FM-BINUS-AA-FPU-78/V2R0
Verified by,
Tommy Andrian (D6181) and sent to Department/Program on JANUARY 15, 2022
Page 1 of 4
BINUS University
Academic Career:
Undergraduate / Master / Doctoral *)
Class Program:
International/Regular/Smart Program/Global Class*)
Mid Exam √ Final Exam
Short Term Exam Others Exam : _____________
Term : Odd/Even/Short *)
√ Kemanggisan √ Alam Sutera √ Bekasi Senayan Bandung Malang
Academic Year : 2021 / 2022
Faculty / Dept. : School of Information Systems / Information Systems, Business Analytics, Business Information Technology, Information Systems Accounting &
Auditing
Deadline Day / Date : Saturday / 12 Feb 22 Time : 13:00:00
Code - Course : ACCT6133003 - Introduction to Financial Accounting
Class : LA11, LA17, LA18,
LA19, LA26, LA80, LB11, LB80, LC11, LC80, LD11, LE11, LF11, LG11, LH11, LI11, LJ11, LK11, LL11, LM11
Lecturer : Team Exam Type : Online
) Strikethrough the unnecessary items
The penalty for CHEATING is DROP OUT!!!
Requirements:
1. Students who practice PLAGIARISM will get the same sanctions as cheating.
2. If you use references from books, journals, or websites (websites in the form of blogs/ WordPress/
similar unofficial websites are not permitted), you must include the reference source used.
Important: Do paraphrasing and have reference sources
3. Answers should be typed using Microsoft Excel (use formulas for calculation problems).
4. Write your complete identity at the top left of the answer sheet as follows:
Name:
NIM :
Code – Course :
Class :
Lecturer Code & Name :
FM-BINUS-AA-FPU-78/V2R0
Verified by,
Tommy Andrian (D6181) and sent to Department/Program on JANUARY 15, 2022
Page 2 of 4 Case 1 (15 Points) – LO3
Below are five questions:
a. Your colleague says, “Value‐added taxes are reported as an expense in the income statement.”
Do you agree? Please explain! (3 points)
b. What is the difference between gross pay and net pay? Which amount should a company record as wages and salaries expense? Please explain! (3 points)
c. Are the income taxes withheld from employee paychecks a payroll tax expense for the employer? Explain your answer! (3 points)
d. How does working capital differ from the current ratio? How are they similar? Explain your answer! (3 points)
e. Alvin, a friend of yours, has recently purchased a home for €125,000, paying €25,000 down and the remainder financed by a 6.5%, 20‐year mortgage, payable at €745.57 per month. At the end of the first month, Roy receives a statement from the bank indicating that only €203.90 of principal was paid during the month. At this rate, he calculates that it will take over 40 years to pay off the mortgage. Is he right? Please analyze and give your explanation! (3 points)
Case 2 (15 Points) – LO3
Dieker Containers is suffering declining sales of its principal product, non‐biodegradeable plastic cartons. The president, Edward Mohling, instructs his controller, Betty Fetters, to lengthen asset lives to reduce depreciation expense. A processing line of automated plastic extruding equipment, purchased for €3.1 million in January 2020, was originally estimated to have a useful life of 8 years and a residual value of €300,000. Depreciation has been recorded for 2 years on that basis. Edward wants the estimated life changed to 12 years total, and the straight‐line method continued. Betty is hesitant to make the change, believing it is unethical to increase net income in this manner. Edward says, “Hey, the life is only an estimate, and I've heard that our competition uses a 12‐year life on their production equipment.”
Required:
a. Who are the stakeholders in this situation? (5 points)
b. Is the change in asset life unethical, or is it simply a good business practice by an astute president? (5 points)
c. What is the effect of Edward Mohling's proposed change on income before taxes in the year of change? Prove it with your calculation and explain the result! (5 points)
Case 3 (30 Points) – LO3
PT BEGIN has just started its first operations in 2021. To obtain funding the Company decided to create 2 schemes through the issuance of shares and applying for a loan to the Bank. The following are transactions related to these funding events:
1 Jan 21 Issued 100,000 Series A shares with a par value of IDR 1,000 to the limited public 10 Jan 21 Applying for a loan to Bank MOGU in the amount of IDR 500,000,000 by issuing
a 5-year 12% Bond at a realization rate of 97%
FM-BINUS-AA-FPU-78/V2R0
Verified by,
Tommy Andrian (D6181) and sent to Department/Program on JANUARY 15, 2022
Page 3 of 4 20 Mar 21 Issued 150,000 Series A shares to acquire Land worth IDR 250,000,000 with a par
value of IDR 1,000
1 May 21 Received cash amounting to Rp300,000,000 to be exchanged for 200,000 Series A shares. The par value of the shares at the time of the transaction remained IDR 1,000.
30 Jun 21 Based on the evaluation, the company gets a net profit (net income) per 6 months of IDR 700,000,000
30 Jun 21 Declared and paid dividends to all shareholders with a value of IDR 25 per share.
Required:
a. Prepare journal entries for the transactions listed above and give your explanation! (10 points) b. Calculate how much funding costs must be paid by the company from the 2 selected financing
schemes until June 30, 2021 and explain your answer! (10 points)
c. Decide which is more profitable issuing shares or issuing debt securities (referring to the events in the problem)? Please explain your answer! (10 points)
Case 4 (20 Points) – LO4
Below is a statement of financial position for the period 2016 and 2017.
Assets 2017 2016
Current Asset:
Cash 35.000 20.000
Account Receivable 20.000 14.000
Inventory 28.000 20.000
Non-Current Asset:
Property, Plant and Equipment 60.000 78.000 Accumulated depreciation (32.000) (24.000)
Total Asset $111.000 $111.000
Liabilities and Equity Liabilities:
Current Liabilities:
Account payable 19.000 15.000
Income tax payable 7.000 8.000
Non-Current Liabilities:
Bonds payable 17.000 33.000
Equity:
Common Stock 18.000 14.000
Retained earnings 50.000 38.000
Total Liabilites and Equity $111.000 $111.000
Additional information:
1. Net income 2017 $32,000. During the year, Depreciation Expenses was recorded at $17,500.
2. The dividend declared and paid is $20,000.
FM-BINUS-AA-FPU-78/V2R0
Verified by,
Tommy Andrian (D6181) and sent to Department/Program on JANUARY 15, 2022
Page 4 of 4 3. The sale of equipment with an initial cost of $18,000 and accumulated depreciation of $9,500,
results in 8,500, so there is no profit or loss.
Required:
a. Prepare statement of Cash Flow for 2017 using the indirect method! (15 points)
b. Provide your explanation of the company's financial condition based on cash flows in point a! (5 points)
Case 5 (20 Points) – LO5
The following is PT COVERING's financial data for analysis:
Assets 2019 2018
Current Asset:
Cash 140,875 80,500
Account Receivable 80,500 56,350
Inventory 112,700 80,500
Non-Current Asset:
Property, Plant and Equipment 241,500 313,950
Accumulated depreciation (128,800) (96,600)
Total Asset 446,775 434,700
Liabilities and Equity Liabilities:
Current Liabilities:
Account payable 76,475 60,375
Income tax payable 28,175 32,200
Non-Current Liabilities:
Bonds payable 68,425 132,825
Equity:
Share Capital ordinary 72,450 56,350
Retained earnings 201,250 152,950
Total Liabilites and Equity 446,775 434,700
Required:
a. Prepare horizontal and vertical analysis calculations for the year 2019! (15 Points)
b. Provide your explanation of the company's financial condition based on the results of the calculations in point a! (5 Points)
GOOD LUCK
