ACCT 1511: Accounting and Financial Management 1B

ACCT 1511: Accounting and Financial Management 1B 

Get assignment help for this.Mail us for query at assignment4finance@gmail.com

Topic 1 Financial Reporting Principles & Accounting Standards

Contents:

1.      Learning Objectives

2.     Questions for this topic 

3.     Lecture Slides

Lecturer:

Dr Per Tronnes

	Introduction and Learning Objectives
At the end of this topic, you should:

LO1. Introduction to differences between rules-based accounting and principles-based accounting.

LO2. Demonstrate principles, conventions, and assumptions that are consolidated in the Framework for the Preparation of Financial Statements.

Required Readings

     Framework for the Preparation and Presentation of Financial Statements (Available on Moodle)

         Amendments to the Framework (Available on Moodle)

         Trotman, Gibbins & Carson (TGC) 5th edition – Chapter 6.1-6.3, 6.5-6.7 (inclusive)

Additional References

Essay on why we Need Accounting Standards

Essay on Workers productivity is the keyfactor in organizational success

Required:

  (a) Calculate total cash received from customers for the year ending 31 December 2010. Use 

        the traditional method for T-accounts (i.e. not the short-cut method) where applicable. 

       Show all workings. [3 marks]

(b) Write the journal entries to recognise bad debts expense and any bad debt write-off.        [2 marks]

(c) With reference to the accounting concept of the matching principle, explain the     rationale for creating a contra account (i.e. allowance for doubtful debts) for accounts receivable. [1 marks]

d) With reference to the accounting concept of conservatism, explain the rationale for creating a contra account (i.e. allowance for doubtful debts) for accounts receivable. [1 marks]

you may also like this:ACCT 2522 Management accounting 1