FNSACCT406B Maintain asset and inventory records Did the candidate satisfactorily answer the following questions? Yes No 1. Describe the policy or procedure for the purchase of assets and how these are recorded. 2. Describe the policy or procedure for the sale of assets and how these are recorded. 3. Discuss how you account for inventories including recording the purchase of inventory, valuing inventory and reconciling inventory records to the general ledger. 4. Describe reports you have prepared from asset and inventory records. Suggested responses 1. Obtains approval for purchase. Identifies new asset category when necessary. Obtains quote. Prepares and processes the input of the new asset. Reconciles purchase documents/invoices. Register is updated and maintained. Checks asset received for quantity and quality compliance. 2. Obtains approval for the sale. Accounting standards are followed in recording the disposal. Complies with legislation relevant to sale, eg ACCC, Consumer Obtains disposal data such as cost of removal, trade-in Credit Code. amount. Enter disposal data into accounting records. 3. Records purchase in subsidiary ledger. Values inventory (FIFO, weighted average). Applies inventory flow assumptions (cost, net realisable value, Reconciles inventory records to general ledger. calculations based on gross margins). Maintains periodic and perpetual records. Suggested responses 4. Depreciation schedule. Total purchase and disposal for a period. Asset register. Inventory turnover analysis.
FNSACCT406B Maintain asset and inventory records Did the candidate satisfactorily answer the following questions? Yes No 1. Describe the policy or procedure for the purchase of assets and how these are recorded. 2. Describe the policy or procedure for the sale of assets and how these are recorded. 3. Discuss how you account for inventories including recording the purchase of inventory, valuing inventory and reconciling inventory records to the general ledger. 4. Describe reports you have prepared from asset and inventory records. Suggested responses 1. Obtains approval for purchase. Obtains quote. Reconciles purchase documents/invoices. Checks asset received for quantity and quality compliance. Identifies new asset category when necessary. Prepares and processes the input of the new asset. Register is updated and maintained. 2. Obtains approval for the sale. Complies with legislation relevant to sale, eg ACCC, Consumer Credit Code. Enter disposal data into accounting records. Accounting standards are followed in recording the disposal. Obtains disposal data such as cost of removal, trade-in amount. 3. Records purchase in subsidiary ledger. Applies inventory flow assumptions (cost, net realisable value, calculations based on gross margins). Values inventory (FIFO, weighted average). Reconciles inventory records to general ledger. Maintains periodic and perpetual records. Suggested responses 4. Depreciation schedule. Asset register. Total purchase and disposal for a period. Inventory turnover analysis.
BOS1209_Cert%20IV%20Finance%20RPL.docx