代写Principles of Accounting II 2023-24 Semester 2 Assignment 3 – Question Paper帮做Python语言程序

日期：2024-05-07 03:27

2023-24 Semester 2 Principles of Accounting II

Assignment 3 – Question Paper

All students are expected to observe UIC’s academic honesty policy. Specifically, you are expected to complete this assignment on your own without copying the work from other student(s) and without allowing other student(s) to copy your work. Plagiarized work will receive zero mark (Please refer to “Guidelines for Handling Academic Dishonesty” for details).

AI-assisted Tools are generally prohibited. Using ChatGPT or other AI tools for CA (if detected through AI Detection Tool) will lead to partial deduction of the mark and work resubmission.

To complete the assignment, students are required to have textbook readings or self-study. Students should not just rely on the PPT.

Due Date: 4:00pm on Friday, 10 May 2024.

Late submission will not be accepted, and therefore will not be marked.

Please follow the instructions below:

1. You must use Word file format to complete the assignment answers which are allowed for Turnitin and AI-assisted detection checks.

Submission in a format other than the above mentioned will NOT be accepted.

2. Answers should be supported by workings/ detailed calculations where appropriate.

3. Please submit a soft copy of your completed assignment to the drop-box on iSpace, AND hand in a hard copy of the completed assignment to the assistant instructor.

4. File naming rule: Please name your file in the format as “your section number + your name + your student number”.

5. Answer all TWO (2) questions. (Explanation/Description is not required for the journal entries)

6. Show the question number and sub-question number clearly.

Question 1 (20 marks)

The following are the financial statements of Rich Corporation:

Rich Corporation Statements of Financial Position December 31 2023 2022 Assets: Cash $ 40,890 $ 38,040 Accounts receivable 37,180 34,400 Merchandise inventory 73,125 61,710 Long-term Investments...................                 55,900          56,400 Equipment........................................              175,500         145,500 Accumulated depreciation...............              (33,550)       (31,200) Total assets.................................... $349,045 $304,850 Liabilities: Accounts payable............................               $75,000        $50,380 Income tax payable.........................                 10,725           10,200 Bonds payable................................. 50,000        66,000 Total liabilities.................................           $135,725      $126,580 Equity: Share Capital.................................. 127,000        106,000 Share Premium............................... 13,000            9,000 Retained earnings............................ 73,320        63,270 Total equity.................................... $213,320      $178,270 Total liabilities and equity................. $349,045 $304,850

Rich Corporation Income Statement For Year Ended December 31, 2023
Sales....................................................... Cost of goods sold.................................. Gross profit Depreciation expense............................. Other operating expenses...................... Interest expense..................................... Other gains (losses): Loss on sale of equipment.................. Profit before tax...................................... Income tax expense................................ Net profit.................................................	$(29,400) (448,000) (2,000) (8,400)	$1,240,000 (580,900) 659,100 (487,800) 171,300 (127,650) $ 43,650

Additional information:

(1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired. (2) Old equipment with an original cost of $37,550 was sold for $2,100 cash.

(3) New equipment was purchased for $67,550 cash.

(4) Cash dividends of $33,600 were paid.  Management wishes to classify this under financing activities.

(5) Additional shares were issued for cash.

Required:

(a)  Prepare a complete statement of cash flows for the year 2023, using indirect method. (14 marks)

(b)  State the purpose for preparing the cash flow statement.                                       (2 marks)

(c)  Explain the value of separating cash flows into three sections and give an example of

information in each of the sections that may help the users to understand the cashflow activities of the company.                (4 marks)

Question 2 (20 marks)

Samoa Ltd. has the following financial statements and additional information as at December 31, 2023.

Samoa Ltd.

Comparative Statements of Financial Position

December 31, 2023 and 2022

2023 2022

Cash	$105,800	$65,000
Accounts receivable, net	70,000	52,800
Inventory	107,000	96,000
Prepaid expenses	4,200	5,200
Equipment	130,000	120,000
Acc. Depreciation - Equip.	(28,000)	(10,000)
Total assets	$389,000	$329,000
Accounts payable	$26,000	$32,000
Wages payable	17,000	16,000
Income tax payable	2,600	3,400
Notes payable (long term)	60,000	90,000
Share capital	200,000	150,000
Retained earnings	83,400	37,600
Total liabilities & equity	$389,000	$329,000

Samoa Ltd.

Income Statement

for the year ended December 31, 2023

Sales	$850,000
Cost of goods sold	512,500
Gross profit	$337,500
Interest expense	(58,600)
General administrative and selling expenses	(67,000)
Gain on sale of equipment	2,000
Profit before tax	$213,900
Income tax expense	(54,100)
Net profit	$159,800

Additional information:

a.    Cash  dividends  of  $180,000  and  $150,000  were  declared  and  paid  in  2022  and  2023 respectively.

b.    Weighted-average number of ordinary shares outstanding was 50,000 shares throughout 2022 and 2023.

c.    Year-end market prices  of ordinary  shares were  $15 and $10 per share in 2022 and 2023 respectively.

Required:

Part A (14 marks)

Using the financial statements and additional information, compute the following ratios. Show all computations.

For 2023

1.   Current ratio

2.   Total asset turnover

3.   Receivables turnover

4.   Dividend yield

5.   Price-earnings ratio

6.   Times interest earned

7.   Profit margin

8.   Days’ sales uncollected

9.   Return on ordinary shareholders' equity

10. Debt to equity ratio

For 2022

1.   Current ratio

2.   Dividend yield

3.   Debt to equity ratio

Part B (6 marks)

In complete sentences, comment on your observation of the change of the debt-to-equity ratios between 2022 and 2023. Think carefully about the positive or negative effects on the company’s financial position and performance.

(Total 20 marks)