Recording transactions in general journal and
The following information relates to the business of Man Tings Travel Agency for the month of June
Man Ting Lau invested $120 000 cash into the new business
Topic 3- Tutorial Answers
ADJUSTING THE ACCOUNTS AND PREPARING FINANCIAL
1. How is profit determined under (a) the cash basis of accounting and (b) the accrual basis of
(a) Under the cash bas
In most countries FIs report their balance sheet using market value accounting.
Marking -to-market accounting is a market value accounting method that reflects the purchase prices of
assets and liabilities.
Why Are Financial Intermediaries Special?
Financial Intermediaries Specialness
Liquidity and Price Risk
Other Special Services
Other Aspects of Specialness
The Transmission of Monetary Policy
1. A value chain is composed of
A. the line functions such as human resource management (HRM), finance, information
systems (IS or IT), and management.
B. the key functional inputs that an organization provides in the manufacturing process.
C. the key fun
Tutorial 1: THE TIME VALUE OF MONEY
I) Future Value: (Text book: 4; Tutorial: 2)
FV: Future value after t periods
r: period interest rate *
PV: Present value
t: number of periods
* Note: Period can be monthly, quarterly, annually, depends on each case and
Tutorial 2: VALUING BONDS
Coupon payment per period: the interest paid to bondholder each period (C).
Coupon rate: annual interest payment, and as a % of face value.
Face value (Par value/Principal value): the final payment at the maturi
Tutorial 4: NPV AND OTHER INVESTMENT CRITERIA
I. Important definitions:
1) Independent projects:
- One projects cash flows are not affects by other projects.
- Can be accepted at the same time.
2) Mutually exclusive projects:
- The acceptance of one proje
Tutorial 5: MAKING CAPITAL INVESTMENT DECISIONS
I) Steps included in solving an exercise:
1) Define all the numbers given in the exercises, how to locate those numbers by
using incremental cash flow rule.
2) Calculating cash flows (CFs) from initial capit
Use the following to answer questions 1-15.
Bank of Charub
270 day US Treasury bills
2 year consumer loans
Fixed rate, 12% p.a. annually $275m
7 year commercial loans
Fixed rate, 9% p.a. annually
10 year fixed rat
Use the following to answer questions 1-19.
Bank of Baruch
1 year Certificates of Deposit $ 825m
5 year Bonds
91 day US Treasury bills
2 year commercial loans
Fixed rate, 9% p.a. annually
10 year corporate
Default by a large corporation is seldom a problem for FIs since these corporations have many different
sources of borrowed funds.
Junk bonds are bonds that are rated less than investment grade by bond-rating agencies.
Solution and marking
Semester 2, 2010
H Ltd 90%
Asset Revaluation Reserve (Land)
Fair value acquired =
Cost of acqui
Accounting Information Systems HBC607
Semester 1, 2010
Bright Johnson Lighting sells all types of light fittings. Financial reports are prepared
monthly using the accrual system. Assume a period inventory system. Ignore GS
Accounting Information Systems
Examination Nov 2010
SWINBURNE UNIVERSITY OF TECHNOLOGY
Higher Education Division
Faculty of Business and Enterprise
HBC 607/607B Accounting Information Systems
Duration - 3 hours
HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY
OFFICE FOR INTERNATIONAL STUDY PROGRAM
THE FINAL EXAMINATION
Duration: 90 minutes
Student ID: .
SUBJECT: BUSINESS ETHICS
1 This is an opened book examination
2. Dictionaries allowed.
1. Who among the following decides the remuneration of a CEO in an organization?
B. Board of directors
2. For some, the goal of living an ethical life is expressed by The Golden Rule:
A. the pursuit of a value is