Assessment 1
1. List relevant personnel within ABBA who you will assemble to discuss the budgets and financial plans to ensure that the documented outcomes are achievable, accurate and comprehensible.
2. List the five source documents that you can access for information to include in your Budgets and Financial plans.
3. Give examples of (2) two business operational risk scenarios that could affect your initial budgets and financial plans.What contingency planning strategies will you need to put in place if your initial financial plans need to be varied?
4. Name (5) five main required roles associated with the management of finances - on a daily, weekly and monthly basis.Include a short description of each job role.
5. What are (5) five ways in which you could provide support to your finance team members to ensure that they can competently perform their job roles?
6. List and describe (3) three of the main resources and/or systems that finance personnel may need to successfully manage financial management processes.
7. As the Finance Manager, what processeswould you implement to monitor actual expenditure and to control costs?
8. Name (6) six source documents you would need to access in order to report on actual expenditure and to control costs.
9. As the Finance Manager you will regularly collect and collate for analysis, data and information on the effectiveness of financial management processeswithin the work team. List (8) eight documents where you could source such data and information.
10. Explain what GST is and how it works in Australia.
11. Explain which Australian businesses have to register for GST and whythis is so.
12. Identify and record all the business records you must keep for taxation purposes?
13. List three of the legal requirementsor conditions that the ATO directs, for keeping good business records?
14. Research and explain your findings as to what the ATO describes as being the three (3) requirements for keeping your tax records electronically.
15. With which relevant personal in the organization would you negotiate any changes required to be made to budget/financial plans?
16. How would you disseminate relevant details of the agreed budget/financial plans to team members?
17. How can you analysedata and information to measure the effectiveness of financial management?
18. How can you implement and monitor improvements with financial objectives?
19. List any three of the basic accounting principles
Assessment 2
Prepare financial documents including financial report
Assessment Instructions
This section has 2 Tasks. You are required to complete both tasks.
Task 1 has Three (3) activities; and requires you to prepare Microsoft excel spreadsheets based on the given scenarios and to monitor and review the budgets and P&L statements. You are encouraged to display your answers by clearly calculating a simple formula within each cell. You are required to upload your live excel workbook to Moodle as part of your evidence.
Task 2 requires you to write a financial report to identify options for improved budget performance and contingency planning.
CASE STUDY SCENARIO - Simpsons Pty Ltd
Task 1
NOTE:SPREADSHEETS MUST BE PREPARED USING MICROSOFT EXCEL
ACTIVITY 1.
Based on the above Sales and COGS activities for 2015;
Prepare a spreadsheet that shows in 12 monthly columns the average monthly Sales for food and drinks and the average monthly COGS for meals and drinks; in addition include end columns for the annual totals and another with the average quarterly totals.
Using the prepared template from Activity 1; continue with the following:
ACTIVITY 2.
Based on the above Budget forecasting for 2016;
Prepare a 2nd spreadsheet similar to above (ie 12 monthly columns) for the yearly Profit and Loss Budget; also include end columns for the annual totals and the average quarterly totals.
ACTIVITY 3.
Based on the following assumptions prepare a 3rd spreadsheet with the trading activities for the 1st quarter of 2016. Use monthly columns for January, February and March for the actual 1stqtr results. Also use a column for the quarterly budget for 2016 and another with the totals for the three months as a quarterly actual column.
ASSUME THAT DURING THE 1ST QUARTER OF 2016:
- Food revenue was 20% higher than the budget forecasted
- Food Cost was 30% higher than the budget forecasted
- Beverage sales was 15,000 units
- Utilities Expense was $8,000
- Wages expense $25,000
- Rent expense was $10,000
You are also required to monitor the trading activities for Simpsons Pty Ltd for the first quarter of 2016 and identify and record in an additional column all dollar (AUD$) variances and as a percentage % figure from the forecasted budget.
Task 2
NOTE: INSERT TASK 2 BELOW THE LINE AT THE END OF THIS DOCUMENT
Activity 1
Write a Financial Report (in the appropriate format) to the restaurant owners; include the following:
In Activity 3 you have identified variance between the budget and actual results for the first quarter of 2016. Explain different contingency planning strategies and adjustments that you can make to your budgets for the rest of 2016. Be sure to address any possible causes for the variance. Ensure you include each of the following main areas in your report:
o Meals
o Drinks
o COGS
o Rent
o Utilities
o Wages
o Miscellaneous
Activity 2
You must include your recommendations and a conclusion in this section of the report you need to discuss:
- How you will implement and monitor your changes to the business to control costs
- How you plan on making new contingency plans for further budget variances
- How you can collect and use information from work teams to use with your budgets
- Comment on how effective the financial information is that you collected.
- Explain how you will negotiate and communicate budget information with team members.
- Explain how you can support staff to make budget changes