NATIONAL ECONOMICS UNIVERSITY

SCHOOL OF ACCOUNTING AND AUDITING

ACCOUNTING INTERNSHIP REPORT

SIMON ELECTRIC VIETNAM JOINT STOCK COMPANY

Student’ name: Vu Thi Thu Hien

Class: Auditing EEP 62B
Student’s ID: 11201448
Supervisor: Assoc. Prof. PhD. Le Kim Ngoc

Hanoi, 2023
 NATIONAL ECONOMICS UNIVERSITY
SCHOOL OF ACCOUNTING AND AUDITING

ACCOUNTING INTERNSHIP REPORT

SIMON ELECTRIC VIETNAM JOINT STOCK COMPANY

Student’ name: Vu Thi Thu Hien

Class: Auditing EEP 62B
Student’s ID: 11201448
Supervisor: Assoc. Prof. PhD. Le Kim Ngoc

Hanoi, 2023
 TABLE OF CONTENT

LIST OF ABBREVIATIONS..........................................................................i
LIST OF DIAGRAMS....................................................................................ii
LIST OF TABLES.........................................................................................iii
LIST OF FIGURES.......................................................................................iv
INTRODUCTION...........................................................................................1
CHAPTER 1: OVERVIEW OF TECHNICAL – ECONOMIC
MANAGEMENT AND ORGANIZATIONAL STRUCTURE OF SIMON
ELECTRIC VIETNAM JOINT STOCK COMPANY................................1
1.1 History of the Establishment and Development of Simon Electric
Vietnam Joint Stock Company.......................................................................1
1.1.1. General Introduction of the Simon Electric Vietnam Joint Stock
Company........................................................................................................
1.1.2. Process of formation and development................................................
1.1.3. Achievements.......................................................................................
1.2. Features of business operations...............................................................7
1.2.1 Functions and Responsibilities..............................................................
1.2.2 Main business activities.........................................................................
1.2.3. Features of technology and production process.................................12
1.3. Organizational structure........................................................................18
1.3.1. Model of organizational structure & Chart of firm’s organizati........18
1.3.2. Functions and responsibilities of each department, division and the
relationship between departments in the company.......................................20
1.4. Financial position and Financial Performance of the Simon Electric
Vietnam Joint Stock Company.....................................................................26
CHAPTER 2: INTRODUCTION TO ACCOUNTING
ORGANIZATION AND SYSTEM APPLIED IN SIMON ELECTRIC
VIETNAM JOINT STOCK COMPANY...................................................30
2.1 Structure of accounting organization.....................................................30

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 2.1.1. Organization chart of the accounting apparatus.................................30
2.1.2. Accounting duties and functions........................................................30
2.2. Features of Accounting System............................................................33
2.2.1 General Accounting Policies..............................................................33
2.2.2. Features of Accounting Documents...................................................34
2.2.3. Features of Chart of Accounts............................................................39
2.2.4. Features of Accounting Books...........................................................44
2.2.5. Features of Accounting Reports.........................................................47
2.3 Features of some key accounting cycles in Simon Electric Vietnam Joint
Stock Company............................................................................................48
2.3.1. Features of Accounting for Cash in Simon Electric Vietnam Joint
Stock Company............................................................................................48
2.3.2 Features of Accounting for payroll and payroll deductions................53
2.3.3. Features of Accounting for Sales.......................................................61
CHAPTER 3: EVALUATION OF ACCOUNTING ORGANIZATION
AND SYSTEM IN SIMON ELECTRIC VIETNAM JOINT STOCK
COMPANY....................................................................................................67
3.1. Evaluation of accounting organization..................................................67
3.1.1. Advantages.........................................................................................67
3.1.2. Disadvantages.....................................................................................68
3.2. Evaluation of accounting system..........................................................70
3.2.1. Advantages.........................................................................................70
3.2.2. Disadvantages.....................................................................................72
3.3. Recommendations for the organization of accounting at Simon Electric
Vietnam Joint Stock Company.....................................................................73
CONCLUSION..............................................................................................76
REFERENCE................................................................................................77
APPENDIX....................................................................................................78

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 LIST OF ABBREVIATIONS
Abbreviation Full name
Simon Simon Electric Vietnam Joint Stock
Company
VND Vietnam dong
JSC Joint Stock Company
VAT Value Added Tax
Dr. Debit
Cr. Credit

i
 LIST OF DIAGRAMS
Diagram 2. 1: The accounting organization chart at SIMON VIETNAM......28
Diagram 2. 2: Sequence diagram of bookkeeping vouchers...........................43
Diagram 2. 3: Flow chart of cash receipt........................................................47
Diagram 2. 4: Flow chart of cash payment.....................................................48
Diagram 2. 5: Bookkeeping process...............................................................49
Diagram 2. 6: General accounting chart of accounting salary........................55
Diagram 2. 7: Sequence diagram of accounting book of payroll....................56
Diagram 2. 8: Flowchart of the circulation of salary accounting documents
and salary deductions......................................................................................57
Diagram 2. 9: Flowchart of the circulation of Sales accounting.....................60

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 LIST OF TABLES
Table 1. 1: Data in the last 3 years of Simon Vietnam....................................27

Table 2. 1: Accounting documents are used in the company 34

Table 2. 2: List accounts in VAS....................................................................41

Table 2. 3: Regulations on payroll deductions of Company...........................56

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 LIST OF FIGURES
Figure 2. 1: VAT invoice with a list of products produced by Simon Electric
Vietnam Joint Stock Company........................................................................61
Figure 2. 2: Voucher to the State Budget of Simon Electric Vietnam Joint
Stock Company...............................................................................................62
Figure 2. 3: Formula to determine sales results..............................................63
Figure 2. 4: Formula to determine net sales from sales..................................63

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 INTRODUCTION
The manufacturing company specializing in lighting equipment and
water supply pipes is a vital sector that holds significant importance in the
national economy. Throughout its establishment and growth, this industry has
effectively fulfilled political, socio-economic tasks assigned by the
government, and made valuable contributions to the country's development,
industrialization, modernization, and the improvement of people's living
standards.
Recognizing the significance of the company in this industry, I have
applied for a 2-month internship at the Simon Electric Vietnam Joint Stock
Company, where I gained practical experience and further developed my
understanding of accounting principles and practices. Through this internship,
I aim to explore the unique characteristics of the accounting system employed
by the company and its relevance to the manufacturing of lighting equipment
and water supply pipes. Based on the knowledge acquired through academic
coursework and the insights gained during the internship, I have prepared an
Accounting Internship Report to provide a comprehensive overview of the
company's accounting practices.
This report is structured in 3 parts:
Chapter 1: Overview of technical – economic management and
organizational structure of Simon Electric Vietnam Joint Stock
Company
Chapter 2: Introduction to accounting organization and system applied
in Simon Electric Vietnam Joint Stock Company
Chapter 3: Evaluation of accounting organization and system in Simon
Electric Vietnam Joint Stock Company
 Despite our best efforts, due to the short internship period and limited
knowledge, the internship report inevitably contains shortcomings and
subjective and incomplete judgments. I look forward to receiving Teacher's
comments to improve the report. Thank you sincerely.

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 CHAPTER 1: OVERVIEW OF TECHNICAL – ECONOMIC
MANAGEMENT AND ORGANIZATIONAL STRUCTURE OF SIMON
ELECTRIC VIETNAM JOINT STOCK COMPANY
1.1 History of the Establishment and Development of Simon Electric
Vietnam Joint Stock Company
1.1.1. General Introduction of the Simon Electric Vietnam Joint Stock
Company

Full name Simon Electric Vietnam Joint

Stock Company

Head office Lot CN06, Yen My II Industrial

Zone, Yen My Town, Yen My
District, Hung Yen Province,
Vietnam

Phone number 0968111900

Fax 02437830925

Website https://simon.vn/

Simon is a well-known global brand for providing electrical appliances,

lighting equipment, and smart ecosystems. Born in 1916 in Spain, up to now,
Simon has been present in 90 countries with 15 production plants located in
10 countries around the world. Simon brand approaches the Vietnamese
market with products manufactured in Spain, China, and Simon Vietnam
factories. SIMON VIETNAM was first established in 1997 as a commercial
business company. The company’s factory was officially put into operation in
2003 and it simultaneously launched the electrical products Roman and the

1
water pipe products Sunmax PPR, which have been the main products of the
company sold on the market. In 2021, the corporation structure changed to
Simon Electric Vietnam Joint Stock Company (the abbreviation is SIMON
VIETNAM), proceeding to build a new factory at Yen My II Industrial Zone
in Hung Yen.
SIMON VIETNAM’s mission is to become a strong corporation in
manufacturing LED lighting equipment, electrical equipment, and household
electrical appliances. Its guideline always advances the quality of the
commodities and services in order to bring the optimal utility for customers
with the highest satisfaction, become the trustworthy and lasting partner of
suppliers with the commitment to benefits of both parties and build the
endurable image of SIMON VIETNAM associated with the high-level
international counterparts of the field.
CORE BUSINESS SECTORS:
- Manufacturing and trading electrical equipment, and LED lighting
equipment.
- Precision mold manufacturing and high-quality industrial plastic
products production and processing.
- Manufacturing and trading PP-R water industry equipment.
The company has 3 manufacturing factories and 4 representative offices in
Vietnam:
- Hanoi office: 5th Floor, C Plus Office Building, Group 28, Thanh Thai
Street, Dich Vong Ward, Cau Giay District, Hanoi.
- Ho Chi Minh City office: 4th Floor, Y12 Hong Linh Building, Bac Hai
Residential Area, Ward 15, District 10, Ho Chi Minh City.
- Da Nang office: 35 Ngo Quyen, Tho Quang, Son Tra, Da Nang.
- Can Tho office: 124 Vo Van Kiet, Binh Trung, Long Hoa, Binh Thuy,
Can Tho City.
1.1.2. Process of formation and development
1997 - Establishment of the Company.

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2003 - The factory in Dong Van Industrial Zone, Ha Nam officially started
operation, introducing the Roman electrical equipment and Sunmax PPR
water pipe products.
2009 - Business restructuring, transitioning from a Limited Liability
Company to a Joint Stock Company. Tam Kim Joint Stock Company has
branches in Hanoi, Da Nang, Ho Chi Minh City, and Tam Kim Trading
Limited Liability Company.
2013 - The second manufacturing plant in Phu Ly Industrial Zone, Ha Nam,
commenced operations. The production line for energy-saving LED lights
was completed.
2015 - M&A (Merger and Acquisition) of a mold manufacturing plant and
production of Zion industrial plastic products.
2016 - Completion of a high-tech factory with an area of 10,000m2
specializing in the production of LED lighting. Expansion of LED light
production with Juki automated production lines from Japan.
Tam Kim Joint Stock Company is one of the pioneering companies in
the production of LED lighting equipment, electrical equipment, and water
equipment in the Vietnamese market. Starting with 5 employees, over the
course of 20 years of formation and development, with the dedication of the
Leadership Board and employees, Tam Kim has now established branch
systems in the North, Central, and South regions with over 1,000 employees
and 2 manufacturing plants for Roman and Sunmax electrical equipment, as
well as 1 mold manufacturing plant.
By strictly implementing the ISO 9001:2015 quality management
system and with the guidance of the leadership board along with a team of
competent, enthusiastic, and responsible employees, Tam Kim is experiencing
significant growth. The company is committed to developing for the benefit

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of customers, partners, employees, and the community through high-quality
products and services.
Simon Vietnam Electrical Equipment Joint Stock Company (The
predecessor of Tam Kim Joint Stock Company was established in 1977 - it is
one of the pioneering companies in the production of electrical equipment and
LED lighting equipment in the Vietnamese market), established on November
24, 2020, officially merged with the Simon Group from Spain in 2021.
(Shown in Appendix 1)
Simon Vietnam's factory is built on an area of over 25,000 square
meters, applying modern production lines and advanced European
technology, along with the research and innovation values inherited from the
Simon Group of Spain over the past 100 years.
With the goal of providing innovative solutions to the market, Simon
Vietnam is constantly driving digital transformation by integrating leading
global energy processes and technologies. We apply the ISO 9001:2015
standard in production to ensure that all products reaching consumers meet
the highest quality standards. In addition, the company flexibly applies the
Kaizen method, 5S, and a comprehensive production-sales enterprise
management system according to international standards (SAP Business One
- Germany) to continuously improve technology with the desire to provide
professional and dedicated customer care services.
Simon Vietnam's market operations are not only widespread in
Vietnam but also expand to neighboring countries such as Cambodia, Laos,
Myanmar, and more. As a member of a global group, Simon Vietnam is
committed to accompany the development and prosperity of Vietnam and
countries in the region on the path of integration.

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 PRODUCTION CAPACITY
With a large factory area, strong financial capacity, and automated
production lines supported by a highly skilled workforce, Tam Kim ensures
the fulfillment of technical and quality criteria, as well as the ability to supply
large orders with fast and timely delivery. The annual production output has
shown significant growth, and the distribution network covers over 1,000
agents nationwide, serving various projects such as apartment buildings,
offices, high-rise buildings, villas, hotels, and resorts.
- LED lighting equipment: 5 million products per year (LED
tubes, LED downlights, wall lights, LED rechargeable lights, LED recessed
ceiling lights, LED floodlights, recessed light fixtures, LED vanity mirrors,
LED industrial lights, LED street lights, emergency lights, exit lights,
explosion-proof lights, LED strips, light fixtures...)
- Electrical equipment: 8 million products per year (switches,
sockets, circuit breakers, distribution boards, electrical cabinets, ventilation
fans…)
- PVC conduit pipes, PP-R water pipes: 3 million products per
year.
1.1.3. Achievements
DOMESTIC MARKET
Roman and Sunmax electrical equipment have over 600 distributors
and thousands of customer agents across the three regions of North, Central,
and South Vietnam. The company's branch system is located in three major
cities: Hanoi, Da Nang, and Ho Chi Minh City. Over 600 distributors and
more than 2000 agents, serve thousands of projects of various sizes.
SOME PROJECTS USING SIMON PRODUCTS:
- TASECO Complex, Hanoi.
- VICOSTONE Staff Housing Project, Hanoi.

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 - HATECO Apartment Buildings, Hanoi.
- Metropolitan Apartment Buildings - CT36, Hanoi.
- CT1 - L4 Ciputra Apartment Buildings, Hanoi.
- N03; N04 NGOAI GIAO DOAN Apartment Buildings, Hanoi.
- National Tropical Hospital, Hanoi.
- Rosaka Hotel, Nha Trang.
- Pavilion Hotel, Da Nang.
- Viet-Nhat Hospital, Bach Mai, Hanoi.
- VietinBank, Da Nang.
- Viet Duc Hospital, Hanoi.
- Babylon Premium Apartment Buildings, Ho Chi Minh City.
- The Sun Avenue Apartment Project, Ho Chi Minh City.
- IDICO Tan Phu High-rise Apartment Complex, Ho Chi Minh City.
- AEON MALL Commercial Center, Ho Chi Minh City.
- Hoa Sen Apartment Buildings, Ho Chi Minh City.
- Parcspring Luxury Apartment Buildings, Ho Chi Minh City.
SOME AWARDS, CERTIFICATES, AND RECOGNITIONS
- Vietnam High-Quality Product Certification.
- National Quality Silver Award.
- ISO 9001:2008 Certification.
- Vietnam CLC Gold Medal in accordance with standards.
- Roman - Sunmax Ventilation Fan Compliance Certification.
- Sao Vang Dat Viet Award Certificate.
- Sao Vang Dong Bang Song Hong Certification.
- Outstanding Collective Labor Certification.
INTERNATIONAL MARKET
Roman electrical and lighting equipment products are exported to markets
within the region (export to Laos, Cambodia, Myanmar) and worldwide. In

6
the future, Roman aims to produce high-end products for export to demanding
markets such as the United States and European countries.
1.2. Features of business operations
1.2.1 Functions and Responsibilities
Simon Electric Vietnam Joint Stock Company is an entity that focuses
on manufacturing LED lighting equipment and water supply pipes under the
legislation of the government. The company has the following functions and
duties:
- Conducting research and development activities to innovate and
improve lighting products.
- Designing lighting products and water supply pipes, considering factors
such as aesthetics, functionality, energy efficiency, and safety;
employing engineers and designers who create detailed specifications,
drawings, and prototypes for new products.
- Maintaining high-quality standards in their products.
- Ensuring compliance with relevant laws, regulations, and safety
standards governing the manufacturing and distribution of lighting and
water pipes products.
- Managing the entire lifecycle of the products, from initial design and
development to eventual retirement or replacement.
- Collaborating with architects, interior designers, and lighting as well as
water pipe consultants to provide guidance on lighting and water pipe
solutions for various applications such as residential, commercial, or
industrial projects.
- Developing effective marketing strategies to create brand awareness,
differentiate the company's products from competitors, and communicate
unique value propositions to customers.

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 - Establishing clear warranty terms and after-sales service policies to
provide customers with peace of mind.
1.2.2 Main business activities
Simon is a well-known global brand providing electrical appliances,
lighting equipment, and smart ecosystems. Born in 1916 in Spain, up to now,
Simon has been present in 90 countries with 15 production plants located in
10 countries around the world.
Simon brand approaches the Vietnamese market with products
manufactured in Spain, China, and Simon Vietnam factories. Products made
in Vietnam are designed and fine-tuned to suit the tastes and consumption
habits of Vietnamese people.
Simon is a pioneer in creating luxurious designs, flexible functions, and
durable quality products because the brand focuses on aesthetic value and use
value in each product. Over the past 100 years, Simon has continuously
researched and innovated and has owned more than 100 patents, and been
awarded more than 60 international design awards. In Vietnam, Simon
focuses on 04 main categories: Electrical Equipment, LED lighting
Equipment, Smarthome Equipment, and Smart Room System RCU.
All Simon products undergo rigorous testing with European standards
on the world's leading machinery system before reaching the market because
we aim for perfection in each product. As a result, the life of the products
goes hand in hand with time, saving replacement and repair costs.
Besides quality and functionality, Simon focuses on the design of each
model, from the smallest details. We aim to be minimalist but trendy, gentle
but delicate so that each product, not only an ordinary electrical device but
also a decorative item, breathes life into each space, exalting luxury. , the
class for each house.

8
 In Vietnam, Simon has accompanied thousands of 5-star projects and
officially has a branch and factory since 2021. With a history of more than
100 years, in the coming time, Simon will surely bring a new breath of light
to lighting technology and create a leading smart hotel and housing ecosystem
for the Vietnamese market.
For 20 years of sustainable growth and development, Tam Kim has
focused on key industries such as LED lighting manufacturing, electrical
equipment, PP-R water pipes, and precision mold manufacturing and
processing.
The company has invested in technology lines, human resources, and
infrastructure to ensure the supply of high-quality products at reasonable
prices.
Tam Kim applies quality management systems in production and
management, including:
● ISO 9001:2015 quality management system.
● 5S standard.
● Measurement, inspection, and quality control system.
● Testing laboratory that meets the required standards.
Roman electrical devices are durable and aesthetically pleasing
products, designed with various convenient features and safety
considerations, particularly for the elderly and young children.
Roman electrical devices are continuously improved to meet market
demands. Company offers a wide range of options, diverse in design and are
essential products for any household.
Switches and sockets, circuit breakers, ventilation fans, and PVC
electrical conduits are just a few examples of the rich variety of Roman
electrical devices available. These products are indispensable in your home.
● Switches and sockets

9
 ● Circuit Breakers
● Ventilation fans
● PVC electrical conduits
LED lighting equipment is prioritized for investment and development,
with a focus on incorporating modern technology and machinery into the
production process to achieve synchronized manufacturing of a wide range of
LED products, providing customers with numerous choices.
With outstanding features including energy efficiency, high-quality
illumination, absence of harmful substances, and environmental friendliness,
LED lighting equipment offers significant advantages.
● LED Tube Light
● LED Downlight
● LED Surface Mount Ceiling Light
● LED Bulb
● LED Wall Light - LED Vanity Mirror Light
● LED Office Light
● LED Track Light
● LED Exit Light - LED Emergency Light - LED Explosion-proof
Light
● LED Industrial Light
● LED Street Light
LED household appliances are essential products for households,
restaurants, hotels, supermarkets, and more. Every year, Roman supplies
millions of high-quality LED household lighting products to meet the
essential needs of every family.
These LED household appliances include a wide range of lighting
fixtures and other devices that enhance convenience and efficiency in daily
life. Roman's commitment to providing quality products ensures that

10
customers can rely on their LED household appliances for long-lasting
performance and satisfaction.
LED Household Appliances
● Wireless Doorbell
● Electric Fan – Air Cooler
● Rechargeable LED Flashlight
● LED Headlamp
● LED Study Lamp
● Mosquito Swatter
Roman Decorative Lighting: Diverse in types, designs, and styles,
inspired by modern Italian aesthetics, suitable for every user's decorative
needs. To create a beautiful space with high aesthetic value, the presence of
decorative lighting is essential, as it enhances the overall elegance of the
environment.
● Chandeliers
● Ceiling-mounted lights
● Pendant lights for dining rooms and bars
● Hotel lighting systems
PP-R 2-layer antibacterial water pipes, first introduced in
Vietnam. Sunmax PP-R water pipes and fittings are products that apply
modern technology in water supply systems worldwide. To uphold the criteria
of "safety first, long-lasting value," Sunmax antibacterial PP-R water pipes go
beyond their role in water supply and have significant applications in fields
such as healthcare, community health, and environmental friendliness through
the use of Nano Silver antibacterial technology. This is a remarkable
application of science and technology.

11
Within the composition of the pipes, there are silver molecules (Ag+ ions)
that effectively inhibit the activity of proteins on bacterial cell membranes,
preventing bacterial transmission and ensuring long-lasting effectiveness.
Currently, Simon Joint Stock Company is the sole entity that owns and
supplies the 2-layer antibacterial water pipes to the market. These two-layer
antibacterial pipes have superior advantages compared to other conventional
PP-R pipes currently available in Vietnam. Sunmax's primary goal of
"Antibacterial - Anti-disease - Pioneering mission" is achieved through
certified products that are non-toxic, non-scaling, and ensure food safety and
hygiene.
● The product meets the TCVN 6480-1:1999 standard.
● It has been tested and meets the quality standard of the National
Institute of Nutrition (VSATTP).
● It has been tested and meets the quality standard of the Quality
Measurement Center under the General Department of Quality
Measurement - Ministry of Science and Technology.
● It has been tested and meets the quality standard of the Korean Testing
& Research Institute.
● The product complies with the DIN 8007:1999-07, DIN 8078:1996-04
standards.
● The antibacterial pipe standard test meets the SGS Switzerland
standard.
1.2.3. Features of technology and production process
The detailed process of making SIMON LED lights typically involves
the following steps:

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 Diagram 1.1: Process of making LED light
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
1. LED Chip Production: The process begins with the production of
LED chips. LED wafers are created by depositing layers of semiconductor
materials onto a substrate through a process called epitaxy. The wafers are
then diced into individual LED chips.
2. LED Packaging: The LED chips are then packaged to protect
them and provide electrical connections. This involves placing the LED chip
in a housing and bonding it to a lead frame. Wires are attached to the LED
chip, and the package is encapsulated with a resin or silicone to protect the
chip from environmental factors and enhance its optical characteristics.
3. PCB Manufacturing: Printed Circuit Boards (PCBs) are
produced to provide the electrical connections and support for the LED chips.
PCBs are manufactured by etching copper tracks onto a non-conductive

13
substrate, typically made of fiberglass-reinforced epoxy. The tracks are
designed to connect the LEDs and other electronic components.
4. Soldering and Assembly: The LED chips and other
electroniccomponents, such as resistors, capacitors, and integrated circuits,
are soldered onto the PCB. Automated Surface Mount Technology (SMT) or
Through-Hole Technology (THT) may be used for component placement and
soldering. Fine-pitch soldering techniques ensure reliable electrical
connections.
5. Driver Circuitry: LED lights require a driver circuit to regulate
the electrical current flowing to the LEDs. The driver circuit converts
electrical power from the main power source to the appropriate voltage and
current required by the LEDs. The driver circuit is integrated into the PCB or
housed separately, depending on the design.
6. Optical Components: Optical elements, such as lenses, diffusers,
and reflectors, are added to control the light distribution and enhance the
performance of the LED light. These components are carefully designed to
optimize light output, beam angle, and uniformity.
7. Heat Dissipation: LED lights generate heat, which needs to be
effectively dissipated to maintain optimal performance and prolong the
lifespan of the LEDs. Heat sinks, made of materials with high thermal
conductivity, are incorporated into the design to absorb and dissipate heat
away from the LEDs.
8. Quality Control and Testing: Rigorous quality control measures
are implemented throughout the manufacturing process. LED lights undergo
various tests, including electrical testing, thermal testing, and optical testing,
to ensure they meet quality standards and specifications. This includes
checking for proper electrical connections, color consistency, brightness
levels, and overall performance.

14
 9. Final Assembly and Packaging: Once all the components are
assembled and the LED lights pass quality control checks, they are prepared
for final assembly. This involves installing the PCB and associated
components into the final housing or fixture. The LED lights are then
packaged and labeled for shipment, with packaging materials chosen to
protect them during transportation.
10. Distribution and Sales: The packaged LED lights are distributed
to wholesalers, retailers, or directly to customers. Marketing and sales efforts
are undertaken to promote the products and reach the intended target market.
11. Installation and Use: End users purchase and install the LED
lights according to their specific requirements. Installation instructions and
guidelines are typically provided to assist with proper installation, wiring, and
operation of the LED lights.

15
 The detailed process of making PP-R water pipes typically involves the
following steps:

Diagram 1.2: Process of making PP-R water pipes

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
1. Material Selection: The first step is to select the appropriate
material for the water supply pipe. Common materials used for water supply
pipes include copper, PEX (cross-linked polyethylene), PVC (polyvinyl
chloride), and HDPE (high-density polyethylene). The choice of material
depends on factors such as cost, durability, and local building codes.
2. Pipe Cutting: Once the material is selected, the pipes are cut to
the desired length using appropriate cutting tools. The cuts should be clean
and square to ensure proper fitting and sealing.
3. Pipe Shaping and Joining: The pipes may need to be shaped or
bent to fit the layout of the water supply system. This can be done using pipe
bending tools or by heating the pipe and bending it to the desired shape. The
pipes are then joined together using suitable connectors or fittings. The type

16
of fittings used depends on the pipe material and the connection method
(soldering, gluing, compression, etc.).
4. Pipe Sizing and Layout: The sizing and layout of the water
supply pipes are determined based on the water demand and the building's
plumbing design. Proper sizing ensures adequate water flow and pressure
throughout the system. The pipes are laid out according to the planned design,
taking into account factors such as pipe supports, accessibility, and potential
expansion or contraction due to temperature changes.
5. Pipe Installation: The pipes are installed in the building structure
or underground following the approved design and local plumbing codes.
Care is taken to ensure proper alignment, support, and protection of the pipes.
The pipes may be secured using pipe clamps, brackets, or hangers.
6. Connection to Water Source: The water supply pipes are
connected to the water source, such as a municipal water line or a well. This
connection may involve installing valves, regulators, or other control devices
to regulate the water flow and pressure.
7. Pressure Testing: After the pipe installation is complete, a
pressure test is conducted to check for any leaks or weaknesses in the system.
The pipes are pressurized with water or air, and the pressure is monitored for
a specified period. Any leaks or pressure drops indicate potential issues that
need to be addressed.
8. Insulation and Protection: Depending on the location and
climate, the water supply pipes may need to be insulated to prevent freezing
in cold weather or to reduce heat transfer in hot environments. Additionally,
pipes exposed to potential damage or corrosion may require protective
coatings or sleeves.

17
 9. Final Inspection: Once the water supply pipes are installed and
tested, a final inspection is typically carried out by local authorities or
building inspectors to ensure compliance with plumbing codes and standards.
1.3. Organizational structure
1.3.1. Model of organizational structure & Chart of firm’s organizati

18
Diagram 1.3: Diagram of the company's organizational apparatus
(Source: Accounting Department of Simon Electric Vietnam Joint Stock Company - 2022)

19
1.3.2. Functions and responsibilities of each department, division and the
relationship between departments in the company

General Director
The general director, or CEO, holds the highest-ranking executive
position in the organization:
- Providing overall leadership and strategic direction to the
organization, developing and communicating the company's vision, mission,
and long-term goals, and formulating strategies to achieve them.
- Representing the organization and interacting with various
stakeholders, including shareholders, board members, employees, customers,
suppliers, and government authorities.
- Establishing and implementing organizational policies,
procedures, and systems, as well as overseeing day-to-day operations to
ensure efficiency and effectiveness.
- Reporting to the board of directors and providing regular updates
on the organization's performance, financial results, and strategic initiatives.
Factory Director
The Factory Director holds a critical role in overseeing the operations
and management of a factory:
- Developing and implementing strategic plans and objectives for
the factory in alignment with the overall organizational goals.
- Responsible for the day-to-day operations of the factory,
ensuring that production processes are efficient, resources are effectively
utilized, and production schedules are met.
- Collaborating with the finance team to develop and manage the
factory budget.

20
 - Establishing and maintaining quality control systems to ensure
that products meet or exceed customer expectations and comply with industry
standards.
- Working closely with the procurement and logistics teams to
ensure a smooth and efficient supply chain.
- Collaborating with other departments, such as sales, marketing,
and customer service, to address customer requirements and ensure seamless
operations.
HR Department Director
The Human Resources Director, plays a critical role in overseeing the
human resources function within the organization:
- Collaborating with senior management to identify HR needs,
establish workforce strategies, and support long-term organizational success.
- Overseeing the recruitment and selection process.
- Developing and implementing policies and procedures, handling
employee grievances and disciplinary matters, and ensuring compliance with
labor laws and regulations.
- Developing performance appraisal systems, providing guidance
to managers on performance evaluations, and facilitating the setting of
performance goals and objectives.
HR Department
The HR (Human Resources) department plays a crucial role in
managing various aspects of the employee lifecycle and supporting the
organization's workforce:
- Attracting and hiring qualified candidates.
- Providing orientation sessions, introducing company policies and
procedures, completing necessary paperwork, and facilitating the integration
of new hires into the organization.

21
 - Identifying training needs and coordinates training programs to
enhance employee skills and knowledge.
- Collecting and analyzing HR data to gain insights into workforce
trends, demographics, and performance metrics.
- Managing the company's HR information systems, including
employee databases, payroll systems, and attendance tracking systems.
Assistant Manager Department
The Assistant Manager department plays a significant role in
supporting the overall management and operations of the organization:
- Assisting in managing day-to-day operations. They oversee
workflow, ensure efficient processes, and handle operational challenges as
they arise.
- Participating in problem-solving and decision-making processes.
- Preparing reports and conducts analysis to provide insights into
various aspects of the business.
- Facilitating communication and coordination within and across
departments.
R&D department
Research and Development (R&D) department is responsible for
driving innovation, technological advancement, and product development
within an organization:
- Conducting research activities to explore new technologies,
ideas, and trends.
- Developing new products and improving existing ones.
- Establishing collaborations and partnerships with external
entities, such as research institutions, and industry experts.
- Conducting market analysis and competitive intelligence to
understand customer needs, market trends, and competitor offerings.

22
 CFO
The Chief Financial Officer (CFO) is responsible for managing the
financial aspects of the organization:
- Ensuring accurate and timely financial reporting in accordance
with applicable accounting standards and regulatory requirements.
- Managing the organization's capital structure and optimizing the
allocation of financial resources.
- Managing the organization's cash flow, liquidity, and working
capital.
- Interacting with shareholders, analysts, and investors to
communicate the organization's financial performance and strategy.
Finance and Accounting department
The Finance and Accounting department is responsible for managing
the financial activities and maintaining accurate financial records for an
organization:
- Preparing financial statements, including the balance sheet,
income statement, and cash flow statement.
- Collaborating with other departments to develop annual budgets,
monitor spending against budgeted amounts, and provide financial insights to
support decision-making.
- Conducting financial analysis to assess the organization's
financial health and performance.
- Managing cash flow to ensure the organization has sufficient
liquidity to meet its financial obligations.
- Processing payroll, calculating employee salaries, deductions,
and benefits, and ensuring compliance with tax and labor laws.
CCO

23
 The Chief Customer Officer (CCO) is responsible for overseeing the
organization's customer-centric initiatives and ensuring a positive customer
experience:
- Managing and improving the end-to-end customer experience
across all touchpoints and channels.
- Leveraging customer data and analytics to gain insights into
customer behavior, preferences, and needs.
- Using customer insights to drive improvements in products,
services, processes, and policies and advocate for customer needs and
preferences.
- Ensuring the success and satisfaction of customers throughout
their journey with the organization.
Client Relationship Department
The Client Relationship Department is responsible for managing and
nurturing relationships with clients or customers:
- Building and maintaining strong relationships with clients.
- Engaging with clients to provide updates, address inquiries, and
resolve issues or concerns.
- Developing account plans and strategies to maximize client
satisfaction and business growth.
- Monitoring customer satisfaction levels and taking proactive
measures to ensure client retention.
Marketing Department
The marketing department is responsible for planning, implementing,
and managing the organization's marketing activities to promote its products,
services, and brand:
- Conducting market research to understand customer needs,
preferences, and behaviors.

24
 - Managing and enhancing the organization's brand image and
reputation.
- Developing and executing promotional campaigns to create
awareness and generate interest in the organization's products or services.
- Generating leads and acquiring new customers.
- Leveraging digital marketing channels to reach and engage target
audiences.
Department of general administration
The Department of General Administration is responsible for providing
administrative support and managing various non-operational functions
within an organization:
- Managing the day-to-day operations of the office, ensuring a
smooth and efficient working environment.
- Establishing and maintaining systems for organizing, storing,
and retrieving documents and records.
- Providing administrative support to various departments and
employees within the organization.
- Managing internal and external communications for the
organization.
Project Management Department
The Project Management Department is responsible for overseeing and
managing projects within the organization:
- Developing project plans, defining project scope, objectives,
deliverables, and timelines.
- Overseeing project execution, ensuring that project activities are
carried out according to the defined plan.
- Managing project resources, including human resources,
equipment, and materials.

25
 - Ensuring that projects meet defined quality standards and
objectives.
Warehouse and Warranty Department
The Warehouse and Warranty Department is responsible for managing
the storage, inventory, and distribution of products within a company's
warehouse facilities.Additionally, they handle warranty-related processes and
ensure customer satisfaction:
- Overseeing inventory levels and ensuring accurate stock
management.
- Processing customer orders and coordinating the picking,
packing, and shipping of products.
- Performing quality control checks on incoming and outgoing
products to ensure they meet established quality standards.
- Handling customer returns and managing warranty claims for
products.
1.4. Financial position and Financial Performance of the Simon Electric
Vietnam Joint Stock Company

26
 Table 1. 1: Data in the last 3 years of Simon Vietnam
(Source: Accounting Department of Simon Electric Vietnam Joint Stock Company - 2022)
Differences

2020/2021 2021/2022 2020/2021 2021/2022

2020 2021 2022
(±) (±) (%) (%)

388,085,919,03
Total assets 405,333,237,636 505,117,476,636 17,247,318,605 99,784,239,000 104,44 124,62
1

282,621,355,68
Short-term assets 281,014,362,874 289,148,564,252 (1,606,992,812) 8,134,201,378 99,43 102,89
6

105,464,563,34
Long-term assets 124,318,874,762 215,968,912,384 18,854,311,417 91,650,037,622 117,88 173,72
5

216,002,000,00
Owner’s equity 288,101,431,830 286,702,835,397 72,099,431,830 (1,398,596,433) 133,38 99,51
0

Net sales from

282,803,160,42
goods and services 248,901,231,063 341,831,012,789 (33,901,929,360) 92,929,781,726 88,01 137,34
3
sold

229,218,204,92
Costs of goods sold 181,509,275,188 239,878,430,160 (47,708,929,741) 58,369,154,972 79,19 132,16
9

Gross profit from

goods and services 53,584,955,494 67,391,955,875 101,952,582,629 13,807,000,381 34,560,626,754 125,77 151,28
sold

Net profit from

10,583,752,915 18,085,555,471 (2,539,450,432) (20,625,005,903) (20,625,005,903) 170,88 (14,04)
business activities

27
 Profit before tax 10,975,504,167 18,430,798,363 (518,915,846) (18,949,714,209) (18,949,714,209) 167,93 (2,82)

Profit after income

6,902,524,574 14,701,431,830 (1,398,596,433) (16,100,028,263) (16,100,028,263) 212,99 (9,51)
tax

28
 Comment
From the table above, we can see the economic fluctuations of Simon
Electric Vietnam Joint Stock Company in 3 years 2020, 2021, 2022 there is a
marked change between economic indicators. Specifically, as follows:
In terms of assets.
Total assets in 2021 are 405,333,237,636 VND, recorded an increase
compared to 2020 is 388,085,919,031 (104.44%), of which the slight decrease
of short-term assets is 281,014,362,874 VND (99,43%) and the significant
increase of long-term assets is 124,318,874,762 VND (117,88%).
In 2022, total assets increased to 505,117,476,636 VND, corresponding
to 124,62%, of which current assets continued to record an increase of
8,134,201,378 VND compared to 2021 and similarly, long-term assets
increased significantly, namely 91,650,037,622 VND.
In terms of owner’s equity
Equity increased in 2021 compared to 2020, from 216,002,000,000
VND in 2020 to 288,101,431,830 VND in 2021, the increase corresponds to a
percentage of 133,38%.
In 2022, equity has decreased to 286,702,835,397 VND, down 99,51%
compared to 2021, thereby showing that the business situation this year is not
positive, and investments are not effective.
In terms of revenue
Revenue in 2021 decreased from 282,803,160,423 VND to
248,901,231,063 VND, an increase of 33,901,929,360 VND, corresponding
to 88,01% compared to 2020, This year, the company has developed the full
capacity of employees as well as the strategic development plan is not high.
Revenue in 2022 was 341,831,012,789 VND, up to 92,929,781,726
VND compared to 2021, corresponding to a decrease of 137,34%. It can be

29
seen that the company earned quite a lot of large contracts as well as the
situation of importing and selling materials of the company is quite smooth.
In terms of cost
Expenses in 2021 reached 181,509,275,188 VND, a decrease of
47,708,929,741 VND compared to 2020 corresponding to a decrease of
79,19%.
Expenses in 2022 reached 239,878,430,160 VND, an increase of
58,369,154,972 VND compared to 2021. It can be said that 2021 was a good
year for the company.
In terms of profit
Profit in 2021 reached 67,391,955,875 VND, up to 13,807,000,381
VND compared to 2020, the business achieved a profit of 53,584,955,494
VND.
Profit in 2022 reached 101,952,582,629 VND increased quite sharply
by 34,560,626,754 VND compared to 2021, corresponding to a decrease of
151,28%.

30
 CHAPTER 2: INTRODUCTION TO ACCOUNTING
ORGANIZATION AND SYSTEM APPLIED IN SIMON ELECTRIC
VIETNAM JOINT STOCK COMPANY
2.1 Structure of accounting organization
2.1.1. Organization chart of the accounting apparatus
In SIMON., JSC consists of 8 accountants: Chief Accountant, Deputy
Accountant, Payment Accountant, Materials Accountant, Treasurer, Salary
Accountant, Debt Accountant, and Tax Accountant.

Diagram 2. 1: The accounting organization chart at SIMON VIETNAM

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
2.1.2. Accounting duties and functions
 Chief Accountant:
Collecting and processing information, accounting data, and tracking
objects and contents of accounting work in accordance with current
accounting regime standards. Check the financial revenues. Keep financial
accounting data confidential within the company. Take responsibility before
the State Law for the completeness, accuracy, and truthfulness of accounting

31
figures arising in the financial statements of their units. Compile books, make
reports, and make balance sheets presented to the Director of the company
and relevant agencies.
 Deputy accountant:
Assisting in financial recordkeeping, supporting financial reporting,
managing accounts payable and receivable, ensuring tax compliance, and
implementing internal controls. They participate in budgeting and forecasting,
conduct financial analysis, and contribute to system and process
improvements. The Deputy Accountant collaborates with various
departments, provides financial support, and stays updated with accounting
regulations. Their role is essential in maintaining accurate financial records,
providing insights for decision-making, and ensuring compliance with
financial policies and procedures.
 Payment accountant:
Managing and overseeing the payment processes within an
organization. Their primary function is to ensure accurate and timely payment
of invoices, bills, and other financial obligations. Their duties include
verifying and processing payment requests, reconciling payment records,
maintaining vendor accounts, and resolving payment discrepancies. They
collaborate with internal departments and external stakeholders to gather
necessary payment information, obtain approvals, and coordinate payment
schedules. The Payment Accountant also monitors cash flow, prepares
payment reports, and assists in financial analysis. Their role is crucial in
maintaining positive relationships with vendors, ensuring financial
obligations are met, and contributing to the overall financial stability of the
organization.
 Materials Accountant

32
 As a Materials Accountant in a lighting equipment company, the key
accounting duties involve managing materials and inventory. This includes
overseeing inventory levels, cost accounting, purchase order processing,
accounts payable, material receiving and inspection, inventory reporting and
analysis, inventory control, financial reporting, compliance, and process
improvement. Their roles ensure accurate inventory records, determine
material costs, processes purchase orders, manage payments, generate
financial reports, and support compliance and auditing efforts. Their focus is
on optimizing inventory management and providing reliable financial
information related to materials in the lighting equipment company.
 Treasurer
The primary accounting responsibilities of the Treasurer revolve
around financial management and liquidity. They oversee cash flow
management, financial planning, budgeting, and forecasting. This includes
managing banking relationships, monitoring cash balances, overseeing
investment activities, and optimizing working capital. Their role also involves
risk management, ensuring compliance with financial regulations, and
providing accurate financial reporting. A Treasurer plays a vital role in
maintaining the company's financial stability and supporting strategic
decision-making related to financial resources in the lighting equipment
industry.
 Salary Accountant
Managing and processing employee salaries and benefits. This includes
ensuring accurate calculation and recording of payroll, administering
employee benefits programs, and overseeing payroll tax compliance. Their
role involves maintaining payroll records, preparing payroll reports, and
addressing employee inquiries related to compensation. The salary accountant
plays a crucial role in ensuring timely and accurate payment of salaries,
33
supporting payroll-related compliance, and contributing to employee
satisfaction in the lighting equipment company.
 Debt Accountant
Managing the company's debt-related transactions and obligations. This
includes monitoring and recording debt issuances, interest payments, and debt
repayments. They maintain accurate records of debt balances and interest
rates, ensuring compliance with debt covenants and repayment schedules.
Their role involves preparing financial statements and reports related to debt,
providing information for investor relations, and coordinating with external
lenders or financial institutions. The debt accountant plays an important part
in managing the company's debt portfolio, optimizing interest costs, and
ensuring compliance with debt agreements in the lighting equipment industry.
 Tax Accountant
Ensuring compliance with tax laws and regulations, preparing and
filing tax returns, and conducting tax planning and analysis. Their role
involves staying up-to-date with tax laws, regulations, and changes that may
impact the company's tax obligations. They work on minimizing tax liabilities
and maximizing tax benefits through proper tax planning strategies.
Additionally, they assist in resolving tax-related issues, responding to tax
inquiries, and representing the company during tax audits. They play a crucial
role in maintaining tax compliance and optimizing the company's tax position
within the lighting equipment industry.
2.2. Features of Accounting System
2.2.1 General Accounting Policies
- The company implements an independent economic accounting regime, has
full legal status as prescribed, and implements the accounting regime
according to Circular No. 200/2014/TT-BTC.
- Currency used: Vietnam Dong (VND).
34
 - Annual accounting year from 1/1 to the end of 31/12 every year.
- Accounting period: Quarter.
- Calculate VAT according to the deduction method.
- The company applies the perpetual inventory method to account for
inventory, with the determined values as follows:
● Raw materials, goods/ merchandise, tools, equipment/instruments: cost
of acquisition using the weighted average method.
● Finished goods and work-in-progress production costs of
manufacturing operations: the cost of raw materials and direct labor
combined with related general production costs are allocated based on
normal activity levels using the weighted average method.
- Fixed assets are presented at cost minus accumulated depreciation. Calculate
the depreciation of fixed assets according to the straight-line method. The
depreciation period is calculated according to the time frame specified in
Circular No. 45/2013/TT-BTC issued on April 25, 2013.
2.2.2. Features of Accounting Documents
The company is applying an accounting document system issued according to
Circular 200.
Table 2. 1: Accounting documents are used in the company

Num. Doc. name Doc. number

1 Timesheets 01a-LĐTL

2 Overtime timesheets 01b-LĐTL

3 Salary Payment table 02-LĐTL

35
4 Bonus Payment table 03-LĐTL

5 Road paper 04-LĐTL

6 Product certificate and completed work 05-LĐTL

7 Overtime bonus payment table 06-LĐTL

8 Outsourced payment table 07-LĐTL

9 Securities delivery contracts 08-LĐTL

Minutes of liquidation (acceptance) of securities

10 09-LĐTL
contracts

11 List of deductions for payments according to salary 10-LĐTL

12 Salary and social insurance distribution table 11-LĐTL

13 Minutes of delivery of fixed assets 01-TSCĐ

14 Minutes of liquidation of fixed assets 02-TSCĐ

Minutes of handover of major repair fixed assets

15 03-TSCĐ
completed

16 Minutes of reassessment of fixed assets 04-TSCĐ

17 Minutes of inventory of fixed assets 05-TSCĐ

36
 Spreadsheet and depreciation allocation of fixed
18 06-TSCĐ
assets

19 Receipts 01-TT

20 Cheques 02-TT

21 Advance offer 03-TT

22 Advance payment paper 04-TT

23 Payment offer paper 05-TT

24 Receipts for collection 06-TT

25 Fund inventory (for VNĐ) 08a-TT

26 Statement of expenditures 09-TT

27 Goods received note 01-VT

28 Goods delivery note 02-VT

29 Minutes of inspection of supplies, product and goods 03-VT

tools

30 The last remaining supplies 04-VT

31 Minutes of inventory of supplies, tools and products 05-VT

37
 of goods

32 List of purchases of goods 06-VT

33 Distribution table of materials, materials, tools, tools 07-VT

34 Value-added invoices 01GTKT3-001

35 Sales invoices 02 GTGT-3LL

36 Goods delivery internal shipping 03PXKT3-001

37 Certificate of sick leave for social insurance

38 List of leavers entitled to sickness and maternity

benefits

- Organization of Document Preparation:

+ It includes three main elements:
● Selection of appropriate documents for the arising economic
transactions.
● Selection of technical means for document preparation: Writing
with pen, ink, carbon paper, or computer software.
● Determination of the document preparation time for each type of
transaction.
+ When preparing documents, the following requirements must be ensured:
● Documents must be prepared according to the templates
prescribed by the government.

38
 ● The appropriate document type must be used, and all necessary
elements (basic elements) must be fully recorded on the document. It must
also include the signatures of the relevant individuals to be considered valid
and lawful.
● Blank spaces on the documents should be crossed out.
● The head of the unit and the chief accountant should not pre-sign
the documents (void documents) and give them to employees for later use.
● Documents must be prepared and written on good quality
physical media, ensuring storage value according to the prescribed time limit
for each document type.
● Erasing or deleting documents in case of errors is not allowed. If
there are errors, the document should be canceled and a new document should
be prepared. It is important to maintain the continuous sequential numbering
of the documents and not to detach them from the booklet.
● For documents with multiple copies, such as carbon copies, all
copies of the document must be prepared at the same time. For example, the
second and third copies (if applicable) should be made using carbon paper.
Signatures of relevant individuals must be directly signed on each copy of the
document and should not be signed through carbon paper.
- Organization of Document Inspection:
+ It includes
● Verification of the validity of the documents: Checking the basic
elements and compliance with the document regulations issued by the
government.
● Verification of the legality of the documents: Checking
signatures and relevant stamps or seals on the documents.

39
 ● Verification of the appropriateness of the documents: Checking
the content of the transactions, amounts, and the relationship between the
quantitative indicators and the values reflected on the documents.
- Organization of Circulation and Use of Documents for Accounting Entries:
+ It includes
● Classification of accounting documents by categories: Cash
documents, material documents, sales documents, etc.
● Accounting for transactions on the documents: This is an
intermediate step but crucial for accounting entries.
● Recording economic transactions reflected on the documents
according to the organization of accounts in the entity.
- Organization of Preservation, Storage, and Disposal of Accounting
Documents: The time and other regulations for storing accounting documents
are carried out according to the archival and record-keeping system of the
government. In the case of computerized accounting, at the end of each
accounting period, after completing the accounting entries and closing the
books, the entire system of general and subsidiary ledgers must be printed for
storage and to facilitate financial auditing, examination, and inspection.
2.2.3. Features of Chart of Accounts
The company utilizes most of the accounts in the accounting chart of
accounts system according to Circular No. 200/2014/TT-BTC dated
December 22, 2014, issued by the Minister of Finance, along with the
necessary level 2 and level 3 accounts to reflect the entirety of economic
activities arising within the company.
- Chart of Accounts:
● The chart of accounts must be carefully constructed and reflect
the organization's objectives, activities, and financial transactions.

40
 ● It must comply with international accounting regulations,
standards, and the regulations of government regulatory bodies.
● Accounts should be organized in a logical and systematic
structure that facilitates the management and classification of financial
information in a clear and easy manner.
- Subsidiary Accounts:
● Subsidiary accounts are used to supplement, provide detailed
information, and categorize data within the main accounts.
● Clear rules and criteria should be established for creating
subsidiary accounts to ensure consistency and comparability of information.
- General Ledger:
● The general ledger must be designed and maintained carefully to
accurately record and document financial transactions.
● Each account must have its own ledger to record all transactions
related to that account.
● Information in the general ledger should be organized by date,
month, and year and securely stored for easy access.
- For main items such as inventory, revenue, and expenses, the following
regulations and rules should be followed:
● Inventory: A primary account should be established to record the
value of inventory, and subsidiary accounts should be used to provide detailed
information on the type of inventory, quantity, value, and other relevant
details.
● Revenue: A primary account should be created to record
revenue, and subsidiary accounts should be used to classify revenue based on
its source, business type, or other criteria.

41
 ● Expenses: A primary account should be set up to record
expenses, and subsidiary accounts should be used to classify expenses based
on the type of cost, activity, or other criteria.
Table 2. 2: List accounts in VAS
CODE
DESCRIPTION
Class Sub-Class
1 2 3
ASSET
111 Cash
1111 Vietnamese Currency
1112 Foreign Currency
112 Cash in bank
1121 Vietnamese Currency
1122 Foreign Currency
131 Trade receivables
133 Deductible VAT
1331 VAT on purchase of goods and services
1332 VAT on purchase of property, plant and equipments
136 Internal Receivables
138 Other Receivables
141 Advance
151 Inventories in Transit
152 Materials
153 Tools, Supplies
154 Work In Process
155 Finished goods
156 Goods
157 Consignment Inventories
211 Fixed asset
2111 Tangible Assets
2112 Non-Current Assets under Finance Leases
2113 Intangible Assets
214 Accumulated Depreciation & Amortization
2141 Accumulated Depreciation
42
 2142 Accumulated Depreciation-Finance Lease
2143 Accumulated Amortization
2147 Accumulated Depreciation of Investment Property
241 Construction in Progress
2411 Fixed Assets in Purchasing
2412 Construction in Progress
2413 Capitalised Repairs/ Major Repairs
242 Prepaid Expenses
LIABILITIES
331 Accounts Payable
333 Tax Payables & Payables to GOV
3331 VAT Payable
33311 Out-put VAT Payable
33312 VAT Payable for Imported Goods
3332 Special Sales Tax
3334 Business Income Tax
3335 Personal Income Tax
3337 Housing, Land Tax & Land Rental
3339 Other Fees and Licenses Payable
334 Employee Payables
335 Accrued expenses
338 Other payables
3382 Trade Union Fee Payable
3383 Social insurance
3384 Health insurance
3385 Unemployment insurance
3386 Short-term Received Guarantee
3387 Unearned Revenue
3388 Other payables
341 Borrowing
352 Provisions
OWNER'S EQUITY
411 Capital
4111 Paid-In Capital
4112 Surplus Share Capital

43
 4118 Other Capital
421 Retain Earning
4211 Undistributed profit after tax brought forward
4212 Undistributed profit after tax for the current year
REVENUE
511 Revenue from sale of goods and provision of services
5111 Revenue gained from sale of goods
5112 Revenue gained from sale of finished good
5113 Revenue - Rendering Services
5118 Other revenue
515 Revenue - Financing Activities
EXPENSE
611 Purchases
632 Cost of goods sold
635 Financial expenses
642 Administrative expenses
OTHER INCOMES
711 Other Incomes
OTHER EXPENSES
811 Other expenses
821 Corporate income tax expenses
INCOME SUMMARY
911 Income summary

44
2.2.4. Features of Accounting Books

The form of organization of the company is applied in the form of

bookkeeping vouchers.
In the voucher-based bookkeeping method, the company is organized
in a manner that emphasizes the use of vouchers to record financial
transactions. The key aspects of this organizational form include
● Voucher System: The company establishes a voucher system to
document and authorize all financial transactions. Each transaction is
supported by a voucher, which contains relevant details such as the date,
description, amount, and affected accounts. Vouchers serve as evidence and
are sequentially numbered for easy reference and tracking.
● Chart of Accounts: The company maintains a chart of accounts,
which is a structured list of accounts used for recording financial transactions.
The chart of accounts categorizes accounts based on their nature, such as
assets, liabilities, equity, revenue, and expenses. This provides a systematic
framework for recording and summarizing financial information.
● Subsidiary Ledgers: Subsidiary ledgers are used to provide
detailed information for specific accounts in the chart of accounts. For
example, separate subsidiary ledgers may be maintained for accounts
receivable, accounts payable, inventory, or fixed assets. These subsidiary
ledgers help in tracking transactions and maintaining accurate balances for
individual accounts.
● General Ledger: The general ledger is the primary book of
accounts that consolidates and summarizes all financial transactions recorded
in subsidiary ledgers. It provides a comprehensive view of the company's
financial position and performance. The general ledger organizes accounts by
account number and tracks debits and credits for each transaction.

45
 ● Trial Balance: The company prepares a trial balance periodically,
typically at the end of an accounting period. The trial balance ensures that the
total debits equal the total credits, providing a preliminary check on the
accuracy of the recording process.
● Financial Statements: Based on the information recorded in the
general ledger, the company prepares financial statements such as the income
statement, balance sheet, and cash flow statement. These statements provide
an overview of the company's financial performance, position, and cash
flows.

46
 The form of vouchers for recording in accounting books is according to
the following chart:

Diagram 2. 2: Sequence diagram of bookkeeping vouchers

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
The form of the register of vouchers for bookkeeping: a form of
summarizing the recording of economic transactions in chronological order.
The register is used to record the generated economic transactions, manage
the vouchers, and reconcile them with the trial balance. With this form, on a
daily basis, based on the vouchers, entries are made in the accounting book,

47
and accounting vouchers are prepared. These vouchers are also recorded in
the summary table of detailed accounts. Based on the register of vouchers, the
accounting entries reflect the generated economic transactions in the related
books. At the end of the month, the books are closed to calculate the total
amount of the economic transactions that occurred during the month, the total
debits, and the total credits. The balance of each account is calculated on each
ledger, and based on the year-end ledger, the financial statements and the
balance sheet are prepared. In addition, accounting tracks the depreciation of
assets, capital reduction, and cost allocation to determine the cost of goods
sold and determine the financial results.
2.2.5. Features of Accounting Reports
Reporting period: Annually
Responsibilities of Preparing Financial Reports:
● Recording Transactions: Ensuring that all financial transactions
are accurately recorded in the accounting system or books of accounts.
● Classifying and Summarizing Data: Organizing and categorizing
financial transactions into appropriate accounts and summarizing them to
prepare financial statements.
● Preparing Financial Statements: Compiling financial statements
such as the income statement, balance sheet, cash flow statement, and
statement of changes in equity. These statements provide a comprehensive
overview of the company's financial performance and position.
● Ensuring Accuracy and Compliance: Verifying the accuracy of
financial data, reconciling accounts, and ensuring compliance with relevant
accounting standards and regulations.
● Internal and External Reporting: Preparing financial reports for
both internal stakeholders (management, board of directors) and external
parties (investors, creditors, regulatory authorities).

48
 Types of Financial Statements: four main types of financial statements:
● Income Statement (Profit and Loss Statement): It shows the
company's revenues, expenses, and net income or net loss over a specific
period. It provides insights into the company's profitability.
● Balance Sheet: It presents the company's assets, liabilities, and
shareholder's equity at a specific point in time. The balance sheet provides a
snapshot of the company's financial position.
● Cash Flow Statement: It tracks the company's incoming and
outgoing cash flows from operating activities, investing activities, and
financing activities during a specific period. The cash flow statement helps
assess the company's liquidity and cash management.
● Statement of Changes in Equity: It reflects the changes in the
company's shareholders' equity over the period. It includes items such as net
income, dividends, and changes in capital.
2.3 Features of some key accounting cycles in Simon Electric Vietnam
Joint Stock Company
2.3.1. Features of Accounting for Cash in Simon Electric Vietnam Joint
Stock Company
2.3.1.1. Principles of capital accounting in money at the company
Capital in money is a part of capital belonging to the working assets of
the enterprise, which is formed mainly during the sales process and in
payment relationships.
The company's money includes cash and bank deposits. Cash is the
amount of capital in cash stored by the treasurer in the company's safe.
When accounting for capital in money, accountants must adhere to the
following principles:
● For cash accounting

49
 - When money collection activities arise, based on invoices, cash
accounting payment papers to make cash collection slips, after being censored
by the chief accountant, the receipts are transferred to the funder for recording
money. The treasurer will then write the actual amount on the receipt, stamp
the collected, and take it into the receipt.
- When the tasks of spending money arise, the treasurer shall base
on the check to spend the money after having the full signature of the chief
accountant and the director of the company. Based on the actual amount of
money spent by the treasurer is recorded in the fund book and at the end of
the day, transferred to the cash accountant for bookkeeping.
- Receipts and checks are collections of one document or multiple
documents. The check of the treasurer submitted to the bank is based on the
list of payments written in 3 related.
● For bank deposit accounting:
- When there are papers and debt statements of the Bank, the
accountant shall make a reservation and make the recorded documents and
then put them in the relevant accounting books.
- When issuing TGNH account documents, enterprises are only
allowed to issue within the scope of their account balance.
2.3.1.2. Vouchers used and the process of circulating cash accounting
Vouchers at Simon Vietnam
Cash is the amount of capital in cash preserved by the treasurer at the
fund of the enterprise including: Vietnamese currency, foreign currency, gold
and silver, precious metals, precious stones, bills, and checks.
- In each business, there is a certain amount of cash at the fund to
serve the daily productivity activities of the business. The amount of regular
funds must be calculated at a reasonable norm, the level of this fund's
inventory depends on the size and nature of the operation of the business.

50
 All revenues and expenditures on cash preservation are made by the
treasurer responsible for doing so. All cash revenues and expenditures must
have valid documents proving and must be signed by the chief accountant and
the head of the unit.
Proof of use:
- Request for payment, Request for advance, Economic contract;
- Debit and Credit notes of the bank;
- Receipt slip, payment slip, collection order, payment order,
check.
Accounting books used: Ledgers, detailed books of accounts 111, 112,
and recording vouchers.
● Accounting vouchers for cash receipt:

Diagram 2. 3: Flow chart of cash receipt

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
- Every day, when there are activities arising related to cash
collection, capital accounting by money to prepare the receipt and transfer to

51
the chief accountant for consideration. The chief accountant agrees and signs
the receipt and passes it on to the accountant.
- The accountant requires the payer to sign and collect the receipt and
pay in full according to the amount stated on the slip. Next, the accountant
transfers the receipt and returns the proceeds to the fund.
- Receiving money and vouchers, the treasurer will take notes in the
cash fund book. At the same time, capital accounting in money is responsible
for taking notes in account details book 111, NKC book, and account ledger.
● Accounting vouchers for cash payment:

Diagram 2. 4: Flow chart of cash payment

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
The applicant shall make an offer for payment, advance and send it to
the capital accountant in cash. Based on the offer, the accountant shall make a
check and send it to the chief accountant and director for consideration.
The chief accountant and director check the validity and reasonableness
of the documents to make a decision. If consenting, the director and the chief

52
accountant sign the approval, the check is delivered to the accountant and the
treasurer. The treasurer receives a check with the full signature of the director
and the chief accountant will ask the recipient of the money to sign the check,
proceed to spend the money, and record the cash fund book. At the same time
the accountant takes notes in the relevant books.
● Bookkeeping process for accounting for revenue and expenditure
accounting:

Diagram 2. 5: Bookkeeping process

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
2.3.2.3. Book of use and order of recording
* Company accounting accounts used in this section include:
- Account 111: Cash.
- Account 112: Cash in bank.
* Used book
- Ledger of accounts: 111, 112.
- Details book:
The detailed book of account 111 is used to represent "Cash" in a
company's chart of accounts. It tracks cash receipts, cash disbursements, cash

53
sales, cash payments, bank reconciliations, and the opening and closing cash
balances.
Account 112 detailed book is detailed to track sales on credit, cash
receipts, sales returns and allowances, bad debt write-offs, allowance for
doubtful accounts, collections and adjustments, and the opening and closing
balances of accounts receivable.
- General diary
* Bookkeeping order:
The Chief Accountant is responsible for maintaining the cash fund
ledger, recording daily transactions in the order of cash receipts,
disbursements, fund inflows, and outflows, and calculating the cash fund
balance at any given time. The treasurer is then responsible for managing and
administering the cash fund, including cash inflows and outflows. On a daily
basis, the treasurer must conduct a physical count of the actual cash fund
balance, reconcile it with the cash fund ledger, and compare it with the cash
accounting records. If there are any discrepancies, the accounting department
and treasurer must investigate to determine the cause and propose measures to
address the discrepancies. According to the process, the information is
entered into the General Journal, the Ledger of Accounts 111, 112, and the
Detailed Book of Accounts 111 and 112.
After entering the data, the accountant operates to close books and
prepare financial statements. The comparison between the aggregated data
and the detailed data is done automatically and always ensures accuracy and
truthfulness according to the entered information.

2.3.2 Features of Accounting for payroll and payroll deductions

2.3.2.1. Principles of payroll accounting at the company

Classification of labor in the enterprise

54
  Regular workers (working >12 months) are signed full labor contracts.
 Professionals working under contract salary packages are paid as
agreed in the contract.
 The hiring employees, labor contracts with a term of less than 1 year,
and contract hires agree to pay salaries on other expenses contracted in
the contract.
Labor characteristics of the enterprise
The company's labor is divided into 3 parts: executive board, office,
and factory:
 Executive Board: University degree or higher, with in-depth knowledge
of management and finance.
 Office department: University degree or higher, with in-depth
knowledge of finance.
 Factory department: with a college degree or higher, mainly on duty,
operating machinery, and equipment, directly conducting production
and business activities to generate main revenue for the company.
2.3.2.2. Vouchers used and the process of circulating payroll accounting
Vouchers at Simon Vietnam
At the end of the month, the departments send the timesheet to the
accounting department. The staff of the accounting department will base on
the list of employees, the timesheet, and the table of labor allowances to make
the salary scale and the social insurance distribution spreadsheet for the
company's employees.
After that, the staff of the accounting department sends the timesheet,
salary payment table, and social insurance distribution table to the chief
accountant. The chief accountant checks and signs the timesheet, salary

55
payment sheet, and social insurance distribution spreadsheet, then transfers all
such Vouchers to the Director's office for approval.
The staff of the accounting department, based on the signed and
approved Vouchers from the Director, record the general journal, account
334, and save the vouchers by date.
2.3.2.3. Book of use and order of recording
* Company accounting accounts used in this section include:
- Account 334: Payables to employees.
- Account 338: Other payables and payables
+ Account 3382: Union fees
+ Account 3383: Social insurance
+ Account 3384: Health insurance
+ Account 3386: Unemployment insurance
* Used book
- Ledger of accounts: 334, 338.
- Details book:
The detailed book of account 334 is detailed according to the object of
the employee's office, for example: the detailed book of account 334 of the
general administration department.
Account 338 detailed book is detailed according to the object of salary
deductions, for example, Account 338 Social Insurance, 338 Health Insurance
detail book, Unemployment Insurance account 338 detail books, detailed
book of account 338 Trade union funds.
- General diary
* Bookkeeping order:
At the end of the month, the payment accountant based on the Payroll
and Payroll Table of each employee records the General Journal, and the
payment accountant enters data into the computerized accounting software.

56
According to the process of the software, the information is automatically
entered into the General Journal, the Ledger of Accounts 334, 338, and the
Detailed Book of Accounts 334 and 338.
After entering the data, the accountant performs the operation to close
books and prepare financial statements. The comparison between the
aggregated data and the detailed data is done automatically and always
ensures accuracy and truthfulness according to the entered information.
2.3.2.4. Regulation on salary, bonus, and allowances for employees of
Simon Vietnam
Simon Vietnam chooses the form of time-based salary payment
(monthly payment) with the standard prescribed number of working days of
27 days and calculated according to the following formula:
Gross salary = Salary + Productivity salary + Allowances + Bonus
Net Salary = Gross salary + Meal allowance – Salary deductions
Regulations on payroll deductions:
Employees are paid insurance, and the insurance premiums are adjusted
in a timely manner in accordance with current regulations. Insurance
premiums and deductions are specified by Simon Vietnam as follows:

57
 Table 2. 3: Regulations on payroll deductions of Company
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
The social insurance fund is formed by deducting according to the
prescribed ratio of the total basic salary fund and allowances of employees
actually incurred in the month. The social insurance fund deducts 25.5% of
the monthly salary, of which the company contributes 17.5% of the total
salary of the participants to the social insurance contributions and 8% is paid
by the employees above the basic salary to add allowances (if any).
Health insurance fund: The company charges 3% of the total basic
salary, the employee has to pay 1.5% (deducted from monthly income) then
the company pays it all to the health insurance agency for management and
expenses paid. This fund is used to pay for medical examinations and
treatment... for employees.
Trade union dues: The company charges 1% according to the
employee's actual salary.
Unemployment insurance: 1% will be charged to company expenses,
and 1% deducted from the employee's salary.

58
The order of accounting for salary and deductions according to salary:

Diagram 2. 6: General accounting chart of accounting salary

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)

59
 The order of recording salary accounting books and deductions
according to salary:

Diagram 2. 7: Sequence diagram of accounting book of payroll

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)

60
 The process of circulating salary accounting documents and deductions
according to salary:

Diagram 2. 8: Flowchart of the circulation of salary accounting

documents and salary deductions
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)
Daily based on sick leave, permissions, and meetings for accountants to
compile on the timesheets. At the end of the month from the timesheets and
vouchers for overtime, overtime to get on the payroll, general accounting of
each department and on the payroll. From there, make a list of labor expenses.
- Rotation sequence:

Timekeeping table: Check the timesheets Use for labor and accounting Preservat

Payroll accountants rely on timesheets for employees of each

department to calculate salaries.
But before calculating the salary must be checked to calculate the
salary and put to the director and chief accountant to consider and sign, now
put the timesheets into preservation so that later compare the labor time of the

61
employee on the timesheets and payroll spreadsheets and put them into
storage, destroy.
- Procedures for payment of salary:

Payroll payment table Accounting approval Director approved Treasurer spends

The company's salary accounting is based on the timesheets of each

employee in the departments and progresses the salary, into the payroll of the
salary and put up for the director and the chief accountant to sign the approval
to put down for the treasurer to open the safe to spend money, at this time,
the employee must sign the payroll and receive his or her labor salary.
2.3.3. Features of Accounting for Sales
2.3.2.1. Principles and methods of revenue and income recognition
Sales of finished products
When the company has completed the delivery of the goods to the
customer, or the services have been provided, the company records the sales
revenue in its accounting records. The revenue is typically recorded as an
increase in the accounts receivable (if the customer has not yet paid) or as an
increase in cash (if the customer has made immediate payment). The
corresponding cost of goods sold (COGS) is also recorded to reflect the direct
costs associated with producing the goods sold.
Interest
Interest progress is recognized on the basis of time and actual interest
rate each period.
2.3.2.2. Vouchers and books used in accounting for Sales
Proof of use:
+ Sale and purchase contract: Vouchers reflecting the company's
commitment and binding to the customer on the sale contents: quantity,

62
quality, characteristics of goods, rights and obligations of the parties, payment
terms.
+ Minutes of handover: confirm the quantity of product codes and
actually exported goods for each order, the basis for checking and comparing
when recording.
+ VAT invoice (Form 01-GTKT3/001), detailed list attached to the
invoice.
User book:
+ Detailed sales book (Form S35-DN) is detailed according to the
object of each separate electrical code of finished products,
+ Summary of customer's payment status.
+ General diary book (Form No. S03a-DN).
+ Ledger of accounts (Form No. S03b-DN).
2.3.2.3. Sales accounting
Simon Electric Vietnam Joint Stock Company applies the accounting
system according to Circular 200/2014/TT-BTC, so the company account
used to record revenue and cost price is as follows:
Revenue recognition account: Account 511_Revenue from sales and
service provision
In which: Account 5111_Revenue from sales of goods
At the end of the accounting period, “Revenue from sales and provision
of services” is transferred to the credit side of account 911_Determination of
business results.
The account used to record cost of goods sold: Account 632_Cost of
goods sold.
At the end of the accounting period, “Cost of goods sold” is transferred
to the debit side of account 911_Determination of business results.

63
Diagram 2. 9: Flowchart of the circulation of Sales accounting
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)

64
Figure 2. 1: VAT invoice with a list of products produced by Simon
Electric Vietnam Joint Stock Company
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)

65
Figure 2. 2: Voucher to the State Budget of Simon Electric Vietnam Joint
Stock Company
(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)

66
 Accounting:
Reflect the cost of capital
Dr 632: 3.349.350
Cr 156: 3.349.350
Revenue reflection
Dr 131: 3.617.298
Cr 5111: 3.349.350
Cr 3331: 267.948
Capital cost transfer
Dr 911: 3.349.350
Cr 632: 3.349.350
Revenue transfer
Dr 5111: 3.349.350
Cr 911: 3.349.350
2.3.2.4. Accounting to determine sales results
Enterprises apply the accounting system according to Circular
200/2014/TT-BTC, so sales revenue will be determined by the formula:

Figure 2. 3: Formula to determine sales results

(Source: Circular 200/2014/TT-BTC)

Figure 2. 4: Formula to determine net sales from sales

(Source: Circular 133/2016/TT-BTC)

67
 CHAPTER 3: EVALUATION OF ACCOUNTING ORGANIZATION
AND SYSTEM IN SIMON ELECTRIC VIETNAM JOINT STOCK
COMPANY
3.1. Evaluation of accounting organization
3.1.1. Advantages
- The positive changes in the company's operating apparatus are reflected
in the enthusiastic and united approach of the employees. They have
successfully completed their assigned tasks in various fields, demonstrating a
high level of professionalism and dedication. The professional departments
within the company work in a systematic manner, ensuring efficient
coordination and collaboration.
- In 2021, the company achieved its goals in terms of basic construction
investment. The staff made commendable efforts to meet the planned
objectives, showcasing their determination and commitment. They
successfully fulfilled the assigned tasks, thereby contributing to the overall
production and business requirements of the company.
- The organization system of the company's apparatus is continuously
being improved and refined. It is being developed step by step to meet the
evolving demands of task implementation. This includes establishing clear
guidelines and protocols to ensure discipline and administrative order within
the company. As a result, there is a growing sense of responsibility and
accountability among all employees, creating a highly balanced working
environment.
- In terms of management and accounting organization, the company
faces competition in commodity prices. However, the company has
effectively utilized technology and informatics to streamline financial and
accounting processes. This has led to increased efficiency and productivity, as
a significant amount of work has been automated and streamlined. The use of

68
technology has enabled the generation of fast and accurate accounting data,
which in turn supports the smooth functioning of the company's overall
business processes.
- The company adheres to the regulations set by the Ministry of Finance
in terms of document management and accounting practices. The accounting
team closely monitors the entire process, ensuring that the accounting records
accurately reflect the original documents. This meticulous approach
guarantees the integrity and accuracy of the financial figures recorded.
Moreover, there is a systematic rotation of documents between departments,
which facilitates effective inspection and supervision by the accountants. This
practice creates a favorable environment for internal control and ensures the
overall compliance of the company's financial operations.
- Overall, the company's management and accounting organization have
been successful in adapting to the changing business landscape. Through the
application of technology, a commitment to compliance, and the dedication of
its employees, the company has achieved significant progress in these areas.
3.1.2. Disadvantages
- The company has identified that certain professional staff members
lack the necessary expertise and skills required to effectively meet the
demands of the production environment. It is crucial for these individuals to
focus on improving their skills and enhancing their professional
qualifications. This can be achieved through targeted training programs,
workshops, and on-the-job learning opportunities. By investing in their
professional development, the company can ensure that its staff members are
equipped with the necessary knowledge and skills to meet the challenges of
the production process.
- One area where the company faces a challenge is in dealing with large-
scale construction projects. These projects require specialized knowledge and

69
experience due to their complexity and scale. The company acknowledges
that it currently lacks the necessary expertise in this area. To address this, the
company can consider collaborating with experienced contractors or
consultants who have a proven track record in successfully executing large
works. By leveraging their expertise and guidance, the company can gain
valuable insights and improve its capabilities in undertaking such projects.
- The company has identified weaknesses in its construction supervision
processes, which has resulted in a decline in the quality of construction
works. To address this, the company needs to strengthen its supervision
mechanisms and ensure that they are implemented effectively. This may
involve providing additional training to supervisors, implementing stricter
quality control measures, and enhancing communication channels between
supervisors and construction teams. By improving construction supervision,
the company can ensure that the quality of its construction works meets the
desired targets and standards.
- The company has recognized deficiencies in the establishment and
implementation of economic and technical norms, labor regulations, and
administrative processes for production. These shortcomings have resulted in
delays, inefficiencies, and a lack of suitability in meeting production
requirements. To address this, the company needs to conduct a
comprehensive review of its existing norms and processes. It should identify
areas for improvement and implement timely adjustments to ensure that these
norms and processes are aligned with the company's production goals. By
establishing effective norms and processes, the company can streamline its
operations, improve efficiency, and enhance overall suitability.
- The company has identified a misalignment between the existing salary
plan and the actual results of production and business operations. This
misalignment can create dissatisfaction among employees and hinder

70
motivation and performance. To rectify this, the company should consider
implementing a performance-based salary plan. This would involve linking
compensation directly to individual and team achievements, as well as the
overall performance of the company. By implementing a more closely aligned
salary plan, the company can incentivize and reward employees based on their
contributions to the company's success.
- The company acknowledges that its cost management practices are not
up to par. Specifically, there are delays in compiling direct cost data, which
hampers effective cost management. To address this issue, the company needs
to streamline its cost management processes. This may involve implementing
efficient data collection and recording systems, utilizing technology and
automation to expedite data compilation, and establishing clear guidelines and
procedures for cost management. By improving cost management practices,
the company can gain better insights into its financial performance, identify
areas for cost optimization, and ensure that cost management aligns with the
actual demands of production.
In summary, the company has identified several areas that require
attention and improvement. By investing in the professional development of
staff, gaining expertise in large-scale construction projects, strengthening
construction supervision, establishing effective norms and processes, aligning
the salary plan with production outcomes, and improving cost management
practices, the company can enhance its overall performance and
competitiveness in the market.
3.2. Evaluation of accounting system
3.2.1. Advantages
- The organization of the accounting apparatus within the company is
structured reasonably well. The adoption of accounting software has proven
beneficial as it ensures that accounting information is consistently updated in

71
a timely manner. This has resulted in a reduced number of accountants
required and has saved management costs for the company.
- The company has opted for computerized accounting records, which is
a suitable approach given the scale and characteristics of the organization.
This method has facilitated faster, more convenient, and easier management
of accounting data. By utilizing computerized accounting, the company has
streamlined its processes and enhanced overall efficiency.
- The preparation of financial accounting reports is carried out promptly
and comprehensively, in compliance with the latest regulations set by the
state regarding accounting practices. The company ensures that its financial
reports are accurate, up-to-date, and adhere to the established guidelines,
reflecting its commitment to maintaining financial transparency and
regulatory compliance.
- In terms of employee compensation, the company has implemented a
method of deducting insurance premiums from workers' wages. This
approach allows the company to meet the practical needs and obligations
associated with providing insurance coverage to its employees. By
incorporating insurance premiums into the calculation of wages, the company
ensures that the necessary contributions are made while effectively managing
payroll processes.
In summary, the company has established a well-organized accounting
apparatus. The implementation of accounting software has improved
efficiency by keeping accounting information up-to-date and reducing the
number of accountants required. Computerized accounting records have
proven to be a suitable and efficient solution for managing the company's
financial data. Financial accounting reports are prepared in a timely and
comprehensive manner, aligning with state regulations. Additionally, the
method of deducting insurance premiums from workers' wages demonstrates

72
the company's commitment to meeting its obligations and practical needs in
providing insurance coverage.
3.2.2. Disadvantages
- The company's financial work is currently lacking in terms of providing
advisory support to the director. There is a gap in offering financial guidance
and insights to the director, which can hinder effective decision-making in
financial matters.
- Cost management and price control practices within the company are
not implemented in a timely manner. This delay in addressing cost
management and controlling prices affects the overall management work, as it
fails to align with the actual production situation of the company. This
misalignment can lead to inefficiencies and financial challenges.
- The establishment of provisions, such as reserves or allowances, has
not been fully implemented within the company. This means that the
company has not adequately set aside funds to cover potential future expenses
or obligations. This lack of provisions can impact the company's financial
stability and preparedness for unforeseen circumstances.
- Regarding the use of accounting software, although the company has
implemented computerized accounting systems, the accounting apparatus
itself is not flexible. The company has not effectively integrated the functions
and benefits of the software, which limits its ability to leverage the full
capacity and inherent features of the computer system. As a result, the
company is unable to fully optimize the benefits and efficiency offered by the
software, which could potentially reduce manual effort and improve overall
productivity.
In summary, there are areas of improvement within the company's
financial work. It is essential to enhance the advisory role in financial matters,
ensuring that the director receives appropriate guidance and insights.

73
Additionally, timely implementation of cost management and price control
measures is crucial to align with the company's production situation. The
establishment of provisions should be given due attention to ensure financial
stability. Lastly, the company should focus on optimizing the use of its
accounting software, ensuring a harmonious combination of functions and
utilizing the full capacity of the computer system to minimize manual efforts
and maximize efficiency.
3.3. Recommendations for the organization of accounting at Simon
Electric Vietnam Joint Stock Company
The recommendations for improving accounting work at Simon
Electric Vietnam Joint Stock Company:
Continuous Update of Regimes and Legal Documents: It is essential for
the company to stay informed about the latest regimes and legal documents
related to accounting practices. This includes tax regulations, financial
reporting standards, labor laws, and any other relevant regulations. By
keeping up with these updates, the company can ensure compliance and make
informed accounting decisions.
Professional Training for Accounting Staff: Providing professional
training for accounting staff is crucial. In addition to basic accounting
knowledge, employees should be trained in using accounting software
effectively. This includes training them on all functions and features of the
software to streamline processes, enhance accuracy, and improve efficiency in
financial management.
Encouraging Creativity and Technological Advancements: The
company should foster a culture of creativity and innovation among its
accounting staff. Encouraging them to explore new technologies and methods
in their work can lead to process improvements, automation, and better

74
utilization of resources. This can help reduce the workload and optimize the
efficiency of the accounting department.
Compliance with Salary Deductions: It is essential for the company to
comply with regulations regarding salary deductions. This includes accurately
calculating deductions such as taxes, social insurance, and other mandatory
contributions. By ensuring full compliance, the company can protect the
rights and obligations of its workers and maintain a positive relationship with
employees.
Building an Efficient Accounting System: The company should aim to
develop an efficient and streamlined accounting system. This can involve
reviewing and improving existing processes, eliminating redundancies, and
implementing automation where possible. The use of accounting software can
greatly facilitate these efforts by centralizing data, generating reports, and
improving overall accuracy and efficiency.
Consider Hiring External Accountants: To enhance the organizational
structure and improve efficiency, the company may consider hiring external
accountants or engaging the services of accounting firms. These professionals
can provide specialized expertise, assist with complex accounting tasks, and
ensure compliance with accounting standards and regulations.
Unification and Streamlining of Accounting Books: Accountants
should work towards unifying and streamlining accounting books. This
involves organizing and structuring the books in a standardized format that
adheres to accounting principles and regulations. By avoiding unnecessary
repetition and ensuring all necessary information is accurately recorded, the
workload can be reduced, and the financial data can be easily accessed and
analyzed.
Building a Reasonable Bonus System: The company should establish a
fair and reasonable bonus system to motivate employees and recognize

75
outstanding performance. In addition to traditional Tet bonuses, the company
can consider implementing performance-based bonuses for individuals and
groups who contribute positively to the company's success. This can help
boost employee morale and foster a culture of excellence.
Regular Checking and Reviewing of Payment Methods: The company
should regularly review and evaluate its payment methods to ensure they are
scientific, fair, and aligned with industry standards. This includes assessing
the fairness of wage structures, overtime payment policies, and any other
forms of compensation. By conducting periodic reviews, the company can
identify areas for improvement and make necessary adjustments to maintain
employee satisfaction.
Implementing a Reasonable Timekeeping Method: The company
should establish a reasonable timekeeping method to accurately track
employees' working hours. This can be achieved through various methods,
such as fingerprint timekeeping or time card systems. The system should not
only reflect the actual number of working days but also promote employees'
sense of responsibility. Timely rewards should be given to those who fulfill
their working hours, while appropriate measures should be taken to address
any issues of inadequate working time.
Strengthening Training for Managers and Workers: The company
should prioritize the training and development of both managers and workers.
Effective recruitment strategies should be implemented to attract qualified
managers who possess the necessary skills and competencies for leadership
roles within the market economy. For employees with lower skill levels, the
company should invest in training programs, sending them to external classes
or providing in-house training opportunities. This will help enhance their
capabilities and align their skills with the demands of the job. Additionally,
the company should establish administrative measures to ensure employees

76
comply with rules and regulations, promoting a culture of discipline and
accountability.

77
 CONCLUSION
In the context of production and business activities, companies and
economic organizations place a strong emphasis on costs and outcomes. To
effectively manage these aspects, it is essential for manufacturing facilities
and economic entities to maintain accurate records and conduct calculations.
In today's diverse market economy, where various economic sectors
coexist, it is crucial for economic organizations, regardless of their size, to
establish their own strategies. Accounting serves as an indispensable stage in
the operation of any business, including a manufacturing company such as
Simon Electric Vietnam Joint Stock Company, specializing in the production
of lighting equipment and water pipe supply.
Within each enterprise, accountants play a vital role in providing
comprehensive economic information regarding the production and business
activities to managers. They also reflect the changes in assets and capital
sources within the business unit. Moreover, accountants ensure the accurate
calculation of production costs and the overall business performance,
enabling managers to identify new directions and maximize profitability.
After a period of studying specialized knowledge and completing an
internship at Simon Electric Vietnam Joint Stock Company, under the
dedicated guidance of Assoc. Prof. PhD. Le Kim Ngoc, and company
colleagues, I have gained practical experience and strengthened my
understanding of the role of an accountant in a business setting.
However, due to the limited duration of the internship and the scope of
this report, it may have its limitations. I eagerly anticipate receiving
contributions and guidance from you and my colleagues at Simon Electric
Vietnam Joint Stock Company to further enhance the quality and
completeness of this report.

78
 REFERENCE
1. Donald, E. K., Jerry, J. W. & Terry, D. W. (2019). ‘Intermediate
Accounting 17th Edition’.
2. Simon Electric Vietnam Joint Stock Company (2023).
https://simon.vn/en/about-us/
3. Ministry of Finance (2001, 2002, 2003, 2005, 2006 & 2007).’
Vietnamese Public Accounting Standard’.
4. Ministry of Finance (2006). ‘Enterprise Financial Reporting
Framework’. Decision 15/2006/QD-BTC.
5. Ministry of Finance (2013). ‘Circular No. 45/2013/TT-BTC’.
6. Ministry of Finance (2014) ‘Circular No. 200/2014/TT-BTC’.
7. Ray, H. G., Eric, W. N. & Peter, C. B. (2021). ‘Managerial
Accounting 17th Edition’.
8. Stephen, A. R., Randolph, W. W. & Bradford, D. J. (2013).
‘Fundamentals of Corporate Finance 10th Edition’.
9. The Accounting Department (2020, 2021 & 2022). ‘Financial
Statement of Simon Electric Vietnam Joint Stock Company’.
10. The Accounting Department (2023). Documents and Vouchers.
 APPENDIX

Appendix 1: Business License of Simon Electric Joint Stock Company

(Source: Accounting Department of Simon Electric Vietnam Joint Stock
Company - 2022)