QCE AccountingPractice Examination 6

This paper covers

• Accrual vs cash-based accounting on transition to a computerised system
• Direct-method Statement of Cash Flows and closing cash position
• GST accounting on cash and credit transactions (10% Australian GST)
• Perpetual inventory recording and cost of sales
• Balance day adjustments — accruals, prepayments, depreciation (straight-line), doubtful debts and inventory write-down
• Preparation of a fully classified Income Statement for a sole trader
• Profitability, liquidity, stability and cash-flow ratio analysis of a public company
• Evaluative judgement of financial performance and position against prior-period comparatives
• Internal controls and source documents in a computerised environment
• QCAA cognitive verbs — apply, analyse, assess, justify, recommend, conclude

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.