ACCT2003 COMPUTERISED ACCOUNTING SYSTEMS
ASSIGNMENT 1 – SERVICE BUSINESS
Assignment requirements
This is an individual assignment is based on chapters 1 to 6 of the Accounting with MYOB in the ‘Cloud’ text book, but presented in a different format.
You are employed by this business to computerise their accounting records, and to do that you are required to use the online education version of MYOB. Once you have setup the business and entered opening balances, you have one month’s paperwork to record for the business. This paperwork includes, office memos, invoices for customers, bills from suppliers, cheque butts, supermarket dockets, bank deposit slips, cash receipt vouchers and statements from Square that provide details of electronic payments.
This assignment must be submitted in Blackboard using the link provided (see unit outline for due date and time). The submission must include all the PDF reports listed below. You must add your tutor as a user so that they can access your MYOB data file.
Read the information provided carefully, as you have to use that information in order to correctly set up the data file, record transactions and complete this assignment.
Follow these guidelines:
· When you create the data file, include your student number in the ‘business name’ field, e.g. Snoopy’s Grooming 12345678. If you forget, we will not be able to give you any marks for this assignment.
· The trial balance as at 31 January provides the general ledger opening balances, but account numbers have not been given to you. You have to decide what the Chart of Accounts looks like. MYOB will assist you, but remember to take care to classify the accounts correctly and use appropriate header accounts. Presentation of the financial reports is important.
· This is a service business. Use the service layout for both customers and suppliers.
· You are required to complete a bank reconciliation for the main business bank account at the start and end of the month.
· At the end of the month, you are required to prepare the following reports in PDF format. The reports should look professional, with appropriate headings, subaccounts and subtotals.
o Profit and loss for the period 1/07/2024 to 28/02/2025
o Balance sheet as at 28/02/2025
o Banking reconciliation for the Bendigo Everyday Account at 28/02/2025
o Receivables reconciliation with tax as of 28/02/2025
o Unpaid bills as of 28/02/2025
o GST report for the period 1/02/2025 to 28/02/2025
Business background
Snoopy’s Grooming is a small pet grooming business owned and operated by Peta Lawson. She is a sole trader and has been in business for a number of years with a very good reputation. Most customers pay electronically, and for this, the business uses an intermediary (Square) who provide weekly statements detailing who has paid. Square charge a commission of 1% which is automatically charged to the business bank account, weekly. When customers pay by cash or cheque, this is banked at the end of the week. Some of our clients are organisations, and we invoice them for services provided.
The business operates from rented premises at 32 Cecil Avenue, Cannington, 6107 in Western Australia, phone number 9350 7789.
The business has two employees (you) and a trainee groomer (Megan Jackson). They are paid fortnightly.
The business is registered for the goods and services tax (GST) and PAYG (Pay as You Go) Withholding, and its Australian Business Number (ABN) is 26 008 672 177. GST and PAYG are reported quarterly. The accrual basis is used for both accounting and GST purposes.
Accounting policies
Accrued expenses such as the liability to pay employees for time worked between the last pay date and the end of the month, are journalized at the end of the month, and reversed at the start of the following month.
Invoices to customers are GST inclusive. Invoices from suppliers may be GST inclusive or exclusive.
Prompt payment discounts are not offered to customers, but some suppliers offer the business prompt payment discounts.
No inventory records are maintained because when the business buys pet toys, food, baskets etc to on sell to customers the quantity on hand is normally minimal.
Prepaid expenses such as insurance are initially recorded as a prepayment, and applicable amounts for the month are journalized at the end of each month.
Depreciation of property, plant and equipment is based on rates provided by the Australian Taxation Office, and amounts calculated are rounded to the nearest dollar. Purchases of equipment costing less than $300 are expensed immediately.