VCE AccountingPractice Examination 16

This paper covers

• Recording under the double-entry system: specialised & general journals, GST Clearing, perpetual inventory (FIFO), General Ledger posting and balancing
• Balance-day adjustments: prepaid & accrued items, straight-line & reducing-balance depreciation, disposal of non-current assets, bad debts and the Allowance for Doubtful Debts
• Reporting: classified Income Statement, classified Balance Sheet (Assets = Liabilities + Owner's Equity), and Cash Flow / cash-budget construction under the direct method
• Budgeting and variance analysis as planning and control tools for a trading business
• Analysis & interpretation: liquidity, gearing/financial stability, profitability (esp. Return on Owner's Equity vs an industry benchmark following a capital injection) and efficiency indicators
• Ethical considerations and syllabus-accurate justification naming the four qualitative characteristics (relevance, faithful representation, comparability, timeliness) and four assumptions (entity, going concern, period, accrual)

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.