Assessment Tasks and Instructions

Student Name Yebeen

Student Number Cti2017190

Course and Code Unit(s) of Competency and Code(s) SITXFIN003 Manage finances within a budget

Stream/Cluster Trainer/Assessor Assessment for this Unit of Competency/Cluster Details

Assessment 1 Short Answers

Assessment 2 Project

Assessment 3 Assessment conducted in this instance: Assessment 1 FORMCHECKBOX 2 FORMCHECKBOX 3 FORMCHECKBOX

Reasonable Adjustment

Has reasonable adjustment been applied to this assessment?

No FORMCHECKBOX No further information required

Yes FORMCHECKBOX Complete 2.

Provide details for the requirements and provisions for adjustment of assessment:

Student to complete

FORMCHECKBOX My assessor has discussed the adjustments with me

FORMCHECKBOX I agree to the adjustments applied to this assessment

Signature Date 2nd Assessor to complete

FORMCHECKBOX I agree the adjustments applied to this assessment are reasonable

Name Signature Date Assessment Guidelines

What will be assessed

The purpose of this assessment is to assess your underpinning knowledge to complete the tasks outlined in the elements and performance criteria for this unit of competency and relating to the following aspects:

types of financial records:

bank deposit documentation

bank statements

banking summaries

business activity statements

cheque books

credit card transaction statements

invoices

journal entries

labour and wages reports

merchant statements

merchant summaries

transaction reports

types of budgets:

cash budgets

cash flow budgets

departmental budgets

event budgets

project budgets

purchasing budgets

sales budgets

wage budgets

whole of organisation budgets

factors for consideration in the preparation of financial and statistical reports:

cash flow

commercial account activity

commission earnings

covers and financial return

daily, weekly and monthly transactions

expenditure

income

occupancy rates and financial return

performance of department, project and/or products and services

sales performance

sales returns

staff costs

stock levels

variance in income and/or expenditure

wastage

yield

use, contents of and formats for:

budgets

financial reports

statistical reports

budget terminology

specific industry sector and organisation:

use of budgets to control costs and enhance profitability

importance of budget control

techniques for maximising budget performance

financial reporting procedures and cycles

features and functions of accounting software programs used to manage budgets.

Place/Location where assessment will be conducted

RTO to complete

Resource Requirements

Pen, Paper or computer

Instructions for assessment including WHS requirements

You are required to address all questions to achieve competence. Your trainer will provide you with instructions for time frames and dates to complete this assessment.

Once completed, carefully read the responses you have provided and check for completeness. Your trainer will provide you with feedback and the result you have achieved.

Statement of Authenticity

FORMCHECKBOX I acknowledge that I understand the requirements to complete the assessment tasks

FORMCHECKBOX The assessment process including the provisions for re-submitting and academic appeals were explained to me and I understand these processes

FORMCHECKBOX I understand the consequences of plagiarism and confirm that this is my own work and I have acknowledged or referenced all sources of information I have used for the purpose of this assessment

Student Signature: Date: / /201

This assessment: First Attempt FORMCHECKBOX 2nd Attempt FORMCHECKBOX Extension FORMCHECKBOX – Date: FORMTEXT    / FORMTEXT    / FORMTEXT   

RESULT OF ASSESSMENT Satisfactory FORMCHECKBOX Not Yet Satisfactory FORMCHECKBOX

Feedback to Student:

Assessor(s) Signature(s): Date: FORMTEXT    / FORMTEXT    / FORMTEXT     

Student Signature Date: FORMTEXT    / FORMTEXT    / FORMTEXT     

Assessment 1

Your Task:

Answer the following questions below. All questions must be answered.

Question 1

List 8 examples for financial records

1. General account books

2. Cash book records

3. Banking records

4. Creditors’ records

5. Debtors’ records

6. Details of any contracts

7. Tax invoices and other relevant tax records

8. Stock records

Question 2

List 4 different types of budgets.

1.master budget

2.wage budgets

3.cashflow budgets

4.project budgets

Question 3

What is the purpose of preparing a draft budget?

The purpose of a draft budget is to give you a visual description of the expected financial results of your business activities.

Question 4

What should you do with the feedback from the draft budget?

Once the feedback from the draft budget has been received, whether in a meeting or from the individuals, you must analyse the feedback. It is very rare for a draft budget to simply become the final budget, so some changes are to be expected. When looking at the feedback, it is important to consult others if you are unsure as to the relevance of the change.

Question 5

List 2 people the final budget might need to be distributed to.

1.Owners

2.Senior management

Question 6

Why is it important for each department head to understand their part of the budget?

they should be informed of any changes made from the draft budget and be provided with an explanation for the change or why something that was requested to be changed wasn’t

Question 7

Why should all staff have some knowledge of the budget for their area?

The management team should be informed of the budget outcomes and its impact on their operation.

Question 8

Once the final budget has been approved, how often should it be monitored?

Managers are required to provide a report on their department for the month.

Question 9

As well as receiving the final budget the management team should be advised of their reporting duties. What

should their report contain?

Accounting regulation ,tax laws and financial statement

Question 10

Name 2 financial reports you might generate from your accounting system to check your budget against

actual income or expenditure.

1. sales reports

2.expenditure reports

Question 11

Every revenue and expense item on the Profit and Loss Statement should be compared to what?

Compared to the budgeted figure.

Question 12

When revenue variances occur, why should you talk to the staff to help identify, and find options to

address the issue?

Every situation will require a different approach for the business to rectify it

Question 13

List 2 factors that can cause variances in staff budgets.

1.wages

2.wastage

Question 14

List 3 colleagues you may advise if you noticed that there were deviations between your budget and your

targets.

1. Manager

2.operational staff

3.Administration to financial staff

Question 15

List 2 ways you might research new approaches to managing your budget.

1.any changes that are made to the budget should be recorded so that future budgets can be made based on this information, rather than using the outdated information from the start of the year

2.a new department head may have different ideas and ways of the running the department and may need more budget in some areas and less budget in others

Question 16

List 3 things you need to include in your budget report, to give the decision maker enough information to do a

clear cost versus benefit analysis of the budget request.

1. expense

2.revenue

3.cost

Question 17

If you are cutting expenditure, why must you be careful that the cuts do not cause the level of service and

product to fall?

the same amount of maintenance work will need to be done more efficiently,

some maintenance work will have to be deferred, or

some maintenance work will not be able to be done at all.

Question 18

Name an accounting program you can use to help manage budgets.

Xero, MYOB, Quicken and turbo tax