DEPARTMENT OF ACCOUNTING, FINANCE AND ECONOMICS

2101AFE International Accounting Individual Assignment II GRIFFITH BUSINESS SCHOOL DEPARTMENT OF ACCOUNTING, FINANCE AND ECONOMICS 2101AFE INTERNATIONAL ACCOUNTING INDIVIDUAL ASSIGNMENT II (Weighting 30%) DUE 4:59pm Friday, 24th May 2024 Question 1 (20%) Select two countries (or jurisdictions) from the list of countries (jurisdictions) provided below. The two countries (jurisdictions) must be chosen from two different country groups listed below. You are required to discuss and compare the accounting systems and practices of the chosen countries in terms of professionalism vs. statutory control, uniformity vs. flexibility, conservatism vs. optimism, secrecy vs. transparency, and long-term vs. short-term focus. Then identify for each country the key environmental factors and analyse how these factors have shaped and influenced the accounting systems and practices in the countries. LIST OF COUNTRIES (JURISDICTIONS)* Group 1 (Anglo-American Accounting): United Kingdom, United States, Australia Group 2 (Asian Accounting): Japan, South Korea Group 3 (Asian Accounting): Hong Kong, Malaysia, Singapore, Indonesia, The Philippines Group 4 (Germanic Accounting): Germany, Switzerland Group 5 (Nordic Accounting): the Netherlands, Denmark, Norway, Sweden Group 6 (Latin Accounting): Belgium, France, Spain, Italy TITLE OF ASSIGNMENT The title of your assignment is: A Comparative Study of Accounting and the Environmental Factors Influencing Accounting in … (Insert the names of the countries or jurisdictions you have selected.) INSTRUCTIONS (1) Your assignment should contain, among other things, a cover page (showing the course code and title, title of the assignment, student name and number, approximate number of words of the main body, the average match score from SafeAssign check, due date, and date of submission), table of content, synopsis, the main body, list of references, appendix (if any). (2) The synopsis is a one-page (maximum), double-spaced version of the assignment preceding the main body. (3) The main body of your answer to this part is set to be 1,000 words with 10% variation in length. In other words, the word limit does not apply to synopsis, list of references and appendix (if any). (4) The main body should be organised into sections (sub-sections) and each section (sub-section) should have a heading (sub-heading). 2101AFE International Accounting Individual Assignment II (5) The main body should be double-spaced with sufficient margins. Citation and referencing formats should conform to the GBS guidelines both in the body and the reference list (i.e., APA, American Psychological Association or Harvard). Please check with your convenor to confirm the required style or refer to the online Referencing tool for correct referencing format. A general bibliography is not acceptable. (6) You should use at least 5 references to support your work. Suitable references include books, journal articles and internet sources. Question 2 (10% — 5% for creating the table of changes in fair values and 5% for journal entries) On November l, Year l, Alexandria Company sold merchandise to a foreign customer for 100,000 FC units with payment to be received on April 30, Year 2. At the date of sale, Alexandria Company entered into a six-month forward contract to sell 100,000 FC. The forward contract is properly designated as a cash flow hedge of a foreign currency receivable. Relevant exchange rates for the FC are: Use an incremental borrowing rate of 12 percent per annum. (1 percent per month). Required: Prepare all journal entries, including December 31 adjusting entries, to record the sale and forward contract. What is the impact on net income in Year 1? Note: You will first need to compute the fair values of the hedged item and the hedging item, compute the changes in those fair value (as in the table we did in the class) and then record the transactions. Use the solutions to the questions in the class as well as in the workshop (for accounting for hedged transactions) as a model and construct your answer according to that model. Submission guidelines (1) You should name your assignment file using the following format: Surname_Initial_student number (e.g., Smith_J_s123456). (2) Before you submit the final version of your assignment, you should subject your work for a SafeAssign check for proper attribution of any borrowed content. Generally, the average match score from SafeAssign check (which should be reported on the cover page) should not exceed 30%. Then, submit the final version of your assignment. (3) Other forms of submission (e.g., by email or fax) will NOT be accepted. Students must be able to produce an electronic copy of the assignment submitted and be able to resubmit if requested by the Convenor. Students are expected to retain a copy of the assessment submitted until the final grade for the course has been awarded. Creating a backup of your computer file is highly recommended. (4) The assignment will be assessed against the International Accounting Assessment Rubric for written communication performance, which is available on the course website learning@griffith. (5) Late submission will be penalized by 10% of the allocated assessment a day. 2