RTK Buderim Mowers - Accounting Assignment

Internal Code : MAS3638

Accounting Assignment

Ross Tiberius Kirk is the sole proprietor of RT K Buderim Mowers - a GST-registered independent Mower Sales and Service business. The business focuses solely on STNG mowers and equipment. It undertakes the promotion, sales and servicing of the mowers and equipment. Note that no small items that are required for the servicing of mowers or equipment are kept as inventory, this is because of the close proximity to a major auto parts shop and petrol station and most importantly the manufacturer STNG Manufacturing Ltd operates a same day delivery service for all parts. Such items are therefore purchased (on accounts payable or cash) as required and charged to the customer, this reduces costs and the need to hold inventory of small parts for servicing. The actual major items of equipment (mowers etc) are kept on the premises and are therefore inventory. Questions - Part A : 1. Record all the necessary entries in the relevant journals and ledgers,excluding balance day adjustments, to maintain proper accounting records for June. Please note that you may need to create new accounts using subsequent account numbers where necessary. 2. Prepare an Unadjusted Trial Balance on the worksheet provided. 3. Record all the necessary balance day adjustments for June in the General Journal and post to the General Ledger accounts. 4. Prepare an Adjusted Trial Balance on the Worksheet provided and complete the worksheet. 5. Record all closing entries in the General Journal, however, do not post them to the relevant general ledger accounts until you have checked that the Trial Balance is correct. 6. Prepare the Income Statement (using the Functional format) for the year ending 30 June 2016. 7. Prepare the Statement of Changes in Equity for the year ending 30 June 2016. 8. Prepare the classified Balance Sheet as at 30 June 2016. 9. Prepare the Cash Flows (Simplified Statement) for the month ending 30 June 2016. Part B : You are required to complete the questions that are in the special Test of Knowledge section on Blackboard for the proportion of marks from the major assignment. The questions are pertinent to your completion of the learning from the major assignment and from the application of basic accounting knowledge as well as critical thinking skills.