This report analyzes the case of RIP Pty Ltd, a funeral services company, in the context of Australian taxation law. It examines the treatment of prepayments, stock, dividend income, rent, long service leave, and capital expenditure. The report draws on relevant case law, including Arthur Murray (NSW) Pty Ltd v FCT (1965) and Carden’s case (1938), to provide practical advice on how RIP Pty Ltd should account for these items for tax purposes.