Financial Accounting and Analysis

The assignment focuses on analyzing the financial statements of Colossal Motors through a Ten-Column Worksheet. It involves preparing adjusted worksheets for different scenarios, creating income statements, balance sheets, and understanding how specific changes can impact profit or loss. The example demonstrates key accounting concepts and their application in real-world financial analysis.

Running head: ACCOUNTING SYSTEMS AND PROCESSES
Accounting Systems and Processes
Name of the Student
Name of the University
Author’s Note

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Table of Contents
Answer to Question 1......................................................................................................................2
Answer to Question 2......................................................................................................................2
Answer to Question 3......................................................................................................................3
Answer to Question 4......................................................................................................................3
Answer to Question 5......................................................................................................................4
Answer to Question 6......................................................................................................................4
Answer to Question 7......................................................................................................................5
Answer to Question 8......................................................................................................................8
Answer to Question 9......................................................................................................................9
Answer to Question 10....................................................................................................................9
Answer to Question 11..................................................................................................................12
Answer to Question 12..................................................................................................................13
Answer to Question 13..................................................................................................................14
Answer to Question 14..................................................................................................................14
Answer to Question 15..................................................................................................................14
References......................................................................................................................................19

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Answer to Question 1
Plagiarism refers to one of the major ethical dilemmas of the academic students and it is
largely affects the honesty of the student’s work. Most of the professors all over the world
consider plagiarism as a major academic crime that affects the academic career of the students
largely. However, there are various technological techniques to check the plagiarism in the
student’s papers. With the help of these plagiarism checkers, the professors can support the hard
work and capabilities of the honest students (Rowinska-Zyrek et al., 2013).
Answer to Question 2
It need to be mentioned that Excel sheets are the examples of computer spreadsheets.
There are various methods to copy and paste the excel sheets in the work document. Among all
these, two methods are most popular among the users. They are shown below:
Simple Pasting Method: There are some specific steps involved in this method and they are
shown below:
 To select the excel sheets along with the columns and rows headings
 Mouse right click and select the paste portion; or to use Ctrl+C in the key board instead
 In the work document file, mouse right click and select paste; or to use Ctrl+V in the key
board instead
The process is shown below as the form of image:
Method of Pasting in Image: In this particular process, one pastes the excel sheets in the work
documents as the form of image. There are also some specific steps in this process and they are
shown below:
 To select the excel sheets along with the columns and rows headings
 Mouse right click and select the paste portion; or to use Ctrl+C in the key board instead

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 In the work document file, use Alt+E+S in the keyboard and to select the picture
This total process is presented below as the form of images:
Answer to Question 3
URLS Explanations
http://www.accountantsaustralia.com.au The main aim of this site is to provide the accountants and
others users with various financial solutions so the overall
performance of the organizations can be improved.
http://indigenousaccountants.com.au The main objective of this site is to provide the accountants
and other users with new accounting information so that they
can be motivated to carry on their business operations
smoothly.
https://
www.charteredaccountantsanz.com
The main motto of this site is to provide the accountants with
various relevant accounting and financial reports for the
improvement of financial reporting and accounting
principles.
https://www.cpaaustralia.com.au The focus of this organization is to improve the skills of the
accountants and various accounting professionals for the
smooth conduct of the accounting processes.
https://www.ato.gov.au The aim of this organization is to provide the users with all
taxation related information.
Answer to Question 4
One of the major present accounting bodies of Australia is Institute of Chartered
Accountant Australia. The main aim of this organization is to provide accounting
professionalism helps to the accountants and others users. Apart from this, this institute also
provides different accounting education to the accountants so that they can utilize them at the
time of running the accounting operations of the companies (Evans, Burritt & Guthri, 2013).

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Answer to Question 5
Previously, I used to work in an educational institute. Our main job responsibility was to
train the students for the various entrance exams of engineering as well as medical. In that
organization, there were commuting work ambiance than my current work place. My key job
responsibility was to tackle the documentation and administration works in the organization. As I
had to depend on computers for all of my works, the computers needed to be updated. In my
office computer, I used to save all the data in the data saving file and I used to update them on
the computer. The network used in the organization was reliable and easily accusable as they
were linked with the commuter. Microsoft office program was installed in my compute and I
used to work with Microsoft office software like Microsoft Word, Microsoft Excel, Microsoft
Power Point and Microsoft Outlook. At the time of working with the organization, I used to
aware with various educational courses and programs that largely helped the students to do well
in the entrance examinations. At the time of managing the administration related works of the
organization, I used to notice that the fact that the company used to run in a profitable way.
At present, I am working with a bank in the position of manager. In the bank, the
management provided me with various daily materials like task lamp, document holder, and
phone head along with a personal computer for my work. I was also provided with separate
chairs and desk so that I feel comfortable while working. As all the business operations of the
bank are related with money, it is needed to maintain secrecy and confidentiality of information.
The work environment is friendly as well as productive and all the employees are provided with
freedom so that everyone can use the resources optimally.
Answer to Question 6
The case of ABC learning focuses on different fraudulent and manipulative business
activities of the company. The main agenda behind these manipulations was to hide the massive
losses of the company. With the help of higher amount of intangible assets, the company inflated
their financial statements as an aim to keep the interest of the company’s shareholders. With the
help of the analysis and evaluation of the accounting scandals of ABC Learning, one can
measure the unethical ways that the company took at the time of preparing their financial
statements (Sumsion, 2012).
After the analysis and evaluation of the case of ABC Learning, it can be said that balance
sheet, income statement and statement of cash flow are the crucial financial reports of the
companies that they must prepare ethically. The business organizations can find all the cash
transactions of a particular financial year with the help of cash flow statement. With the help of
the analysis of balance sheet, one can judge the financial health of an organization for a
particulars financial year. Lastly, business organizations can determine the amount of net profit
and the amount of all the expenditure by using the statement of income (Logan, Press &
Sumsion, 2012).
From the analysis and evaluation of the case of ABC Learning, it becomes prominent that
the company manipulated the tangible assets of the company to manipulate its financial
statements. Apart from this, from the valuation of returns, it can be seen that the company was
unable to maintain its required current assets ratio in order to fulfill its current business
obligations. In addition, the company was also unable to generate the required cash for their
business activities. All these problems massively affected the solvency condition of the

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company. Manipulations in the financial statements are done to attract the investors so that the
company becomes able to raise more capital (Newberry & Brennan, 2013).
The relevant unethical issues discovered from the ABC Learning case are as below:
 The company was accused to provide its investors with wrong financial information of
the financial reports and this process misled the investors in the process of investment.
 In order to increase the total asset base, the company manipulated the amount of tangible
assets in the financial reports in order to improve the solvency position of the company.
 ABC learning involved themselves in the manipulation of profit margins that caused
irregularities in the financial reports (Ross, Sy & Tinker, 2012).
Answer to Question 7
PALER

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Financial Statements (Normal Value):

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Financial Statements (Formula View):
The amount of overall owner’s drawing was 16,800.

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Answer to Question 8
Balance Sheet (Normal View)
Balance Sheet (Formula View)

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Answer to Question 9
The name of four accounts with normal debit balances are Plant and Machinery a/c,
Accounts Receivable a/c, Drawings a/c and Salary Expenses a/c.
The name of four accounts with normal credit balances are Capital a/c, Accounts Payable
a/c, Shareholder’s Equity a/c and Profits a/c.
Answer to Question 10
Trail Balance (Normal View)

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Trail Balance (Formula View)

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Trail Balance with Changes (Normal View)

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Trail Balance with Changes (Formula View)
Answer to Question 11
Unsolved Puzzle

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Solved Puzzle
Requirements
Answer to Question 12
Transaction of Deferred Revenue Expenditures
Transaction of Unearned Income

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Transaction of Accrued Expenses
Transaction of Prepayment of Rent
Answer to Question 13
Current liabilities refer to those kinds of liabilities that need to be paid within the next
financial period. Current liabilities are created out of the business process of the organizations
(Bonin, 2013).
On the other hand, non-current liabilities refer to those liabilities that need to be paid on
the long-term basis. Non-current liabilities help the companies to raise business capital for the
business expansion (Al-Htaybat & von Alberti-Alhtaybat, 2013).
Two examples of current liabilities are Accounts Payable and Bank Overdraft. Two
examples of non-current liabilities are Long-term Loans and Capital Leases.
Answer to Question 14
Current ratio has its importance in the evaluation of liquidity position of the business
organizations. With the help of the analysis of current ratio, financial managers can determine
whether the companies have adequate amount of current assets to cover its current liabilities or
to fulfill the current obligations of the companies. It can be got by dividing current assets by
current liabilities (Higgins, 2012).
Answer to Question 15
Ten-Column Worksheet and Financial Report
Ten-Column Worksheet (Normal View)
In the Books of Colossal Motors
Adjusted Worksheet as on 30.6.2017

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Ten-Column Worksheet (Formula View)
In the Books of Colossal Motors
Adjusted Worksheet as on 30.6.2017

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Income Statement (Normal View)
Income Statement (Formula View)
Balance Sheet (Normal View)

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Balance Sheet (Formula View)

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Ten-column Worksheet with Four Changes that Changes the Profit to Loss
Ten-column Worksheet with Changes (Normal View)
Ten-column Worksheet with Changes (Formula View)

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References
Al-Htaybat, K., & von Alberti-Alhtaybat, L. (2013). Management accounting theory revisited:
seeking to increase research relevance. International Journal of Business and
Management, 8(18), 12.
Bonin, H. (2013). Generational accounting: theory and application. Springer Science &
Business Media.
Evans, E. E., Burritt, R., & Guthrie, J. (2013). The Virtual University: Impact on Australian
Accounting and Business Education.
Higgins, R. C. (2012). Analysis for financial management. McGraw-Hill/Irwin.
Logan, H., Press, F., & Sumsion, J. (2012). The quality imperative: Tracing the rise of'quality'in
Australian early childhood education and care policy. Australasian Journal of Early
Childhood, 37(3), 4.
Newberry, S., & Brennan, D. (2013). The marketisation of early childhood education and care
(ECEC) in Australia: A structured response. Financial Accountability &
Management, 29(3), 227-245.
Ross, P., Sy, A., & Tinker, T. (2012). ABC Learning: accounting lessons never
learned?. International Journal of Critical Accounting, 4(1), 21-29.
Rowinska-Zyrek, M., Witkowska, D., Potocki, S., Remelli, M., & Kozlowski, H. (2013). His-
rich sequences–is plagiarism from nature a good idea?. New Journal of Chemistry, 37(1),
58-70.
Sumsion, J. (2012). ABC Learning and Australian early education and care: a retrospective
ethical audit of a radical experiment. Childcare markets local and global: can they
deliver an equitable service, 209-225.

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