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Hrm732 Asgn1 Essay

Decent Essays

HRM 732

Intro to Financial and Management Accounting

Individual Assignment 1

Prepared by: Janice Ho

HRM732
Individual Assignment #1 (40 Marks) 15% of the overall grade for the course

Ron Abrams has come into your office for his weekly 1 on 1 in which you update him on your weekly progress on your projects. He has arrived with a stack of paperwork in his hands and a befuddled look on his face. You ask what’s going on and he responds as follows. “Last year, as you know, we purchased a bankrupt, closed down bottling facility in The Ukraine. I don’t know if you know this but in countries other than Canada they are using somewhat different accounting policies than we do, and the reports I have for the first few months of …show more content…

$175,000 in Equipment was purchased on credit ($100 was due on delivery and was paid in cash).
Their land was appraised and found to be worth $560,000. (No entry due to no accounting transaction occurred)
Bruce Wayne purchased $65,000 in shares for Equipment.
$300,000 in shares was retired for bonds payable on December 15, 2025.
Bottle Processing Patent Fees were paid completely out on Credit.
$175,000 in Old Bottles was returned to the former supplier for their cash value.
A bank loan for $65,000 was taken out. The amount was kept in cash over the end of the month.

Required:
Create a Balance Sheet for November 30th assuming no other transactions occurred for the month other than those noted above.

1- Conversion to Canadian Balance Sheet and T-Accounts (17 marks)
2- Final Balance Sheet (23 Marks)

Ukrainian Bottling Company Inc. Balance SheetAs of 31 October, 2014|
Assets|||Liabilities and owner's equity||
Current assets:|||Current liabilities:||
Cash| $ 2,200 ||Accounts payable| $ 85,000 |
Bottle Inventory| 195,000 ||Notes payable| 60,000 |
Accounts receivable| 67,000 ||Wages payable| 55,000 | Total current assets| 264,200 ||Taxes payable| 58,000 |
|||Bottle Processing Patent Fee's Payable| 25,000 |
Fixed assets:||| Total current liabilities| 283,000 |
Land| 490,000 ||||
Building| 320,000 ||Long-term liabilities:||
Equipment| 175,000 ||Bonds

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