Please find attached assessment information
ACC203 Assessment Information Page 1 of 5 Updated: 12 February 2019 Subject Code ACC203 Subject Name Financial Accounting 2 Assessment Title Individual -assignment Weighting 20% of the overall assessment Submission On MOODLE/MyKBS via Turnitin Due Date Monday of Week 10 by 15:55 AEST Total marks 30 marks • Technical skills • Addressing the accounting issues (15%) • Soft (communication) skills • Writing a business letter (5%) Assessment information Any work which has been copied or shared between groups or teams will result in a Fail grade for all students concerned. So please make sure that the answer to this assignment is your own work and not copied from any source. Required: • Answer the questions/case studies below, in a maximum of 1,500 words. • Note that marks are also allocated for professional presentation, grammar and spelling. ACC203 Assessment Information Page 2 of 5 Updated: 12 February 2019 Case study background Assume that you are a graduate accountant working for McKenzie and Associates a public accounting firm situated at 668 Smith Street, Adelaide, SA 5000. The manager of your firm, Ms Jane McKenzie has asked you to draft a letter in response to an email received from a client – Mr Con Pewter, the Managing Director of Pewter Ltd, raising a few key accounting issues regarding his company – see the copy of the email on the next page. The maximum length of the covering letter is 1 page. Please note that the business letter needs to be on the front page. You should then address all the technical issues/discussion after the letter, each on separate pages as attachments [3], followed by a Reference List. The maximum word limit for all parts of the assignment should be 2,500 words. • Part A: Technical component 15% - This mark covers the technical content of your advice and the explanation on each of the issues, the calculations and the sources used. • Part B: Communication Skills – Letter Writing 5% - This mark covers the generic skills of business letter writing; layout, clear meaning, structure and organisation, appropriate tone and grammar, spelling and punctuation etc. throughout the whole assignment. The assignment is designed to test the following skills: 1. Your knowledge and your ability to research the issues and then apply the information appropriately using judgement to correctly identify the relevant standards and legislation that relate to the issues raised by the client. 2. Your written communication skills – business letter writing. Please note: Any work which has been copied or shared between students will result in a Fail grade for all students concerned. Therefore, please make sure that the answer to this assignment is your work and not copied or bought from any source. In completing this assignment make sure you follow the guidelines for assignments especially those relating to the presentation of written work, late assignment policy and academic integrity. ACC203 Assessment Information Page 3 of 5 Updated: 12 February 2019 Re: Accounting Issues: Year Ending 30 June 2019 From: Con Pewter (
[email protected]) Sent: 5 July 2019 To: Maria McKenzie (
[email protected]) Dear Maria Thank you for your phone call this morning, as agreed I am emailing you regarding the accounting issues we briefly discussed. By the way to assist the accounting team in our decision-making process, could you please make sure you reference any relevant sources relating to your advice, for example, AASBs, Corporations Act, and relevant websites. Here are the three issues we are most concerned about: 1. On 1 July 2015, Con Pewter leased a motor vehicle that had an estimated life of 4 years. The lease period is also four years with annual rentals of $10,000 payable in advance from 1 July 2015. The machine is expected to have a nil residual value at the end of its life. The machine had a fair value of $35,000 at the inception of the lease. The lessor will also incur finance cost of 10% per annum when calculating annual rentals. It would be much appreciated if you could kindly advise the accounting team on how the lease should be accounted for in the financial statements of Con Pewter Ltd as at 30.06.2019 following the revised accounting standards which becomes effective on 1 January 2019. 2. The primary business activity of Con Pewter Ltd is developing accounting software packages. Con Pewter charges $2,000 as installation fees and a separate two- year technical support service for $1000. Otherwise, it also offers a combined goods and services contract which includes both elements for $3,400. Payment does not become outstanding until after 1 month of the accounting package being installed. The accounting team is uncertain as to how revenue should be recognised in the books post the changes to the accounting standards. Your advice on this matter would be greatly appreciated. 3. A number of employees who work on our strategic management team have been with us for a number of years - at least 12 of them have been with us since the company commenced operations in 2007. In accordance with the Employee Bargaining Agreement (EBA), all employees are entitled to long service leave of 13 weeks if they remain in service for 10 years. They are also entitled to pro rata long service leave after 6 years of service. Our usual practice is to show the long service leave expense in the income statement when the employee actually takes leave and is paid. Of course, we maintain a ACC203 Assessment Information Page 4 of 5 Updated: 12 February 2019 memorandum record of the number of days each employee is entitled to. Joseph, our Senior Accountant, has indicated to us that he thinks we should consider treating this expense in a different manner, which seems complicated. Something around accrual basis of recognising an expense. I cannot exactly remember what he said. The directors are wondering why we should complicate a very simple way of calculating long service leave – why not “stick with” recognising the expense when we pay for it? What do you think we should do and why? Please respond by letter (not email) as I would like to present this to the Board. I look forward to hearing from you shortly. Regards Con Pewter Managing Director, Pewter Ltd Level 6, 510 King William Street, Adelaide SA 5000 Hint: Remember that your firm plans to charge the client for your advice; as a check ask yourself if you would pay for the advice you have drafted! ACC203 Assessment Information Page 5 of 5 Updated: 12 February 2019 Submission The assignment (both the word document and the video file) will need to be submitted electronically through the student portal – use the link under “Assessments”. Referencing Any sources that you use need to be acknowledged in order to avoid plagiarism. Information on referencing can be found in the Guidelines for Referencing and Presentation at the Kaplan website using the following address: (https://elearning.kbs.edu.au/mod/page/view.php?id=128881). In‐Text Referencing and the Reference List Sources of information must be cited both in the body of the text (in‐text referencing) and the end of the assignment (reference list). Failure to do so will result in penalties. Remember that when referencing an Annual Report, it is a corporate document that does not have a particular author but it will still require referencing any time you use information from it. Any other documents or books or other references you use will also require referencing. Penalties Regarding Referencing • No in‐text referencing – deduct 2 marks • Some in‐text referencing only – deduct 1 mark • No reference list – deduct 2 marks • Incomplete reference list – deduct 1 mark Policy on Late Submissions Penalties will be imposed on late assignment submissions in accordance with following: • Number of days late Penalty 1* - 9 days 5% per day for each calendar day late deducted from the total marks available. • 10 - 14 days 50% deducted from the total marks available. • After 14 days Assignments that are submitted more than 14 calendar days after the due date will not be accepted and the students will receive a mark of zero for their assignment. • Note Notwithstanding the above penalty rules, assignments will also be given a mark of zero if they are submitted after assignments have been returned to students. • *Assignments submitted at any stage within the first 24 hours after the deadline will be considered one day late and therefore subject to the associated penalty. https://elearning.kbs.edu.au/mod/page/view.php?id=128881