company accounting

Assessment task 2: Part A Assignment

Objectives

This assessment item relates to learning outcomes 1 to 3.

Details and instructions

This is the first part of assessment task 2. You can choose to do Part A either as an individual or you can pair up with another student who is currently enrolled in the unit. For administration purposes, you must email the Unit Coordinator (UC) about your intention to work in a pair by 4pm on Wednesday 27 March. Please provide the following information in your notification email: both student names, student ID numbers and the campus both are enrolled at. The UC will then grant you permission to work in a pair. Please do not work in a pair unless you have received permission to do so. If you fail to email the UC by this due time and date, you will not be allowed to work in a pair. If you choose to work in a pair without the UC's permission, you will share the mark 50/50 with the student you paired with (thus you will only receive 50% of the mark awarded).

Some questions of this assignment may have a word count limit. You should make every effort and attempt to stay within the prescribed limit.

Academic Learning Centre

To ensure you understand the questions, instructions and expectations, it is highly recommended to seek help and guidance from the Academic Learning Centre (ALC). The ALC can help you with your writing skills and check your narrative answers for grammatical correctness and that your arguments and explanations are clear and logical. The ALC will also help you to ensure that you have actually answered the questions.

Formatting

Please be mindful that assignments are marked in electronic format. To assist with making the marking process efficient, effective and not time-consuming, you must comply with the following formatting requirements:

· Font: Times New Roman, 12 point, 1.5 line spacing

· Document type: Your answer for all questions must be in Word format. This will allow the marker to use track-changes to indicate where you received marks. Please do not submit a pdf document as this will not be marked. Also, please do not submit an excel file for your figures and calculations or copy and paste a table from an excel spreadsheet for any calculations into your Word document. Use the “insert table” function within Word and type all figures into the table. Show all calculations below the table. Ensure the marker will be able to use the track-changes function in Word to indicate in your table where you received or lost marks for your figures.

· Page: Portrait orientation

· Footer: Your full name(s) and student ID(s), page number and number of pages (e.g. Cat Bird s0123456, page 1 of 3)

· Marking criteria sheet: Ensure you type in your name(s) and student ID(s) in the marking criteria sheet and ensure it is the first page of your submitted assignment.

· File saving convention: Include your student name(s) in the name of the file when you save the document, and ensure that you include the appropriate .doc or .docx at the end. For example, save your file as: Cat Bird.docx

Please note that 3 marks are allocated for complying with the above requirements, including attaching the marking criteria sheet as the first page.

Plagiarism

Work submitted by a student that is the work of another person with no referencing or acknowledgement, is considered to be plagiarism. Turnitin will compare the similarities of your assignment when you submit it on Moodle. If the turnitin score is high, your assignment will be investigated for possible plagiarism. Such investigation may take a considerable amount of time and hence your assignment will not be returned within the expected timeframe. Furthermore, if there is evidence of plagiarism, a Plagiarism Incident Report (PIR) will be lodged. You will then receive notification from the University with details of the necessary course of action.

You can check the turnitin score of your assignment when submitting it. Please note: if you choose to redo and resubmit your assignment in the hope of reducing the turnitin score, it will take 24 hours before turnitin will give you another score. Also, be aware that the turnitin scores keep on changing as and when more students submit their assignments. Consequently, as similarities between assignments increase, the turnitin score of your assignment that the UC will get in Moodle may be different as to the score you received initially. It is therefore possible that your assignment may be investigated for plagiarism even though you may believe that your turnitin score is low. To avoid any concern, anxiety and stress about the turnitin score, do your own work.

Submission requirements

You must submit your assignment electronically through the secure upload facility in the Moodle system. Please ensure that the marking criteria sheet (page 4 of this document) is the first page of your assignment and that you completed the required information. If you do the assignment in a pair, only upload the file once in one student’s Moodle account. The marked assignment will be returned to that student’s account. Therefore, please contact the student who uploaded the pair file to get a copy of the marked assignment.

Be mindful that there is a 5% penalty per day for late submission. You will be penalised immediately with a full day’s penalty if you submit your assignment after the due time, even though you may only be a few hours late. The penalty is not proportioned to the number of hours you submit your assignment late.

Assignment Question

Part A – Revaluations and impairment testing of non-current assets 15 Marks

Question 1 Word limit: 250 words

One of the board of directors of Simba Ltd has proposed that the company adopt the revaluation model for fixed assets. Some of these assets are hard to obtain and certain items have increased in value in the current period, however it is difficult to know what their fair value is. The director is arguing that fair value will improve the ‘look’ of the company’s Statement of Financial Position, and may eliminate the need for depreciation.

Required

Discuss whether the board should adopt the director’s proposal. (5 marks)

Question 2 Word limit: 250 words

‘Impairment is only relevant to assets carried under the cost model. For assets carried under the revaluation model, such as our land and buildings, increases and decreases in fair value dictate whether carrying amounts are adjusted up or down. We don’t bother testing land and buildings for impairment’.

Required

Critically evaluate the above statement. (5 marks)

Question 3 Word limit: 1 500 words 32 Marks