ACC60008 Accounting Systems and Reporting Assessment 2

ACC60008 Accounting Systems and Reporting Assessment 2 General information This assignment counts 20% towards your final assessment. The assignment must be completed in a group of 2 students. This assignment requires you to the XERO cloud accounting platform to record transactions for a small business. It covers many of the common everyday transactions of a business in Australia, including Goods and Service Tax (GST). It is not meant to be a data entry exercise. You are required to carefully understand each transaction, how the software records the transactions in ledgers and how reports are created. You must strictly follow the assignment guidelines and must use the XERO education version when recording the data in XERO education accounting platform (the course convenor will send you an invitation to the platform via your university email. Please do not use your own version or the free XERO trial version. Your assignment will not be considered for marking if you use your own version or the XERO 30-day free trial. Specific information Deeper Dives (ABN 65 992 718 643) is owned and operated by Fred Flathead and is situated at 122 Slides Street, Williamsville, Victoria, 3957. Deeper Dives specializes in selling locally manufactured diving equipment and takes students on diving courses in its boat. The business charges GST on all inventory sales and dive lessons and pays GST on inventory purchases and most business expenses. IMPORTANT: When establishing the business name for the assignment record Deeper Dives- your name. Employees Deeper Dives employs two casual assistants. Katerina Cray works as a dive instructor on the boat with Fred, and Peter Prawn works in the shop selling stock, and taking bookings for dive lessons. Fred pays Katerina and Peter $30 each per hour. Each employee works between 15 to 30 hours per week, depending on the season and demand. At the end of July, Deeper Dives owed 8 hours pay each to Peter and Katerina. Goods and Services Tax Deeper Dives pays GST of 10% on all business expenses, except Wages. Non-current asset acquisitions are also taxed at 10%. Merchandise Inventory The following is a list of closing inventory and the suppliers as at 31st July 2022. Quantity on hand Item Code Description Unit Cost Price Unit Selling Price Supplier 20 SDS Summer Dive Suit $280 $560 Right Dive Pty Ltd 20 WDS Winter Dive Suit $340 $690 Right Dive Pty Ltd 50