Scenario Assume XYZ Pty Ltd, ABN 111 111 111 11 has commenced business in April 2016 and the business has been operational all year. The company has register for GST under cash basis and lodging BAS statement on a quarterly basis. You, Exact Bookkeeping, are the bookkeeper working on a contract basis each quarter to check the accounts and prepare the Business Activity Statement. It is essential that the books of the business are accurate. The accountant requires that an accurate audit trail be maintained. To achieve these outcomes, error corrections are to be authorised by the manager and details are to be documented and filed. Incorrect entries should reverse and re-entered, not deleted. This includes corrections for errors in amounts, tax codes and account allocations. The company has two full-time employees - the Site Manager who oversees the whole operation, and an office administrator. The company has register for GST and lodging its BAS statement on a quarterly basis. Part of the bookkeeping services you are required to review the financial data/source documents to find any errors and correct relevant bookkeeping entries. Assume that the information given in the table below is GST-inclusive information, please complete the following GST Calculation worksheet and Transfer all GST related information into the BAS form. a) Identify errors b) Populate the worksheet table below c) Calculate the net GST liability or refund to the organization. Account Primary Data Inputs Outputs 121,000 10,100 1,000 8,000 7,000 10 2200 149,210 Sales and supplies Export supplies Other GST-free supplies Residential rent Commercial rent Interest received Sale of asset Total outputs Accounting fees Bank fees Operating expenses with GST Rent expenses commercial Rent expenses residential Superannuation Wages and salaries New photocopier Net Inputs 1,100 88 66,000 3,300 2,200 3,960 44,000 1,200 121,848 Scenario Assume XYZ Pty Ltd, ABN 111 111 111 11 has commenced business in April 2016 and the business has been operational all year. The company has register for GST under cash basis and lodging BAS statement on a quarterly basis. You, Exact Bookkeeping, are the bookkeeper working on a contract basis each quarter to check the accounts and prepare the Business Activity Statement. It is essential that the books of the business are accurate. The accountant requires that an accurate audit trail be maintained. To achieve these outcomes, error corrections are to be authorised by the manager and details are to be documented and filed. Incorrect entries should reverse and re-entered, not deleted. This includes corrections for errors in amounts, tax codes and account allocations. The company has two full-time employees - the Site Manager who oversees the whole operation, and an office administrator. The company has register for GST and lodging its BAS statement on a quarterly basis. Part of the bookkeeping services you are required to review the financial data/source documents to find any errors and correct relevant bookkeeping entries. Assume that the information given in the table below is GST-inclusive information, please complete the following GST Calculation worksheet and Transfer all GST related information into the BAS form. a) Identify errors b) Populate the worksheet table below c) Calculate the net GST liability or refund to the organization. Account Primary Data Inputs Outputs 121,000 10,100 1,000 8,000 7,000 10 2200 149,210 Sales and supplies Export supplies Other GST-free supplies Residential rent Commercial rent Interest received Sale of asset Total outputs Accounting fees Bank fees Operating expenses with GST Rent expenses commercial Rent expenses residential Superannuation Wages and salaries New photocopier Net Inputs 1,100 88 66,000 3,300 2,200 3,960 44,000 1,200 121,848
