BSBFIA401 Assessment Tasks On Prepare Financial Reports

An extract of Sally’s ledger account reveal the following:

• 30/6/2018 Allowance for Doubtful Debts $12,400
• 30/6/2018 Accounts Receivable $205,400

Required
Prepare General journal entries for the following balance day adjustments for the year ended 30 June 2018, including any necessary reversing entries in the following year.

1. In addition to the given information above, additional Bad Debts to be written off $8,800 ($8,000 + $800 GST). (2 marks)
2. In addition to the given information above, Allowance for doubtful debts were to be increased to 8% of accounts receivable. (4 marks)
3. Interest earned but not yet received of $6,000. (3 marks)
4. Rates expense paid but not yet consumed, $2,000. (3 marks)
5. The balance in the inventory general ledger account as at 30 June, 2018 was $37,995. The balance as per stocktake completed on the 30 June, 2018 was $36,795. The company uses a perpetual inventory system. (3 marks)
6. Rent received for the period 1/4/2018 to 31/7/2018 $44,000 ($40,000 + $4,000 GST). The financial year ends 30 June 2018. (3 marks)
7. Outline the Australian accounting standard that provides a framework for the presentation of financial statements. Hint: refer chapter 9 of your textbook. (2 marks)