HC1010 Assignment Details and Requirements Purpose: This zwanment alms to reinforce and extend students' knowledge and understanding of locy topics In this course (HC1010] Including: Overview of Accounting, Organisational Structure & the Reporting Environment, Corporate Governance, Statement of Financial Poultion, Statement of Financial Performance. Cash Flow Statement, Financial Statement Analysis, Accounting for Business Transactions, Cost Concepts & Behaviour, Pruparation of Budgets, and Cost-Volume- Profit-Analysis through independent research and application of knowledge and skills. Aminnment Detailby Ronald has approached you to advise him regarding a business that he intends purchasing Ronald Is also interested to advise him on some accounting related matters, An Extract from the financial Itstements of the business shows total assets and liabilities as listed below Asuris $ Amount Cash 50,000 Accounts receivable 20,000 Inventory 300,000 500 000 LASS! Accumulated depreciation $100,000 Goodwill 300,000 Total Assets 1,400 900 Liabilities Accounts payable 70 000 Income tax payable Bank loan HOO.D00 Total lishities A review of the business operations shows that building was bought 4 years ago and b reported at carrying amount of $500,000, the current market value of the building is $1,000 000. Inspection of Inventory reveals that 1016 of the inventory is obsolete, for which there is limited demand. Further 1215 of the accounts receivable is overdue by more than 120 days. The accounts receivable and Inventory are carried at their gross amount and cost value respectively on the financial statements