QCE AccountingPractice Examination 20

This paper covers

• Balance day adjustments (depreciation, doubtful debts, prepayments, accruals, accrued revenue) and adjusting journal entries for a GST-registered sole trader (Q11)
• Direct-method Statement of Cash Flows, cash flow ratio and internal control commentary for a trading business (Q12)
• Full-suite ratio analysis of a public company - profitability, liquidity, stability and efficiency - with justified comparison against prior period and industry benchmarks (Q13)
• Perpetual inventory (weighted average), GST/BAS input credits, reducing-balance and straight-line depreciation (Section A)
• Liquidity and stability ratio mechanics: current ratio, quick/acid-test ratio, times interest earned, debt-to-equity (Section A)
• Evaluative decision-making: linking slow inventory turnover and thin quick-asset cover to business risk in a Hervey Bay marine-dealership context

Students are permitted to bring into the examination the materials normally allowed for this subject. Answer all questions in the spaces provided.

This is an ATARMAxxing practice paper. It is not an official examination and is not affiliated with, endorsed by, or produced by the VCAA, NESA or the QCAA.