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AQ$1$

Obtain the $2023$ Coles Group Limited annual report and answer the following:

Describe the structure of CEO compensation outlined in the remuneration report.

When is CEO compensation paid $($current period or deferred$)?$

What performance measures are used as the basis for determining CEO compensation?

Explain how the CEO compensation structure reduces agency problems between managers and shareholders.

AQ$2$

Lemo Ltd is in the process of preparing its financial statements for the year ended $30$ June $2026.$ The following has been discovered after $30$ June but prior to the finalisation of the financial statements for the $2026$ financial year.

a$)$ The purchase price of $$85,000$ for a car purchase on $1$ January $2025$ was recorded against car repairs expense. Cars are depreciated over a four$-$year useful life with a zero residual value.

b$)$ A major debtor owing $$35,000$ went into liquidation on July $15,2026.$ No adjustment has been made to the allowance for doubtful debts. The liquidator has indicated that the likely payout to Lemo Ltd will be $$7,000.$

c$)$ A robbery at one of the firm's stores on July $21,2026,$ resulted in $$120,000$ of damage. The firm does not have insurance coverage.

d$)$ On August $1,2026,$ the company announced that it would be making a new equity issue of $$150$ million to launch a hostile takeover of a competitor. The firm's current market capitalisation is $$500$ million.

Required

Based on your understanding of accounting rules advise Lemo Ltd how these items should be accounted for in the financial statements for the $2026$ financial year. Prepare any necessary journal entries.

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