Assessment item 3
Assessment Item 3
Value: 20%
Due date: 12-Jan-2016
Return date: 03-Feb-2016
Submission method options
Alternative submission method
Task
This assessment 3 covers study schedule weeks 5-12 inclusive
Q2-1 Naming cells in spreadsheets
In a spreadsheet why replace cell references with names? Paste a simple example of a formula using names rather than cell references. For example Sales less Expenses = Net Income. Create your own example.
Q2-2 Negative numbers
How can negative numbers be displayed in brackets; in red? Paste a simple spreadsheet example.
Q2-3 Separation of data and report areas
Evaluate why an accountant should design spreadsheets with a completely separate data entry area and a separate report area? Paste a simple spreadsheet example.
Q2-4 IF functions
What is an 'IF' statement (function)? Provide a spreadsheeted accounting example.
Q2-5 Spreadsheet apps
Microsoft Excel is an example of spreadsheet software. List four further examples of spreadsheet software. Evaluate the importance of spreadsheet software to computer development. Hint. Google VisiCalc.
This group of questions above can be answered from any source including internet resources.
Q2-6 Perpetual versus Periodic systems
Explain the essential differences between perpetual and periodic inventory systems. Give examples of products/situations suited to each. (Watch the 3 videos on Inventory in Interact2 Resources).
Q2-7 Journal entries
Show the journal entries for perpetual inventory and periodic inventory systems for the purchase and sale of inventory. (Watch the 3 videos on Inventory in Interact2 Resources).
Q2-8 Worksheet and financial reports
Watch the Foot Worksheet movie in Interact2 resources. Download the relevant doc file also on Interact2 resources. This doc file has a template of the example below.
Examine the original data from the video. Create a new report/solution and change every number and enhance/improve the example to prepare a ten column spreadsheeted worksheet and the Financial Reports. Do not create journal entries or ledger accounts. Ensure your trial balance still balances after your data changes.
Follow the spreadsheet requirements including a separate data entry and report area and implement IF functions wherever appropriate. As usual, paste the normal view and the formula view.
Write a business report evaluating spreadsheets as a tool for accounting. You may wish to search the Internet with terms such as “advantages of spreadsheets” and “spreadsheet errors”. Use the following resource to help you prepare and format your report: http://bit.ly/FoBAcademic-Writing-Skills
Q2-9 Accounting principles
List and explain two accounting principles or concepts relevant to inventory. Give your own examples.
Q2-10 Inventory flow assumptions
List and explain the three major inventory costing (flow) methods.
Q2-11 Application of Inventory flow assumptions.
Create a well-designed spreadsheet to solve the following assuming periodic inventory. Make several of your own changes to the original data and create a new solution. Paste the two solutions and one formula view. Highlight your changes.

Q2-12 Thinking about internal control issues.
How is the separation of duties an example of internal control? Give two examples.
Q2-13 Bank Reconciliation
A. Write a brief introductory scenario and create your own bank reconciliation spreadsheet. You may choose to use a text example as a template but use your own numbers. Your spreadsheet will demonstrate all the usual spreadsheet requirements.
B. Why do firms construct bank reconciliation statements on a regular basis?
Q2-14 Journalising accounts receivable entries.
Detail the journal entries needed to show sales on credit, the collection of part of the amount owing, the write off of accounts receivable, the reinstatement of an amount written off and the collection in full of the amount owing. Create your own numbers. A spreadsheet is not required.
Q2-15 Estimating bad debts
Contrast two different methods of estimating bad debts. Create simple examples.
Q2-16 Evaluation of a firm’s financial position
How can we use receivables to evaluate a firm's financial position?
Q2-17 Percentage of sales method
Spreadsheet required.
Following are some selected transactions of David Jones (DJ) during 2013 and 2014. Reporting date is 31 December. DJ uses the allowance method and makes adjusting and closing entries on reporting date.
2013
31 December DJ estimated that bad debt expense for the year was 5% on credit sales of $1,500,00 and recorded that amount as expense.
31 December Made the closing entry for bad debt expense.
10 January DJ sold $8,000 of inventory to Mills & Brown (MB) on account
2014
20 June DJ wrote off the receivable from MB after repeated efforts to collect.
25 July DJ also failed to collect $13,000 receivables from BK and $10,000 from MM with no hope to collect them in future.
15 August DJ received an apology letter for paying late and $8,000 from MB.
31 December DJ estimated that bad debt expense for the year was 4% on credit sales of $2,000,000 and recorded that amount as expense.
31 December Made the closing entry for bad debt expense.
Required:
1. Record the transactions in the general journal and post to the two ledger accounts.
2. Open general ledger T accounts for Allowance for doubtful debts and Bad debt expense. All accounts begin with a zero balance.
3. The 31 December 2014 balance of Accounts receivable is $500,000. Show how Accounts receivable would be reported on the balance sheet at that date.
Here is a template for the data section of the spreadsheet.

Q2-18 Dishonour of a note receivable
Write a scenario which includes a credit sale, a conversion to a Note receivable, the dishonour of the note and subsequent delayed payment. Include journal entries. Create your own simple numbers.
Q2-19 Account classification
What kind of account is Goodwill, Allowance for bad debts, Accumulated depreciation? Explain. Refer to the P A L E R mnemonic.
Q2-20
Work Integrated Assessment case study
McDonald’s Annual Report
Learning Objectives: The subject you are studying is vocational. It is designed with the workplace in mind. Work integrated assessment provides opportunities for students to link theory and skills learned in a subject to a real work context. Students can use these opportunities to develop and practice the professional and academic skills they learn about in a subject or through the online environment and then be assessed on their capabilities in these simulated authentic environments. Work integrated assessment allows students to simulate and situate their learning in an authentic workplace that encourages them to explore their knowledge and apply it to practice. Integrating real world, authentic assessment tasks allows students to learn about the particular environments and culture of their chosen professions, while at the same time absorbing and practicing the skills they need to succeed. Doing these tasks can help students develop skills that can help their employability.
Resources for this task include the United States 2014 Annual Report for the McDonald’s Corporation.
Your friend Jack is studying architecture at another University and knows very little about accounting and annual reports. Jack's uncle gave him $30,000 recently to invest. Jack knows you have begun studying accounting and is considering buying McDonald’s shares. Jack has some questions for you.
Present your answers concisely in a business report format.
Jack’s questions:
1. How many shareholders do McDonald’s have?
2. What are the total revenues for 2014?
3. Find the Balance Sheet and identify the amounts and explain: Goodwill, Prepaid expenses, Income taxes and Accrued Payroll.
4. Calculate the Working Capital ratio.
5. Go to page 54 of the annual report. Create this chart in Excel showing columns rather than a line graph. Paste the spreadsheet graph in your assignment. Show the data area.
6. Summarise your advice to Jack re the investment decision.
Go to www.mcdonalds.com to find the McDonald’s home page. Click on “Our Story”; Corporate Info; Investors; Annual Reports; and select the 2014 report.
Rationale
Assessment task 3 is designed to give you further opportunity to demonstrate knowledge and skills in more in-depth aspects of accounting and information systems including bank reconciliation, inventory systems, financial reports, accounting for bad debts and notes receivable, as well as concepts and the application of spreadsheet software to the presentation and solution of accounting problems.
Marking criteria
Marking Criteria Rubric Assessment 3
A rubric is a form of authentic assessment. A rubric lists a set of criteria, which defines and describes the important components of the work being planned or evaluated. http://us.iearn.org/professional_development/multimedia/assess/rubric.html
This marking criteria rubric indicates how the assignments will be assessed in this subject.
Your assignment consists of different question styles including discussion questions, reports, exercises, problem questions and spreadsheet questions.
Criteria High Distinction Distinction Credit Pass
Criteria for expected outcomes to be achieved include: evaluating digital resources, understanding and applying the double entry system, work integrated assessment, creating computer models to solve decision situations such as worksheets, critical evaluation of financial reports, business report writing and creating graphs from real world data. Be the result of your original work, complete without any omissions and correct.
Discuss all the issues raised in questions.
Provide examples where appropriate.
Accurate answers complying with all spreadsheet modelling requirements. Score 85-100% Be the result of your original work, be mostly complete without any omissions, and be mostly correct.
Discuss most of the issues raised in questions.
Provide some examples where appropriate.
Comply with the majority of spreadsheet modelling requirements as appropriate to the problem scenario. Score 75-85%. Be the result of your original work, be mostly complete with few omissions, and be partially correct.
Discussion of some of the issues raised in questions.
Provide examples where appropriate.
Comply with some of the spreadsheet modelling requirements as relevant to the problem scenario. Score 64-74% Be the result of your original work, be mostly complete with some omissions, be partially correct.
Discuss some of the issues raised in questions.
Provides 1-2 examples where appropriate.
Comply with some spreadsheet modelling requirements as relevant to the problem scenario. Score 50-64%
Academic writing skills. The discussion and business reports meet academic standards of syntax, vocabulary, spelling and punctuation and reflect an awareness of audience needs Accurate use of syntax, spelling and punctuation; logical arguments with relevant examples, correctly refers to a variety of sources to support arguments, including the prescribed texts and a range of additional readings; reference list of a range of resources, correctly formatted using APA style. Accurate use of syntax, spelling and punctuation; logical arguments with useful examples, succinct and effective use of vocabulary; correctly refers to a range of sources to support arguments, including the prescribed text and a variety of further readings; reference list of a range of relevant resources used, correctly formatted using APA style. Mostly accurate use of syntax, vocabulary,
spelling and punctuation; correctly refers to more than the minimum requirement of sources to support arguments, including
prescribed texts and other sources; reference list formatted in APA style, with few or no errors. Mostly accurate syntax, spelling and punctuation; correctly refers to minimum number of sources to support arguments, including prescribed texts; reference list used, formatted in APA style, with few errors.
Your assignments will be marked as a whole with recognition being given to application of knowledge, quality thinking and application of skills. For some questions, students have a chance to demonstrate some creativity, or provide their own examples or give evidence of wider reading or structure a spreadsheet in an innovative manner. We also need to avoid the snowballing effects of cumulative errors - that is, an error early in a practical question which carries through. Thus a marking system is used with deductions for errors and omissions. Full marks are possible for well structured, complete, quality answers.
The marking criteria for your assignments will be based on the content of the subject as identified by the learning objectives of the various topics. Good spreadsheet answers will comply with the assignment requirements.
Any assignments with significant evidence of plagiarism may be referred to the university's academic misconduct processes and will receive a grade of zero.
An example of marking criteria for an essay/business report follows. Some of the same criteria apply to larger discussion style questions and case studies and business reports.
Example criteria used in marking essays/discussion questions/case studies/business reports
While there is no particular format required for these answers, the following criteria are likely to be used. Note that business reports are normally more structured than essays.
Criteria
• Relevance of the answer. Are the important issues raised in the question identified? Did the student answer the question?
• Critical capacity. Has reference material been carefully analysed or critically accepted?
• Structure of the answer. Is the answer well-structured and the argument logically developed?
• Writing style. Is the style concise and lucid or confused, making it difficult for the reader to get the point?
• Scope of reading. Does the answer indicate a satisfactory coverage of literature relevant to the questions?
Answers should:
• be well planned with arguments flowing logically;
• use correct sentence structure, punctuation and spelling;
• present original ideas where appropriate;
• and present a justified conclusion and acknowledge all sources.
Normal distribution curves for grades are not utilised in this subject. Penalties will apply for late submission at 10% of the total mark available per day. It is important that submitted assignments are complete. Omitted answers will result in mark deductions. Refer to the University regulations contained in the CSU online handbook for matters pertaining to special consideration, misadventure and extenuating circumstances, academic misconduct, code of conduct for users of electronic facilities, assessment regulation, grading scale, progression and academic performance, grade point average, examination regulations and other matters pertaining to assessment. The regulations can be found at the University's web site: http://www.csu.edu.au
Presentation
Important!! See the presentation requirements for assessment task 2
Requirements
Important!! See the assignment requirements for assessment task 2
Text Book Accounting 7th edition Horngren,Harrison,best fraser,willett