,000.

Data source - EFT (cash payments)

Date	Cash Payments
4th Jul	Paid sales commission owing to retail assistants of $15,000.00 previously accrued.
9th Jul	Paid balance as at 1 July owing to S05.
10th Jul	Paid balance as at 1 July owing to S06.

15th Jul	Paid June's PAYG withholding tax of $2,000.00
17th Jul	Paid S01 the balance of the account as at 1 July.
27th Jul	Paid balance as at 1 July owing to S04.
28th Jul	Paid balance as at 1 July owing S02.
31st Jul	The owners are paid $9,000 dividends, as provided in June.

Data source - Bank Statements

Date	Unrecorded Bank Statements items
18th Jul	Periodic payment for lease of POS equipment $990.00 for July.
31st Jul	Bank fees of $110.00 were charged to the account.

Data source - notes and working papers - Month end adjustments (Accruals)
No GST on accruals.

Date	Month end Adjustments (Accruals)
31st Jul	Shop fixtures and equipment are depreciated at 20% p.a. Straight line method and the entry for July 2021 (being 31 days of depreciation) needs to be made.
31st Jul	Sales commission earned by retail assistants, but not paid at 31st July amounted to $12,000.00.
31st Jul	Prepaid Insurance as at 30 June ($30,000.00) represented the premium paid on annual policy starting on 1 May 2021. Record the insurance expense expired for the month of July.
31st Jul	The company's long-term loan is at 7.00% p.a. Interest is paid quarterly but needs to be accrued for July (31 days).
31st Jul	Estimated electricity usage for July amounted to $2,100.00 and this amount is to be accrued as at 31st July.

Required Assessment Tasks

Part 2

You are required to use MYOB Accounting Program to record for all the business transactions and economic events relating to the business.

1. Set-up the business in MYOB - Remember to incorporate YOUR NAME as part of the business name.

2. Modify the chart of accounts as required to ensure that the transactions affecting the business are recorded and classified correctly.

3. Enter the 1 July 2022 Opening Balances to the General Ledger and set up the subsidiary ledger for Customers, Suppliers and Inventory.

4. Process all business transactions & economic events (adjusting Entries) for July 2022

5. Print reports for the month of July to be submitted, are as follows:

Accounts (General Ledger)
Transaction Journals = General Journal
Profit & Loss
Balance Sheet
Sales (Accounts Receivable)
Sales & Receivables Transaction Journals
Purchases (Accounts Payable)
Purchases & Payables Transaction Journals
Banking
Cash Disbursements Journal and Cash Receipts Journals
Inventory
Items List Summary