Award in Computerised Accounting Skills

Transcription

1 Award in Computerised Accounting Skills ASE20055 Level 3 Time allowed: 3 hours Instructions You should read through the assignment carefully before you begin. You must attempt all tasks in the order given. You are not allowed to bring any memory sticks or paper into the examination room. You are required to save all answer files in a folder created on your desktop or in your designated section of the network drive. The folder should be labelled with your name and candidate number. You are required to save all answer files in PDF format. You may use a calculator provided the calculator gives no printout, has no word display facilities, is silent and cordless. The provision of batteries and their condition is your responsibility. The assignment and any used or unused paper must be returned to the invigilator at the end of the examination. ASE20055/D1C Page 1 of 10 Education Development International plc

2 The Case Study Part 1 - Enter opening data You work in the accounts department of HomeCare, a sole trader business which provides property maintenance services to a variety of customers. HomeCare Glebe Road,, KT1 2NM The firm uses the standard 12-month financial year ending 31 December. This case study deals with the setting up of accounts at 31 May 2011 and transactions for the month of June The business charges tax on all sales and pays tax on all purchases. Where applicable the standard tax rate is 15%. You need to set up this tax rate as well as three other categories, zero rate, exempt and outside the scope. You are required to: 1 Set up the company data file selecting a default Chart of Accounts. 2 Set up the following suppliers accounts with a reference appropriate to the software package you are using. Where possible, use the first four letters, followed by 01; for example, County Council account code would be SURR01. Suppliers Account Details Balance at 31 May 2011 County Council High Road KT1 2PA Contact: Jane Patterson Advance Plumbing Supplies 23 Southgrove Road Ashtead KT10 8JE Contact: Martin Jones Direct Home Supplies 10 Moor Road Premier Electric 10 High Street Surbiton Debit 210 Credit 780 Credit 454 Credit 1,292 ASE20055/D1C Page 2 of 10 Education Development International plc

3 3 Set up the following customers accounts with a reference appropriate to the software package you are using. Where possible, use the first 3 letters, followed by 001; for example, Green Court Management Co s account number would be GRE001. Customers Account Details Balance at 31 May 2011 Green Court Management Co. 41 Clarence Street Johnson & Company Ltd Head Office 10 Walter Square Surbiton County Council High Road Debit 620 Debit 1,420 Debit 990 Payment on Account 200 ASE20055/D1C Page 3 of 10 Education Development International plc

4 4 You are provided with the account balances as at 31 May Enter these and set up the Budget figures, as shown. Description DR CR Budget Office Equipment 1,200 Office Equipment Depreciation 340 Office Furniture 2,000 Office Furniture Depreciation 800 Vehicles 42,000 Vehicles Depreciation 11,760 Stock 1,500 Debtors Control (Receivables) 2,830 Bank Current Account 28,500 Petty Cash 1,100 Sales Tax Liability 2,600 Employee Tax and National Insurance 1,369 Creditors Control (Payables) 2,316 Bank Loan 30,100 Capital 5,954 Drawings 10,000 Sales-Property Maintenance 100, ,000 Purchases-Materials 36,100 80,000 Salaries 12,000 30,000 Employer s National Insurance 1,650 4,000 Rent 3,750 9,000 Rates 2,000 4,800 Water Charges Electricity 500 1,200 Motor Fuel 1,150 3,000 Insurances 2,000 5,000 Telephone 1,200 3,000 Postage Stationery 400 1,200 Loan Interest Paid 1,250 3,000 Bank Charges Depreciation 3,724 9, , ,239 Spread evenly over the year 5 Set up the Fixed Asset Register if your software package allows this. Depreciation is charged in the month of acquisition but not in the month of disposal Depreciation in the Profit & Loss Account is held in one account. Asset Cost Price Depreciation Method Depreciation Rate Per Annum Office Equipment 1,200 Straight Line 20% Office Furniture 2,000 Straight Line 10% Transit Vans 42,000 Reducing Balance 20% (= 1.84% per month) ASE20055/D1C Page 4 of 10 Education Development International plc

5 6 A bank loan of 40,000 was taken out in 2009 to purchase three transit vans. A recurring payment of 800 is paid on the 10th of each month by standing order and comprises the following: Capital Repayment 550 Loan Interest 250 Set up this regular payment and process it during June. ASE20055/D1C Page 5 of 10 Education Development International plc

6 Part 2 - Transactions for the month of June June The owner contributes the following to the business: Computer equipment worth (depreciation rate 30% per annum on straight line method) His own second hand estate car valued at 3,500 (depreciation rate as for the transit vans). Process these transactions and update the Fixed Asset Register if your software package allows this. 8 Enter the following supplier invoices and credit note: INVOICES Supplier Inv Date Inv Ref Description Net Tax Gross County Council (land owner) Direct Home Supplies Advance Plumbing Supplies 01 June June June 11 Invoice Invoice 2245 Invoice 1223 June rates Paint, brushes etc Taps, pipe fittings etc Outside the scope Advance Plumbing Supplies offers a 2% settlement discount for invoices paid within 10 days. Tax has been calculated on the discounted amount and should be entered as shown. CREDIT NOTE Direct Home Supplies 05 June 11 Credit Note CR214 Returned one pot of paint Enter the following customer invoices (all inclusive of tax at 15%) Customer Date Reference Details Amount Green Court Management Co. 06 June Johnson & Co.Ltd 08 June County Council (land owner) 10 June External and internal cleaning General maintenance - call out plus parts Maintenance of Council offices internal and external June , , ASE20055/D1C Page 6 of 10 Education Development International plc

7 10 Process the following payments: Payee Date Details Payment Method Patel Properties 01 June 11 Rent June Cheque no County Council (land owner) Direct Home Supplies Advance Plumbing Supplies 11 June 11 June Rates less outstanding credit 11 June 11 Last month s balance 11 June 11 National Tax Office 18 June 11 Invoice 1223, taking advantage of the discount offered Employee tax and national insurance for May Amount incl tax Credit Transfer Cheque no Cash Credit Transfer 1, While carrying out property maintenance jobs, the Supervisor incurs the following expenses on the company credit card. Process these transactions, using the most appropriate nominal codes. Date Supplier Description 15 June 11 Evans Petrol Station Diesel Including tax June 11 County Car Parks Parking Including tax June 11 Russells Hardware Plumbing supplies Tax June 11 Fuel Station Diesel Including tax June 11 Russells Hardware Screws, nails etc Tax Some of the plumbing supplies that the Supervisor purchased from Russells Hardware were incorrect and returned; the value of these is inclusive of tax, and the refund will be put onto the company credit card. Process this transaction dated 19 June On 16 June 2011, ABC Office Supplies delivered a new filing cabinet and submitted invoice for inclusive of tax they required payment on delivery; therefore, this is paid on the company credit card. Process this transaction and update the Fixed Asset Register if your software package allows this. 14 On 17 June 2011, you decide to replace one of the transit vans with a new one. The old van was taken in part exchange for the new one. The table below shows details. Cheque number for 6,515 covered the balance for the van plus 12 months Road Fund Licence (Road Tax) of 190 to 31 May Process the required transactions and update the Fixed Asset Register if your software package allows this. Asset Cost Price Depreciation to Date Old transit van 14,000 3,920 New van 15,525 including tax Trade in Value 8,000 + tax 1,200 Depreciation As per the other transit vans 15 Premier Electric collects monies owed by recurring payment; last month s invoice of 1,292 will be paid by direct debit on 18 June Process this transaction. ASE20055/D1C Page 7 of 10 Education Development International plc

8 16 The following amounts were received from customers on 20 June: 790 from County Council by BACS. This settled their May account Cheque from Johnson & Co for 1,000. There was nothing to indicate what this was for so it should be entered as a payment on account. Process these transactions 17 Process the following Salary and Drawings journals dated 28 June 2011; the net salary and the drawings were paid by credit transfer on 28 June, while the other transactions are accrued. Description Amount Net Salaries 1, Owner s Drawings 1, Tax deducted from employees Employees national insurance contributions Union Fees deducted Employer s national insurance contributions Reconcile these transactions from the company credit card statement to the Credit Card account. Date Transaction Amount 15 June 11 Evans Petrol Station June 11 County Car Parks June 11 Russells Hardware June 11 ABC Office Supplies June 11 Russells Hardware CR Balance outstanding The balance on the company credit card statement dated 20 June is paid by direct debit (recurring payment) on 28 th of the month, the payment being taken from the company Current Account. Process this transaction. 20 On 24 June 2011 you receive a letter from the bank informing you that the cheque you received from Johnson & Co. for 1, had been returned with the words refer to drawer. Process this transaction. ASE20055/D1C Page 8 of 10 Education Development International plc

9 21 Make the following month end adjustments, dated 30 June: (a) (b) Depreciation of Fixed Assets Adjustment for prepaid Road Fund Licence (Road Tax) (c) Stock has been valued at 1,600 (d) Adjustment for accruals, as follows: Telephone Electricity Water usage Calculate the monthly tax liability by preparing a Sales Tax Return for the month of June 2011 and save it in PDF format. It is the firm s practice to show only one sales tax liability figure at the end of each month. Therefore, if the software you are using automatically posts individual tax amounts to two sales tax control accounts, transfer the balances of these accounts into one Sales Tax Liability Account. 23 Edit the layout of the Profit & Loss Account (if necessary) to clearly show the following accounts: Sales of Property Maintenance Services Purchases of Materials Opening and Closing Stock Profit/Loss on Disposal of Assets. Edit the layout of the Balance Sheet (if necessary) to clearly show the following accounts: Owner s Capital and Drawings. ASE20055/D1C Page 9 of 10 Education Development International plc

10 Part 3 Preparation of reports 24 At the end of your examination, the following documents and reports should be held in your folder in PDF format: A Tax Liability as at 30 June 2011 (Task 22) B Trial Balance as at 30 June 2011 C D E F Audit Trail of all transactions to include at least date, reference, nominal code, narrative, net amount and tax amount Nominal Ledger Report showing all transactions, reference numbers and account balances to 30 June 2011 for all accounts Customer names and addresses Customer Ledger Report to 30 June 2011 to include customer name, all transactions and the account balance G Aged Debtors Analysis (Accounts Receivable) at 30 June 2011 H I Supplier names and addresses Supplier Ledger Report to 30 June 2011 to include supplier name, all transactions and the account balance J Aged Creditors Analysis (Accounts Payable) at 30 June 2011 K Profit & Loss Account for month ended 30 June 2011 L Balance Sheet as at 30 June 2011 M Comparison of budget to actual figures for financial year to 30 June Review the Budget Report and Balance Sheet produced above and calculate the following ratios for the financial year to date (show your workings): Net Profit Margin Calculation of Liquid Ratio (Quick Ratio/Acid Test). You may use either a word processing or spreadsheet package and save the file in PDF format as Ratios. ASE20055/D1C Page 10 of 10 Education Development International plc

11 EDI LCCI INTERNATIONAL QUALIFICATIONS LEVEL AWARD IN COMPUTERISED SKILLS WORKED ANSWER/MARKING GUIDE ASE20055D1C - WORKED ANSWER/ MARKING GUIDE

12 Glebe Road KT1 2NM VAT [Detail - Accrual] 01/06/2011 To 30/06/2011 Page 1 Date ID# Name Rate Sale Value Purchase Value VAT Collected VAT Paid EXE VAT exempt 10/06/2011 SO-1 Bank Loan Monthl 0.000% Total: N-T Non-Taxable 01/06/ County Co 0.000% /06/2011 SO-1 Bank Loan Monthl 0.000% /06/2011 GJ Van disposal and 0.000% - 6, /06/2011 BP-2 National Tax Offic 0.000% 1, /06/2011 BR-2 Payment on accou 0.000% 1, /06/2011 PoA Johnson & Compa 0.000% - 1, /06/2011 Ret chq Johnson & Compa 0.000% 1, /06/2011 Ret chq Returned cheque; 0.000% 1, /06/2011 DD-2 Company Credit C 0.000% Total: 1, , VAT Value Added Tax 01/06/ Patel Properties % /06/ Direct Home Supp % /06/ Advance Plumbin % /06/ Direct Home Supp % /06/ Green Court Mana % /06/ Johnson & Compa % 1, /06/ County Co % 3, /06/ Advance Plumbin % /06/2011 CC-1 Evans Petrol Stati % /06/2011 CC-2 County Car Parks % /06/ ABC Office Suppli % /06/2011 CC-3 Russells Hardwar % /06/2011 GJ Van disposal and % 5, /06/2011 CCR-1 Russells Hardwar % /06/2011 CC-4 Fuel Station % /06/2011 CC-5 Russells Hardwar % Total: 5, , , Grand Total: , Page 2 of 23

13 Glebe Road KT1 2NM Trial Balance June 2011 Page 1 Account Debit Credit YTD Debit YTD Credit Office Equipment (Cost) , Office Equipment (Depn) Office Furniture (Cost) , Office Furniture (Depn) Vehicles (Cost) 3, , Vehicles (Depn) 3, , Stock , Bank Current Account 13, , Petty Cash Prepaid expenses Trade Debtors 5, , Trade Creditors 1, Accrued expenses Company Credit Card Sales Tax Liability , Employment Tax and NI , Union Fees Liability Bank Loan , Capital 4, , Drawings 1, , Sales - Property Maintenance 5, , Purchases - Materials , Opening Stock 1, , Closing Stock 1, , Discounts Taken Salaries 2, , Employer's National Insurance , Rent , Rates , Water Charges Electricity Motor Fuel , Vehicle Licenses Travel Insurances , Telephone , Postage Stationery Loan Interest Paid , Bank Charges Depreciation , Fixed Assets Disposal 2, , Total: 25, , , , Page 3 of 23

14 Glebe Road KT1 2NM All Journals 31/05/2011 To 30/06/2011 Page 1 ID# Acct# Account Name Debit Credit PJ 31/05/2011 County Council O/Bal Trade Creditors O/Bal Trade Creditors PJ 31/05/2011 Advance Plumbing Supplies O/Bal Trade Creditors O/Bal Trade Creditors PJ 31/05/2011 Direct Home Supplies O/Bal Trade Creditors O/Bal Trade Creditors PJ 31/05/2011 Premier Electric O/Bal Trade Creditors 1, O/Bal Trade Creditors 1, SJ 31/05/2011 Green Court Management Co. O/Bal Trade Debtors O/Bal Trade Debtors SJ 31/05/2011 Johnson & Company Ltd O/Bal Trade Debtors 1, O/Bal Trade Debtors 1, SJ 31/05/2011 County Council O/Bal Trade Debtors O/Bal Trade Debtors SJ 31/05/2011 County Council PoA Trade Debtors PoA Trade Debtors CD 10/06/2011 Bank Loan Monthly Payment SO Bank Current Account SO Bank Loan SO Loan Interest Paid GJ 01/06/2011 Computer and car introduced GJ Office Equipment (Cost) GJ Vehicles (Cost) 3, GJ Capital 4, PJ 01/06/2011 Purchase; County Council Trade Creditors Rates PJ 02/06/2011 Purchase; Direct Home Supplies Trade Creditors Trade Creditors Purchases - Materials Purchase Tax Control PJ 02/06/2011 Purchase; Advance Plumbing Supplies Trade Creditors Trade Creditors Purchases - Materials Purchase Tax Control PJ 05/06/2011 Credit; Direct Home Supplies Page 4 of 23

15 All Journals 31/05/2011 To 30/06/2011 Page 2 ID# Acct# Account Name Debit Credit PJ 05/06/2011 Credit; Direct Home Supplies Trade Creditors Trade Creditors Purchases - Materials Purchase Tax Control 4.50 SJ 06/06/2011 Sale; Green Court Management Co Trade Debtors Trade Debtors Sales - Property Maintenance Sales Tax Control SJ 08/06/2011 Sale; Johnson & Company Ltd Trade Debtors 1, Trade Debtors Sales - Property Maintenance 1, Sales Tax Control SJ 10/06/2011 Sale; County Council Trade Debtors 3, Trade Debtors Sales - Property Maintenance 3, Sales Tax Control CD 01/06/2011 Patel Properties Bank Current Account Rent Purchase Tax Control PJ 11/06/2011 County Council: Debit from O/Bal PJ Trade Creditors PJ Trade Creditors CD 11/06/2011 County Council BP Bank Current Account BP Trade Creditors CD 11/06/2011 Direct Home Supplies Bank Current Account Trade Creditors CD 11/06/2011 Advance Plumbing Supplies PC Petty Cash PC Trade Creditors PJ 11/06/2011 Advance Plumbing Supplies: Discounts on Trade Creditors Trade Creditors Discounts Taken Purchase Tax Control 0.89 PJ 11/06/2011 Advance Plumbing Supplies: Debit from PJ Trade Creditors 6.80 PJ Trade Creditors 6.80 CD 18/06/2011 National Tax Office BP Bank Current Account 1, BP Employment Tax and NI 1, CD 15/06/2011 Evans Petrol Station CC Company Credit Card CC Motor Fuel CC Purchase Tax Control 7.50 Page 5 of 23

16 All Journals 31/05/2011 To 30/06/2011 Page 3 ID# Acct# Account Name Debit Credit CD 15/06/2011 County Car Parks CC Company Credit Card CC Travel CC Purchase Tax Control 1.80 CD 16/06/2011 Russells Hardware CC Company Credit Card CC Purchases - Materials CC Purchase Tax Control CD 20/06/2011 Fuel Station CC Company Credit Card CC Motor Fuel CC Purchase Tax Control 9.00 CD 20/06/2011 Russells Hardware CC Company Credit Card CC Purchases - Materials CC Purchase Tax Control 3.91 CR 19/06/2011 Russells Hardware CCR Company Credit Card CCR Purchases - Materials CCR Sales Tax Control 2.93 PJ 16/06/2011 Purchase; ABC Office Supplies Trade Creditors Trade Creditors Office Furniture (Cost) Purchase Tax Control CD 16/06/2011 ABC Office Supplies CC Company Credit Card CC Trade Creditors GJ 17/06/2011 Van disposal and acquisition GJ Vehicles (Cost) 14, GJ Vehicles (Depn) 3, GJ Fixed Assets Disposal 10, GJ Fixed Assets Disposal 8, GJ Vehicles (Cost) 13, GJ Vehicle Licenses GJ Bank Current Account 6, GJ Purchase Tax Control CD 18/06/2011 Premier Electric DD Bank Current Account 1, DD Trade Creditors 1, SJ 20/06/2011 County Council: Credit from PoA SJ Trade Debtors SJ Trade Debtors CR 20/06/2011 Payment; County Council BR Bank Current Account BR Trade Debtors CR 20/06/2011 Payment on account; Johnson & Co BR Bank Current Account 1, BR Bank Contra Account 1, SJ 20/06/2011 Payment on account; Johnson & Company Ltd PoA Trade Debtors 1, PoA Bank Contra Account 1, Page 6 of 23

17 All Journals 31/05/2011 To 30/06/2011 Page 4 ID# Acct# Account Name Debit Credit SJ 20/06/2011 Payment on account; Johnson & Company Ltd GJ 28/06/2011 Salary and Drawings, June GJ Drawings 1, GJ Salaries 2, GJ Employer's National Insurance GJ Employment Tax and NI 1, GJ Union Fees Liability GJ Bank Current Account 2, CD 28/06/2011 Company Credit Card; June statement DD Bank Current Account DD Company Credit Card SJ 24/06/2011 Returned cheque; Johnson & Company Ltd Ret chq Trade Debtors 1, Ret chq Bank Contra Account 1, CD 24/06/2011 Returned cheque; Johnson & Co Ret chq Bank Current Account 1, Ret chq Bank Contra Account 1, GJ 30/06/2011 Depreciation, June GJ Office Equipment (Depn) GJ Office Furniture (Depn) GJ Vehicles (Depn) GJ Depreciation GJ 30/06/2011 Adjust for prepaid road tax GJ Prepaid expenses GJ Vehicle Licenses GJ 30/06/2011 Stock adjustment, June GJ Opening Stock 1, GJ Closing Stock 1, GJ Stock GJ 30/06/2011 Accrued utilities, June GJ Telephone GJ Electricity GJ Water Charges GJ Accrued expenses GJ 30/06/2011 Clear VAT controls, June GJ Sales Tax Control GJ Purchase Tax Control 1, GJ Sales Tax Liability Grand Total: 64, , Page 7 of 23

18 Glebe Road KT1 2NM General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 1 ID# Src Date Memo Debit Credit Ending Balance Office Equipment (Cost) Beginning Balance: 1, GJ GJ 01/06/2011 Computer and c , Total: , Office Equipment (Depn) Beginning Balance: cr GJ GJ 30/06/2011 Depreciation, J cr Total: cr Office Furniture (Cost) Beginning Balance: 2, PJ 16/06/2011 Purchase; ABC , Total: , Office Furniture (Depn) Beginning Balance: cr GJ GJ 30/06/2011 Depreciation, J cr Total: cr Vehicles (Cost) Beginning Balance: 42, GJ GJ 01/06/2011 Computer and c 3, , GJ GJ 17/06/2011 Van disposal an 14, , GJ GJ 17/06/2011 Van disposal an 13, , Total: 17, , , Vehicles (Depn) Beginning Balance: 11,760.00cr GJ GJ 17/06/2011 Van disposal an 3, ,840.00cr GJ GJ 30/06/2011 Depreciation, J ,523.74cr Total: 3, ,523.74cr Stock Beginning Balance: 1, GJ GJ 30/06/2011 Stock adjustme , Total: , Bank Current Account Beginning Balance: 28, CD 01/06/2011 Patel Properties , SO-1 CD 10/06/2011 Bank Loan Mon , CD 11/06/2011 Direct Home Su , BP-1 CD 11/06/2011 County , GJ GJ 17/06/2011 Van disposal an 6, , BP-2 CD 18/06/2011 National Tax Of 1, , DD-1 CD 18/06/2011 Premier Electric 1, , BR-1 CR 20/06/2011 Payment; Surre , BR-2 CR 20/06/2011 Payment on acc 1, , Ret chq CD 24/06/2011 Returned chequ 1, , GJ GJ 28/06/2011 Salary and Dra 2, , DD-2 CD 28/06/2011 Company Credi , Page 8 of 23

19 General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 2 ID# Src Date Memo Debit Credit Ending Balance Bank Current Account Beginning Balance: 28, Total: 1, , , Petty Cash Beginning Balance: 1, PC-1 CD 11/06/2011 Advance Plumb Total: Prepaid expenses Beginning Balance: 0.00 GJ GJ 30/06/2011 Adjust for prepa Total: Trade Debtors Beginning Balance: 2, SJ 06/06/2011 Sale; Green Co , SJ 06/06/2011 Sale; Green Co , SJ 08/06/2011 Sale; Johnson 1, , SJ 08/06/2011 Sale; Johnson , SJ 10/06/2011 Sale; Co 3, , SJ 10/06/2011 Sale; Co , PoA SJ 20/06/2011 Payment on acc 1, , SJ SJ 20/06/2011 County , SJ SJ 20/06/2011 County , BR-1 CR 20/06/2011 Payment; Surre , Ret chq SJ 24/06/2011 Returned chequ 1, , Total: 7, , , Bank Contra Account Beginning Balance: 0.00 PoA SJ 20/06/2011 Payment on acc 1, , BR-2 CR 20/06/2011 Payment on acc 1, Ret chq SJ 24/06/2011 Returned chequ 1, ,000.00cr Ret chq CD 24/06/2011 Returned chequ 1, Total: 2, , Trade Creditors Beginning Balance: 2,316.00cr PJ 01/06/2011 Purchase; Surr ,716.00cr PJ 02/06/2011 Purchase; Direc ,862.20cr PJ 02/06/2011 Purchase; Direc ,884.13cr PJ 02/06/2011 Purchase; Adva ,224.13cr PJ 02/06/2011 Purchase; Adva ,274.11cr PJ 05/06/2011 Credit; Direct H ,244.11cr PJ 05/06/2011 Credit; Direct H ,239.61cr PJ 11/06/2011 Advance Plumb ,233.70cr PJ 11/06/2011 Advance Plumb ,232.81cr PJ PJ 11/06/2011 County ,442.81cr PJ PJ 11/06/2011 County ,232.81cr PJ PJ 11/06/2011 Advance Plumb ,239.61cr PJ PJ 11/06/2011 Advance Plumb ,232.81cr CD 11/06/2011 Direct Home Su ,778.81cr BP-1 CD 11/06/2011 County ,588.81cr PC-1 CD 11/06/2011 Advance Plumb ,205.63cr PJ 16/06/2011 Purchase; ABC ,353.63cr PJ 16/06/2011 Purchase; ABC ,375.83cr CC-6 CD 16/06/2011 ABC Office Sup ,205.63cr DD-1 CD 18/06/2011 Premier Electric 1, cr Page 9 of 23

20 General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 3 ID# Src Date Memo Debit Credit Ending Balance Trade Creditors Beginning Balance: 2,316.00cr Total: 2, , cr Accrued expenses Beginning Balance: 0.00 GJ GJ 30/06/2011 Accrued utilities cr Total: cr Company Credit Card Beginning Balance: 0.00 CC-1 CD 15/06/2011 Evans Petrol St cr CC-2 CD 15/06/2011 County Car Par cr CC-3 CD 16/06/2011 Russells Hardw cr CC-6 CD 16/06/2011 ABC Office Sup cr CCR-1 CR 19/06/2011 Russells Hardw cr CC-4 CD 20/06/2011 Fuel Station cr CC-5 CD 20/06/2011 Russells Hardw cr DD-2 CD 28/06/2011 Company Credi cr Total: cr Sales Tax Control Beginning Balance: SJ 06/06/2011 Sale; Green Co cr SJ 08/06/2011 Sale; Johnson cr SJ 10/06/2011 Sale; Co cr CCR-1 CR 19/06/2011 Russells Hardw cr GJ GJ 30/06/2011 Clear VAT contr Total: Purchase Tax Control Beginning Balance: CD 01/06/2011 Patel Properties PJ 02/06/2011 Purchase; Direc PJ 02/06/2011 Purchase; Adva PJ 05/06/2011 Credit; Direct H PJ 11/06/2011 Advance Plumb CC-1 CD 15/06/2011 Evans Petrol St CC-2 CD 15/06/2011 County Car Par PJ 16/06/2011 Purchase; ABC CC-3 CD 16/06/2011 Russells Hardw GJ GJ 17/06/2011 Van disposal an , CC-4 CD 20/06/2011 Fuel Station , CC-5 CD 20/06/2011 Russells Hardw , GJ GJ 30/06/2011 Clear VAT contr 1, Total: 1, , Sales Tax Liability Beginning Balance: 2,600.00cr GJ GJ 30/06/2011 Clear VAT contr ,311.87cr Total: ,311.87cr Employment Tax and NI Beginning Balance: 1,369.00cr BP-2 CD 18/06/2011 National Tax Of 1, GJ GJ 28/06/2011 Salary and Dra 1, ,036.74cr Page 10 of 23

21 General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 4 ID# Src Date Memo Debit Credit Ending Balance Employment Tax and NI Beginning Balance: 1,369.00cr Total: 1, , ,036.74cr Union Fees Liability Beginning Balance: 0.00 GJ GJ 28/06/2011 Salary and Dra cr Total: cr Bank Loan Beginning Balance: 30,100.00cr SO-1 CD 10/06/2011 Bank Loan Mon ,550.00cr Total: ,550.00cr Capital Beginning Balance: 5,954.00cr GJ GJ 01/06/2011 Computer and c 4, ,134.00cr Total: , ,134.00cr Drawings Beginning Balance: 10, GJ GJ 28/06/2011 Salary and Dra 1, , Total: 1, , Sales - Property Maintenance Beginning Balance: 100,000.00cr SJ 06/06/2011 Sale; Green Co ,229.57cr SJ 08/06/2011 Sale; Johnson 1, ,586.09cr SJ 10/06/2011 Sale; Co 3, ,169.13cr Total: , ,169.13cr Purchases - Materials Beginning Balance: 36, PJ 02/06/2011 Purchase; Direc , PJ 02/06/2011 Purchase; Adva , PJ 05/06/2011 Credit; Direct H , CC-3 CD 16/06/2011 Russells Hardw , CCR-1 CR 19/06/2011 Russells Hardw , CC-5 CD 20/06/2011 Russells Hardw , Total: , Opening Stock Beginning Balance: 0.00 GJ GJ 30/06/2011 Stock adjustme 1, , Total: 1, , Closing Stock Beginning Balance: 0.00 GJ GJ 30/06/2011 Stock adjustme 1, ,600.00cr Total: , ,600.00cr Discounts Taken Beginning Balance: PJ 11/06/2011 Advance Plumb cr Page 11 of 23

22 General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 5 ID# Src Date Memo Debit Credit Ending Balance Discounts Taken Beginning Balance: 0.00 Total: cr Salaries Beginning Balance: 12, GJ GJ 28/06/2011 Salary and Dra 2, , Total: 2, , Employer's National Insurance Beginning Balance: 1, GJ GJ 28/06/2011 Salary and Dra , Total: , Rent Beginning Balance: 3, CD 01/06/2011 Patel Properties , Total: , Rates Beginning Balance: 2, PJ 01/06/2011 Purchase; Surr , Total: , Water Charges Beginning Balance: GJ GJ 30/06/2011 Accrued utilities Total: Electricity Beginning Balance: GJ GJ 30/06/2011 Accrued utilities Total: Motor Fuel Beginning Balance: 1, CC-1 CD 15/06/2011 Evans Petrol St , CC-4 CD 20/06/2011 Fuel Station , Total: , Vehicle Licenses Beginning Balance: 0.00 GJ GJ 17/06/2011 Van disposal an GJ GJ 30/06/2011 Adjust for prepa Total: Travel Beginning Balance: 0.00 CC-2 CD 15/06/2011 County Car Par Total: Telephone Beginning Balance: 1, GJ GJ 30/06/2011 Accrued utilities , Page 12 of 23

23 General Ledger [Detail] 01/06/2011 To 30/06/2011 Page 6 ID# Src Date Memo Debit Credit Ending Balance Telephone Beginning Balance: 1, Total: , Loan Interest Paid Beginning Balance: 1, SO-1 CD 10/06/2011 Bank Loan Mon , Total: , Depreciation Beginning Balance: 3, GJ GJ 30/06/2011 Depreciation, J , Total: , Fixed Assets Disposal Beginning Balance: 0.00 GJ GJ 17/06/2011 Van disposal an 10, , GJ GJ 17/06/2011 Van disposal an 8, , Total: 10, , , Grand Total: 58, , Page 13 of 23

24 Glebe Road KT1 2NM Address List Page 1 Name Address 1 Green Court Management Co. Johnson & Company Ltd County Council 41 Clarence Street Head Office 10 Walter Square Surbiton High Road Page 14 of 23

25 Glebe Road KT1 2NM Customer Ledger 31/05/2011 To 30/06/2011 Page 1 Date Src ID# Memo Debit Credit Balance Green Court Management Co. GRE /05/2011 SJ O/Bal Green Court Ma /06/2011 SJ Sale; Green Co Total: Johnson & Company Ltd JOH /05/2011 SJ O/Bal Johnson & Com 1, , /06/2011 SJ Sale; Johnson 1, , /06/2011 SJ PoA Payment on acc 1, , /06/2011 SJ Ret chq Returned chequ 1, , Total: 3, , , County Council SUR /05/2011 SJ O/Bal County /05/2011 SJ PoA County /06/2011 SJ Sale; Co 4, , /06/2011 SJ SJ County , /06/2011 CR BR-1 Payment; Surre , Total: 5, , , Page 15 of 23

26 Glebe Road KT1 2NM Aged Receivables [Detail] 30/06/2011 Page 1 ID# Date Total Due Green Court Management Co. GRE001 Net 30 O/Bal 31/05/ /06/ Johnson & Company Ltd JOH001 Total: Net 30 O/Bal 31/05/2011 1, , /06/2011 1, , Ret chq 24/06/2011 1, , PoA 20/06/2011-1, , County Council SUR001 Total: 2, , Net /06/2011 4, , Total: 4, , Grand Total: Ageing Percent: 7, , % % % % Page 16 of 23

27 Glebe Road KT1 2NM Address List Page 1 Name Address 1 ABC Office Supplies Advance Plumbing Supplies Direct Home Supplies Premier Electric County Council 23 Southgrove Road Ashtead KT10 8JE 10 Moor Road 10 High Street Surbiton High Road KT1 2PA Page 17 of 23

28 Glebe Road KT1 2NM Supplier Ledger 31/05/2011 To 30/06/2011 Page 1 Date Src ID# Memo Debit Credit Balance ABC Office Supplies ABCO /06/2011 PJ Purchase; ABC /06/2011 CD CC-6 ABC Office Sup Total: Advance Plumbing Supplies ADVA /05/2011 PJ O/Bal Advance Plumb /06/2011 PJ Purchase; Adva , /06/2011 CD PC-1 Advance Plumb /06/2011 PJ Advance Plumb /06/2011 PJ PJ Advance Plumb Total: , Direct Home Supplies DIRE /05/2011 PJ O/Bal Direct Home Su /06/2011 PJ Purchase; Direc /06/2011 PJ Credit; Direct H /06/2011 CD Direct Home Su Total: Premier Electric PREM /05/2011 PJ O/Bal Premier Electric 1, , /06/2011 CD DD-1 Premier Electric 1, Total: 1, , County Council SURR /05/2011 PJ O/Bal County /06/2011 PJ Purchase; Surr /06/2011 PJ PJ County /06/2011 CD BP-1 County Total: Page 18 of 23

29 Glebe Road KT1 2NM Aged Payables [Detail] 30/06/2011 Page 1 ID# Date Total Due Advance Plumbing Supplies ADVA01 Martin Jones Net 30 O/Bal 31/05/ Direct Home Supplies DIRE01 Total: Net /06/ /06/ Total: Grand Total: Ageing Percent: % % % % Page 19 of 23

30 Glebe Road KT1 2NM Profit & Loss Statement June 2011 Income Sales - Property Maintenance 5, Total Income 5, Cost Of Sales Purchases - Materials Opening Stock 1, Closing Stock - 1, Total Cost Of Sales Gross Profit 4, Expenses Discounts Taken Salaries 2, Employer's National Insurance Rent Rates Water Charges Electricity Motor Fuel Vehicle Licenses Travel Telephone Loan Interest Paid Depreciation Fixed Assets Disposal 2, Total Expenses 7, Net Profit/(Loss) - 2, Page 20 of 23

31 Glebe Road KT1 2NM Balance Sheet As of June 2011 Assets Fixed Assets Office Equipment (Cost) 1, Office Equipment (Depn) Office Furniture (Cost) 2, Office Furniture (Depn) Vehicles (Cost) 45, Vehicles (Depn) - 8, Total Fixed Assets 39, Current Assets Stock 1, Bank Current Account 15, Petty Cash Prepaid expenses Trade Debtors 7, Total Current Assets 25, Total Assets 64, Liabilities Current Liabilities Trade Creditors Accrued expenses Company Credit Card VAT Liabilities 2, Employment Tax and NI 1, Union Fees Liability Total Current Liabilities 4, Long Term Liabilities Bank Loan 29, Total Long Term Liabilities 29, Total Liabilities 34, Net Assets 30, Equity Capital 10, Drawings - 11, Current Earnings 31, Total Equity 30, Page 21 of 23

32 Glebe Road KT1 2NM Profit & Loss [Budget Analysis] January 2011 through June 2011 Selected Period Budgeted $ Difference % Difference Income Sales - Property Maintenance 105, , , (12.4%) Total Income 105, , , (12.4%) Cost Of Sales Purchases - Materials 36, , , (8.3%) Opening Stock 1, , NA Closing Stock - 1, , NA Total Cost Of Sales 36, , , (8.5%) Gross Profit 68, , , (14.3%) Expenses Discounts Taken NA Salaries 14, , (6.6%) Employer's National Insurance 1, , (0.4%) Rent 4, , % Rates 2, , % Water Charges (8.0%) Electricity (1.7%) Motor Fuel 1, , (16.0%) Vehicle Licenses NA Travel NA Insurances 2, , (20.0%) Telephone 1, , (5.3%) Postage (16.7%) Stationery (33.3%) Loan Interest Paid 1, , % Bank Charges % Depreciation 4, , (0.8%) Fixed Assets Disposal 2, , NA Total Expenses 37, , % Net Profit/(Loss) 31, , , (26.6%) Page 22 of 23

33 Glebe Road KT1 2NM Task 25 Calculation of Net Profit Margin Net Profit 31, Sales 105, x = 29.98% Calculation of Liquidity Ratio (Quick Ratio/Acid Test) Current assets less stock 25, ,600 Current liabilities 4, = 5.07 : 1 Page 23 of 23