ACC100: George St Hairdressing case - Accounting Assignment

Internal Code: MAS3468

Accounting Assignment:

1) The accountant for George St Hairdressing has compiled the following information about the company and its accounts for the year ended 31 December 2016: Cash                                          $30,000                     Prepaid Rent              $2,000 Revenues                                 99,000                        Expenses                     54,000 Accounts Payable                  9,000                           Equipment                 40,000 Wages Payable                       1,000                           Loan Payable              4,000 Accounts receivable              1,000 (a) What is the total amount of assets belonging to the business? (b) What is the total amount that business owes to liabilities? (c) Using the accounting equation, what is the amount of Owners’ Equity reported on the business balance sheet? (d) How much net profit or loss did the business earn in the year? 2) Review the CPA and ICANZ websites (links below) and write a short essay quoting three recent examples (2016 and 2017 only) to demonstrate how breaches of ethical standards were seriously treated by the professional organisation. Required: 1. Explain why the penalties were imposed 2. Referring to APES 110 standards (available on Moodle), which sections should have applied to your three mentioned examples? 3. Were the penalties imposed by the accounting bodies sufficient?