Assessment Task 1

Assessment Task 1: Knowledge
questions
Submission details
The Assessment Task is due on the date specified by your trainer. Any variations to this
arrangement must be approved in writing by your trainer.
Students will use their online study time to prepare for answers to the following questions and
submit both hardcopies and softcopies of the answers.
You must submit soft copy of your answers in a word document.
Upload the softcopy on the link provided in the eLearning site.
See instructions below for details.
Instructions:
 To be prepared on an individual basis.

 Assessment will only be accepted if they have an assignment cover sheet on them
signed by the student.
 Students must provide detailed answer for every question along with relevant
examples.
 There is no word limit, but answer for every question should be reasonable in size,
preferably ½ a page. For the MCQ write the correct option/s only.
 The Trainer/Assessor will also ask these questions and the students must adequately
explain them according to their submitted answers.
 The Trainer/Assessor may further prompt and question in order to receive answers
of appropriate quality and to verify the authenticity
Information for students

Knowledge questions are designed to help you demonstrate the knowledge which you have
acquired during the learning phase of this unit. Ensure that you:
 review the advice to students regarding answering knowledge questions in the Business
Works Student User Guide
 comply with the due date for assessment which your assessor will provide
 adhere with your RTO’s submission guidelines
 answer all questions completely and correctly
BSBESB402 - Establish legal and risk management requirements of new business ventures (Release 1)
Assessment Task 1
Page 1 of 20 Last Updated: April 2021, V. No. 1.1
 submit work which is original and, where necessary, properly referenced
 submit a completed cover sheet with your work
 Avoid sharing your answers with other students.
Resources Required for Assessment

To complete the Practical Assessment tasks, you will require access to:
 Computer with internet and email access, and a working web browser
 Installed software: Word, Adobe Acrobat Reader
 A workplace, or a simulated workplace environment that will allow you access to:
o Relevant information
 Federal and/or state/territory legislation, regulation, best practice or

standards related to the following:
 Consumer legislation
 Environment and sustainability
 Registration and licensing
 Work Health and Safety (WHS)
 Insurance cover
o Workplace documentation, including:
 Policies and procedures for creating, negotiating, and terminating

contractual procurement of goods and services, which must include:
 Investigating procurement rights
 Seeking legal advice
 Negotiating contractual agreements
 Drafting procurement contracts
 Conducting post qualification of procurement bidder
 Terminating contractual agreements
 Policies and procedures for deciding to lease or buy property
 At least two products and at least two services that need to be

procured by your organisation.
 Business planning and management documents such as:
 Business plans
 Compliance policies and procedures
 Business profile
Assessment Task 1
o At least two operational activities that may bring about risks to the
organisation
o Workplace templates, including or similar to the following:
 Business Profile
 Policies and Procedures
 Procurement Report
 Risk Register
 Risk Treatment Plan

o People, including:
 At least one reliable source to assist in identifying legal structure of

organisation
These are individuals or groups who directly deal with or is
associated with different legal requirements of different areas for the
business.
 At least two legal advisor who will be consulted regarding

procurement rights and obligations
These are individuals or groups who specialise in procurement laws
who can provide counsel regarding procurement of different products
or services to the organisation
 At least one relevant party required to participate in procurement

Relevant parties are groups or invidviduals who are involved in the buying or selling of the
goods and services for the purpose of procurement.
Assessment criteria
All questions must be answered correctly in order for you to be assessed as having completed
the task satisfactorily.
ASSESSMENT QUESTIONS
You are required to do research and type answers for following questions in a word document:
Assessment Task 1
Questions
Short Answer Questions

Preliminary Task
Questions 2, 3, and 9 of this Short Answer Questions require you to refer to the
state/territory-specific requirements, such as work health and safety requirements of your
state/territory.
For your assessor’s reference, indicate below which state/territory you are currently based
or located in by ticking the box that corresponds to your answer.
When answering Questions 2, 3, and 9 you must refer to the requirements and legislation
of the state/territory you ticked below.
The state/territory where your workplace/organisation is based or located in.
☐ Australian Capital Territory ☐ South Australia
☐ New South Wales ☐ Tasmania
☐ Northern Territory ☐ Victoria
☐ Queensland ☐ Western Australia
Provide answers to all of the questions below:
Question 1
Review Division 8, Part 1.5 of the Corporations Act 2001:

Corporations Act 2001
https://www.legislation.gov.au/Series/C2004A00818
Answer the following questions related to the rights and obligations of shareholders in a
corporation.
a. Outline the six basic rights of a shareholder who has purchased at least 5% of
shares in a company.
Assessment Task 1
i.
ii.
iii.
iv.
v.
vi.
b. Briefly explain the limited liability of shareholders who are also not a director.

Question 2
Review the Associations Incorporation Reform Act applicable to your state/territory.

Answer the following questions related to the rights and obligations of an incorporated
association member.
a. Identify the minimum number of investors that an incorporated association

requires.

b. Briefly explain how liabilities are distributed in an incorporated association.
Assessment Task 1

c. Briefly explain the taxation responsibilities of an incorporated association.

Question 3
Review WHS Regulation applicable to the state/territory identified in the preliminary task.
Answer the following questions related to record-keeping requirements that must be
reflected in an organisation’s policy and procedures.
Applicable WHS

Regulation
a. Identify four types of records that must be maintained according to the WHS
regulation applicable to their state/territory
i.
ii.
iii.
iv.
b. Identify the minimum period requirement for maintaining each of the following
WHS records

i. WHS training records
Assessment Task 1

ii. Risk assessments

iii. Health monitoring records
Assessment Task 1
Question 4
Access the ATO website to review record-keeping requirements for taxation purposes:
ATO Business
https://www.ato.gov.au/Business/
Answer the following questions related to taxation and record-keeping requirements for
businesses.
a. Outline at least three types of records related outlined according to your policy
and procedures that must be maintained to support each of the business activity
records outlined in the table below
i.a.
i. Goods and
i.b.
Services Tax
(GST)
i.c.
ii.a.
ii. Pay as you go

(PAYG) ii.b.
withholding
records
ii.c.
Assessment Task 1
b. Identify the GST reporting and payment cycle of each the following GST turnover
rates
i. GST turnover is less than $20 million

Without having been advised by
ATO to report monthly

ii. GST turnover is $20 million or more
iii. Organisation is voluntarily registered

for GST and its GST turnover is under
$75,000 ($150,000 for not-for-profit
bodies).
c. Outline the requirements you must report in annual GST return for each type of
GST turnover rate outlined in the table below.
i. Outline the four requirements that

must be included if GST turnover is
less than $10 million
ii. Outline the seven requirements that

must be include d if GST turnover is
equal to or more than $10 million
d. Outline the four conditions that must be met to be eligible to claim GST credits
i.
ii.
iii.
iv.
Assessment Task 1
e. Briefly explain what a fringe benefit is using your own words.

f. Outline the seven steps required to calculate for fringe benefits tax (FBT)
i.
ii.
iii.
iv.
v.
vi.
vii.
Assessment Task 1
g. Outline the two evidence that records relating to FBT return must be able to show.
i.
ii.
h. Outline five types of records that can be used to support FBT return .
i.
ii.
iii.
iv.
v.
Question 5
Assume you are assisting in setting up a new branch for Bounce Fitness, a premiere fitness
centre located in Australia.
Access the Fitness Industry Award 2020 from the link provided below:
Fitness Industry Award 2020
https://www.fwc.gov.au/awards-and-agreements/awards/modern-awards/modern-awards-list
Answer the following questions related to industrial relation requirements and principles.
a. Identify the requirements for hours of work

i. Number of workdays when ordinary
hours can be carried out
Assessment Task 1

ii. Timeframe when ordinary hours
can be carried out on weekdays
(Monday to Friday)

iii. Timeframe when work can be
carried out on weekends (Saturday
and Sunday)

iv. Maximum amount of work hours
on any one day
b. Identify the minimum weekly rate for each of the following employee
classification levels

i. Level 1

ii. Level 2

iii. Level 3
c. Identify the three acceptable methods that wages are to be paid by an employer.
i.
Assessment Task 1
ii.
iii.
d. Outline the three types of time worked by a regular employee that is considered
overtime.
i.
ii.
iii.
e. Outline the three steps an employer must undertake if they are to make a definite
decision to make major changes in production, program, organisation, structure or
technology that are likely to have significant effect on employees.
i.
ii.
Assessment Task 1
iii.
Question 6
Answer the following questions regarding the key steps in risk management processes.
a. Complete the table below.

Briefly explain how to conduct each step of the risk management process outlined
in the table below.
Explanation of How to Conduct Each

Risk Management Process
Step of the Risk Management Process
i. Identify risks
ii. Analyse risks
iii. Evaluate risks
iv. Treat risks
Assessment Task 1
v. Monitoring and reviewing risks
b. Complete the table below.

Briefly explain how each option for treating risk is applied in the workplace.
Explanation of How Each Option is

Risk Treatment Options
Applied in the Workplace
i. Avoid risk
ii. Reduce risks
iii. Transfer risk
iv. Accept risk
c. Outline the six requirements that you must include in a risk treatment plan
i.
ii.
iii.
iv.
v.
Assessment Task 1
vi.
Assessment Task 1
Question 7
Briefly describe each taxation principle outlined in the table below.
Taxation Principle Description

i. Canon of Equity

ii. Canon of Certainty

iii. Canon of
Convenience

iv. Canon of Economy
Question 8
Answer the following questions regarding updating and maintaining legal documents in the
organisation.
a. Identify two reasons why each the following documents must be maintained by
an organisation.
Reason Why Documentation Must be

Documentation that must be maintained
Maintained
Assessment Task 1
i. planning documentation including
business cases, project plans and
related correspondence, including
approvals
ii. benchmarks agreed upon

(including technical specifications,
metadata and quality assurance)
and supporting assessments
(including identification of risk,
levels of risk and assessments
against standards)
iii. assessments carried out of any

business or legal requirements to
retain records in their original
format
b. Identify two requirements for each type of paper record-based actions that must
be done once documents are updated into a digitised versions.
Actions on Original Paper Records Requirements for Original Paper
Records
i. To be destroyed i.a.
i.b.
ii. To be retained by your ii.a.

organisation and used as
evidence of business…
Assessment Task 1
ii.b.
iii. To be transferred to State iii.a.

Records as State archives…
iii.b.
Question 9
Review the Competition and Consumer Act 2010.

Competition and Consumer Act 2010.
https://www.legislation.gov.au/Series/C2004A00109
Answer the following questions related to the rights of consumers.
a. Briefly explain the function of the Competition and Consumer Act 2010

b. Outline the five areas of consumer rights that the Competition and Consumer Act
protects.
i.
ii.
Assessment Task 1
iii.
iv.
v.
c. Outline three guarantees of a consumer that apply to goods that are sold through
trade or commerce.
i.
ii.
iii.
Assessment Task 1

Assessment Task 1

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Assessment Task 1: Knowledge

You must submit soft copy of your answers in a word document.

Upload the softcopy on the link provided in the eLearning site.

See instructions below for details.

 To be prepared on an individual basis.

Information for students

 adhere with your RTO’s submission guidelines

 answer all questions completely and correctly

 submit a completed cover sheet with your work

 Avoid sharing your answers with other students.

Resources Required for Assessment

 Federal and/or state/territory legislation, regulation, best practice or

 Environment and sustainability

 Registration and licensing

 Work Health and Safety (WHS)

 Policies and procedures for creating, negotiating, and terminating

 Seeking legal advice

 Negotiating contractual agreements

 Drafting procurement contracts

 Conducting post qualification of procurement bidder

 Terminating contractual agreements

 Policies and procedures for deciding to lease or buy property

 At least two products and at least two services that need to be

 Compliance policies and procedures

 Policies and Procedures

 Risk Treatment Plan

 At least one reliable source to assist in identifying legal structure of

 At least two legal advisor who will be consulted regarding

 At least one relevant party required to participate in procurement

Short Answer Questions

The state/territory where your workplace/organisation is based or located in.

☐ Australian Capital Territory ☐ South Australia

☐ New South Wales ☐ Tasmania

☐ Northern Territory ☐ Victoria

☐ Queensland ☐ Western Australia

Provide answers to all of the questions below:

Review Division 8, Part 1.5 of the Corporations Act 2001:

Review the Associations Incorporation Reform Act applicable to your state/territory.

a. Identify the minimum number of investors that an incorporated association

b. Briefly explain how liabilities are distributed in an incorporated association.

c. Briefly explain the taxation responsibilities of an incorporated association.

Applicable WHS

ii. Pay as you go

i. GST turnover is less than $20 million

iii. Organisation is voluntarily registered

i. Outline the four requirements that

ii. Outline the seven requirements that

a. Identify the requirements for hours of work

a. Complete the table below.

Explanation of How to Conduct Each

i. Identify risks

ii. Analyse risks

iii. Evaluate risks

iv. Treat risks

b. Complete the table below.

Explanation of How Each Option is

i. Avoid risk

ii. Reduce risks

iii. Transfer risk

iv. Accept risk

Briefly describe each taxation principle outlined in the table below.

Taxation Principle Description