.494px;=”” block;=”” 6px;=”” 0px=””>ACCT10002: Semester 2, 2017
PRACTICE SET – PART 1
Michael Brown decided to leave his employment and start his own business in providing
catering supplies to food outlets. He had worked in the industry for a number of years and had
established a wide range of contacts both as suppliers of catering needs and customers who
required catering supplies. He plans to start small and only trade in a few products at first. THE
BUSINESS IS NOT REGISTERED FOR GST, accordingly, there is no requirement to account
for or include GST in any transaction.
The following pages contain the source documents for Michael’s first month of business.
Your task is to prepare:
1. General journal entries for the relevant transactions (Narrations are not required)
2. Ledger entries for the transactions (Record inventory items in separate accounts)
3. Prepare a Trial Balance
4. A Statement of Financial Performance for the month of July
5. A Statement of Financial Position as at 31 July, 2017.
You have access to blank pages for the general journal and ledger accounts. You are to prepare
the above five parts to this assignment and are required to submit items 4 and 5 as one document,
with all other workings (items 1, 2, 3 and anything else you feel is relevant) in another document.
Make sure you have your name and student number written on ALL page(s) of your workings
and you will submit both documents via the LMS.
You will receive a mark out of 7 for Part 1. If you have not received full marks then you should
review your work by discussing with a fellow student or by comparing your answer with the
suggested answer which will be made available on the LMS after the due date for submission
and consulting a tutor during scheduled consultation hours.
Due date for Part 1: 9.00pm Sunday 3rd September.
Part 2 of the Practice Set will commence after students receive some basic instruction in using
MYOB accounting software. This work entails entering transactions and adjustments for the
second month of MBB Catering Services Pty. Ltd. The MYOB program will be set up in the
computer laboratory in Bouverie Street. Alternatively some students may wish to use the Xero
software. (More on this later). Part 2 will also be worth 7 marks of your final assessment and it
will be due by 9.00 pm on Sunday 8th October. 1 MBB CATERING SUPPLIES Pty. Ltd.
ACN: 780 088 423 290
ABN: 42 088 423 290
352 Boutique Boulevard
Templestowe, 3107 SHARE CERTIFICATE This is to certify that Michael Bruce Brown is the holder of 10,000
ordinary shares in MBB Catering Supplies Pty. Ltd. on payment of
$1 per share.
Amount paid: $10,000 Date: 1 July 2017 OFFICE MEMORANDUM Date: 01/07/17 To: Michael Brown
SUBJECT:
1. Michael Brown donated his station wagon to the firm. Original cost $15,000.
Current market value: $3,000 in exchange for ordinary shares @$1 per share
2. Arranged loan with Grand Bank for $8,000; interest at 5% pa; payable
quarterly. Full loan amount to be repaid 30 June 2021. Loan amount deposited
in account today.
3. Keep freight paid to trade creditors in a separate freight account as I will make
allowance for it in the price I will charge customers.
4. Depreciate the vehicle over 5 years with no value at the end. Signed: Michael Brown 2 Tax Invoice
AAMI Business Insurance
GPO Box 2470
Adelaide, South Australia 5001 To: Invoice No.:
Date:
Due Date:
ABN:
Biller Code: MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107 PAID
21/07/17
EFT 4564 Description
Insurance for Business Operations- premium for 01/07/2017 to
30/06/18
Subtotal
Total Amount
$
3000.00
3000.00
3000.00 Tax Invoice Hi-Road Real Estate
799 High Street
KEW 3101 To: 00579246
01/07/2017
31/07/2017
48 005 297 807
3579 Invoice No.:
Date:
Due Date:
ABN:
Biller Code: MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107 089539
01/07/2017
31/07/2017
38 007 498 432
4382
PAID
21/07/17
EFT 4565 Description
Rent due for hiring of premises from 1/07/2017 to 31/12/17
Total Amount
$
2,000.00
2,000.00 3 Tax Invoice
ABN 95 000 029 729
6-8 Billbrooke Close
Cameron Park, NSW 2286
Phone: (02) 4902 6500
Sold To:
MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107
QTY
6
2 Description
HD (Heavy Duty) Mixer
Sandwich Press
Freight Invoice No.:
Date:
Terms:
PO #: Unit Price
$
600.00
210.00
Subtotal
Total 3403
03/07/2017
N30
1008 Amount
$
3600.00
420.00
150.00
4170.00
$4170.00 Tax Invoice
ABN 35 945 022 518
1 Inman Rd
Cromer, NSW 2099
Phone: +61 2 9971 1788
Fax: +61 2 9971 1336
Sold To:
MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107
QTY
5
5 Description
Drink Machine
Ice Cream machine
Freight Invoice No.:
Date:
Terms: Unit Price
$
450.00
950.00
Subtotal
Total 67456
06/07/2017
N30 Amount
$
2250.00
4750.00
200.00
7200.00
$7200.00 4 Credit Note
ABN 95 000 029 729
6-8 Billbrooke Close
Cameron Park, NSW 2286
Phone: (02) 4902 6500
Sold To:
MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107
QTY
1 Description
HD Mixer Credit Note No.:
Date: Unit Price
$
600.00 Amount
$
600.00 Subtotal
Total 600.00
600.00 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Can Do Cafe
23 Main Street
Eltham, VIC 3095
QTY
Description
1
Ice Cream Machine
2
HD Mixer
2
Drink Machine 1222
06/07/2017 Invoice No.:
Date:
Terms:
PO #: Price
$2400.00
$1100.00
$950.00 Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0001
12/07/2017
5, N30
EFT Amount
$2400.00
$2200.00
$1900.00 $6500.00
0.00
$6500.00
$0.00
$6500.00 5 Tax Invoice Doncaster Auto Repairs
1001 Doncaster Road
Doncaster, VIC 3108
Phone: (03) 9848 2222 Invoice No.:
Date: 3403
12/07/2017
ABN 84 002 168 032
Biller Code: 5167 To: MBB Catering Supplies
Description
Service freight vehicle
Parts
Labour Amount
$580.00
$300.00
$880.00 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Cash Sale
QTY
Description
1
Heavy Duty Mixer
1
Vitamix Drink Machine Invoice No.:
Date:
Terms:
PO #: Price
$1100.00
$950.00
Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0002
13/07/2017
COD
EFT Amount
$1100.00
$950.00
$2050.00
$0.00
$2050.00
$2050.00
$0.00 6 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Cash Sales Invoice No.:
Date:
Terms:
PO #: QTY
Description
1
Ice Cream Machine Price
$1950.00 Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: GRAND BANK – Receipt 0003
14/07/2017
COD
EFT Amount
$1950.00 $1950.00
$0.00
$1950.00
$1950.00
$0.00 14 July 2017 4.22.pm Receipt number
4561
Amount
$880.00
From
MBB Catering Supplies
07 4567 3482 9856
To
Doncaster Auto Repairs
313-140 Mecu Limited
54231789
#3403 7 GRAND BANK – Receipt 14 July 2017 4.28.pm Receipt number
4562
Amount
$7200.00
From
MBB Catering Supplies
07 4567 3482 9856
To
Roband P/L
Biller
Code:
Ref: 5248
9301 Inv #67456 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Organix Café and Food Store
42 James Street
Templestowe, VIC 3106
QTY
Description
1
HD Mixer
1
Drink Machine Invoice No.:
Date:
Terms:
PO #: Price
$1100.00
$900.00
Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0004
15/07/2017
5, N30
EFT Amount
$1100.00
$900.00
$2000.00
$0.00
$2000.00
0.00
$2000.00 8 Credit Note MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Organix Cafe – Return of Sale
42 James Street
Templestowe, VIC 3106
QTY
1
HD Mixer Description Credit Note No.:
Date: Price
$1100.00
Sale Amount:
Freight:
Total Amount: Amount
$1100.00
$1100.00
$0.00
$1100.00 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Cash Sales
QTY
1
HD Mixer Description 0001
16/07/2017 Invoice No.:
Date:
Terms:
PO #: Price
$850
Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0005
17/07/2017
COD
EFT Amount
$850.00
$850.00
$0.00
$850.00
$850.00
$0.00 9 Tax Invoice
ABN 45 689 643 101
Unit 2 / 7 Minnie Street
Belmore, NSW 2192 Sold To: QTY
4
4
4
1 Invoice No.:
Invoice Date:
Terms:
PO #: 0036897
18/07/2017
4/10, N30
2023 MBB Catering Supplies
351 Boutique Blvd
Templestowe, VIC 3107
Item Description
Double-sided Flat Back Gondola Shelving
Single-sided Flat Back Gondola Shelving
Single-sided Peg Board Gondola Shelving
Florence Counter Display Unit Price
$
205.00
105.00
95.00
750.00
Freight
Subtotal Amount
$
820.00
420.00
380.00
750.00
30.00
2400.00 Total 2400.00 BSB: 454-789
ACC#: 3456 0987 Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
Can Do Cafe
23 Main Street
Eltham, VIC 3095
QTY
Description
1
Sandwich Press
1
Drink machine Invoice No.:
Date:
Terms:
PO #: Price
$420.00
$900.00
Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0006
18/07/2017
COD
EFT Amount
$420.00
$900.00
$1320.00
$0.00
$1320.00
$500.00
$820.00 10 GRAND BANK – Receipt 18 July 2017 6.21 pm Receipt number
4563
Amount
$3570.00
From
MBB Catering Supplies
07 4567 3482 9856
To
Kitchen Aid
EFT Tax Invoice MBB CATERING SUPPLIES
ABN 42 088 423 290
351 Boutique Blvd
Templestowe, VIC 3107
Phone: (03) 9850 0351
Sold To:
The Tiki Room
18 Grand Blvd
Montmorency, VIC 3094
QTY
Description
1
Ice Cream machine Invoice No.:
Date:
Terms:
PO #: Price
$2400.00
Sale Amount:
Freight:
Total Amount:
Paid Today:
Balance Due: 0007
21/07/2017
5, N30
6487 Amount
$2400.00
$2400.00
0.00
$2400.00
$0.00
$2400.00 11 GRAND BANK – Receipt 21 July 2017 5.34 pm Receipt number
4564
Amount
$3000.00
From
MBB Catering Supplies
07 4567 3482 9856
To
AAMI
Biller
Code:
Ref: 2989
00579246 Annual insurance GRAND BANK – Receipt 21 July 2017 5.45 pm Receipt number
4565
Amount
$2000.00
From
MBB Catering Supplies
07 4567 3482 9856
To
Hi-Road Real Estate
Biller
Code:
Ref: 2989
089539 Rental payment 12 GRAND BANK – Receipt 25 July 2017 8.32 am Receipt number
4566
Amount
$2304.00
From
MBB Catering Supplies
07 4567 3482 9856
To
OZ Shelving Systems
454-789 Westpac Limited
0036897
#36897 5/10 OFFICE MEMORANDUM Date: 31/07/16 To: Accountant
SUBJECT: End of month adjustments:
Please attend to relevant adjustments to determine the profit or loss made in the first month of
trading. Some adjustments relate to the invoices received but other adjustments that need to be
considered are:
1. One of the items of Inventory (the Ice cream machine cannot be sold unless we price it at
$850 due to some damage that occurred in the storeroom)
2. Wages owing to part-time assistant $650
3. Estimated Depreciation of shelving $200
4. The Tiki Room settled their account in full on the 28th July.
Signed: Michael Brown 13 Grand Bank
ABN 47 598 943 243
MBB Catering Supplies BSB No: 512-170 351 Boutique Blvd Account No: 11595 Templestowe, VIC 3107 Page: 1 of 1
Debit
$ 01/07/17
01/07/17
01/07/17
02/07/17
13/07/17
14/07/17
14/07/17
14/07/17
17/07/17
18/07/17
18/07/17
21/07/17
21/07/17
25/07/17
28/07/17 Opening Balance
Deposit
Bank deposit
Bank Fees – month
EFTPOS BB’s Bakery
EFTPOS Daily Reconciliation
EFT #4561
EFT #4562
EFTPOS Daily Reconciliation
EFT #4563
EFTPOS Daily Reconciliation
EFT #4564
EFT #4565
EFT #4566
EFTPOS Daily Reconciliation $15.00
$880.00
$7,200.00
$3,570.00
$3,000.00
$2,000.00
$2,304.00 Date: 31 July 2017
Credit
Balance
$
$
0
$10,000.00
$10,000.00
$8,000.00
$18,000.00
$17,985.00
$2,050.00
$20,035.00
$1,950.00
$21,985.00
$21,105.00
$13,905.00
$850.00
$14,755.00
$11,185.00
$500.00
$11,685.00
$8,685.00
$6,685.00
$4,381.00
$2,280.00
$6,661.00 14