CBFS Financial Accounting the Need for Bank Reconciliation & Cash Books Worksheet

  

see file attached

edit only

see the Dr comment and edit the file

…………………………………..

COLLEGE OF BANKING AND FINANCIAL STUDIES
DEPARTMENT OF UNDERGRADUATE PROGRAMME
B.Sc. in Accounting, Auditing and Finance
ASSIGNMENT BRIEF
Weightage: 20 %
Student Name & ST Number
Semester
Two
Assignment Title
Need for bank reconciliation and depreciation policies
Module
UG037 – FINANCIAL ACCOUNTING 2
Fall 2020
Assessor:
Mr.Mohammed Ali Al Lawati
Ms. Mariam Hassan
Start Date:
10/11/2020
Due Date:
Formative – 02/12/2020
Internal
Verifier
Dr.Ahmed Al Hadi
Summative – 12/02/2020
Required Work, Format and Grading
You must submit the following by the assignment due date:
â–ª
â–ª
â–ª
Completed answers to each task, making sure that you fully address each of the outcome
criteria.
Answer all questions separately.
Assignments without TURNITIN report will not be accepted.
Resources:
You need to demonstrate a confident application of the theories to the assignment task. The theoretical
underpinning of your observations and deliberations should also demonstrate a good understanding of
the subject by the way that your analysis is structured. You can access the Internet to research about
the topic. You should demonstrate good academic practice by the appropriate use of academic texts
and journals that are properly referenced.
Guidelines and further information about assignment:
Assignment must be submitted with the “Turnitin” report. If the report generated indicates a
similarity index percentage of 20% or more, a review of your assignment is necessary to ensure the
same is reduced to less than 20%.
Student declaration:
I certify that the work contained in this assignment was researched and prepared by me:
Signature: __________________
Date: ___________________
The user ID and Password for submitting the soft copy of the report through TURNITIN is as
follows:
Class ID: 26961999
Enrolment Password: FA2-E
Submission time and date
You should submit the assignment by the time and date mentioned otherwise a ‘NA’ will be
awarded. Fill in the form cover and staple it with your assignment. Make sure that all the relevant
details are complete. Assignments must be submitted by the due date. You may include diagrams,
figures etc without word penalty.
Plagiarism Writing
1. Plagiarism occurs if you use somebody else’s work in an assignment or exam answer, but fail
to state where you got the material from. You need to be also very careful about the amount
of words you are using from somebody else’s work.
2. It can happen in any type of assessment where you are given the questions or tasks in advance.
3. If another student uses your work in his/her answer(s), both you and he/she will be punished
when caught.
4. Punishments for committing plagiarism can be very severe.
Details
Plagiarism is a form of cheating in which students use the work of others and present it as their own.
It may include all or any one of the following –
1. Copy extensively from the work of others (from sources such as books, magazines, journal,
web-sites etc) and submit the work as your own.
2. Copy another students’ work and submit it for assessment under your own name.
3. Allow another student to copy your work and then submit it for assessment under their own
name.
What happens if you get caught?
The examining body of CBFS may punish offending students in any manner that they deem fit.
Typical punishments may range from reduction in grades, making students re-sit modules and even
failing students on a module or an entire award. The college considers this form of cheating as a
serious offence. Therefore, be forewarned!
SCENARIO
Hanan Al Balushi (LLC) is an organization manufacturing machine component and supplying to
retailers across Oman. Mr. Hussein, the CEO, when reviewing the financial statements of the
company as a part of the internal control system, realized that the bank balance in the cashbook is not
tallying with the balance in the bank statement. Mr. Hussein requested Mr. Hamed, the financial
accountant of the company to identify the reasons for the differences.
Mr. Hamed has requested his team members to investigate the reasons for the differences. The
following is a summary of a cash book as presented by Hanan AL Balushi (LLC) finance team for the
month of October.
Receipts
Balance C/D
OMR
1469
554
2023
Balance B/D
Payments
OMR
761
1262
2023
All receipts are banked, and all payments are made by cheque.
On Investigation the following were discovered.
1. Bank charges of OMR 136 entered on the bank statement have not been entered in the cash
book.
2. Cheques drawn amounting to OMR 267 had not been presented to the bank for payment.
3. Cheques received totaling OMR 762 had been entered in the cashbook and paid into the bank
account but had not been credited by the bank until 3rd November.
4. A cheque for OMR22 for sundries has been entered in the cash book as a receipt instead of as
a payment.
5. A cheque received from K. Abdullah for OMR 80had been returned by the bank and marked
‘No funds available’. No adjustment has been made in the cashbook.
6. A standing order for a business rates installment of OMR 150 on 30th October had not been
entered in the cashbook.
7. All dividends received are credited directly to the bank account. During October amounts
totaling to OMR 62 were credited by the bank account but no entries were made in the
cashbook.
8. A cheque drawn for OMR 66 for stationery had been incorrectly entered in the cashbook as
OMR 60.
9. The balance brought forward in the cash book should have been OMR 711, noy OMR 761
Investment In Machinery
The organization invested in a machinery on 1st January 2018, which produces machine components.
The initial investment cost of the machine tool is OMR 150,000. This machine can be used for a
useful life 5 years and has a salvage value of 25,000. The maximum number of machine components
that could be produced using the machine is 25,000 units. It is noted that this machine has a high
productivity in the early years and the productivity reduced over a period. The machine produces
8000 units in 2018 and 7500 units in 2019.
Mr. Hussein requested Mr. Hamed to use the most suitable depreciation policy based on the use of the
asset as the company incurred a loss 2 years ago selecting the incorrect depreciation policy to evaluate
the machinery. Mr.Hamed, has still not decided in the depreciation policy. Hence, he is planning to
evaluate the different depreciation policies and select the most suitable depreciation policy for the
organization.
Based on the above given scenario.
Assume you are Mr. Hamed, You are required to prepare a report should.
a. Explain the need for preparing bank reconciliation statement with suitable examples from the
given scenario.
b. Preparation of the updated cash book and bank reconciliation statement.
c. Calculation of depreciation for the years 2018 and 2019 based on straight line method,
reducing balance method, Activity based method and Sum of the years digit method.
d. Advising the management, the most suitable depreciation policy with suitable justification.
Your assignment should be structured as follows
•
Title page
•
Introduction
•
Content
Mark Breakdown
Task a – 3 Marks
Task b – 7 Marks
Task c – 7 Marks
Task d – 3 Marks
•
Conclusion
•
References
•
Annexures (If any)
Specific requirement – Rules for formatting
Font and Size
•
Times New Roman, 12 point
Margin
•
keep a margin of 1 inch on all the sides
Space
•
line spacing should be 1.5
•
Paragraph spacing should be 6pt
•
All paragraph should start left, aligned and justified
ASSIGNMENT GENERIC – RUBRIC
Marks/Grades
90-100
85-89
74-84
56-73
50-55
0-49
Criterion
A
A-
B
C
D
F
Knowledge
Shows wellcoordinated
understanding of
subject
Sound understanding of
subject matter
Major facts are
understood
Shows understanding of
basic issues/theory
Minimal understanding
of basic issues/topic
No understanding of
the topic/subject area
Analysis
Touches upon all
relevant
issues/theory.
Concise analysis
Detailed coverage of
basic concepts/theory.
Reasonable coverage of
subtle issues/theory
Reasoned argument
and sequencing
Shows evidence of
understanding of
concepts. Coverage of
obvious ideas.
Fails to identify subtle
issues/theory. Captures
obvious ideas.
No or minimal
understanding of the
key theories/topic
Research
Excellent referencing
and reading in all
areas
Use of up to date
resources. Well informed
and generally accurate
information provided.
Clear referencing
Appropriate
referencing
Adequate referencing
and reading.
Weak reading and
referencing
Poor referencing.
Shows lack of
reading/references
out of date
Relevance
All material used is of
relevance
Material used is relevant
Discussion shows
relationship to theory
Some material
repetitive
Some repetitive matter.
Irrelevant
No relevance to
subject matter
Conclusion
Excellent conclusion.
Brings together all
concepts and adds an
original perspective
Intelligent conclusion.
Good application of
knowledge
Methods incorporate
modifications used
Conclusion in place but
key points missing.
Reasonable application
of knowledge
Weak conclusion and
content. Satisfactory
application of
ideas/theory
Poor conclusion.
Poor knowledge
application.
Writing
Excellent articulation.
Accurate
grammar/spelling
Ideas expressed in a
clear and coherent
manner. Language fluent
and grammar/spelling
accurate
Clarity in writing is
evidenced
Language fluent. No
major
grammatical/spelling
errors
Frequent errors in writing
Poor written skillsspelling, grammar
construction of
sentences
Structure
Clear and coherent
Structure with
excellent presentation
Structure is clear and
supports argument.
Presentation appropriate
Appropriate structure
Coherent structure.
Satisfactory
presentation of matter
Weak
structure/presentation
Poor
structure/presentation
‫‪FA2-ALYAFEY DRAFT‬‬
‫‪ Abdullah Al yafey‬اﻋداد‬
‫)‪ (UTC+0400‬ﺗﺎرﯾﺦ اﻻرﺳﺎل‪-22 :‬ﻧوﻓﻣﺑر‪11:06 2020-‬ص‬
‫ﻣﻌرف اﻻرﺳﺎل‪1453722278 :‬‬
‫)‪: FA2-ALYAFEY.docx (58.08K‬اﺳم اﻟﻣﻠف‬
‫ﺣﺳﺎب اﻟﻛﻠﻣﺎت‪549 :‬‬
‫ﻋدد اﻟرﻣوز‪3139 :‬‬
More reasons should be explained for the reasons to prepare bank reconciliation
statements
Check on the value on the balance . Most of the elements are
correct. Minor errors exists
Recheck the plus and minus in this bank
reconcilation
Please show the clear workings of the above calculations and recheck the value of RBM
calculations
clear justification is required on the selection of depreciation
policy
‫‪FA2-ALYAFEY DRAFT‬‬
‫ﺗﻘ ر ﯾ ر ا ﻻ ﺻ ﺎ ﻟ ﺔ‬
‫‪5%‬‬
‫‪0%‬‬
‫‪0%‬‬
‫ﻣ ﺳ ﺗ ﻧدا ت اﻟ طﺎﻟ ب‬
‫ا ﻻ ﺻدا را ت‬
‫ﻣ ﺻﺎد ر ا ﻻ ﻧ ﺗ ر ﻧ ت‬
‫‪%‬‬
‫‪5‬‬
‫ﻣ ؤ ﺷ ر اﻟ ﺗ ﺷﺎ ﺑ ﮫ‬
‫ا ﻟ ﻣ ﺻﺎ د ر ا ﻟ رﺋﯾ ﺳﯾ ﺔ‬
‫‪5%‬‬
‫‪Submitted to College of Banking and Financial‬‬
‫‪Studies‬‬
‫‪1‬‬
‫ﻣ ﺳ ﺗ ﻧد اﻟ طﺎﻟ ب‬
‫‪< 20 words‬‬ ‫ا ﺳ ﺗ ﺛ ﻧﺎ ء ا ﻟ ﺗ طﺎ ﺑ ﻘﺎ ت‬ ‫ﻣ واﻓ ق‬ ‫ا ﺳ ﺗ ﺛ ﻧﺎ ء ا ﻻ ﻗ ﺗ ﺑﺎ ﺳﺎ ت‬ ‫ﺗ ﺷ ﻐﯾ ل‬ ‫ا ﺳ ﺗ ﺛ ﻧﺎ ء ا ﻟ ﻣ ر ا ﺟ ﻊ‬ FA2-ALYAFEY DRAFT GRADEMARK ‫ﺗﻘرﯾر‬ ‫ا ﻟ د ر ﺟ ﺔ ا ﻟﻧ ﮭﺎﺋﯾ ﺔ‬ ‫ﺗ ﻌ ﻠ ﯾﻘ ﺎ ت ﻋ ﺎ ﻣ ﺔ‬ /20 ‫اﻟ ﻣ د ر س‬ Please refer in text comments and make the relevant changes 1 ‫ﺻﻔ ﺣ ﺔ‬ 2 ‫ﺻﻔ ﺣ ﺔ‬ ‫ﺗ ﻌﻠ ﯾ ق ﻧ ﺻ ﻲ‬ More reasons should be explained for the reasons to prepare bank reconciliation statements 3 ‫ﺻﻔ ﺣ ﺔ‬ ‫ﺗ ﻌﻠ ﯾ ق ﻧ ﺻ ﻲ‬ Check on the value on the balance . Most of the elements are correct. Minor errors exists ‫ﺗ ﻌﻠ ﯾ ق ﻧ ﺻ ﻲ‬ Recheck the plus and minus in this bank reconcilation 4 ‫ﺻﻔ ﺣ ﺔ‬ ‫ﺗ ﻌﻠ ﯾ ق ﻧ ﺻ ﻲ‬ Please show the clear workings of the above calculations and recheck the value of RBM calculations ‫ﺗ ﻌﻠ ﯾ ق ﻧ ﺻ ﻲ‬ 5 ‫ﺻﻔ ﺣ ﺔ‬ clear justification is required on the selection of depreciation policy Purchase answer to see full attachment