Business Accounting and Finance Homework: Comprehensive Solution

This document presents a comprehensive solution to a business accounting and finance assignment. It covers various aspects of financial accounting, including journal entries, trial balance preparation, income statement and balance sheet creation, and cash flow statement analysis. The solution also delves into inventory valuation methods (FIFO, LIFO, weighted average), ratio analysis for comparing company performance, economic order quantity (EOQ) calculation, and ethical considerations in financial reporting. The assignment analyzes the financial health of two companies, Healthy Innovation Limited and Medica Assist Limited, using ratio analysis to determine investment suitability. It further explores the importance of financial reports, cash flow analysis, and ethical issues encountered in a case study, particularly focusing on the misrepresentation of financial information and related party transactions.