Course Title: Prepare Financial Reports

Part B: Course Detail

Teaching Period: Term1 2009

Course Code: ACCT5112C

Course Title: Prepare Financial Reports

School: 650T TAFE Business

Campus: City Campus

Program: C5178 - Diploma of Accounting

Course Contact : Jenny Wotzko

Course Contact Phone: +61 3 9925 5701

Course Contact Email:jennifer.wotzko@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Laurine Symington

9925 5484

laurine.symington@rmit.edu.au

Nominal Hours: 40

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites

None

Course Description

This course will equip students to perform the critical end-of-period accounting tasks of recording adjusting and closing entries; reconciling the general & subsidiary ledgers, including asset & inventory ledgers; correction of errors; and preparation of end-of-period income statements & balance sheets for a non-reporting entity.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

BSBADM408A Prepare financial reports

Element:

1.  Maintain asset register

Performance Criteria:

1.1 A register of property, plant and equipment is prepared from fixed asset transactions in accordance with organisational policy and procedures

1.2 Method of calculating depreciation is determined in accordance with organisational requirements

1.3 Asset register and associated depreciation schedule are maintained in accordance with organisational policy and procedures and accounting requirements

Element:

2.  Record general journal entries for balance day adjustments

Performance Criteria:

2.1 Depreciation of non-current assets and disposal of fixed assets are recorded in accordance with organisational policy and procedures

2.2 Expense and revenue accounts are adjusted for prepayments and accruals in accordance organisational policy and procedures and accounting requirements

2.3 Bad and doubtful debts are recorded in accordance with organisational policy and procedures and accounting requirements

2.4 Ledger accounts are adjusted for inventories , if required, and transferred to final accounts in accordance with organisational policy and procedures and accounting requirements

Element:

3.  Prepare final general ledger accounts

Performance Criteria:

3.1 General journal entries for balance day adjustments are entered in general ledger system in accordance with organisational policy and procedures and accounting requirements

3.2 Revenue and expense account balances are posted to final general ledger accounts system in accordance with organisational policy and procedures and accounting requirements

3.3 Final general ledger accounts are prepared to reflect gross and net profits for reporting period in accordance with organisational policy and procedures and accounting requirements

Element:

4.  Prepare end-of-period financial reports

Performance Criteria:

4.1 Revenue statement is prepared in accordance with organisational requirements to reflect operating profit for reporting period

4.2 Balance sheet is prepared in accordance with organisational requirements to reflect financial position of business at end of reporting period

4.3 Errors are identified and corrected, or referred for resolution in accordance with organisational policy and procedures


Learning Outcomes



Details of Learning Activities

During the first four weeks classes will take up 6 hours per week and will focus on the manual procedures and general journal entries required to ensure the accuracy of the general and subsidiary ledgers prior to preparing financial reports.  During the second four weeks the manual preparation of financial reports (2 hours per week) will be combined with 4 hours per week of computerised accounting using MYOB.


Teaching Schedule

Week Week beginning Performance Criteria / Topics Learning Activities
109/02/09 Introduction/Revision of general journal entries & subsidiary ledgers
1.1 – 1.3
Maintain asset register + Inventory cards
Discussion; completion of financial accounting framework; demonstration & exercises on asset register + inventory cards.
Discussion of solutions.
 
 16/02/09 2.1 – 2.2 Record general journal entries for balance day adjustments (depreciation, accruals & prepayments)Demonstration followed by exercises on preparation of general journal entries for balance day adjustments.
Discussion of solutions.
 3 23/02/09 2.3 – 2.4 Record general journal entries for balance day adjustments (bad & doubtful debts)
+
3.1 – 3.3
Prepare final general ledger accounts for a service business
+
QUIZ (PC 1.1 – 1.3)
 Demonstration followed by exercises on preparation of general journal entries for bad & doubtful debts + closing entries for a service business; posting to general ledger; preparation of final trial balance.
Discussion of solutions.
 4   02/03/09 3.1 – 3.3 Prepare final general ledger accounts for a trading business
+
4.3 Reconciliations & Correction of Errors
As above for a trading business + discussion & demonstration of reconciliation process; exercises on correction of errors & discussion of solutions.
 5 9/03/09 TEST 1 (PC 2.1 – 3.3) 
 6   16/03/094.1 - 4.2 Prepare end-of-period financial reports (Income Statement & Balance Sheet, including design of chart of accounts for a service business) Demonstration followed by exercises on preparation of end-of-period income statements & balance sheets for a service business.
Discussion of solutions.
 7   23/03/09 4.1 - 4.2 Prepare end-of-period financial reports (Income Statement & Balance Sheet, including design of chart of accounts for a trading business)Demonstration followed by exercises on preparation of end-of-period income statements & balance sheets for a trading business.
Discussion of solutions.
 8 
 30/03/09

TEST 2 (PC 4.1 – 4.3)

 +
CASE STUDY due

 


Learning Resources

Prescribed Texts

TAFE Accounting: Basic Reports (8th edition)
Mroczkowski, Fleay, Poustie & Yates, Thompson, 2006


References

http://www.aasb.com.au/
Search: AASB Standards


Other Resources

Supplementary notes and exercises placed on the learning hub (DLS) progressively each week.


Overview of Assessment

Throughout this course interactive class exercises performed as a group, followed by discussion of the solutions and question & answer sessions will provide formative feedback to the students regarding their progress in achieving competency.

Assessment tasks will include 

  • a short quiz in week 3;
  • two closed book class tests; and
  • a comprehensive case study in which students will apply all elements of the competency.


Assessment Tasks

QUIZ - the quiz will test each student’s competence in the preparation of an asset register and inventory cards and the calculation of depreciation using different methods (Performance Criteria 1.1 - 1.3).  It will be held in week 3 and will be worth 10% of the total assessment mark.

TEST 1 - this test will assess each student’s competence in performance criteria 2.1 - 3.3.  To pass this test the student must be able to accurately record all adjusting and closing entries in the general journal, post those entries to the general ledger and draw up a fully adjusted post-closing trial balance for either a service or trading business.  The test will be held in week 5 and will be worth 35% of the total assessment mark.

TEST 2 - this test will assess each student’s competence in performance criteria 4.1 - 4.3. To pass this test the student must be able to reconcile the subsidiary and general ledgers, identify and record any further adjusting or correcting entries, and prepare an income statement and balance sheet for internal use.  The reports must be correctly formatted for either a service or trading business.  The test will be held in week 8 and will be worth 35% of the total assessment mark.

CASE STUDY - the case study will re-assess performance criteria 1.1 - 4.3.  It will require students to manually record a comprehensive set of transactions for a trading business in all necessary journals, subsidiary ledgers and general ledger; record and post adjusting entries; reconcile the subsidiary and general ledgers; record and post   any corrections of errors; record and post end-of-period closing entries; and prepare end-of-period financial reports.   The case study will be due for submission at the end of week 8 and will be worth 20% of the total assessment mark.

Note:  the case study will be repeated, using MYOB, as part of the assessment for "Setup and operate a computerised accounting system"


Assessment Matrix

Course Overview: Access Course Overview