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T-1.8.

101Details of Assessment

Term and Year T3 2015 Time allowed Week 1 Week 7

Assessment No 2 Assessment Weighting 65%

Assessment Type Assignment

Due Date Week 8 Room 611

Details of Subject

Qualification FNS60215: Advanced Diploma of Accounting

Subject Name Corporate Governance

Details of Unit(s) of competency

Unit Code and FNSACC604 Monitor Corporate Governance Activities


Title

Details of Student
Student Name Student ID

Student Declaration: I declare that the work Signature: ___________________________


submitted is my own, and has not been copied or
plagiarised from any person or source. Date: _______/________/_______________

Details of Assessor
Assessors Name KANEEZ SELIM

Assessment Outcome

Results Competent Not Competent Marks

FEEDBACK TO STUDENT
Progressive feedback to students, identifying gaps in competency and comments on positive improvements:
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Student Declaration: I declare that I have been Assessor Declaration: I declare that I have
assessed in this unit, and I have been advised of my conducted a fair, valid, reliable and flexible
result. I also am aware of my appeal rights and assessment with this student, and I have provided
reassessment procedure. appropriate feedback

Student did not attend the feedback session.


Feedback provided on assessment.

Signature: ____________________________ Signature: ____________________________

Date: ____/_____/_____ Date: ____/_____/_____

The purpose of this Assessment task 2: Satisfactory (S) Not Yet Satisfactory
assessment is to Project and Q & A
assess the student in (NYC)
the following learning (Task numbers)
elements and
performance criteria
of the unit :

Purpose of the Assessment

Element 1: Establish corporate governance standards and practices

1.1 Monitor application of and adherence to professional and legal accounting standards to identify
emerging trends and interpretations of statutory and other regulatory requirements

Part B: Q 1, Q 2

1.2 Research audit reports and practices to assess methodologies and recommendations

Part B: Q 3, Q 10

Element 2: Identify corporate governance reporting trends

2.1 Analyse organisational practices to identify corporate governance obligations and performance
Part A: Task 2a), b), c)

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2.2 Examine queries from statutory and other regulatory authorities for corporate governance failure to
assess change effects on internal control procedures
Part B: Q 10

2.3 Assess content and structure of reports, returns and processes for review to evaluate policies being
followed by organization
Part A:Task 1-4
Part B: Q3

Element 3: Determine processes for corporate governance adherence

3.1 Analyze and monitor internal control procedures to determine performance indicators for compliance
with corporate governance requirements
Part B: Q 10, Q 11

3.2 Evaluate information technology systems to determine their use and suitability for recording data from
operations and transactions for corporate governance obligations
Part A: Task 1g)

3.3 Establish management processes to support corporate governance


Part A: Task 1g) to f)

3.4 Establish reporting plans to ensure completion of compliance requirements within scheduled timeframes
Part A: Task 1f)

Part B: Q 12

Element 4: Review corporate governance compliance

4.1 Assess achievement of performance indicators and review against key result areas

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Part A: Task 1b)

Part B: Q 11

4.2 Monitor compliance preparation processes and review in line with corporate governance requirements
Part A: Task 1 e), f), g) &Task 2

4.3 Analyse failures in compliance to diagnose shortcomings and to remedy processes in line with corporate
governance requirements

Part A: Task 3

Assessment/evidence gathering conditions

Each assessment component is recorded as either Satisfactory (S) or Not Satisfactory (NS). A student can
only achieve competence when all assessment components listed under Purpose of the assessment section
are Satisfactory. Your trainer will give you feedback after the completion of each assessment. A student who
is assessed as NS (Not Satisfactory) is eligible for re-assessment.

Resources required for this Assessment

Research materials such as books, internet, magazines, workplace documentation etc.


Cash Budget for Fly Me High Travels (Spreadsheet)
Access to an integrated financial management system (e.g. MYOB etc.)
Access to common office equipment, technology, software and consumables as required
Upon completion, submit the assessment copy to your trainer
Instructions for Students
Please read the following instructions carefully
This assessment has to be completed In class At home
This assessment is to be completed according to the instructions given by your assessor.
Students are allowed to do this assessment home.
Feedback on each task will be provided to enable you to determine how your work could be improved.
You will be provided with feedback on your work within 2 weeks of the assessment due date. All other
feedbacks will be provided by the end of the term.
Should you not answer the questions correctly, you will be given feedback on the results and your gaps
in knowledge. You will be given another opportunity to demonstrate your knowledge and skills to be
deemed competent for this unit of competency. If you are not sure about any aspects of this assessment,
please ask for clarification from your assessor.
Please refer to the College re-assessment and re-sit policy for more information.

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T-1.8.1

Assessment 2:

Requirement 1 ~ Project (35% Marks)

Context and conditions of assessment


Students are to complete this assessment in their own time or class time, as advised by their assessor. They
may access reference materials and resources as required.
Remember:
The assessment is an individual work, students need to submit both soft copy and hard copy of the
assessment.
Students need to maintain: Word limit 2000 words, Font size: 12, line spacing: 1.5.
All tasks need to be completed.

Background information
A companys board of directors are responsible for maintaining good corporate governance. There are
important policy and performance elements to these responsibilities. The board of directors is the guardian of
fairness, transparency and accountability in all of the major financial and business dealings of the company,
defending the interests of investors and wider stakeholders.

Fly Me High Travels International launched its operations on 1 January in Australia under the name of Fly Me
High Travels Australia. The agency specialises in providing cheap tickets to customers via its one national
store located in Melbourne and an online store. It also deals in selling wholesale tickets to other agencies.

The company has set the following KPIs for its operations:
Increase total sales by 10% every month
Advertising expenses should remain the same for next 6 months
Wages and salaries to be decreased by 5% every quarter
Online sales to be increased by 15% each month

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Open stores in all capital cities in Australia within the next 3 years
You are the Chief Financial officer of the company. You are responsible for preparing fair and accurate
financial documents that will present the current picture of the business to all relevant stakeholders. In the
following task, you are required to analyse the given budget of the business, plan and prepare a report and
present this to the directors in an important business meeting.

Instructions to the student


You are required to plan a report that will be presented to the directors of the company by the end of August
to assist them in making further decisions on the business expansion and meeting business compliance
requirements.
Task 1: Review the budget extracted from the financial system (see Appendix 1) and develops a report
addressing the following points. (7 Marks)
a) What are the outcomes of the budgets for the first six months operation in Australia?
b) Was the company able to achieve its KPIs? Why/why not?
c) Comment on the cash flow of the business in general.
d) What changes needs to be made and what impact do you hope the changes will make?
e) Is the business complying with ATO requirements and reporting in a timely and an efficient manner?
f) What appropriate recommendations would you make for meeting ATO and other legal requirements?
Prepare a plan for lodging and meeting those requirements within the required timeframes.
g) Based on all of the information you have reviewed what recommendations would you make to see
an overall improvement of the financial process and internal controls systems of the business

Task 2: You will be required to consult with your trainer regarding the report you have developed. This
consultation process will be to discuss and receive feedback on (see Appendix 1):(9 Marks)
a) your review of the budget
b) the corporate governance requirements and parameters
c) How the business can improve the internal control procedures to create more reliable budgets.

Task 3: You are now required to present the report to the board of directors (from the Australian
subsidiary and International office), discussing the budget results and the implications of this on the
business. The board members will be played by your class mates and your assessor. You are to
present your report summarising your findings and highlighting the key points and improvements to
corporate governance that you recommend. You are to ensure you provide opportunity for the board
members to ask questions throughout the presentation. As you are also presenting this report to
members of the board from the International Office who may have difficulty understanding Australian
compliance requirements, you must also consider cultural differences and the language used to
ensure they are able to understand this. (10 Marks)

Task 4: Following completion of the above steps you will be required to demonstrate to your assessor
your ability to access and use an integrated financial management system such as MYOB. You are

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required to produce variance report from MYOB or any integrated financial management system
using the cash budget information of Fly Me High Travels. Both hard copy and soft copy of the
variance must be submitted. (9 Marks)

APENDIX:

EXCLdocumsenthiapxfr.

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Assessment 2: Requirement 2 ~ Short answer questions (30% Marks)

Context and conditions of assessment


You are required to answer all of the following short answer questions in your own time or class
time, as advised by your assessor. You should ensure you answer all questions and provide as much
detail as possible. You can use the Internet, books, magazines and other resources to help you with
your answers.

You are required to answer all questions correctly. If incorrect answers are provided, your assessor
will identify the gaps in your knowledge and understanding and make arrangements for
reassessment.

Instructions to the student


Review the questions below and provide your detailed answer to each question in the space
provided.

Question 1 (2 marks)
What are the five statutory and other regulatory requirements relating to corporate governance in
accounting?

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Question 2 (3 marks)
a) How do you ensure you are up to date on professional and legal accounting standards for
any organisation?

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b) Why is it important to apply accounting standards in the context of corporate governance in


Australia?

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Question 3 (2 marks)
Determine three statutory reporting requirements for companies in Australia.

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Question 4 (2 marks)
The board of directors of an organization has a concern about the internal control procedures. Why
should these procedures be analysed and monitored in order to ensure compliance with corporate
governance requirements?

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Question5(2 marks)
Explainwhyterudsfgo aiprt,emnsdcohlvpCrateGncsdobji.

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Question 6 (2 marks)

Evaluate the role of Australian Securities Exchange (ASX) in assisting corporate governance in
Australia?

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Question7(2 marks)
How would you explain the Ethical Corporate Governance concept and how can the board members
of an organization demonstrate that they are committed to ethical standards?

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Question8(2 marks)
Bxrieflyphanmtockgdsbizrnhwfetpacmlx.

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Question9(3 marks)

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a Research on the Australian Accounting Standards Board website (http://www.aasb.gov.au/),


according to AASB 116, for the disclosure requirements on depreciating assets.
b Dnetrmhiwoc dspfa tnghe,ulivordpcasOfCmte,MVhnildcFur.

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Question 10 (2 marks)
An organization has just received a Qualified Auditor report. Auditors have reported the
contravention about the directors superannuation not being paid for the past 2 years. Prepare a list
of suggestions to management to rectify this contravention; your answer should focus on the
rectification to the internal control system to prevent this contravention in future.

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Question 11 (3 marks)
a Explain three major Performance indicators that can be used as a benchmark for Corporate
Governance Compliance requirements.

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c) Review and assess performance indicators in terms of investments in Research &


Development areas of an organization.

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Question 12 (2 marks)
Make a plan for submitting the following reports according to the Australian Taxation Office
requirements.

Reports Due date (s) Frequency

Business activity statements

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Income tax returns

Fringe Benefit tax (FBIT)


returns

Pay as you go (PAYG)


withholding annual reports

Annual GST returns

Annual GST information


reports

Superannuation guarantee levy

Question 13 (3 marks)
Analyse the following situation and comment if they need to pay GST or not.
Tom is a plumber who is registered for GST. He installs a new spa for Jerry, an electrician.
Jerry is also registered for GST and wires Toms new shed as payment for installing the spa.

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