Microsoft Word XXXXXXXXXXSP6 Assignment 1 - ACC81210
ACC81210 Accounting for Managers, Assignment 1, SP XXXXXXXXXXPage 1 of 2
ACC81210 (Accounting for Managers) SP6, 2018
ASSIGNMENT 1 (20 MARKS)
Question XXXXXXXXXXmarks)
G8 Education is a provider of childcare and education facilities across Australia and Singapore. Below is
three years of the company's financial position.
a) Provide a report based on your evaluation of each of the three years in terms of liquidity, solvency,
asset mix XXXXXXXXXXwords XXXXXXXXXXmarks)
2015
'000s
2016
'000s
2017
'000s
Cu
ent assets 226,537 61,572 92,186
Non-cu
ent assets 1,007,652 1,111,643 1,200,990
Total assets 1,234,189 1,173,215 1,293,176
Cu
ent liabilities 260,353 114,803 151,058
Non-cu
ent liabilities 371,051 432,537 276,783
Total liabilities 631,404 547,340 427,841
Owners' contributions 603,043 641,848 876,394
Reserves 43,635 35,649 44,552
Retained earnings (43, XXXXXXXXXX, XXXXXXXXXX,611)
Total owners' equity 602,785 625,875 865,335
G8 Education has the following non-cu
ent assets:
Non-cu
ent assets 2015
'000s
2016
'000s
2017
'000s
Property, plant & equipment 41,370 54,845 63,906
Defe
ed tax assets 21,678 15,415 16,220
Goodwill 944,604 1,015,002 1,087,969
Other non-cu
ent assets - 23,022 32,273
Derivative financial instruments - 3,359 622
Total non-cu
ent assets 1,007,652 1,111,643 1,200,990
) G8's full annual reports for 2015, 2016 and 2017 are available on Blackboard. Refer to the notes to
the financial statements and provide examples of Property, plant & equipment. (3 marks)
c) What is goodwill? Why has G8 recorded goodwill in their accounts? (2 marks)
ACC81210 Accounting for Managers, Assignment 1, SP XXXXXXXXXXPage 2 of 2
Question XXXXXXXXXXmarks)
The following is a list of the assets and claims of Genoa Foods as at 30 June 2018:
$
Accounts payable $ 63,000
Delivery vehicles $ 54,000
Loan from Westpac $300,000
Plant and Machinery $207,000
Cash at bank $ 18,000
Inventory raw materials $ 36,000
Inventory finished goods $ 65,000
Fixtures and fittings $ 23,000
Buildings $360,000
Accounts receivable $ 94,000
Other information:
Opening owners equity was $300,000 and the business had $44,000 of drawings in 2018.
Hint: There is a missing figure which needs to be deduced and inserted.
Required:
Using the vertical format and proprietary approach, prepare the statement of financial position
(balance sheet) of the business as at 30 June XXXXXXXXXXmarks)