Description, analysis, writing | My Assignment Tutor

ACC201 – GROUP ASSIGNMENT (S1 2021)Assessment Type:Written SubmissionRequirementsDescription, analysis, writingPrescribed word limitPart 1: 800 words + Part 2: 1200 words = 2000 words (10% variation is acceptable)Referencing styleHarvard Referencing System Style GuideAssignment weight20%Assignment due datePart 2: Week 10, Sunday, 24 May 2020 (10%) Any student may receive an extension of up to one-week. To obtain an extension, email the Subject Coordinator, Lee Ridge, prior to the due date requesting an extension and providing your reasons. Extensions greater than one week require a formal application through the PIA system. Part 2 In this part of the assignment, you need to choose two of the following four (4) ASX listed companies for financial analysis. Listed Company NameStock CodeThe a2 Milk Company LimitedA2MJB Hi Fi LimitedJBHBega Cheese LimitedBGABlackmores LimitedBKL Section A You are required to address all of the following questions by selecting 2 of the following accounting topics for the 2 companies you have selected. Property, plant and equipmentIntangibles and Asset Impairment (including research and development)Leases and Liabilities Describe the recognition criteria for each of the accounting topics selected. Analyse and interpret how the relevant theory and accounting standards are applied in the financial statements of the following public companies that operate in Australia, using their last 2 to 3 years of financial results. (20 marks) Section B You are the new Financial Controller of MyJones Limited and have been asked to review the following information to determine if any adjustments need to be made to the financial statements. Prepare the relevant General Journal entries that are appropriate for the relevant information below. During the year, the company developed a new brand strategy “Shop to you drop”. The costs incurred were $17,000 on salaries and $5,000 in other costs such as artwork, consumer surveys etc. These costs have been capitalised as an intangible asset as the previous financial controller wanted to maintain the profitability of the company. (10 marks)On 30 June, 2020, MyJones undertook a review of its Intangible assets. Goodwill, with a carrying value at 30 June 2020 of $14,300, was determined to have suffered an impairment loss of $5,300. (10 marks)MyJones has been involved in a project to develop a smart sensor to be attached to merchandise that is invisible to the eye, with the aim of reducing the losses due to theft as well as sell this to other retailers. It started the project in August 2019. Between the starting date and 31 January 2020, the company spent $17,400 on the project. At 30 June 2020, there was no indication that the project would be commercially feasible, although the company had made significant progress and was sufficiently sure of future success that it was prepared to outlay more funds on the project. After spending a further $7,000 during February 2020, the company had built a prototype that appeared to be successful.The prototype was demonstrated to a number of engineering companies during April 2020, and several of these companies expressed interest in the further development of the device.Convinced that it now had a product that it would be able to sell, the company spent a further $4,000 during May 2020 adjusting for the problems that the engineering firms had pointed out.On 1 June 2020, the company applied for a patent on the device, incurring legal and administrative costs of $500. The patent had an expected useful life of 5 years and was renewable for a further 5 years upon application.All of these costs have been capitalised as an “R&D” intangible asset. (20 marks) MyJones entered into a 5-year agreement to lease an item of equipment from Cannards Leasing Ltd on 1 July 2019. The equipment has a fair value of $67,000 at the inception of the lease and it is expected to have an economic life of 5 years, after which time it will have a residual value of $6,000. The lease agreement details are as follows: – Length of lease5 yearsCommencement date1 July 2019Annual lease payment, payable 30 June each year commencing 30 June 2020$ 15,000Residual value at the end of the lease term$ 6,000Interest rate implicit in the lease6% This transaction has not been entered into the financial statements as at 30 June 2020. You are requested to journalise this transaction including the first lease payment for the period to 30 June 2020 and any other related journal entries. Calculations to the nearest dollar. (20 marks) Requirements Section A (20 marks) (Length guide: ≈300 words)Select the two companies from the above list and download the 2020 Annual Reports. Summarise the key features of the relevant accounting disclosures for each company in your own words, as clearly and briefly as possible.Section B (60 marks) (Length guide: General journal entries required• Set out the relevant General Journal entries for 1-4 above. Show calculations.General requirement A (10 marks)Quality and clarity of writing Express your discussion and ideas clearly and logically. Provide an integrated and flowing discussion. Adhere to length guide. • Presentation guide Use a 12pt font size in a clear font such as Calibri. Use ≥1.15 line spacing. Provide a title for the report. Use subheadings if you wish to do so. Include page numbers. Include your name, student number, and class time at the top of page 1. Use correct spelling and grammar (check before submitting).General requirement B (10 marks)Use of additional resources Draw on other resources (not included in the above readings) to support your discussion – undertake your own research to find helpful additional material. At least two additional sources should be used. Use relevant and credible resources (avoid opinions). Reference sources using a standard method such as Harvard. Each submission must also include a signed and scanned student declaration form. See the subject Moodle page for a copy. The report file should be uploaded as a Word or PDF file. You must upload both the signed and scanned academic integrity student declaration form (scanned, PDF or image) and the fully completed report (Word document or PDF) to Turnitin. Make sure you complete the “Submit for grading” process. Marking ElementWordsMarksRequirements 1–21: Summary of selected disclosures300202: Preparation of General Journal entries and calculations60Note: Total word count (+/–10% tolerance) (excluding headings, citations and reference listGeneral RequirementsA: Quality and clarity of writing and presentation (including integration of discussion)10B: Use of additional resources (including citation and referencing)10TOTAL MARKS (to be scaled to a final mark out of 10)100 The marking of each of the assignment requirements (1 and 2 and A–B above) will use the following standard marking scale: Not done to Very poorPoor to UnsatisfactoryMarginal to SatisfactoryGood to Very GoodExcellent to Outstanding0–2 marks2–4 marks4–6 marks6–8 marks8–10 marksUnderstanding and analysisLimited understanding of the issues raisedSound understanding of the issuesVery good to a sophisticated understanding of issuesLimited acknowledgement and critical reflectionAcknowledgement and critical reflection on the issues. Provides examples.Very good to a sophisticated ability to critically reflect on the issues and provide examples.Problems with style, structure, English expression, development of argument. Not presented in accordance with prescribed form.Report well written. Appropriate style, structure, English expression, development of argument. Presented in accordance with prescribed form.Report well written, with attention to style, structure, English expression and development of argument. Report engaging with clear opinions. Presented in accordance with prescribed form Section 2 – Correct General Journal Entries HD (85-100)D (75-84)CR (65-74)PASS (50-64)FAIL (0-49)Excellent level of knowledge and comprehension as indicated by the mark achieved in accordance with the attached marking guide for the relevant question in the Assignment.Very Good level of knowledge and comprehension as indicated by the mark achieved in accordance with the attached marking guide for the relevant question in the Assignment.Good level of knowledge and comprehension as indicated by the mark achieved in accordance with the attached marking guide for the relevant question in the Assignment.Basic level of knowledge and comprehension as indicated by the mark achieved in accordance with the attached marking guide for the relevant question in the Assignment.Poor level of knowledge and comprehension as indicated by the mark achieved in accordance with the attached marking guide for the relevant question in the Assignment. The two terms in the descriptor (top line) indicate the scale within each category. E.g. “Marginal to satisfactory”, with 4–6 marks indicates that ‘marginal’ answers are closer to 4 marks, while ‘satisfactory’ answers are closer to 6 marks out of 10.