VCE Accounting Question Thread!

[Damoz.G]

Lol no I'm still in Melbourne on the train to the city to get onto another train to get to Bendigo

Anyways the exam is marked by 2 examiners so your marks are doubled. If one examiner gives you the mark but the other doesn't then you get .5 of a mark

Awww, that sucks! =/ Are you going there for Exams?

Oh yeah. I forgot about that.

[BoredSatan]

Awww, that sucks! =/ Are you going there for Exams?

Oh yeah. I forgot about that.

Yep got an exam on Friday but I like to 'study' there beforehand

(The amount of Dota I will play this week lel)

[Damoz.G]

Study - What is Study?  HAHA! 

This thread got unstickied? (I'm guessing because its active again?)

[BoredSatan]

Study - What is Study?  HAHA! 

This thread got unstickied? (I'm guessing because its active again?)

No my thumbs accidentally clicked on the non-sticky thread button cause my phone is annoying like that

[Damoz.G]

No my thumbs accidentally clicked on the non-sticky thread button cause my phone is annoying like that

And you also logged yourself off from the Forum at the same time.

[BoredSatan]

Would people be interested in me posting questions here for more practice? Or are we all too stressed

[BoredSatan]

And you also logged yourself off from the Forum at the same time.

OMG wtf how did you know???

[Damoz.G]

Would people be interested in me posting questions here for more practice? Or are we all too stressed

Well, I'm just chillaxing at the moment. Happy to do some though.

[Damoz.G]

OMG wtf how did you know???

LOL! I'm smart. I know these things. 

Walks away with a creepy laugh. MUHAHAHAHAHAHAHA!

[BoredSatan]

Ok guys, a question I really liked from the sample paper was:

Explain how the going concern principle is related to balance day adjustments.

Ok it's not the exact same wording because I ceebs looking up the correct one

[massachusetts8]

Going Concern Principle assumes that the life of the business is ongoing and indefinite. Many balance day adjustments recognise an asset or liability that must be carried forward into the next reporting period such as Accrued expenses/revenues or Prepaid Expenses/Revenues hence balance day adjustments are necessary so that the information in future and current reporting periods are updated.
:/

[Kuroyuki]

Going Concern Principle assumes that the life of the business is ongoing and indefinite. Many balance day adjustments recognise an asset or liability that must be carried forward into the next reporting period such as Accrued expenses/revenues or Prepaid Expenses/Revenues hence balance day adjustments are necessary so that the information in future and current reporting periods are updated.
:/

You can give an example like accrued wages aswell.

[BoredSatan]

On second thoughts, may be I should have said no to that request. =/

The business is continuous and its Reporting Periods will also remain constant, so Balance Day Adjustments are necessary to be accounted for because they must always be accounted for in the firm's reports for the life of the business, in order to keep these Reports relevant and useful for decision making?

Damn, that's a hard question. =/

Yeah this a pretty hard question

Make sure you mention the definition of the going concern principle and link it to balance day adjustments. Something like:
Because the business life is assumed to be infinite, therefore balance day adjustments can be made to ensure revenues earned are compared with expenses incurred for the current reporting period. Also, items can be adjusted for the amount consumed/earned in the current reporting period since these will still exist in the future.

Hmm maybe not the best answer but I think it addresses the major points. Anyone have a better answer?

[Damoz.G]

Going Concern Principle assumes that the life of the business is ongoing and indefinite. Many balance day adjustments recognise an asset or liability that must be carried forward into the next reporting period such as Accrued expenses/revenues or Prepaid Expenses/Revenues hence balance day adjustments are necessary so that the information in future and current reporting periods are updated.
:/

Yup. Lets go with that answer. Its 100x better than mine.

[BoredSatan]

Going Concern Principle assumes that the life of the business is ongoing and indefinite. Many balance day adjustments recognise an asset or liability that must be carried forward into the next reporting period such as Accrued expenses/revenues or Prepaid Expenses/Revenues hence balance day adjustments are necessary so that the information in future and current reporting periods are updated.
:/

Brilliant answer!