Work Integrated Assessment case study Qantas Annual Report - Accounting Assessment Answers

January 15, 2018
Author : Julia Miles

Solution Code: 1AFAC


This assignment falls under Accountingwhich was successfully solved by the assignment writing experts at My Assignment Services AU under assignment help service.

Accounting Assignment Help

Q2-2Negative numbers

create a simple spreadsheet example of Sales revenue less Expenses to give Net income where Expenses are greater than Sales revenue. Display the negative result in brackets. Also incorporate an IF functions.

Q2-7Journal entries

Review your text chapter 5 including appendix 5A and watch the 3 videos on Inventory in Interact2 Resources. Show the journal entries for perpetual inventory and periodic inventory systems for the purchase of inventory, sales returns and end of period stock take.

Q2-13Bank Reconciliation

Write a brief introductory scenario and createyour ownbank reconciliation spreadsheet. Use the text example on page 376, 377, 378 as a template but use your own numbers. Your spreadsheet will demonstrate all the usual spreadsheet requirements.

Q2-14Journalising accounts receivable entries.

Using the text (8th edition) as a resource, show the journal entries needed for:

  1. sales on credit,
  2. the collection of part of the amount owing,
  3. the write off of a bad debt,
  4. the reinstatement of an amount written off and
  5. the collection in full of the amount owing.

Create your own numbers. A spreadsheet is not required.

Q2-18Dishonour of a bill receivable

Write a set of journal entries and T accounts which includes:

  1. a credit sale,
  2. a conversion to a Note receivable,
  3. the dishonour of the note and
  4. Subsequent delayed payment.

Create your own simple numbers. Ignore interest.

Q2-20 Work Integrated Assessment case study

Qantas Annual Report

Learning Objectives: The subject you are studying is vocational. It is designed with the workplace in mind. Work integrated assessment provides opportunities for students to link theory and skills learned in a subject to a real work context. Students can use these opportunities to develop and practice the professional and academic skills they learn about in a subject or through the online environment and then be assessed on their capabilities in these simulated authentic environments. Work integrated assessment allows students to simulate and situate their learning in an authentic workplace that encourages them to explore their knowledge and apply it to practice. Integrating real world, authentic assessment tasks allows students to learn about the particular environments and culture of their chosen professions, while at the same time absorbing and practicing the skills they need to succeed. Doing these tasks can help students develop skills that can help their employability.

Resources for this task include the 2015 Annual Report for Qantas.

Your friend Tom is studying architecture at another University and knows very little about accounting and annual reports. Tom's uncle gave him $30,000 recently to invest. Tom knows you have begun studying accounting and is considering buying Qantas shares. Tom has some questions for you.

Present your answers concisely in abusiness report format.

Tom's questions:

  1. How much profit did Qantas make?
  2. Earnings per share?
  3. What expertise does Todd Sampson bring to the Board of Directors?
  4. Explain EBITDA, Revenue Seat Factor, Revenue received in advance and Retained Earnings.
  5. Calculate the Working Capital ratio.
  6. Create a chart in Excel showing 3D columns for the operating cash flows and another showing a pie chart for the components of current assets. Paste the spreadsheet graphs in your assignment. Show the data area.
  7. Summarise your advice to Tom re the investment decision.

Find the Qantas 2015 Annual Report on the web.

The assignment file was solved by professionalaccounting assignment helpexperts and academic professionals at My Assignment Services AU. The solution file, as per the marking rubric, is of high quality and 100% original (as reported by Plagiarism). The assignment help was delivered to the student within the 2-3 days to submission.

Looking for a new solution for this exact same question? Our assignment help professionals can help you with that. With a clientele based in top Australian universities, My Assignment Services AU’s assignment writing service is aiding thousands of students to achieve good scores in their academics. OurBusiness Management System assignment experts are proficient with following the marking rubric and adhering to the referencing style guidelines.




Purchase of inventory:

Inventory xx
Accounts Payable xx

Sales return

Sales Returns xx
Accounts Receivable/Accounts Payable xx
Inventory xx
Cost of Goods Sold xx


Purchase of inventory:

Purchases xx
Accounts Payable xx

Sales return:

Sales Returns xx
Accounts Receivable/Accounts Payable xx

Closing stock:

Inventory (Ending Inventory) xx
Cost of Goods Sold (Balancing Figure) xx
Inventory (Beginning Inventory) xx
Purchases xx


  1. Credit sales

Accounts Receivable 10000
Sales 10000


  1. Collection of the part owing

Cash 5000
Accounts receivable 5000


  1. Writing off a bad debt

Bad debt 5000
Accounts receivable 5000


  1. Reinstatement of a account written off

Accounts Receivable 5000
Allowance for doubtful debts 5000


  1. Collection in full of the amount owing

Cash 5000
Accounts receivable 5000


  1. A credit sale

Accounts Receivable 10000
Sales 10000


  1. A conversion to note receivable

Notes receivable 5500
Accounts receivable 5500


  1. Dishonor of the note:

Accounts receivable 5500
Notes receivable 5500


  1. Subsequent delayed payment:

Cash 5500
Accounts receivable 5500



  1. Qantas made a total profit of $560 million in 2015 as against net loss of 2843 million in 2014.
  2. Earnings per share in the year 2015 stands at $25.4 as against -$128.5 in 2014.
  3. Todd Sampson is the member of the Remuneration committee. He has been the National CEO of the Leo Burnett Group since 2008 and also sits on the board of Fairfax Media limited. Having a experience of sound twenty years in marketing communication, new media and digital transformation, he is expected to impart a new image to the firm. He has held senior leadership and strategy roles for few leading communication companies located in Australia and overseas. His expertise in the communication field is the one that would help Qantas immensely.
  4. EBITDA refers to earnings before interest, taxes, depreciation and Amortization. It is basically a measure of a firms operating profitability. The EBITDA figure provides a clear picture of the firms operating excellence. Qantas achieved a EBITDA of $2824 million in 2015 as revealed by the analysis of operating segment by the firm in its annual report. Revenue seat factor refers to the efficiency tool that compares the measurement of various airlines. It is computed by dividing the operating income with available seat miles. Higher the revenue seat factor indicates higher profitability of the airline. Revenue received in advance refers to earnings that have been received but the services for same are due to be rendered. In the example of airline firms, pre bookings of flights forms advance revenue. Retained earnings refer to ploughing back of profits of previous year as a cushion for financial constraints in near future. The firm has allocated $1115 million for the year 2015.
  5. A working capital ratio is a liquidity ratio that measures a firms ability to pay off its short term liabilities with it current assets. It is important to every firm as it reflects the liquidity of the firm and analyses its paying capacities.

Working capital ratio = Current Assets/Current Liabilities

= 5049/ 7470 = .675

Ideally the ratio should be 1 or greater than one. However in case of Qantas that the ratio is less than 1 and this implies that firm have less of current assets to pay off its current liabilities.

The firm Qantas seems to face a rough patch in the past few years. However the firm has started reviving itself. Last year the firm was operating on a net los and this year the firm mhas registered a positive profit. Looking at the key changes that the firm has applied and the rise of the fuel costs it can be assumed that the firm shall be back into its performance positively in coming years. However in terms of investing in a firm the investors need to look at key metrics of the firm. a close analysis of the firm reveals that the firm regisrered an EBT margin of 5.08 as against the -26.24 from last year. Return on equity stands at 17.67% in contrast to -64.53% last year. With an asset turnover of .89 and quick ratio of 0.60 the firm seems to be improving drstically. However, the health of the firm is not stable. The current ratio and quck ratio being less than industry standards put forth the point that the firm has a long way to go. An investor aims to put his savings in order to earn profits. At this point the firm I ot extremely profitable. The firm can be expected to perform better in near futur. The cyclefor continuos improvement is very much predicted for Qantas. If Tom is a long term investor then he can invest hi money in Qantas with expectations of profit accruing and capital appreciation in coming years. Thebasic strategy that tom needs to follow is to buy and hold. However if Tom intends to be aggressive investor and needs profit right after investment then he should look on to other firms. Qantas shall deliver desired result but right now it is in the buildup phase from the past losses.

Thisaccountingassignment sample was powered by the assignment writing experts of My Assignment Services AU. You can free download thisaccountingassessment answer for reference. This solvedaccountingassignment sample is only for reference purpose and not to be submitted to your university. For a fresh solution to this question, fill the form here and get our professional assignment help.


Order Now

Request Callback

Tap to ChatGet instant assignment help

Get 500 Words FREE