Additional information:
i) It is the policy of Controller and Accountant General to use Accrual Basis of Accounting in preparing the Public Accounts of the Consolidated Fund financial statements in compliance with Public Financial Management Act, 2016 (Act 921), Public Financial Management Regulation 2019 L.I 2378 and the International Public Sector Accounting Standards (IPSAS).

ii) Inventory in respect of stationery outstanding as at 31 December, 2020 cost GH¢18 million and has a current Replacement Cost of GH¢12 million. Meanwhile, the Net Realisable value of the Inventories is estimated at GH¢14 million. No market exists for unused inventories.

iii) An Established Post Salary in arrears as a result of salary increment in the fourth quarter of 2020 was GH¢56 million and Public Debt Interest outstanding as at 31 December, 2020 amounts to GH¢ 14 million.

iv) Consumption of Fixed Capital is charged on Straight Line Basis for the year as follows:

v) The Multilateral Partners have extended their Debt Forgiveness policy to the Government which has resulted in the External Debt write off amounting to GH¢4 billion in the year. However, this transaction has not been accounted for in the books.

vi) In the year 2019, GH¢8 billion was spent in acquiring Equipment to boast Government project, however, these transactions were recognised in the accounts as Goods and Services Expenditure in the year 2019. This error has since not been rectified.

Required:
Prepare in a form suitable for publication and in accordance with the relevant Financial Laws and IPSAS:
a) Statement of Financial Performance for the year ended 31 December 2020. (9 marks)

b) Statement of Financial Position as at 31 December, 2020. (7 marks)

Below are the transactions of the consolidated fund for the year ended 31 December, 2018.

Additional information:
i) The Controller and Accountant General uses modified accrual accounting concept in the preparation of its accounts.
ii) Established Post salaries of GH¢2,937,000 was outstanding as at 31/12/2018.
iii) Interest on domestic and external loans are provided for at 20% and 15% respectively.
iv) The Central Government depreciates assets on cost basis using the schedule below:
Class of assets                                                   Number of years
Building                                                                            50
Plant, Machinery, Furniture and Fittings                    20
Transport Equipment                                                    7
Computer Software and License                                  5
v) Provisions:
Specific provision for bad debt is made for loans receivables and investments as and when their non-recoverability is determined and where a request is made for write off to parliament. This provision is set at 3% and 5% respectively.

Required:                          (Show clearly all workings)
a) Prepare Statement of Financial Performance of the Consolidated Fund for the year ended 31/12/2018 and               (10 marks)

b) Prepare Statement of Financial Position for the Consolidated Fund as at 31/12/2018.                                                 (7 marks)

Additional Information:
i) It is the policy of Controller and Accountant General to adopt accrual basis of preparing the public accounts of the Consolidated Fund for the first time in compliance with the Financial Administration Regulation 2004 and the International Public Sector Accounting Standards (IPSAS). The effective date is 31 December 2014.
ii) The current Chart of Accounts based on the GFS 2001 is used in the classification of revenues and expenditures.
iii) Consumption of fixed capital charged on cost for the year has been computed as GH¢156, 000,000.
iv) Direct tax revenues due to government but were not received at 31st December 2014 amounted to GH¢49, 000,000.
v) An established post salary in arrears as a result of salary increment in the fourth (4th) quarter of 2014 was GH¢56,000,000 and goods and services outstanding at the end of the year amounted to GH¢12, 000, 000.
vi) The grant shown in the trial balance as expenditure represents statutory transfer to the District Assembly Common Fund (DACF). Any arrears in the DACF should be treated as payable. The current rate of transfer is 7.5% on the amount received.
vii) Public debt interest of GH¢14,000,000 was due to creditors but was not paid as at 31 December 2014.

Required:
a) Prepare in a form suitable for publication and in accordance with the relevant Financial Laws and IPSAS:              (18 marks)
i) Statement of Financial Performance of the Consolidated Fund for the year ended 31 December 2014.

ii) Statement of Financial Position of the Consolidated Fund as at 31 December 2014. (Show all workings clearly)

b) Disclose any TWO significant accounting policies as part of the notes to your accounts, as much as the information provided will permit.                                                                                                                                                                    (2 marks)