Questions from General Accounting

Q: What are two major advantages and disadvantages of a company structure?

What are two major advantages and disadvantages of a company structure? Provide an illustration with a company listed on the ASX (such as JB Hi-Fi Ltd, CSL Ltd, BHP Billiton Ltd).

Q: Illustrate with an example the difference in the format of the equity

Illustrate with an example the difference in the format of the equity section of the statement of financial position between a sole trader, partnership and company.

Q: Another relatively widespread business structure is a trust. What are the

Another relatively widespread business structure is a trust. What are the two main forms of trusts in Australia? What are the tax issues associated with family trusts?

Q: Explain what is meant by an ‘arm’s length business transaction’ when

Explain what is meant by an ‘arm’s length business transaction’ when a business buys accounting software on credit.

Q: What is the purpose of a statement of profit or loss for

What is the purpose of a statement of profit or loss for an entity? List typical items that you would see in the statement of profit or loss for a computer service technician.

Q: The following business transactions relate to Colin Clark (financial planner)

The following business transactions relate to Colin Clark (financial planner) for his first month of business operations in August 2020. 2020 August 1 Commenced business operations with a $300 000 cas...

Q: Describe how an accounting worksheet assists in the preparation of the statement

Describe how an accounting worksheet assists in the preparation of the statement of profit or loss and the statement of financial position.

Q: What is meant by the concept of duality? Provide an illustration

What is meant by the concept of duality? Provide an illustration involving a business transaction where the business purchases a motor vehicle on credit.

Q: Both the journal and the ledger can be used to record a

Both the journal and the ledger can be used to record a large number of transactions. Differentiate between financial recordkeeping in the journal and the ledger.

Q: Discuss the purpose of a double-entry bookkeeping system.

Discuss the purpose of a double-entry bookkeeping system.