Bsbfin501 Lap Assessment

BSBFIN501 - Manage budgets and financial plans (Release 1)
Learner Assessment Pack
Copying for Educational Purposes
Overseas Student Information

Manage budgets and financial plans
The Australian Copyright Act 1968 allows 10% of this
resource to be copied by any educati onal insti tute for
If you are an overseas student and you have a problem educati onal purposes, provided that the insti tute (or the
with your school or college that you haven’t been able to body that administers it) has given a remunerati on
fi x, the Overseas Students Ombudsman might be able to notice to the Copyright Agency Limited (CAL) under the
help. The Ombudsman is a free complaint investi gati on Act. For more informati on, email info@copyright.com.au
service, available to people on student visas who are or visit www.copyright.com.au for other contact details.
studying with private providers. You can read more
about what the Ombudsman does, or make a complaint
online, by visiti ng www.ombudsman.gov.au.
Copyright Notice Disclaimer

No part of this resource may be reproduced in any form Group (Australia) has made a great eff ort to ensure that
or by any means, electronic or mechanical, including this material is free from error or omissions. However,
photocopying or recording, or by an information you should conduct your own enquiries and seek
retrieval system without writt en permission from Group professional advice before relying on any fact, statement
(Australia). Legal acti on may be taken against any person or matt er contained in this document. Group (Australia)
who infringes their copyright through unauthorised is not responsible for any injury, loss or damage as a
copying. result of resource included or omitt ed from this
material. Information in this course material is current at
These terms are subject to the conditi ons prescribed the time of publicati on.
under the Australian Copyright Act 1968.

2
Version Control & Document History
Date Summary of modifications Version
Jan,2021 Version 1 final produced following assessment

1.0
validation.
Spencer College V 1.0 Jan,2021 3

Table of Contents
ASSESSMENT DELIVERY.............................................................................................4
LEARNER INFORMATION............................................................................................5
STEPS FOR LEARNERS................................................................................................7
REASONABLE ADJUSTMENT........................................................................................8
RESOURCES REQUIRED FOR ASSESSMENT.....................................................................9
ACCESSING INTRANET PAGES AND EXTERNAL LINKS......................................................11
ASSESSMENT AGREEMENT.......................................................................................12
ASSESSMENT TASKS................................................................................................14
Short Answer Questions...............................................................................................16
Practical Assessment....................................................................................................35
Workplace Supervisor/Assessor Instructions....................................................................36
Project Assessment...........................................................................................................37
Project Overview.....................................................................................................................37
Part 1. Financial Management Planning..................................................................................38
Part 2. Financial Management Plan Implementation...............................................................70
Part 3. Review and Evaluation of Financial Management Processes.....................................110
ASSESSMENT WORKBOOK CHECKLIST.......................................................................120

Assessment Workbook Checklist.................................................................................121
RECORDING........................................................................................................124
Record of Assessment.................................................................................................125

4
Assessment Delivery

Learner Information
This Learner Assessment Pack is designed for you to complete the assessment for BSBFIN501 -
Manage budgets and financial plans (Release 1). It may refer to your own workplace/organisation,
or to a simulated business provided by your assessor.
The assessment tasks include Short Answer Questions where you need to demonstrate your
knowledge and understanding of the unit, and the Practical Assessment, where you need to
demonstrate your skills required in the unit. It is recommended that you complete the Practical
Assessments in your own workplace/organisation. If you don’t have access to a real workplace, you
can complete the assessment in a simulated environment where resources and conditions similar to
a workplace must be accessed. Ensure to discuss this with your assessor prior to commencing with
the assessment.
Each Learner Assessment Pack is made up of four parts:

Assessment Delivery
Learner Information
Steps for Learner
Assessment Agreement
Assessment Tasks
Assessment Tasks, including:
 Short Answer Questions
 Practical Assessment
Assessment Workbook Checklist
Recording
Record of Assessment

6
Before you commence your assessment, ensure that you have a good knowledge of the subject,
have thoroughly read your Learner Resource, and clearly understand the assessment requirements
and the expectations of the industry to which the assessment is related.
Assessments are designed to be completed using your industry/organisation, but your Registered
Training Organisation (RTO) may assist you by contextualising the unit to be completed in a
simulated workplace environment.
You will be required to demonstrate knowledge and skills which must be observed directly by your
assessor. Where the observation task may be difficult for the assessor to directly observed, a video
recording of the practical observation task must be submitted as supplementary evidence.
Verification from at least one third-party signatory, and preferably two or more witnesses is required
to confirm your demonstration of these practical knowledge and skills. These witnesses would
usually be your current or recent supervisors, or your assessor.
The practical assessment tasks may be completed using your own workplace, a simulated
environment, or a mix of both, as instructed by your assessor. To contextualise this assessment to
your industry/organisation, you may be asked by your assessor to provide additional information
based on your industry/organisation.
Instructions are given for each task. If you have questions, or unclear how to proceed, consult with
your assessor.
Records of all aspects of the assessment must be kept in your Learner Assessment Pack
The record of assessment is a legal document and must be signed, dated, and a copy stored as
required by your Registered Training Organisation (RTO).

Steps for Learners
Your Learner Assessment Pack:
1. Upon receiving your Learner Assessment Pack, discuss with your assessor the expectations
and requirements of this assessment. You may also need to supply contact details of one or
two work referees who can confirm your skills in the industry.
Discuss with your assessor if you intend to undertake the practical assessment tasks based
on your employing organisation, in a simulated business, or in a mix of both.
2. Your Learner Assessment Pack is where you will get the task information. Complete each
task as instructed using either your own workplace, or using a simulated business, as
discussed with your assessor.
3. After you complete your assessment, gather and submit your evidence documents as
detailed in the task(s) in the timeframe agreed with your assessor.
Your assessor will advise you if there are any further steps for you to take to satisfactorily
complete this assessment.

8
Reasonable Adjustment
Adapted Reasonable Adjustment in teaching, learning and assessment for learners with a disability -
November 2010 - Prepared by - Queensland VET Development Centre
Reasonable adjustment in VET is the term applied to modifying the learning environment or making
changes to the training delivered to assist a learner with a disability. A reasonable adjustment can be
as simple as changing classrooms to be closer to amenities or installing a particular type of software
on a computer for a person with vision impairment.
Why make a reasonable adjustment?
We make reasonable adjustments in VET to make sure that learners with a disability have:
 The same learning opportunities as learners without a disability, and
 The same opportunity to perform and complete assessments as those without a disability.
Reasonable adjustment applied to participation in teaching, learning and assessment activities can
include:
 Customising resources and assessment activities within the training package or accredited
course
 Modifying the presentation medium
 Learner support
 Use of assistive/adaptive technologies
 Making information accessible both before enrolment and during the course
 Monitoring the adjustments to ensure learners needs continue to be met
Assistive/Adaptive Technologies
Assistive/Adaptive technology means ‘software or hardware that has been specifically designed to
assist people with disabilities in carrying out daily activities’ (World Wide Web Consortium - W3C). It
includes screen readers, magnifiers, voice recognition software, alternative keyboards, devices for
grasping, visual alert systems, digital note-takers.
IMPORTANT:
Reasonable adjustment made for collecting learner assessment evidence must not impact on the
standard expected by the workplace, as expressed by the relevant unit(s) of competency. For
example, if the assessment were gathering evidence of the learner’s competency in writing,
allowing the learner to complete the assessment verbally would not be a valid assessment
method. The method of assessment used by any reasonable adjustment must still meet the
competency requirements.

Resources Required for Assessment
To complete the Practical Assessment projects, you will require access to:
 Computer with internet and email access and a working web browser
 Installed software: MS Word, Adobe Acrobat Reader
 A workplace that will allow you access to:
o Workplace documentation, including:
 Financial plan for your work team that includes the following:
o Cash flow projections
o Ageing Summaries
o Petty Cash Statements
o Goods and Service Tax (GST)
o Profit and Loss Statements
o One budget plan
Budget plans may include, but is not limited to the following:

 Short-term budget plan
 Long-term budget
o People, including:
 Two relevant personnel

This includes, but is not limited to the following:
o Financial managers
o Accountants
o Financial controllers
 At least two team members whose job roles are focused on management
of finances.
These include, but are not limited to:
o Purchasing and procurement staff
o Debt collectors
o Bookkeepers

10
o Opportunity to manage at least one financial plan for your own work team
o At least two resources that can be used to manage financial management

processes.
These include, but are not limited to the following:
 Microsoft Excel
 Cloud-based storage
 Time tracking application
o At least two systems that can be used to manage financial management processes

 Mind Your Own Business (MYOB)
 Quickbooks
 Xero

Accessing Intranet Pages and External Links
Throughout this workbook, you will be asked to access specific pages from the simulated business,
Bounce Fitness and/or external webpages. Links to these pages are formatted in Blue Text.
To access these, hold the Ctrl key for Windows users while clicking on these links. For Mac users,
directly click the link.
The simulated business, Bounce Fitness, can be accessed by going to
http://bouncefitness.group.com.au
Username: spencercollegelearner
Password: spencer@123
Login to Bounce Fitness using the username and password provided by your Registered Training
Organisation (RTO).

12
Assessment Agreement
Instructions:
Discuss and accomplish this section with your assessor before commencing then sign the
confirmation at the end of this Agreement.
Have you signed off 
Delivery Method
Classroom 
Small Group 
One-on-One 
Online 
Other (please describe) 
Assessment Pathway (for Practical Assessment)
Learner’s Organisation (Pre-assessment meeting conducted) 
Simulated Workplace Environment (Contextualised by RTO) 

Assessment Conditions
Skills in this unit must be demonstrated in a workplace or simulated environment where the
conditions are typical of those in a working environment in this industry.
This includes access to:
Workplace policies and procedures 
Workplace budgets and financial plans 
Assessors of this unit must satisfy the requirements for assessors in applicable
vocational education and training legislation, frameworks and/or standards
I confirm that the activities and assessment completed as part of this unit are my own work and
comply with all relevant copyright and plagiarism rules. I understand that if there is any doubt of
the authenticity of any piece of my assessment, I can be orally examined, and the signatory of
evidence records may be contacted.
Learner’s name
Learner’s signature Date
Assessor’s name
Assessor’s signature Date
End of Assessment Agreement

14
Assessment Tasks

Tasks
Complete all tasks in this assessment as instructed. If you have questions, consult with your assessor.
Contextualisation of Assessments by RTOs

Contextualisation is the process of modifying assessment tools to make learning more meaningful
for your learners and their employers.
Precision Group (Australia) recommends that your RTO contextualise the assessment tools to suit
particular industry requirements and specific organisational requirements before using them.
Contextualisation must retain the integrity of the assessment and the outcome of the unit of
competency.

16
Short Answer Questions
Question 1
Identify two basic accounting principles and briefly explain how each is applied in the workplace.
Accounting Principle Explanation of How Each Principle is Applied in the Workplace
a. Revenue The revenue recognition principle must be taken into account
recognition principle while documenting data about your company. This is the time frame
during which revenues are recorded on your company's income
statement. If you use the accrual method, your revenues must be
highlighted in this section in which the services were rendered. If
you use the cash method, your revenues must be highlighted in this
section in which the cash was collected.
b. Cost Principle When you buy a good or service, you should record your
assets to keep track of your expenses later. It's crucial to accurately
document depreciation for any assets you spend money on as well
as the acquisition cost of such assets.

Question 2
Identify the two types of ageing accounts found in ageing summaries and briefly explain how
each is used using your own words.
Types of Ageing Accounts Explanation of How Each is Used
a. Accounts The value of receivables that the business does not
receivable aging anticipate collecting is calculated using accounts receivable aging.
To prevent overstating the company's income, the financial
statements are modified using this information.
b. Accounts payable Accounts payable aging reports, to put it simply, show you
aging how much money your company owes for materials, inventory,
and services. This report provides you with information on your
creditors, including their names, amounts owing to them, and the
duration of their debts.

18
Question 3
Identify the three types of cash flow activities and briefly explain each using your own words.
Types of Cash Flow Activities Explanation of Each Cash Flow Activity
a. Operating Cash-related net income activities are included in operating
activities activities. For instance, since revenues and expenses are included
in net income, operating activities include cash gained from the
sale of goods (revenue) and cash spent on goods (expense).
b. Investing activities Cash-related noncurrent asset activities are included in
investing. Long-term investments, property, plant, and
equipment, as well as the principal sum of loans to other
companies, are examples of noncurrent assets. This category
includes things like money received through the sale of land and
money invested in another business.
c. Financing activities Cash transactions involving owners' equity and noncurrent
liabilities are considered financing activities. The principal balance
of long-term debt, stock sales and buybacks, and dividend
payments are examples of noncurrent liabilities and owners'
equity items. (Remember that operating activities include interest
paid on long-term debt.)

Question 4
Identify two types of petty cash books and briefly explain how petty cash is recorded on each
using your own words.
Types of Petty Cash Books Explanation of How Petty Cash is Recorded
a. Columnar petty Numerous money columns in columnar petty cash books
cash book are used to keep track of everyday expenditures. There are two
sides to this petty cash book: a debit side and a credit side.
The details of cash revenues and costs are recorded in a single
column known as the particulars column, and the dates of both
debit and credit entries are recorded in the other column.
b. Imprest petty A date column that is likewise comparable to that of the
cash book columnar or analytical petty cash book is included in the Imprest
Petty Cash Book along with numerous money columns that are
documented on the credit side and one money column on the
debit side. In accordance with this system of petty cash book, the
head cashier gives the petty cashier a predetermined sum of
money in advance for making the expenditures for a specific
period.

20
Question 5
Review the following link regarding reporting of Goods and Services Tax (GST):
GST reporting methods
https://www.ato.gov.au/Business/Business-activity-statements-(BAS)/Goods-and-services-tax-
(GST)/GST-reporting-methods/
Answer the following questions based on the link provided.
a. Identify ALL information a business is required to report in their Business activity

statement (BAS) if they are using the full reporting method
All the information a business is requires to report in their business activity statement (BAS)
if they are using the full reporting method:
G1 – Total sales
G2 – Export sales
G3 – Other GST-free sales
G10 – Capital purchases
G11 – Non-capital purchases
1A – GST on sales
1B – GST on purchases.
b. Identify the condition that would require a business to report GST using the full reporting
method.
The condition that would require a business to report GST using the full reporting method is
if your GST turnover is $10 million or more.
c. Identify ALL information a business is required to report in their BAS if they are using the
instalment method.
Information a business is requires to report in their BAS if they are using the instalment
method:
G1 – Total sales
1A – GST on sales
1B – GST on purchases
1H – GST instalment amounts reported in your quarterly instalment notices for the period shown

on the annual GST return.

22
Question 6
Identify three categories of financial information that is reported in Profit & Loss Statements.
Briefly define each using your own words.
Categories of Financial
Definition of Each Category of Financial Information
Information
a. Income statement The income statement discloses a company's financial
performance for a specific quarter or year. The income statement
allows you to see how fresh assets are brought into a company
and calculates the costs incurred to generate revenue.
b. Balance sheet A balance sheet provides a moment in time view of a
company's financial situation. In all the other words, the balance
sheet displays the assets, liabilities, and stockholders' equity that
a corporation holds as well as the difference between the two.
The discrepancy stands for the stockholders' interest in the
company's book value. Because both sides of the equation—
assets equal liabilities plus stockholders' equity—must balance, it
is known as a balance sheet.
c. Cash flow The statement of cash flows depicts a company's financial
statement activity through time, just like an income statement does. It
demonstrates where a business gets its money from and how it is
invested in the future or utilized to pay for current expenses. The
statement of cash flows may provide a more complete view of a
company's liquidity by demonstrating how it has controlled cash
inflow and outflow.

Question 7
List two legislations under the Australian Taxation Office (ATO) relevant to business taxation,
except GST. Briefly explain the purpose of each legislation using your own words.
Legislation Explanation of Each Legislation
a. Commonwealth According to section 55 of the Australian

legislation Constitution, the Commonwealth Parliament is required
to make sure that the legislation imposing taxes
exclusively deal with tax imposition and one specific type
of tax.
b. state and territory The Australian Constitution places restrictions on
legislation the States and Territories' ability to tax; hence, to secure
adequate levels of revenue, these jurisdictions levy
different levies (see the Starting your study box in this
Guide). Stamp Duty, Land Tax, and Payroll Tax are the
three main State & Territory tax regimes.

24
Question 8
List two current tax requirements of the Australian Taxation Office (ATO) for businesses aside
from the Goods and Services Tax (GST) already listed below.
For each tax requirement, including the GST, you must:
 Identify the following
o Link to the ATO requirement
o Date you accessed the source
o Date the source was last modified
 Brief explanation of the requirement that the business must pay using your own words
The information provided must be in line with the most current requirements upon the date of
access.
Explanation of Each
ATO Tax Requirement for Businesses ATO Tax Requirement
for Businesses
a. Goods and Services Tax (GST) The majority of

products and services
Source supplied or consumed
https://www.austrade.gov.au/international/invest/guide- in Australia are
to-investing/running-a-business/understanding-
subject to the Goods
australian-taxes/australian-business-taxes
and Services Tax
Date 28th July, 2022 (GST), a large-scale
Accessed national consumer
tax. The majority of
Modification 2nd May, 2021
businesses must
Date
register with the
Australian Taxation
Office for GST.
Businesses have the
right to claim an
equivalent input tax
credit if they have
paid for business
supplies that include
GST. Additionally,
some companies may
qualify for GST

discounts.

26
b. Capital Gain Tax Any capital gain
realized through the
Source sale of assets is
https://www.austrade.gov.au/international/invest/guide- subject to capital
gains tax (CGT). It is
compensated through
Date 28th July, 2022 income tax.
Accessed
CGT may apply on
Modification 2nd May, 2021 assets bought and
Date used by foreign
entities while
conducting business in
Australia. When
acquiring assets that
could eventually be
subject to CGT,
businesses must keep
records. Under certain
conditions, small
enterprises may also
qualify for CGT
discounts.
c. Payroll tax The state levies

a payroll tax on the
Source wages you give your
https://www.austrade.gov.au/international/invest/guide- employees. It is based
on the monthly
salaries paid and is
Date 28th July, 2022 due if the total
Accessed amount of Australian
wages surpasses the
Modification 2nd May, 2021
state or territory's
Date
exemption limit.
States and territories
have different payroll
tax rates and
exemption thresholds.

Question 9
Identify two key requirements for financial record-keeping and briefly explain each using your
own words.
Key Requirements for

Explanation of Each Key Requirement
Financial Record-keeping
a. Lease agreements If you rent office space, you must safely store the lease
agreement so that you can consult it in the event of a
disagreement or debate. The lease must be kept on file for an
additional five years after it expires, just like other contracts.
b. Employee Information regarding the employee's relationship with the
information company, including payroll records, tax and deduction
information, information about the candidate's background and
health, and performance evaluations. The accountant manages
the payroll data, but the human resources staff gathers the rest of
the data. The working hours of your hourly-paid staff must also be
documented.

28
Question 10
Identify at least two sections of the Corporations Act 2001 containing key requirements for
financial auditing. Identify at least one requirement of financial auditing from each section
indicated.
You must indicate the volume and the section of the Act when identifying the relevant section.
Access the following link to assist you in completing this task:
Corporations Act 2001 Series
https://www.legislation.gov.au/Series/C2004A00818
Ensure that you are accessing the current version of the Corporations Act 2001
Sections of Corporations Act Requirements for Financial Auditing
a. Chapter 2H: Shares The ability of a corporation to issue shares under Section
124 includes the ability to issue: (a) bonus shares (shares for
which no payment is owed to the issuing company); (b)
preference shares (including redeemable preference shares);
and (c) partially paid shares (whether or not on the same terms
for the amount of calls to be paid or the time for paying calls).
b. Chapter 2J: If the following conditions are met, a company may lower
Transactions affecting its share capital in a way that is not otherwise permitted by law:
share capital
(a) is reasonable and fair to all of the company's shareholders;
and
(b) does not significantly impair the business's capacity to pay
its creditors; and
(c) Receives shareholder approval in accordance with section
256C.

Question 11
Identify at least three principles for managing work teams and briefly explain how each promotes
effective team management.
Explanation of How Principle Promotes Effective Team

Principle of Managing a Team
Management
a. Encouraging Discussions and meetings are essential components of

discussions any successful team. Allow everyone to contribute, but avoid
having one-on-one conversations about problems with each
team member. It's great if everyone gets together to develop
plans and universally embraced policies.
b. Motivate It goes without saying that exceptional performance

depends on motivation. We all have an instinctive desire to be
recognized for our efforts, but we also frequently forget to
complement our team members instead of merely offering
constructive criticism. Recognition is essential. Let your
employees know they did a wonderful job by giving them a pat
on the back or other rewards for their outstanding work.
c. Provide guidance Be more to your team than merely a manager and a
leader. So it’s essential to establish leadership, but the best way
to achieve it is to coach your team members rather than simply
acting as a harsh superior. In your management style, be
approachable. Your team shouldn't be so fearful that they
continue to brush their errors under the rug. By educating,
mentoring, and guiding your team, they will be inspired to work
harder and provide better results.

30
Question 12
Identify one principle involved in managing each of the financial requirements listed below.
Briefly describe each principle using your own words.
Financial
Principles Description of Each Principle
Requirement
a. Budgeting Principle of This suggests that a budget is created on

Annuality a yearly basis. One year is regarded as the
optimal budgetary time since it is the longest
period for which the legislature can afford to
grant the executive with financial authority.
Additionally, the executive requires this much
time to adequately implement the budget
plans. A year also relates to the usual units of
human estimates.
b. Cash flows Cash flow Any small business should consider cash
forecasting flow forecasting to be vital. To create a cash
flow forecast, you don't need to be an Excel
whiz, though using Excel or another relevant
accounting-based software product obviously
helps.
c. Electronic Separate data Many companies use spreadsheets for

spreadsheets entry from reporting data entry and reporting/analysis, as do the
majority of businesses. Although both are
equally important, they have different needs.
We want to be able to swiftly enter new data
points while utilizing the least amount of mouse
clicks and keyboard movements.

d. GST Destination Wherever products and services are
based consumption consumed, taxes are imposed that are
taxation destination-based or consumption-based.
Exports are permitted with no taxes under
destination-based taxation, but imports are
taxed at the same rate as domestic output.
e. Ledgers Prepare Before you close your books, you must
adjusting journal make a few end-of-period changes. To account
entries for goods that are not captured in your daily
transactions, adjusting entries are necessary. A
general journal is where adjusting entries are
made in a conventional accounting system.
f. Financial Documentation Proper way of arranging all the

Statements documents
g. Profit and Loss Revenue A generally accepted accounting

Statements recognition standard (GAAP) called revenue recognition
specifies the particular circumstances under
which revenue is recognized and how to
account for it. When a significant event occurs,
revenue is typically realized, and the
corporation can simply quantify the financial
amount.

32
Question 13
Briefly describe how to use or calculate for the following financial requirements.
Financial Requirements How Do You Calculate These?
a. Cash Flows Cash flow is calculated as follows: Beginning cash

balance + Cash from operating activities + (-) Cash from
investing activities + (-) Cash from financing activities.
b. GST (Original Cost*GST Rate Percentage) / 100 equals the

GST Amount.
Financial Requirements How Do You Use These?
a. Budgets Governments, companies, and individuals use budgets

to estimate their income and outlays for a given future period
of time. Budgets are essentially financial plans for a specific
time period, typically a year, and are known to significantly
increase the success of any financial endeavor.
b. Electronic Any tabulation or complex calculation made with pencil,

Spreadsheets paper, and a calculator is computerized using electronic
spreadsheets. They therefore offer enormous potential for
helping with routine calculations, whether they be carried out
manually or with a simple BASIC computer program.
c. Ledgers The Cash page of your ledger should be displayed.

Open your ledger and turn to the Accounts Receivable page.
As fresh journal entries appear, update these pages.
d. Financial Statements Financial statements give you a glimpse of your financial
situation and assist you in managing your firm. Giving
information through various statements, such as a balance
sheet and an income statement, can provide investors and
lenders more sway in their decision-making.

e. Profit and Loss To display a company's earnings and outlays for a given
Statements time period, often one fiscal year.

34
Question 14
Identify the two areas that you need to evaluate when reviewing budget plans. Briefly explain
why each needs to be reviewed.
Areas to Evaluate when

Explanation Why Each Area Needs to be Evaluated
Reviewing Budget Plans
a. Compare actual vs Following the creation of your monthly budget, you
planned spending should, ideally daily, log your spending in a budget spreadsheet,
program, or online app like You Need a Budget. Analyze if you
overspent, underspent, or adhered to your budget for the
month by having a look at your budget and your spending
tracking.
b. Access new income It's crucial to ask yourself what your income and costs will
and expenses be for the following month at the end of the current month
because a budget indicates your spending strategy for that
particular month. These could be exactly the same as last
month's or vastly different.

Question 15
Identify at least two techniques for evaluating budget plans and briefly explain how each is
applied.
Techniques to Evaluate
Application of Technique
Budget Plans
a. Incremental The incremental budgeting method starts with historical
budgeting revenue and expense information. Typically, this information is
obtained from the budget from the previous year, the accounts,
or a mix of the two. The baseline for creating the budget for the
following year is the historical data.
b. Zero based Given that it is connected to the corporate planning
budgeting process, the zero-based budgeting technique is the most
suggested and widely used technique. A zero-based budget is
one that starts from scratch, with a base of zero, and assumes
that all budgets are generated from first principles. The budget is
then created using the goals to be accomplished in the given
time frame, without necessarily taking into account the past.

36
Question 16
Identify the three key financial statements that you must review when conducting an annual
evaluation of your financial plans. Briefly explain why each financial statement needs to be
evaluated.
Explanation Why Each Financial Statement Needs to be

Key Financial Statements
Evaluated
a. Balance sheet The balance sheet of a business reveals how much the
business is worth in terms of book value. The assets, liabilities,
and shareholders' equity of the corporation as of a particular
date are summarized in the balance sheet's three categories. In
general, a thorough review of the balance sheet can provide a
number of immediate perspectives. Assets must equal liabilities
+ equity for the balance sheet to be considered "balanced."
Analysts define the book value or equity of the company as the
assets minus the liabilities. In rare cases, analysts may
additionally examine the firm's total capital, which combines an
analysis of the firm's liabilities and equity. Analysts often focus
on long-term assets and how effectively a company manages its
assets in the asset area of the balance sheet.
b. Cash flow The cash flow statement displays cash transaction activity
statement and gives a picture of a company's overall liquidity. It
summarizes the total ready cash and summarizes all cash inflows
and outflows over the course of an accounting period. The three
sections of a typical cash flow statement are operating,
investment, and financing. The net change in total cash in each
of these three categories is shown in this financial statement.
c. Income statement The income statement of a business gives information on
the revenues received and the costs associated with its
operational activities. In general, it offers more specific
information about a company's overall operating activities. A
company's direct, indirect, and capital expenses are generally
displayed on the income statement.

Question 17
Identify at least two techniques for effective evaluation of financial plans. Briefly explain how
each technique can be applied using your own words.
Techniques for Evaluating

Application of Technique
Financial Plans
a. Horizontal analysis When analyzing financial statements, horizontal analysis
is used to analyze historical data from various accounting
periods, such as ratios or line items. In horizontal analysis,
comparisons can be made using either absolute comparisons or
percentage comparisons, where each successive period's figures
are expressed as a share of the baseline year's total, with 100%
being the baseline value.
b. Vertical analysis Vertical analysis is a technique for analyzing financial
statements when each individual unit is listed as a percentage of
a base amount. Line items on a balance sheet can be expressed
as a percentage of total assets or liabilities, while those on an
income statement can be expressed as a percentage of gross
sales. Vertical analysis of a cash flow statement also displays
each cash inflow or outflow as a percent of the overall cash
inflows.

38
Practical Assessment
The Practical Assessment is a set of tasks that must be completed in a workplace, or in an
environment with conditions similar to that of a real workplace.
To be assessed for this unit of competency, you must demonstrate your skills and knowledge to
undertake financial management within a work team in an organisation.
Wherever possible, this assessment must be completed in your own workplace, including the
gathering of evidence.
Where a current workplace is not available, you must conduct your practical assessment in an
environment where conditions are typical of those experienced in a workplace. The
environment must provide you access to all the resources required to complete this
assessment.
If you don’t have access to a suitable workplace, discuss with your assessor any adjustments
required to the tasks to conduct a simulated workplace assessment.
IMPORTANT!
 All signatures/initials in your submissions, including yours, must be handwritten and
dated. Submissions with signatures/initials must be scanned.
 The supervisor/observer who completes and signs your evidence submissions must
provide their real name, contact number, and email address for your assessor’s
reference.
 Should you encounter issue or concerns regarding your assessment, contact your
assessor.

Workplace Supervisor/Assessor Instructions
Dear Workplace Supervisor/Assessor,
Thank you for allowing and assisting the learner to complete this project in ( please tick at least
one):
 the workplace.
 a simulated workplace environment.
This project requires the learner to manage budget and financial plans in the workplace.
The learner will discuss with you the requirements they must complete and the resources they
need to access in the assessment environment for this project.
Your Role as the Learner’s Supervisor/Assessor

There are activities in this project that will require your involvement. This includes:
 providing the learner access to the resources required for this project.
 participating in the activities included in this project, including:
o observing the learner as they complete these activities,
o signing the learner’s submissions,
o providing feedback on the learner’s performance, and
o providing guidance to the learner as they complete these activities in the

selected assessment environment.
 testifying that the learner has completed these activities in accordance with the
workplace standards, policies, and procedures, and in accordance with the
requirements of this project.
 being contacted by the learner’s training provider through a phone call or email to
further verify that the learner has completed the activities included in this project to a
satisfactory level and to verify the authenticity of the learner’s document submissions.
Discuss any queries about the project and associated requirements with the learner. If the
learner cannot answer your questions about the project, please contact the learner’s
assessor/training provider.

40
Project Assessment
Project Overview
This project will require you to manage budgets and financial plans.
The project is divided into three parts:
1. Project Assessment Part 1 Financial Management Planning
2. Project Assessment Part 2 Financial Management Plan Implementation
3. Project Assessment Part 3 Review and Evaluation of Financial Management Process
Tasks and activities in this project assessment require you to have access to a workplace or a
similar environment.
Read the instructions in this project carefully before proceeding.
Resources Required for Assessment

Resources you need to access to complete this assessment are outlined in the Resources
Required for Assessment section of this workbook and in the task overview of each part of the
assessment.
Forms and Templates

Assessment forms and templates are provided in each task in this Project Assessment, unless
otherwise specified.
If you are currently in workplace, you may use similar forms and templates used by your
organisation to complete the assessment. However, all requirements specified in the task must
be included in your submissions.

Part 1. Financial Management Planning
Task Overview
This part of the project requires you to review an existing budget plan and financial plan in your
organisation. Specifically, you are required to:
 Access budget plan and financial plan documentation
 Negotiate changes that need to be applied to budget plan and financial plan
 Clarify budget plan and financial plan on their achievability, accuracy, and
comprehensibility
 Prepare contingency plans in the event that initial plans change
Resources Required:
To complete this project, you will need access to the following:
o Workplace financial documentation, such as:
 Financial plan for your work team that includes the following:
 Cash flow projections
 Ageing Summaries
 Petty Cash Statements
 Goods and Service Tax (GST)
 Profit and Loss Statements
 One budget plan
Budget plans may include, but is not limited to the following:
o Short-term budget plan
o Long-term budget plan
o Two relevant personnel

 Financial managers
 Accountants
 Financial controllers
o Opportunity to manage at least one financial plan for your own work team

42
Task 1.1 Review Budget and Financial Plans
ASSESSMENT INSTRUCTIONS
1. Seek assistance from your supervisor to identify an opportunity to manage at least one
financial plan for your work team. (Work team must consist of at least two members.)
2. Access one of your organisation’s existing financial plans for your work team, which
must be of at least two members. Your financial plan must include the following:
 At least one financial goal. (Goals are general objectives that describe what you
want to achieve with your finances in the long run.)
 At least two financial objectives relevant to financial goal. (These are the specific
numerical milestones that indicate the accomplishment of your financial goal.)
 Cash flow projections
 Ageing summaries
 Petty cash statements
 Goods and Service Tax (GST)
 At least two profit and loss statements
o At least one budget plan, which includes at least one budgetary
objective. ( Either Short-term budget plan OR Long-term budget plan)
3. Access the Financial Review template found within this workbook. This outlines all the
information required for this task.
4. Review the past performance of your financial records in relation to the financial goals
and objectives of your financial plan.
5. Complete the Financial Review template. To do this, you must:
 Identify the following:
o At least one financial goal relevant to budgeting
o At least two financial objectives relevant to the identified financial goal
o Section of financial plan used
o Type of budget plan used
 Interpret the performance of the following in relation to your identified

financial objectives:
o Budget Plan. Interpretation includes but is limited to the following:
o If expenses incurred throughout the year are in line with

budgetary requirements

o If the company was able to achieve positive variance
o Ageing summaries. Interpretation includes but is limited to the

following:
o How will you tackle the unpaid invoices?
o What action must be taken to convert this to cash?
o Petty cash. Interpretation includes but is not limited to the following:
o Will the current petty cash suffice for the organisation?
o Is the petty cash accounted for in your budget?
o Cash flow statement. Interpretation includes but is not limited to the

following:
o Is your budget consistent with your expected income based on
the trends of your cash flow statements?
o Goods and Services Tax (GST). Interpretation includes but is not limited
to the following:
o Will you be able to claim GST credits at the end of the next tax
period?
o Are GST credits included in the computation of your budgets?
o Profit and loss statement. Interpretation includes but is not limited to

the following:
o Will the proposed budgets meet the expected expenses and
cost?
o Will the current return on equity generate the required profit
for your organisation?
6. Have your supervisor complete the Supervisor Declaration Form found at the end of the
Financial Review template. This is to ensure that all information provided is accurate
and factual.
7. Submit the completed Financial Review to your assessor.

44
Financial Review
Learner Name
Name of Workplace/

Organisation:
Date

Financial Goal
i.
Financial Objectives
ii. .

Section of Financial Plan

Type of Budget Plan Used

Financial Performance Interpretation

Budget Plan

Ageing Summaries

Petty Cash

Cash Flow Statement


46
Goods and Service Tax (GST)

Profit and Loss Statement 1

Profit and Loss Statement 2

SUPERVISOR DECLARATION
TO THE SUPERVISOR
By signing in the spaces provided below, you are confirming that the information presented above is
accurate and true. Additionally, by signing below you are confirming the responses provided reflect the
views of the organisation.
Supervisor Name:
Organisation Name
Position:
Signature:

Task 1.2 Evaluate Performance of Budget and Financial Plans
1. To complete this task, you must conduct a meeting with at least two relevant personnel
from your workplace to evaluate the performance of your budget and financial plans, as
outlined in Task 1.1. (Relevant personnel can include Financial managers, Accountants,
Financial controllers etc.)
2. Locate the following found within this workbook to assist you in completing this task:
 Meeting Minutes template
3. Your assessor will complete the Observation Form.
4. Review the budget and financial plans interpreted from Task 1.1. You must share the
information recorded here during your meeting.
5. Conduct a meeting with at least two relevant personnel to evaluate the performance of
the budget and financial plans based on review from Task 1.1.
During the meeting:
i. Evaluate how each of the following performed based on your interpretation in
your Financial Review:
 Budget plan
 Ageing summary
 Petty cash
 Cash flow statement
 Goods and Services Tax (GST)
 Profit and loss statement
ii. Identify at least one change to your budget plan based on your evaluation
iii. Negotiate possible changes to implement to your budget plan to achieve
financial objectives better.
iv. Identify at least one change to be made to your financial plan based on your
evaluation
v. Negotiate possible changes to implement your financial plan to better achieve
financial objectives.
vi. Based on your discussion, finalise the following:
 At least one change to your budget plan
 At least one change to your financial plan
6. Record all discussions in your Meeting Minutes.
7. After the meeting, have each of the participants sign the ‘Attendees’ section of your
Meeting Minutes. All signatures must be handwritten.

48
8. Update your financial plan and your budget plan based on changes identified in your
meeting.
9. Seek approval from the participants of your meeting on the updates made to the
Budget Plan and Financial Plan. You must secure proof of each approval. Submit this
supplementary evidence to your assessor. Evidence can include:
 Email
 Meeting Minutes
10. Submit the following to your assessor:
 Meeting Minutes
 Updated Financial Plan
 Updated Budget Plan
Meeting Minutes
Date: Time: Location:
Meeting called
Facilitator
Attendees
Attendees must sign

beside their name
after the meeting.
Agenda Item 1: Evaluation of Current Financial Plan
Discussion

Agenda Item 2: Changes to Financial and Budget Plans
Discussion


50
Observation Form (For Assessor’s Use Only)
INSTRUCTIONS TO THE ASSESSOR
The assessor is to observe the learner as they complete the assessment task and skill requirements
outlined in this Observation Form.
Before observing the learner:
 Review and discuss with the learner the task instructions, and skill requirements which they need
to demonstrate to complete this assessment.
 Ensure that the learner understands the requirements of the task and the skill requirements
before proceeding.
For this assessment, the learner is required to meet with relevant personnel to evaluate the performance
of their budget and financial plans. Prior to conducting the meeting, discuss with the learner to ensure that
they have access to the following:
A safe environment to conduct the meeting (please tick at least one):
 the workplace: Indicate location of assessment.
 a simulated workplace environment: Indicate location of assessment.
Assessment requirements (please tick all requirements found in the assessment environment):
 At least two relevant personnel from the organisation
 Financial managers
 Accountants
 Financial controllers
 Meeting Minutes template
 Video camera or a mobile phone with video recording capabilities
Only if direct observation is not possible.
Continued on the next page.

Your Role as the Observer/Assessor
You are required to observe the learner meet with relevant personnel to evaluate the performance of their
budget and financial plans. The learner will provide you a copy of the Observation Form which you must
complete during the observation task.
Select the method of observation to be conducted:
 Direct observation
Assessor must be physically present in the assessment environment.
 Observation via video recording
Learner and the assessment requirements must be present in the video recording.
Complete the Observation Form for this task:
 Observe the learner demonstrate each skill requirement outlined in the form as they undertake
the task.
 Indicate the date when the observation is conducted.
 Tick each item in the form as ‘YES’ if the learner satisfactorily demonstrates each skill
requirement based on the criteria provided. Write objective feedback on how the learner
demonstrated each skill requirement based on your observation.
 Tick each item in the form as ‘NO’ if the learner does not satisfactorily demonstrate each skill
requirement. Write objective feedback including additional information on how the learner can
satisfactorily demonstrate this requirement for this task.
 Provide an overall feedback on the learner’s performance to assist the learner in addressing any
areas of improvement.
 Sign off the Assessor Declaration at the end of the Observation Form to confirm this observation.
Discuss any further queries about the task and associated requirements with the learner before
commencing.
Observation Form begins on the next page

52
Observation Form
Learner Name:
Name of Workplace/

Organisation:
Task Title

Refer to task title.
Date of Observation:
The learner… Yes No Comments
1. Negotiate changes required to budget and financial plans
Did the learner
 Look for common ground among  

attendees of the meeting to understand
on changes to plans
 Build on ideas of others to come to a

decision that would satisfy all parties  
 Propose solutions that would drive the

conversation forward  
2. Presents information about financial issues using:
i. Structure to suit the audience
Did the learner:

 Order presentation of information in a
logical sequence (e.g. chronological, cause  
and effect, most important to least
important)
 Use proper transitions to indicate shifts or

changes in points of discussion  
 Summarise information to ensure that all

information is understood by attendees  

ii. Language to suit the audience
Did the learner:
 Use proper English and follow grammar  

rules
 Use plain and simple English language for

easier comprehension of attendees from  
CALD background
 Repeat messages shared using their own

words to clarify understanding  
 Use body language to confirm that they

have understood the message being  
shared
3. Clarify and confirm understanding using:
i. Active listening
Did the learner:

 Paraphrase statements to ensure that  
information is remembered

words to clarify understanding  
ii. Active Questioning
Did the learner:

 Use open questions to clarify details of  
ideas or messages being communicated
 Uses hypothetical questioning to

determine the application of ideas or
 
message being communicated.
OVERALL FEEDBACK TO LEARNER

ASSESSOR DECLARATION

54
TO THE ASSESSOR
By signing here, I confirm that I have observed the learner, whose name appears above,
perform/demonstrate the skills outlined in this Observation Form during the meeting.
I further confirm that the information recorded on this Observation Form is true and accurately reflects
the learner’s performance during this task.
Assessor Name:
RTO Name:
Position:
Signature:

Task 1.3 Develop Financial Management Plan
1. Review your revised Financial Plan and Budget plan from Task 1.2 to develop strategies
for monitoring expenditure and controlling costs.
2. Locate the following found within this workbook:
 Financial Management Plan. This outlines the information required to
complete this task.
 Risk Rating Guide. This can be used to complete Part D. Contingency Plan of
your Financial Management Plan
You may use your own organisation’s template for financial management plans, so long
as you are able to supply all the requirements outlined in this task.
3. The Financial Management Plan is divided into multiple sections. Instructions to
complete each section are as follows:
Part A. Team Management Plan
To complete Part A. Team Management Plan, you must identify the following
 Develop at least one team objective based on your financial objective relevant to
monitoring actual expenditure identified in Task 1.1.
Areas covered by team objectives include, but is not limited to the following:
o Ensuring allocated budget is followed
o Setting limits to spending
o Expenditure forecasting
You must write each of your objectives following S.M.A.R.T Goals, which stands
for:
o Specific
o Measurable
o Achievable
o Realistic
o Time-bound

56
 At least one team objective to achieve organisational financial objective relevant
to controlling costs. You must write this following S.M.A.R.T. Goals.
 At least two members of your work team involved in financial management
Team members include, but is not limited to the following
o Bookkeeper
o Accounts manager
o Accountant
 At least one role of each team member relevant to financial management,

specifically:
o Monitoring expenditure
o Controlling costs
The roles of your team members may cover both areas, so long as you clearly
define these in your plan.
 At least one Key Performance Indicator (KPI) for each role identified. You must
write this following S.M.A.R.T. Goals.
Areas covered by KPIs include but are not limited to the following:
o Actual costs
o Earned Value
o Cost variance
 Date to review each KPI identified

 Expected outcome of each KPI identified
You are to leave the ‘Actual Date of Implementation’ and ‘Actual Outcome’ columns of
Part A. Team Management Plan blank. This will be completed in a succeeding task.
Part B. Expenditure Monitoring Plan
To complete Part B. Expenditure Monitoring Plan, you must identify the following:
 At least one financial objective relevant to monitoring actual expenditure for
your work team. This must be written using S.M.A.R.T. Goals.
 At least one strategy to monitor actual expenditure
 At least two processes required to implement your strategy to monitor actual

expenditure, which must include:
o Implementation date
o Expected outcome

 Schedule for monitoring expenditure
o Monthly
o Fortnightly
o Quarterly
 At least one of each of the following required to implement identified strategy to

monitor actual expenditure:
o Resource
E.g. Microsoft Excel, Cloud-based storage, Time tracking applications

o System
E.g. Mind Your Own Business (MYOB), Quickbooks, Xero

Part B. Expenditure Monitoring Plan blank. This will be completed in a succeeding task
Part C. Cost Control Plan
To complete Part C. Cost Control Plan, you must identify the following:
 At least one financial objective relevant to controlling costs for your work team.
This must be written using S.M.A.R.T. Goals.
 At least one strategy to control costs
 At least two processes required to implement your strategy to control costs
For each process indicated you must identify the following:
o Implementation date
o Expected outcome
 At least one of each of the following required to implement identified strategy to

control costs:
o Resource
o System
Part C. Cost Control Plan blank. This will be completed in a succeeding task.
Part D. Contingency Plan
Access your organisation’s own template for rating risks, that includes the following:
 Likelihood of risk
 Consequence of risk
 Risk rating matrix
58
 Risk priority rating
If you do not have a template for rating risks, you may use the Risk Rating Guide
To complete Part D. Contingency Plan, you must:
Develop two contingency plans—one for your financial plan and one for your selected
budget plan. Each plan must contain the following:
 At least one financial risk to your plan
o Deviation of prices of stocks, currencies or commodities
o Volatility in investments
o Inability to meet proper funding
 At least one financial objective each risk affects

 At least one factor of the risk that will affect the business
o Financial deficit risk will put organisation in
o Effects on total expenditure of the organisation
o Effect on total overhead costs
 Risk assessment of each risk identified, which must include the rating of each:
o Likelihood (L)
o Consequences (C)
o Risk Rating (R)
o Risk Priority (P)
 At least one contingency strategy to achieve the relevant financial objective

 An action plan for each risk identified, which must include the following:
o Implementation date of your contingency strategy
o Expected outcome of your contingency strategy
Part D. Contingency Plan blank. This will be completed in a succeeding task.
Part E. Version Control
To complete Part E. Cost Control Plan, you must:
 Identify date when Financial Management Plan was completed

 Briefly explain modifications done to the finance management Plan
 Indicate version number as ‘1.0’
4. Have your supervisor sign the version 1.0 of Part E. Version Control of your Financial
Management Plan. This is to ensure that all information provided is accurate and
factual. Their signature must be handwritten.
5. Submit the partially completed Financial Management Plan template to your assessor.

60
Financial Management Plan

Learner Name
Name of
Workplace/Organisation
PART A. TEAM MANAGEMENT PLAN
Team Objective for Monitoring

Expenditure
Team Objective for Controlling

Costs
Key Performance Expected Review Actual Review

Team Member Role Expected Outcome Actual Outcome
Indicator (KPI) Date Date
i. 
ii.

PART B. EXPENDITURE MONITORING PLAN
Schedule
Actual
Strategy to Monitor Processes to Implement Implementation
Financial Objective Expected Outcome Implementation Actual Outcome
Actual Expenditure Strategy Date
Date
. ] i.
ii.

Resource Required to
Implement Strategy

System Required to
Implement Strategy

62
PART C. COST CONTROL PLAN
Actual
Processes to Implement Implementation
Financial Objective Cost Control Strategy Expected Outcome Implementation Actual Outcome
Strategy Date
Date
i.
ii.

Resource Required to
Implement Strategy

System Required to
Implement Strategy

PART D. CONTINGENCY PLAN
Financial Contingency Plan
Financial Plan Risk Assessment
Risk Factors to Consider L C R P Contingency Strategy

Add more rows as needed
Action Plan
Actual
Implementation
Risk Contingency Strategy Expected Outcome Implementation Actual Outcome
Date
Date


64
Modifications


Budgetary Contingency Plan
Budget Plan Risk Assessment
Risk Factors to Consider L C R P Contingency Strategy

Action Plan
Actual
Risk Implementation Actual Outcome
Contingency Strategy Expected Outcome Implementation
Date
Date


66
Modifications

PART E. VERSION CONTROL
Date Summary of modifications Version Supervisor Signature

TO THE SUPERVISOR
By signing in the spaces provided below, you are confirming that the information presented above is accurate and true. Additionally, by signing below you are
confirming the responses provided reflect the views of the organisation.
Supervisor Name:
Organisation Name
Position:
Signature:

68
Risk Rating Guide
Likelihood Scale
Level Likelihood Description
The event may occur in exceptional circumstances. Less than once in 2

1 Rare
years.
2 Unlikely The event could occur at some time. At least once per year.
3 Moderate The event will probably occur at some time. At least once in 6 months.
4 Likely The event will occur in most circumstances. At least once per month
The event is expected to occur in all circumstances. At least once per

5 Certain
week.
Consequence Scale
Level Consequence Description
0 Negligible No Injuries. Low financial loss. Financial loses less than $1,000
1 Minor First-aid treatment. Financial losses between $1,000 and $10,000
Medical treatment required. Financial losses between $10,000 and

2 Serious $50,000. Moderate environmental implications. Moderate loss of
reputation. Moderate business interruption.
Excessive, multiple long-term injuries. Financial losses greater than

3 Major $50,000. High environmental implications. Major loss of reputation.
Major business interruption.
4 Fatality Single death
Multiple
5 Multiple deaths and serious long-term injuries.
Fatalities

Risk Rating Matrix
Likelihood
Rare Unlikely Moderate Likely Certain
Consequences Level 1 2 3 4 5
Negligible 0 0 0 0 0 0
Minor 1 1 2 3 4 5
Serious 2 2 4 6 8 10
Major 3 3 6 9 12 15
Fatality 4 4 8 12 16 20
Multiple
5 5 10 15 20 25
Fatalities
Risk Priority Scale
Risk Rating Risk Priority Description
No Risk: The costs to treat the risk are disproportionately high

0 N
compared to the negligible consequences.
Low: May require consideration in any future changes to the work

1–3 L
area or processes, or can be fixed immediately.
Moderate: May require corrective action through planning and

4–6 M
budgeting process.
8 – 12 H High: Requires immediate corrective action.
15 – 25 E Extreme: Requires immediate prohibition of the work process and

immediate corrective action.

70 Learner Assessment Pack Produced 13 July 2020
© Group (Australia)
Part 2. Financial Management Plan Implementation
Task Overview
This part of the project requires you to implement a new financial management plan. Specifically,
you are required to:
 Communicate details of agreed budget and financial plans to relevant team members
 Support team members to access resources and systems to perform required roles
 Implement processes to monitor actual expenditure and control costs as required
according to financial objectives
 Implement contingencies in the event that initial plans need to be varied
 Report on budget and expenditure according to organisational protocols
Resources Required:
To complete this project, you will need access to the following:
o At least two team members whose job roles are focused on management of finances.
These include, but are not limited to:
 Purchasing and procurement staff

 Debt collectors
 Bookkeepers
o At least two resources that can be used to manage financial management processes.
 Microsoft Excel
 Cloud-based storage
 Time tracking application
o At least two systems that can be used to manage financial management processes. These
include, but are not limited to the following:
 Mind Your Own Business (MYOB)

 Quickbooks
 Xero

Task 2.1 Team Meeting
1. To complete this task, you must conduct a meeting with at least two of your team
members to communicate details of the budget and financial plans.
 Meeting Minutes Template
This outlines all topics you must discuss in your meeting with your team
members.
 Observation Form
This outlines all the skills you must demonstrate throughout this task. Provide
your assessor a copy of this before conducting your meeting.
Review these templates and the instructions that follow before conducting your
meeting.
3. Review the instructions here and the skills outlined in the Observation Form. Arrange a
time with your assessor to observe you in conducting the meeting. Discuss all
requirements of the task with your assessor and prepare these before the meeting.
Your assessor will complete the Observation Form.
If direct observation from your assessor is not possible, record the meeting in a video.
Ensure to obtain permission first from persons involved before doing so.
4. Organise a meeting with at least three team members to communicate details of your
budget and financial plans and discuss roles in financial management.
During the meeting you must:
i. Clarify your approved budget plan. Discussion must include the following:
 Financial objective relevant to budget plan as indicated in Task 1.1
 Changes applied to initial budget plan
Contingency plan for your budget plan
Clarification includes, but is not limited to the following:
 Ensuring that all participants are clear on the changes made
 Providing additional guidance for questions
ii. Clarify your approved financial plan. Discussion must include the following:
 Financial goals relevant to the financial plan as indicated in Task 1.1

 Changes applied to initial budget plan
 Contingency plan for your financial plan
iii. Discuss resources and systems required for financial management. Discussion
must include the following as identified in Part I:
 Resource required for monitoring actual expenditure
 System required for monitoring actual expenditure
 Resource required for controlling costs
 System required for controlling costs
iv. Discuss the roles of your team members in line with financial management.
Discussion must include the following:
 Each team member’s role
 KPI of each team member
 Expected outcome of each team member
v. Identify at least one support required by each team member in accessing the
following:
 Resources identified to perform their required indicated in Task 1.3 ‘
 Systems identified to perform their required roles indicated in Task 1.3.
‘
Support may include, but is not limited to the following:
 Coaching
 Formal training
 Shadowing
Document all discussions in the Meeting Minutes.
5. Have all participants of the meeting sign the ‘Attendees’ section of your Meeting Minutes.
All signature must be handwritten.

6. After your meeting, complete the Support Plan based on your discussion during the
meeting. To complete this you must identify the following:
i. Each team member present in the meeting
ii. Role of each team member relevant to financial management
iii. At least one support required by each team member for accessing resources to
perform their role
iv. At least one support required by each team member for accessing systems to
perform their role
v. For each support:
o Implementation date of each support required
o Expected outcome of each support required
You are to leave the ‘Actual Implementation Date’ and ‘Actual Outcome’ columns of
your Support Plan blank. This will be completed in a succeeding task.
 Meeting Minutes
 Partially completed Support Plan

Meeting Minutes
Date: Time: Location:
Meeting called
Facilitator
Attendees
Attendees must sign

beside their name
after the meeting.
Agenda Item 1: Clarification of Approved Budget Plan and Financial Plan
Discussion


Agenda Item 2: Discussion of Resources and Systems Required
Discussion

Agenda Item 3: Roles of Team Members
Discussion


Support Plan
Learner Name
Organisation Name
Actual
Team Implementation
# Role Support Required Expected Outcome Implementation Actual Outcome
Member Date
Date
Resource
1
System
Resource
2
System

before proceeding.
For this assessment, the learner is required to meet with their work team to communicate details of the
budget and financial plans. Prior to conducting the meeting, discuss with the learner to ensure that they
have access to the following:
 At least two members of their team
 Meeting Minutes template

You are required to observe the learner meet with their work team to communicate the details of the
budget and financial plan. The learner will provide you a copy of the Observation Form which you must
complete during the observation task.
the task.
 Indicate the date when the observation is conducted.
commencing.

Observation Form
Learner Name:
Name of Workplace/

Organisation:
Task Title

Did the learner… Yes No Comments
1. Communicates required details of the following during the meeting:
a. Agreed Budget Plan

☐ ☐
b. Agreed Financial Plan

☐ ☐
2. Presents information about financial issues:
i. Using structure to suit audience
During the meeting, did the learner:
 Order information in a logical sequence

 
(e.g. chronological, cause and effect, most
important to least important)
 Use proper transitions to indicate shifts or

changes in points of discussion  
 Summarise information to ensure

attendees of the meeting understand the  
main points of discussion

ii. Language to suit the audience
During the meeting, did the learner:
 Use standard English and rules of proper  

grammar
 Use formality as necessary  
 Avoid use of slang  
3. Clarify and confirm understanding using:
i. Active listening
Did the learner:
 Paraphrase statements to ensure  

information is retained

 
words to clarify understanding
 Use body language to confirm that they

have understood the message being  
shared
ii. Active Questioning
Did the learner:
 Use open questions to clarify details of  

ideas or messages being communicated
 Uses hypothetical questioning to

determine the application of ideas or  
message being communicated.


TO THE ASSESSOR
Assessor Name:
RTO Name:
Position:
Signature:

Task 2.2 Provide Support
1. Review your partially completed Support Plan from Task 2.1 to assist you in providing
support to each of your team members to access resources and systems required for
their role.
2. Locate the Support Log found within this workbook. This will be used to confirm the
support provided to each team member.
3. Provide the appropriate support to each of your team members met in Task 2.1. The
support you provide must correspond to those identified in your Support Plan partially
completed in Task 2.1. This must include the following for each member:
 Support for accessing resources required to perform their role
 Support for accessing systems required to perform their role
You must prepare proof of providing support for each team member. This will be
submitted as supplementary evidence at the end of the task
The amount of evidence you must submit must correspond to the support you are
required to provided as outlined in your Support Plan from Task 2.1. You must submit
at least four at the end of this task—two for each team member.
After you provide the support to each team member, you must have them sign on the
Support Log. This is to ensure that support provided is consistent with support
identified in the Support Plan and to confirm that support provided is sufficient. All
signature must be handwritten.
4. Update your Support Plan with the following for each support provided:
 Actual date of implementation
 Actual outcome
 Completed Support Plan
 Completed Support Log
 At least four pieces of supplementary evidence, which must include at least one
of each of the following for each team member
o Support for accessing resources required to perform their role
o Support for accessing systems required to perform their role

Support Log
Learner Name
Organisation Name
TO THE TEAM MEMBER,
By signing this log, you are confirming that the learner provided support consistent with the identified
support in the Support Plan. Furthermore, by signing here you confirm that the support provided is
sufficient to address your support need.
Date of
Team Member
Support Team Member Role Support Provided
Signature
Provision

*Add more rows as needed*

Task 2.3 Implement Financial Management Plan
1. To complete this task, you must implement the strategies outlined in your Financial
Management Plan partially completed in Task 1.3 throughout one reporting period.
 Record-Keeping Requirements template. This will be used to identify the
record-keeping requirements you must follow when implementing your
Financial Management Plan.
 Team Performance Monitoring Sheet. This will be used for monitoring the
performance of your team members according to the KPIs identified in your
Financial Management Plan.
3. Identify the following requirements in your Record-Keeping Requirements templates:
 At least two ATO requirements for business record-keeping.
Record-keeping requirements can include, but are not limited to the following:
o Keeping bank records for five years
o Including all record relating to fringe benefits provided, including how

you calculated the taxable value of benefits
Access the link below for further guidance regarding record-keeping for businesses:
Australian Taxation Office: Record keeping for businesses
https://www.ato.gov.au/Business/Record-keeping-for-business/
 At least two business record keeping requirements relevant to audit
Record-keeping requirements include, but are not limited to the following:
Record-keeping requirements for audit include, but are not limited to the
following:
o Keeping documentation of required financial statements for reports
(e.g. statement of financial position, profit and loss statement, cash
flow for the period)
o Keeping cash flows for operating, investing, and financing that is most
appropriate the business.
Access the link below for further guidance regarding record-keeping requirements for auditing
purposes:
Accounting Standards
https://www.aasb.gov.au/Pronouncements/Current-standards.aspx/

4. Have your supervisor sign off your Record Keeping Requirements template. This is to
ensure that the identified requirements are in line with the requirements of your
organisation. Their signature must be handwritten.
IMPORTANT: You must secure confirmation from your supervisor before you undertake
this task.
5. Review the instructions here and the skills outlined in the Observation Form. Arrange a
time with your assessor to observe you in implementation. Discuss all requirements of
the task with your assessor and prepare these before the implementation.
Your assessor will complete the Observation Form.
6. Implement your process to monitor actual expenditure based on the schedule identified
in your Financial Management Plan. You must monitor your actual expenditure at least
two times following your schedule. You must ensure that entire duration of your
monitoring scheduled is covered by your organisation’s reporting period. During the
implementation, you must record the following on Part B. Expenditure Monitoring Plan
of your Financial Management Plan for each process implemented:
 Actual outcome
You must secure proof of each instance of monitoring your actual expenditure against
projected expenditure. This will be submitted as supplementary evidence at the end of
the task. This includes, but is not limited to the following:
 Monthly expense reports
 Receipts of purchases for the month
 Budget reports
7. Implement your strategy to control costs identified in your Financial Management Plan.
You must monitor cost control at least two times following your organisational
requirements. You must secure proof that you have controlled costs on at least two
occasions. This will be submitted as supplementary evidence at the end of the task.
 Cash flow statements
 Costing forecasts
During the implementation, you must record the following on Part C. Cost Control Plan
of your Financial Management Plan for each process implemented:
 Actual outcome
During the implementation of your Financial Management Plan you must apply the

appropriate record-keeping requirements to ensure that all your business activity is
prepared in accordance with the following
 Australian Taxation Office’s (ATO).
 Auditing requirements
You must secure proof that you have kept records of business activity based on the
requirements outlined below. This will be submitted as supplementary evidence at the
end of the task. Records include, but are not limited to the following:
 Sales records (e.g. invoice books, cash register tapes, credit card
documentation)
 Bank accounts (e.g. cheque books, deposit books, bank statements)
 Proof of purchases (e.g. cheque butts, petty cash system, receipts)
8. During the implementation of your Financial Management Plan, you must observe the
performance of each team member in relation to their KPI identified in Task 1.3. You
must observe each implementation on at least two occasions. Record each team
member’s performance on the Team Performance Monitoring Sheet—one sheet must
be used for each team member. Each sheet must contain the following:
 Date of observation
 Observation of performance against assigned KPI
You must use one Team Performance Monitoring Sheet for each team member
observed
You must secure proof of each of your team member’s performance for each instance
of monitoring. This will be submitted as supplementary evidence at the end of the task.
Evidence includes, but is not limited to the following:
 Developed financial statements
 Reports on expenditures
During the implementation, you must record the following on Part A. Team
Management Plan of your Financial Management Plan for each process implemented:
 Actual date of review
 Actual outcome
9. After the implementation of your financial management processes, you must update
Part E. Version Control of your Financial Management Plan. To complete this section,
you must:
 Identify date of update
 Outline of modifications

 Update version number to ‘2.0’
10. Have your supervisor sign Part E. Version Control of your Financial Management Plan.
This is to ensure that all modifications provided are accurate and true. Their signature
must be handwritten

 Record-Keeping Requirements template
 Partially completed Financial Management Plan, with the following sections
completed:
o Part A. Team Management Plan
o Part B. Expenditure Monitoring Plan
o Part C. Cost Control Plan
o Updated Part E. Version Control
 At least two completed Team Performance Monitoring Sheet

 Supplementary evidence as proof of each the following:
o At least two instances of monitoring actual expenditure
o At least two instances of controlling costs
o At least two instances of each team member’s performance

Record-Keeping Requirements
Learner Name
Organisation
ATO Record-Keeping Requirements
A.
B.
Audit Record Keeping Requirements
A.
B.
TO THE SUPERVISOR
By signing here, you are confirming that the identified record-keeping requirements identified by the
learner, whose name appears above, is followed by your organisation.
Supervisor Name
Position
Supervisor Signature
Date Signed

Team Performance Monitoring Sheet

Team Member

Team Role

KPI
Date Observation
i.
ii.
Observed by
Organisation

before proceeding.
For this assessment, the learner is required to implement their strategies to monitor expenditure and
control costs while keeping records of business activity following ATO requirements and requirements for
the purpose of audit. Prior to conducting the meeting, discuss with the learner to ensure that they have
access to the following:
 Financial Management Plan partially completed in Task 1.3
 Team Performance Monitoring Sheet

You are required to observe the learner implement their strategies to monitor expenditure and control
costs while keeping records of business activity following ATO requirements and requirements for the
purpose of audit following requirements identified in the Record-Keeping Requirements template. Before
conducting the task, the learner must provide you a copy of the Record-Keeping Requirements template
that has been signed off by their supervisor.
The learner will provide you a copy of the Observation Form which you must complete during the
observation task.
the task.
 Indicate the date when each observation is conducted.
commencing.

Observation Form
Learner Name:
Name of Workplace/

Organisation:
Task Title
Start Date of Observation:
End Date of Observation:
Details of Observation
Did the learner… Yes No
Comments
1. Adhere to the following ATO requirements for record-keeping:
i. ATO record keeping Observed by:

requirement A identified in
Initials:
the learner’s approved
Record-Keeping Date observed:
Requirements
ii. ATO record keeping Observed by:

requirement B identified in
Initials:
the learner’s approved
Record-Keeping Date observed:
Requirements
2. Adhere to the following record-keeping requirements for the purpose of audit
i. Audit record-keeping Observed by:

requirement A identified in the
Initials:
learner’s approved Record-
Keeping Requirements Date observed:

ii. Audit record-keeping Observed by:

requirement B identified in the
Initials:
learner’s approved Record-
Keeping Requirements Date observed:



TO THE ASSESSOR
Assessor Name:
RTO Name:
Position:
Signature:

Task 2.4 Prepare Variation Reports
1. Review the records of financial activity collected during the implementation of your
Financial Management Plan from Task 2.3.
2. Access organisational documentation relevant to financial variance. Documentation
includes, but is not limited to:
 Financial Management Policies and Procedures
 Financial Report Policies and Procedures
 Staff Handbook
Review this documentation to identify your own organisation’s acceptable variance and
cycle for monitoring expenditure.
3. Access your own organisation’s template for completing variance reports. If not, you
may access the Variance Report template found within this workbook.
4. Create at least one variance report comparing actual expenditure and projected
expenditure for the period in which you implemented your Financial Management
Plan. This must follow the schedule for monitoring expenditure as identified in your
Financial Management Plan. Each variance report must include:
 Identify your organisation’s acceptable variance, Period covered by variance
report. Indicate your response in months
 Projected expense of each expenditure. Response must correspond to your
initial expenditure from the financial and budget plans from Part 1.
 Actual expense of each expenditure. Response must correspond to the financial
records provided in Task 2.3
 Variance in dollars of each expenditure, Variance in per cent of each
expenditure
 Projected total expenditure Response must correspond to your initial
expenditure from the financial and budget plans from Part 1.
 Actual total expenditure Response must correspond to the financial records
provided in Task 2.3
 Variance of total expenditure in dollars, Variance of total expenditure in per
cent
 Identify if your per cent variance for Individual expenditure and Total
expenditure is favourable or unfavourable:
 Submit at least one completed Variance Report to your assessor.

Variance Report
PERIOD COVERED: ACCEPTABLE VARIANCE
Variance
Expenditure Projected Expenditure Actual Expenditure Variance ($) Favourability
(%)
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
TOTAL $ $ $
*Add more rows as needed*

Task 2.5 Report on Implementation Results
1. Access the following from your organisation

 Documentations relevant to protocols on reporting each of the following:
o Budgets
o Expenditure
Documentation may include, but is not limited to the following:

o Budget Reporting Policy and Procedures
o Financial Management Policy and Procedures
Protocols on reporting include, but are not limited to the following:

o Frequency of reporting (e.g. monthly, quarterly, etc.)
o Required documents of financial activity that must be submitted

for reporting
o Acceptable variance of reported expenditure
 Access your organisation’s template for reporting for the following:

o Budgets
o Expenditure
If you currently do not have a template for reporting, you may use the
Financial Report template found within this workbook.
2. Access the found within this workbook:
 Financial Reporting Requirements template
This will be used to record organisational requirements for reporting
budget and expenditure.
 Report Checklist
This will be used by your assessor to confirm that you have followed the
required requirements for reporting budget and expenditure.
Review the templates and the instructions outlined below before starting your
task.
3. Record the following on your Financial Reporting Requirements template:
 At least one organisational protocol relevant to reporting budget
 At least one organisational protocol relevant to reporting expenditure

4. Have your supervisor sign off your Financial Reporting Requirements template. This is to
ensure that the identified requirements are in line with the requirements of your
organisation. Their signature must be handwritten.
5. Prepare a report on each of the following based on the implementation of your Financial
Management Plan from Task 3.1 in accordance with your organisation’s reporting
protocols:
 Actual expenditure
 Actual budget used
The content of your financial report will depend on the protocols identified in your
Financial Reporting Requirements template. Review your requirements and discuss with
your assessor how to complete your template.
You can choose to have one consolidated report so long as the report contains individual
reports on expenditure and budget.
Report may include, but is not limited to the following:
 Variance Report
 Cash flow statements
 Profit and Loss Statement
6. Follow your organisation’s reporting protocols and send the report to relevant personnel.
This refers to personnel in charge of reviewing completed financial reports relevant to your
team (e.g., line manager, board of director, Chief Finance Officer)
You must secure proof of your reporting to be submitted as supplementary evidence at the
end of this task.
Evidence includes but is not limited to:
 Email
 Memo
 Meeting Minutes
 Financial Reporting Requirements template
 Report on actual expenditure
 Report on actual budget
 At least one evidence of reporting

Financial Reporting Requirements
Learner Name
Organisation
Organisational Protocols for Reporting Budget

Organisational Protocols for Reporting Expenditure

TO THE SUPERVISOR
By signing here, you are confirming that the identified organisational protocols for reporting budget
and expenditure identified by the learner, whose name appears above, reflects the views of your
organisation.
Supervisor Name
Position
Supervisor Signature
Date Signed

Financial Report
PROFIT & LOSS STATEMENT
Sales
$
$
$
Total Sales $
$
Total Cost of Sales $
Operating Expenses
$
$
$
$
$
$
$
$
$
$
Total Operating Expenses $
Profit before Interest and Taxes $
Interest
Corporate Taxes $
Net Profit $

Variance Report
PERIOD COVERED: ACCEPTABLE VARIANCE
Variance
Expenditure Projected Expenditure Actual Expenditure Variance ($) Favourability
(%)
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
$ $ $
TOTAL $ $ $

Report Checklist (For Assessor’s Use Only)
Learner Name:
Name of Workplace/

Organisation:
Task Title

Did the learner… Yes No Comments
1. Adhere to the organisational requirement for

reporting budget as identified in the learner’s ☐ ☐
approved Financial Reporting Requirements
2. Adhere to the organisational requirement for

reporting expenditure as identified in the
learner’s approved Financial Reporting ☐ ☐
Requirements


Task 2.6 Implement and Modify Contingency Plans
1. Seek an opportunity to implement each contingency plan as identified in Part D.

Contingency Plans of your Financial Management Plan.
2. Access your organisation’s policies and procedures relevant to modifying contingency
plans: This includes, but is not limited to the following:
 Contingency Planning Policies and Procedures
 Continuous Improvement Policies and Procedures
3. To complete this task, you must implement the contingency plans identified in your
Financial Management Plan from Task 1.3.
4. Implement each contingency strategy identified in Part D. Contingency Plans of your
Financial Management Plan. You must implement at least two strategies, at least one
strategy for the budget plan and at least one strategy for your financial plan.
During your implementation you must update the following for each contingency
strategy in Part D. Contingency Plans of your Financial Management:
 Actual implementation date
 Actual outcome
You must secure proof at least one evidence that you implemented each of the
contingency strategies outlined in your Financial Management Plan. This is to be
submitted as supplementary evidence at the end of this task. This includes, but is not
limited to the following:
 Revised budgets
 Correspondence with new supplier
 Interview notes with team regarding updated processes
5. Review the implementation, to identify at least two modifications to your contingency
plan to ensure that this is in line with your identified financial objectives.
6. Provide the following information on the on Part D. Contingency Plan of your Financial
Management Plan:
 Revised contingency plan based on implementation, which must contain the
following:
 Associated risk
 Contingency strategy
 Implementation Date
 Expected Outcome

 On you’re the ‘Modifications’ table:
 At least two modifications made to contingency plan
 Explanation of how each would help reach identified financial
objectives
Modifications must be based on the results of the implementation of your contingency
plans and organisational objectives outlined in your Financial Management Plan.
You must highlight ALL modification done to your Financial Management Plan.
7. Update Part E. Version Control of your Financial Management Plan to reflect ALL
modification to Part D. Contingency Plans.
This must include the following information:
 Date of modification
 Modification made to Financial Management Plan
 New version control number
8. Have your supervisor complete the Supervisor Declaration found at the end of this task.
This is to ensure that all information is in line with organisational objectives. All
signatures must be handwritten.
 Completed Financial Management Plan, with the Part D. Contingency Plan
completed
 At least two evidence of implementation of each contingency strategy, one for
each contingency strategy

Part 3. Review and Evaluation of Financial Management Processes
Task Overview
This part of the project requires you to evaluate current financial management processes in your
organisation. Specifically, you are required to:
 Identify and recommend improvement to existing financial management processes
 Implement and monitor agreed improvements according to financial objectives of work
team and organisation
Task 3.1 Analyse Financial Management Processes
1. Locate the Improvement Log found within this workbook. This outlines all the
information you need to complete record in this task.
2. Review the following documents completed in Part 2 to assist you in recommending
improvements to your current financial management processes:
 Team Performance Monitoring Sheet from Task 2.3
 Financial Report from Task 2.5
 Financial Management Plan from Task 2.6
Analyse all the data and information you collected to identify improvements for the
processes of each of the following:
 Monitoring actual expenditure
 Controlling costs
3. To complete the Improvement Log, you must
 Identify at least one process of each the following that requires improvement:
o Strategy for monitoring actual expenditure
o Strategy for controlling costs
 For each process that requires improvement identified you must:

o Briefly explain how the process does not meet the following:
 at least one financial objective identified in Task 1.1

 at least one team objective identified in Task1.1
o Identify at least one improvement to meet each of the following, based
on your explanation:
 Financial objective identified
 Team objective identified
4. You are to complete one Improvement Log for each of the following:
 Process of strategy for monitoring actual expenditure
 Process of strategy for controlling costs.
5. Recommend your identified improvements to the two team members who
implemented the Financial Management Plan in Task 2.
In your correspondence with your team members, you must request for their approval
of the changes to current financial management processes.
You must secure proof of your correspondence with each of your team members, which
includes agreement to improvements to your processes. This is to be submitted as
supplementary evidence at the end of the task.
Evidence includes, but is not limited to the following:
 Email
 Meeting Minutes
 Interview notes
Include all negotiations, discussions, or revisions to your recommended improvements, if
any, in the evidence you submit.
6. After agreeing on improvements to be implemented, update the following sections of
your Financial Management Plan to incorporate all agreed changes:
 Part B. Expenditure Monitoring Plan, which must include at least one updated
process related to your strategy for monitoring actual expenditure. This must
incorporates ALL approved improvements from your correspondence.

 Part C. Cost Control Plan, which must include at least one updated process
related to your strategy to control costs. This must incorporates ALL approved
improvements from your correspondence
 Part E. Version Control of your Financial Management Plan to reflect ALL
modifications.
This must include the following information:
o Date of modification
o Modification made to Financial Management Plan
o New version control number
You must highlight all modifications made to your Change Management Plan.
 At least two completed Improvement Logs, one for each of the following:
o Process relevant to monitoring actual expenditure
o Process relevant to controlling costs
 At least two pieces of evidence of correspondence of approval with team

members—one for each team member
 Updated Financial Management Plan

Improvement Log
Learner Name
Organisation
Date
Process for

Improvement
Financial Objective Financial Objective
Explanation
Team Objective Team Objective
Explanation
Improvements
Financial Objective
Team Objective

Task 3.2 Implement and Evaluate Recommendations
1. Access the Continuous Improvement Sheet found within this workbook and complete
one copy each for each updated improved process implemented.
2. Implement the following improved processes as indicated in your Financial
Management Plan updated in Task 3.1:
 Process relevant to strategy to monitor actual expenditure
 Process relevant strategy to controlling costs
You must secure proof of your implementation of each improvement. This will be
submitted as supplementary evidence at the end of this task. Evidence includes:
 Email of changes, Memo of changes to process , Documentation relevant to
improvement etc.
3. After implementing your improved processes, you must evaluate outcomes of each in
relation to the relevant financial and team objectives indicated in Task 3.1. You must
record the following on each Evaluation Sheet:
 Updated financial management process you are evaluating
 For each financial management process:
o Relevant financial objective as identified in Task 3.1
o Relevant team objective as identified in Task 3.1
 Date of observation
Outcome of implementation of improved process
 Evaluation of process effectivity in line with the relevant financial objective
 Evaluation of process effectivity in line with the relevant team objective.
Evaluation includes:
o Aspects of the updated process that assists in reaching required goals
o Improvements to current team performance in relation to objectives
4. Have your supervisor complete the Supervisor Declaration Form found at the end of this
task to ensure that you have implemented improvements as per the organisation’s
requirements. Their signature must be handwritten.
 At least two Evaluation Sheets, one for each process implemented
 At least two Evidence of implementation of each updated process

Evaluation Sheet
Completed by

Organisation

Updated Financial
Management Process
Organisational Financial

Objective
Team Objective
Outcome Evaluation
Date
Financial Objective
Team Objective
Financial Objective
Team Objective
Financial Objective
Team Objective
TO THE SUPERVISOR
By signing in the spaces below, you are confirming that the learner implemented and evaluated the
improvements as per the organisation’s requirements, and that their responses provided above reflect
that of the organisation.
Supervisor Name:
Organisation Name
Position:
Signature:


Instructions:
Your assessor will review your submissions against the checklist below. This section is to be
completed by your assessor.
The learner has completed the Short Answer Questions in this workbook 
Short Answer Questions 
The learner has completed the Practical Assessments in this workbook and has 
submitted all the required evidence:
Project Assessment
Task 1.1 Review Budget and Financial Plans
Financial Review 
Task 1.2 Evaluate Performance of Budget and Financial Plan
Video Recording of meeting (ONLY if direct observation is not possible) 
Meeting Minutes 
Updated Budget Plan 
Updated Financial Plan 
At least one supplementary evidence of approval from each personnel


present in the meeting
Task 1.3 Develop Financial Management Plan
Partially completed Financial Management Plan 

Task 2.1 Team Meeting
Video Recording of meeting (ONLY if direct observation is not possible) 
Meeting Minutes 
Partially Completed Support Plan 
Task 2.2 Provide Support
Completed Support Plan 
Support Log 
At least on supplementary evidence of the following for each team

member:
Support for accessing resources required to perform their role 
Support for accessing systems required to perform their role 
Task 2.3 Implement Financial Management Plan
Record-Keeping Requirements template 
Partially completed Financial Management Plan 
At least two Team Performance Monitoring Sheets 
At least on supplementary evidence of the following for each team

member:
At least two instances of monitoring actual expenditure 
At least two instances of controlling costs 
At least two instances of each team member’s performance 
Task 2.4 Prepare Variance Reports
At least one Variance Report 

Task 2.5 Report on Implementation Results
Financial Reporting Requirements template 
Report on Actual Expenditure 
Report on Actual Budget 
At least one evidence of reporting 
Task 2.6 Implement and Modify Contingency Plans
Completed Financial Management Plan 
At least two evidence of implementation of each contingency strategy 
Task 3.1 Analyse Financial Management Processes
At least two completed Improvement Logs 
At least two pieces of evidence of correspondence of approval with


team members—one for each team member
Updated Financial Management Plan 
Task 3.2 Implement and Evaluate Recommendations
At least two Evaluation Sheets 
At least two evidence of implementation of each updated process 

Recording

Record of Assessment
Instructions:
This section is to be completed by your assessor.
Assessment Details
Learner
Course Code
Unit of Competency BSBFIN501 Manage budgets and financial plans
Assessor Name
RTO

Needs more
Assessment Activity Satisfactory
evidence
Short Answer Questions
Short Answer Question 1  

Practical Assessment
Part I Task 1 Review Budget and Financial Plans  
Part I Task 2 Evaluate Performance of Budget and Financial Plan  
Part I Task 3 Develop Financial Management Plan  
Part II Task 1 Team Meeting  
Part II Task 2 Provide Support  
Part II Task 3 Implement Financial Management Plan  
Part II Task 4 Prepare Variation Reports  
Part II Task 5 Report on Implementation Results  
Part II Task 6 Implement and Modify Contingency Plans  
Part III Task 1 Analyse Financial Management Processes  
Part III Task 2 Implement and Evaluate Recommendations  

Needs more
Context Details Satisfactory
evidence
 
 
 
 
 
 
Supervisor/Observer Verification Log
Supervisor/
Supervisor/ Role in the Contact Date of Observer verifies
Observer Name Assessment Details Contact the learner’s
submissions
 Yes  No
 Yes  No
 Yes  No
 Yes  No

Assessor’s Comments
Remarks/feedback
Details of further evidence required
Please tick the appropriate box. Yes No
Comments and further action required are noted in the Learner

 
Assessment Pack
Results discussed and agreed to by the learner

 
You have the right to appeal the outcome of your assessment.
 Competent
The Learner is
 Not Yet Competent
Assessor’s signature Date signed
I further confirm that I have verified the learner’s submissions by contacting the learner’s
supervisor and/or observer whose names appear in the Supervisor/Observer Verification Log
above.
After reassessment, the Learner is:  Competent  Not Yet Competent
Assessor’s signature Date signed

Learner’s Comments
The signature confirms that I have submitted all my own work, and agree with the assessment
decision and feedback.
Learner’s signature Date signed

End of Document

Bsbfin501 Lap Assessment

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Bsbfin501 Lap Assessment

Uploaded by

Copyright:

Available Formats

BSBFIN501 - Manage budgets and financial plans (Release 1)

Learner Assessment Pack

Copying for Educational Purposes

Overseas Student Information

Copyright Notice Disclaimer

BSBFIN501 - Manage budgets and financial plans (Release 1)

Date Summary of modifications Version

Jan,2021 Version 1 final produced following assessment

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 3

STEPS FOR LEARNERS................................................................................................7

RESOURCES REQUIRED FOR ASSESSMENT.....................................................................9

ACCESSING INTRANET PAGES AND EXTERNAL LINKS......................................................11

Workplace Supervisor/Assessor Instructions....................................................................36

ASSESSMENT WORKBOOK CHECKLIST.......................................................................120

BSBFIN501 - Manage budgets and financial plans (Release 1)

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 5

Each Learner Assessment Pack is made up of four parts:

BSBFIN501 - Manage budgets and financial plans (Release 1)

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 7

BSBFIN501 - Manage budgets and financial plans (Release 1)

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 9

o Petty Cash Statements

o Goods and Service Tax (GST)

o Profit and Loss Statements

o One budget plan

Budget plans may include, but is not limited to the following:

 Two relevant personnel

BSBFIN501 - Manage budgets and financial plans (Release 1)

o At least two resources that can be used to manage financial management

These include, but are not limited to the following:

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 11

BSBFIN501 - Manage budgets and financial plans (Release 1)

Have you signed off 

Other (please describe) 

Assessment Pathway (for Practical Assessment)

Learner’s Organisation (Pre-assessment meeting conducted) 

Simulated Workplace Environment (Contextualised by RTO) 

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 13

Workplace policies and procedures 

Workplace budgets and financial plans 

Learner’s name

Learner’s signature Date

Assessor’s name

Assessor’s signature Date

End of Assessment Agreement

BSBFIN501 - Manage budgets and financial plans (Release 1)

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 15

Contextualisation of Assessments by RTOs

BSBFIN501 - Manage budgets and financial plans (Release 1)

Accounting Principle Explanation of How Each Principle is Applied in the Workplace

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 17

Types of Ageing Accounts Explanation of How Each is Used

BSBFIN501 - Manage budgets and financial plans (Release 1)

Types of Cash Flow Activities Explanation of Each Cash Flow Activity

BSBFIN501 - Manage budgets and financial plans (Release 1)

Spencer College V 1.0 Jan,2021 19