Reference no: EM132138934

ASSESSMENT 1

PART A - For this assessment, students are to utilise the data in the Appendices regarding Ed's Whitegoods. The instructor can role-play the part of Edward Tan, the proprietor and will give any additional information required, including company policies and procedures, milestones etc.

Students are to undertake the following:
- List all personnel you would consult with in order to gain adequate advice prior to commencing your reports.
- Consult with your instructor to determine management requirements
- Outline the statutory requirements in relation to compliance and tax that affect your budget
- Prepare a 1 year budget & projected financial statement including:
- Sales forecast, taking into account additional information in Appendix 5
- Estimated expenses / inventory costs
- Estimated profits
- Ensure report layout and format comply with management information requirements, are clear and error-free

Note: Students must use appropriate spreadsheet or accounting software to undertake this task.

Students must ensure that estimates of future cash flow, costs and revenues are realistic in context of the available information at the time of creating the budget. Changes in circumstances should be anticipated as best as possible with particular emphasis on financial risks and creating protection strategies in accordance with organisational procedures. Any liaison with the proprietor of the business to determine milestones, policies, goals etc. should be carried out with your instructor, who will role play the relevant parts.

Assessment Summary
You are to submit the following evidence / perform the following tasks
- Develop and submit your annual budget as outlined above

PART B - Now you are to take your completed budget and arrange an appointment with your assessor, who will role-play a finance specialist. In this meeting, you are to
- Manage the meeting direction and progress
- Discuss with the finance specialist the aspects of your budgets / financial plans (the package)
- Have your package reviewed, ensuring your validate your reasons and proposals
- Amend / revise your package as appropriate

You must now:
- Detail in writing all delegations and budget accountabilities for implementation and management of your package
- Develop a written procedure that details the recording systems and documentation process you will follow for monitoring and controlling all activities against your plans.
- Develop a risk management and contingency plan for all your proposed financial plans; along with a policy and procedure to be followed when implementing these plans
- Develop a policy and procedure that outlines proper maintenance of records of financial performance and provides for evaluation of the effectiveness of your financial management process

ASSESSMENT 2

Students are required to compare their budgeted figures against actual figures located below:

Ed's Whitegoods 1 year result:
Total Sales: $1,623,000
Total Purchases: $701,400
Total Expenses: $402,000

Students are to undertake the following:
- Prepare a variance analysis between budgeted and actual figures
- Ensure report demonstrates major differences
- What was the discrepancy?
- Is the discrepancy a positive or negative one?
- Locate the area and give at least 5 reasons why the discrepancy may have occurred
- Utilise the data provided to determine the effectiveness of the cost budgeting techniques used
- Lastly, students should give recommendations as to how their variance may be corrected for future budgets for the business.

The variance report should be submitted along with a written report detailing the student's answers to the above questions.

ASSESSMENT 3

For this task you are to identify and evaluate a minimum of 3 commercially available financial management software for its appropriateness within your actual or projected business. You need to consider

1. Price
2. Usability
3. Features and functions
4. Compatibility with other programs
5. Compatibility with other specialists

Provide your review in the form of a written report, making a recommendation on the most suitable product for you. Be sure to explain your approach, including the pros and cons of each product evaluated

ASSESSMENT 4

Written assessment
1. Set a date for this written assessment.
2. Advise students of the topic and how the assessment will be conducted / marked
3. Advise students where this assessment will be undertaken (classroom environment)
4. Set up room with a gap between each student (staggered formation recommended)
5. Set ground rules including no phones, talking, books, etc.
6. Pass a copy of the assessment to each student (Ensure the answers have been deleted from the students copy)
7. Allow time for reading and questions before commencing assessment.
8. Once assessment has commenced, no communication between students is allowed.
9. If students repeatedly talk, or are caught cheating, they are to be removed from the classroom, and reported to student administration. Mark the assessment tasks as "incomplete"
10. Allow 2 hours for this assessment.
11. Remember - assessments are a participatory process, so you can help re-word questions, but be careful NOT TO LEAD. We are assessing the students, not you!
12. Once completed, mark the assessment accordingly. Refer to the sample answers as direction on expected student responses
13. In the event that a question is not answered correctly, discuss the response with the candidate to determine if the student did not know the answer, or did not understand the question.
14. In order to achieve competency, all questions that are mapped in the associated mapping document MUST be answered correctly.

Project
1. Set a date for this written assessment.
2. Advise students of the topic and how the assessment will be marked.
3. Provide the blank project to the student
4. Provide student the opportunity to ask questions prior to starting the assessment.
5. In the event that a question is not answered correctly, discuss the response with the candidate to determine if the student did not know the answer, or did not understand the question.
6. Remember - assessments are a participatory process, so you can help re-word questions, but be careful NOT TO LEAD. We are assessing the students, not you!
7. Once completed, mark the assessment accordingly. Refer to the sample answers as direction on expected student responses
8. In order to achieve competency, all questions that are mapped in the associated mapping document MUST be answered correctly.

Questions
1 In your own words, describe responsibility accounting?
2 Which of the following statements relating to a budget is not true?
a) It is a detailed plan
b) It is a management tool
c) It provides many of the performance targets used in responsibility accounting
d) It is prepared on a historical basis
e) It identifies certain financial and operating targets
3 Detail 4 different types of budgets, and their purposes.
4 What information would you require to plan and prepare a budget for a new business? Detail where this information would come from.
5 Describe what external factors should be taken into consideration when planning and preparing a budget.
6 Describe the following term in relation to an organisations budgetary requirements.

CAPITAL INVESTMENT

7 Describe the following term in relation to an organisations budgetary requirements.

CAPITAL EXPENDITURE
8 Describe the following term in relation to an organisations budgetary requirements.

CASH FLOW
9 Describe the following term in relation to an organisations budgetary requirements.

BREAK EVEN

10 Describe the following term in relation to an organisations budgetary requirements.

GROSS PROFIT

11 Describe the following term in relation to an organisations budgetary requirements.

RISK MANAGEMENT

12 What are the financial reporting cycles relevant to your Industry?

13 Describe 2 different capital investment evaluation techniques

14 What are the benefits of participative budgeting?

15 What steps would you take to effectively implement the budget into a team environment?

16 What are INCOTERMS?

17 Describe the following INCOTERMS codes?

18 What is the trades practice Act?

19 What is the Warsaw Convention?

20 What is the World Trade Organisation?

21 What are Bilateral and Regional Free Trade Agreements?

22 What is meant by financial probity? List 6 aspects of what it includes.

23 What records need to be kept for the ATO for a small business with an annual turnover of less than $2million (cash basis)

Attachment:- Assignment.rar