VCE AccountingPractice Examination 5

This paper covers

• Recording: double-entry journals (general & specialised), GST Clearing treatment, FIFO perpetual inventory, drawings of inventory, settlement discount with GST adjustment
• Balance-day adjustments: prepaid & accrued expenses, reducing-balance vs straight-line depreciation, bad debts and Allowance for Doubtful Debts
• Disposal of non-current assets: carrying value, loss/profit on disposal, GST on sale of a depreciating asset
• Reporting: classified Income Statement, classified Balance Sheet satisfying A = L + OE, Cash Flow Statement (direct method) reconciling to the Cash ledger
• Budgeting: cash budget construction across a quarter and interpretation as a planning/control tool
• Analysis & interpretation: liquidity (WCR, QAR), gearing (Debt Ratio), profitability (ROA, NPM, GPM) with two-year trend analysis and integration of non-financial information
• Ethical considerations and accounting principles/qualitative characteristics: entity, going concern, period, accrual; relevance, faithful representation, comparability, timeliness; matching and consistency

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.