Reference no: EM132985460

BSBFIA412 Report on financial activity - Victoria University

Report on Financial Activity

Objective: To provide you with an opportunity to show you have the required knowledge for this unit.

The answers to the following questions will enable you to demonstrate your knowledge of:

• Key provisions of legislation, regulation and codes of practice relevant to financial operations
• Key techniques used for forecasting and analysis
• Key features of the options, methods and practices for deductions, benefits and depreciations
• Current business taxation requirements for preparing corporate accounting reports
• Current financial legislation and statutory requirements relating to taxable transactions and reporting requirements
• Ethical requirements associated with preparing financial reports for corporate entities, including conflict of interest, confidentiality, and disclosure requirements
• Industry-standard methods and formats used to present financial data.

1. What are the key provisions of legislation, regulation and codes of practice relevant to financial operations?

2. What techniques can be used for forecasting and analysis?

3. What are the options, methods and practices for deductions, benefits and depreciations?

4. What are the current business taxation requirements for corporate accounts?

5. How should taxable transactions and reporting be carried out?

6. Explain how conflict of interest, confidentiality and disclosure may impact on your financial reporting.

7. How can you present financial data clearly and according to industry standards?

TASK 2 - Performance Activity

P1 1. Compile and analyse financial data

1.1 Collect, evaluate and code current financial data to ensure consistency, quality and accuracy in accordance with organisational requirements

1.2 Use conversion and consolidation procedures to compile data in accordance with organisational requirements

1.3 Make, record and disclose asset and liability valuations in compliance with accounting standards

1.4 Ensure that discrepancies, unusual features or queries are identified, resolved or referred to the appropriate authority

1.5 Identify and record effects of taxation

P2 2. Prepare Reports

2.1 Correctly record income and expenditure to ensure compliance with statutory requirements

2.2 Correctly identify relevant receipts, revenue documentation and payments

2.3 Prepare reports according to statutory and ethical requirements, and organisational procedures relating to conflict of interest, confidentiality, and disclosure statements

2.4 Present charts, diagrams, tables and supporting data in required format

2.5 Review statements and data for errors and compliance with statutory requirements and organisational procedures, and amend as required

2.6 Submit statutory requirement reports to appropriate authorities within stated deadlines

P3 3. Provide financial business recommendations

3.1 Review recommendations and ensure they are logically derived and supported by evidence

3.2 Provide recommendations to enhance the effectiveness of functions and services

3.3 Ensure recommendations are concise and relevant to the direction and control of organisational operations

3.4 Identify and prioritise significant issues in statements including comparative financial performances for review and decision making

3.5 Ensure structure and format of reports are clear and conform to organisational and statutory requirements

PART A: Skills Activity

Objective: To provide you with an opportunity to show you have the required skills for this unit. Answer the activity in 400-500 words, considering your organisational requirements.

1. As a workplace project (or a simulated workplace activity) compile interim financial statements for the last year to show the financial position of the organisation including profit and loss, comprehensive income, cash flows and changes in equity. You should use appropriate software to aid in calculations and your presentation. Documents should be produced and attached to your workbook to show evidence of your work. Please refer to the following link for simulated case study Australian Hardware

You should include the following in your work:

• The requirements of legislation, relevant codes of practice and accounting standards
• Any deductions, benefits and depreciations that have been made
• Conversion and consolidation procedures
• Discrepancies that may have been found
• Liabilities for tax
• Double-entry bookkeeping and accrual accounting practices
• Clear presentation and format of information.

Demonstrate that you can compare and analyse information from a range of sources, record numerical and textual information using financial language, and present financial issues and requirements clearly. Also, demonstrate using a wide range of mathematical calculations to interpret and arrange/compare numerical information.

2. From assessing your statements, analyse and forecast how the organisation's financial activities may transpire for the next year, you should include:

• Techniques to conduct analysis and to make forecasts
• Financial business recommendations that may help the organisation in the next quarter.

Submit your analysis, forecasting and recommendations in the form of a report.

PART B : Performance Activity

Objective: To provide you with an opportunity to demonstrate the required performance elements for this unit.
You are required to participate in a role play with your trainer for this activity.

In your own work environment or a simulated workplace environment (Please refer to the following link for simulated case study Australian Hardware),

Instructions for this activity:

• Organise and present financial data to highlight relevant features and meet workplace requirements including:
o budget variances
o budgets and forecasts
o cash flow/profit reports
o balance sheets
o financial year reports
o operating statements
o expenditure and receipts
o profit and loss statements
• Use conversion and consolidation procedures such as moving averages, standardised variables, trend analysis and unit costs
• Identify, resolve or refer discrepancies such as:
o absence of auditable trail
o expenditure report mismatches
o incorrect payments and unreconciled cash flows
• Record income and expenditure to meet statutory requirements
• Calculate liabilities for tax including completing Business Activity Statements, where applicable
• Provide financial business recommendations
• Apply knowledge of relevant legislation and regulations
• Perform double entry bookkeeping and accrual accounting.

Answer the above points considering your organisational requirements and submit a report in atleast 500 words.

Trainer will assess whether the student is able to demonstrate the following:

• Compile financial information and data for preparing an annual financial report to highlight relevant features and meet workplace requirements
• Use conversion and consolidation procedures such as moving averages, standardised variables, trend analysis and unit costs
• Identify, resolve or refer discrepancies in data such as incorrect payments and unreconciled cash flows
• Prepare the report to statutory and organisational requirements, including adherence to workplace financial policies and procedures
• Calculate liabilities for tax including completing Business Activity Statements (as applicable)
• From your report, provide financial recommendations to assist the organisation in the next year's financial performance and discuss these with your trainer/assessor.

Throughout this activity, you will need to demonstrate that you can perform double-entry bookkeeping and accrual accounting in the tasks listed above. You will also need to demonstrate and apply knowledge of relevant legislation and regulations.

PART C: Financial Activity Reporting

Using the accounts and Complete the GST Worksheet for BAS. Complete the attached BAS.

Attachment:- Report on financial activity.rar