The document outlines a contingency plan for a company that includes identifying risks, assigning risk scores, proposed contingency strategies, responsibilities, timelines, and budgets. Three key risks identified are profit being more than 10% less than budgeted, lack of enforcement of credit terms impacting cash flow, and many bikes needing repairs or being thrown out due to rust. Contingency strategies proposed include developing sales strategies, creating credit policies and procedures, and minimizing rust on bikes. Responsibilities, timelines, and budgets are assigned for each contingency strategy.
International standards on auditing(is as)Armaghan khan
International standards on auditing help provide the way to do audit acceptan, Audit planning, Audit documentation,Audit evidence gathering, Audit procedures, Audit Reporiting, Audit Standard quality Review etc.
Title: The Budget Process: An Overview and Analysis
Description:
The budget process is a structured and comprehensive approach to managing financial resources within an organization. This report provides a detailed description and analysis of the budget process, exploring its various stages and key considerations.
The report begins by introducing the concept of the budget process as a fundamental aspect of financial management. It emphasizes the significance of systematic planning, preparation, implementation, and evaluation in achieving organizational goals effectively.
The first stage discussed is budget planning, where financial goals are established, priorities are set, and alignment with strategic objectives is ensured. The report highlights the importance of assessing past performance, forecasting revenue and expenditure, and conducting cost-benefit analyses during this stage. It also emphasizes the need for stakeholder engagement and consultations to ensure the budget reflects diverse perspectives and requirements.
Moving on to the budget preparation stage, the report explains the detailed planning and allocation of resources. It explores the formulation of revenue estimates, identification of expenditure requirements, and the allocation of funds to different departments or programs. The report emphasizes the significance of maintaining consistency, fairness, and transparency through the establishment of budgetary guidelines and frameworks. Collaboration between finance departments and operational units is also stressed as a crucial factor in producing realistic budget estimates.
The report then delves into the budget approval stage, describing the review and approval process. It highlights the different bodies involved in this stage, such as legislative assemblies or executive boards in the public sector, and senior management or board of directors in private companies. The report underlines the evaluation criteria for budget approval, including alignment with strategic objectives, feasibility, and fiscal responsibility.
Finally, the report explores the budget implementation stage, where the approved budget is executed. It emphasizes the allocation of funds to various departments and programs, ensuring adherence to the approved budgetary allocations. The report highlights the importance of effective monitoring and control mechanisms during implementation to track progress, identify deviations, and make necessary adjustments.
Overall, this report provides a comprehensive description of the budget process, elucidating its stages, considerations, and the significance of collaboration and evaluation at each step. It serves as a valuable resource for understanding the intricacies of budget management and its role in achieving organizational objectives.
International standards on auditing(is as)Armaghan khan
International standards on auditing help provide the way to do audit acceptan, Audit planning, Audit documentation,Audit evidence gathering, Audit procedures, Audit Reporiting, Audit Standard quality Review etc.
Title: The Budget Process: An Overview and Analysis
Description:
The budget process is a structured and comprehensive approach to managing financial resources within an organization. This report provides a detailed description and analysis of the budget process, exploring its various stages and key considerations.
The report begins by introducing the concept of the budget process as a fundamental aspect of financial management. It emphasizes the significance of systematic planning, preparation, implementation, and evaluation in achieving organizational goals effectively.
The first stage discussed is budget planning, where financial goals are established, priorities are set, and alignment with strategic objectives is ensured. The report highlights the importance of assessing past performance, forecasting revenue and expenditure, and conducting cost-benefit analyses during this stage. It also emphasizes the need for stakeholder engagement and consultations to ensure the budget reflects diverse perspectives and requirements.
Moving on to the budget preparation stage, the report explains the detailed planning and allocation of resources. It explores the formulation of revenue estimates, identification of expenditure requirements, and the allocation of funds to different departments or programs. The report emphasizes the significance of maintaining consistency, fairness, and transparency through the establishment of budgetary guidelines and frameworks. Collaboration between finance departments and operational units is also stressed as a crucial factor in producing realistic budget estimates.
The report then delves into the budget approval stage, describing the review and approval process. It highlights the different bodies involved in this stage, such as legislative assemblies or executive boards in the public sector, and senior management or board of directors in private companies. The report underlines the evaluation criteria for budget approval, including alignment with strategic objectives, feasibility, and fiscal responsibility.
Finally, the report explores the budget implementation stage, where the approved budget is executed. It emphasizes the allocation of funds to various departments and programs, ensuring adherence to the approved budgetary allocations. The report highlights the importance of effective monitoring and control mechanisms during implementation to track progress, identify deviations, and make necessary adjustments.
Overall, this report provides a comprehensive description of the budget process, elucidating its stages, considerations, and the significance of collaboration and evaluation at each step. It serves as a valuable resource for understanding the intricacies of budget management and its role in achieving organizational objectives.
- Why benchmark - and why can it be useful?
- What can we benchmark against, and who can help with the process?
- Benchmarking processes and techniques
- Pros and cons of different benchmarking options
- A suggested model for benchmarking the procurement function
- Developing improvement plans
- Why benchmark - and why can it be useful?
- What can we benchmark against, and who can help with the process?
- Benchmarking processes and techniques
- Pros and cons of different benchmarking options
- A suggested model for benchmarking the procurement function
- Developing improvement plans
Generally accepted accounting principlessanjoygiri
Introduction of Generally Accepted Accounting Principles: These widely accepted accounting principles that are generally recognized by almost all the persons associated with accounting along with representation of accepted accounting practices are known as ” Generally Accepted Accounting Principles”.
It is the summation of all theories, doctrine, conventions, or principles closely related to the accounting which got global recognition.
Accounting principles are the basic assumptions, rules of operation, and essential characteristics that make up the framework for the construction of accounting financial statements
Case 1-3 Politicalization of Accounting StandardsSome accountaTawnaDelatorrejs
Case 1-3 Politicalization of Accounting Standards
Some accountants have said that politicalization in the development and
acceptance of generally accepted accounting principles (i.e., standard setting) is
taking place. Some use the term politicalization in a narrow sense to mean the
influence by governmental agencies, particularly the SEC, on the development of
generally accepted accounting principles. Others use it more broadly to mean the
compromising that takes place in bodies responsible for developing these principles
because of the influence and pressure of interested groups (SEC, American
Accounting Association, businesses through their various organizations, Institute
of Management Accountants, financial analysts, bankers, lawyers, etc.).
Required:
A.) Do the reasons these groups were formed, their methods of operation while in existence, and the reasons for the demise of the first two indicate an increasing politicalization (as the term is used in the broad sense) of accounting standard setting? Explain your answer by indicating how the CAP, APB, and FASB operated or operate. Cite specific developments that tend to support your answer.
CAP. The Committee on Accounting Procedure, CAP, which was in existence from 1939 to 1959, was a natural outgrowth of AICPA committees which were in existence during the period 1933 to 1938. The committee was formed in direct response to the criticism received by the accounting profession during the financial crisis of 1929 and the years thereafter. The authorization to issue pronouncements on matters of accounting principles and procedures was based on the belief that the AICPA had the responsibility to establish practices that would become generally accepted by the profession and by corporate management.
As a general rule, the CAP directed its attention, almost entirely, to resolving specific accounting problems and topics rather than to the development of generally accepted accounting principles. The committee voted on the acceptance of specific Accounting Research Bulletins published by the committee. A two-thirds majority was required to issue a particular research bulletin. The CAP did not have the authority to require acceptance of the issued bulletins by the general membership of the AICPA, but rather received its authority only upon general acceptance of the pronouncement by the members. That is, the bulletins set forth normative accounting procedures that "should be" followed by the accounting profession, but were not "required" to be followed.
It was not until well after the demise of the CAP, in 1964, that the Council of the AICPA adopted recommendations that departures from effective CAP Bulletins should be disclosed in financial statements or in audit reports of members of the AICPA. The demise of the CAP could probably be traced to four distinct factors: (1) the narrow nature of the subjects covered by the bulletins issued by the CAP, (2) the lack of any theoretical groundwork in esta ...
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Latino Buying Power - May 2024 Presentation for Latino CaucusDanay Escanaverino
Unlock the potential of Latino Buying Power with this in-depth SlideShare presentation. Explore how the Latino consumer market is transforming the American economy, driven by their significant buying power, entrepreneurial contributions, and growing influence across various sectors.
**Key Sections Covered:**
1. **Economic Impact:** Understand the profound economic impact of Latino consumers on the U.S. economy. Discover how their increasing purchasing power is fueling growth in key industries and contributing to national economic prosperity.
2. **Buying Power:** Dive into detailed analyses of Latino buying power, including its growth trends, key drivers, and projections for the future. Learn how this influential group’s spending habits are shaping market dynamics and creating opportunities for businesses.
3. **Entrepreneurial Contributions:** Explore the entrepreneurial spirit within the Latino community. Examine how Latino-owned businesses are thriving and contributing to job creation, innovation, and economic diversification.
4. **Workforce Statistics:** Gain insights into the role of Latino workers in the American labor market. Review statistics on employment rates, occupational distribution, and the economic contributions of Latino professionals across various industries.
5. **Media Consumption:** Understand the media consumption habits of Latino audiences. Discover their preferences for digital platforms, television, radio, and social media. Learn how these consumption patterns are influencing advertising strategies and media content.
6. **Education:** Examine the educational achievements and challenges within the Latino community. Review statistics on enrollment, graduation rates, and fields of study. Understand the implications of education on economic mobility and workforce readiness.
7. **Home Ownership:** Explore trends in Latino home ownership. Understand the factors driving home buying decisions, the challenges faced by Latino homeowners, and the impact of home ownership on community stability and economic growth.
This SlideShare provides valuable insights for marketers, business owners, policymakers, and anyone interested in the economic influence of the Latino community. By understanding the various facets of Latino buying power, you can effectively engage with this dynamic and growing market segment.
Equip yourself with the knowledge to leverage Latino buying power, tap into their entrepreneurial spirit, and connect with their unique cultural and consumer preferences. Drive your business success by embracing the economic potential of Latino consumers.
**Keywords:** Latino buying power, economic impact, entrepreneurial contributions, workforce statistics, media consumption, education, home ownership, Latino market, Hispanic buying power, Latino purchasing power.
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What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
Poonawalla Fincorp and IndusInd Bank Introduce New Co-Branded Credit Cardnickysharmasucks
The unveiling of the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card marks a notable milestone in the Indian financial landscape, showcasing a successful partnership between two leading institutions, Poonawalla Fincorp and IndusInd Bank. This co-branded credit card not only offers users a plethora of benefits but also reflects a commitment to innovation and adaptation. With a focus on providing value-driven and customer-centric solutions, this launch represents more than just a new product—it signifies a step towards redefining the banking experience for millions. Promising convenience, rewards, and a touch of luxury in everyday financial transactions, this collaboration aims to cater to the evolving needs of customers and set new standards in the industry.
Resume
• Real GDP growth slowed down due to problems with access to electricity caused by the destruction of manoeuvrable electricity generation by Russian drones and missiles.
• Exports and imports continued growing due to better logistics through the Ukrainian sea corridor and road. Polish farmers and drivers stopped blocking borders at the end of April.
• In April, both the Tax and Customs Services over-executed the revenue plan. Moreover, the NBU transferred twice the planned profit to the budget.
• The European side approved the Ukraine Plan, which the government adopted to determine indicators for the Ukraine Facility. That approval will allow Ukraine to receive a EUR 1.9 bn loan from the EU in May. At the same time, the EU provided Ukraine with a EUR 1.5 bn loan in April, as the government fulfilled five indicators under the Ukraine Plan.
• The USA has finally approved an aid package for Ukraine, which includes USD 7.8 bn of budget support; however, the conditions and timing of the assistance are still unknown.
• As in March, annual consumer inflation amounted to 3.2% yoy in April.
• At the April monetary policy meeting, the NBU again reduced the key policy rate from 14.5% to 13.5% per annum.
• Over the past four weeks, the hryvnia exchange rate has stabilized in the UAH 39-40 per USD range.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
1. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501— MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
1. Clarify budget and negotiate changes
Purpose
To identify current areas of the budget that are not
achievable , inaccurate or unclear and make changes
to be authorized by the manager
Time 10-2pm Location UIT
Manager of
sales name
Sam Gellar Name of Manager Poonam Date 10/1/2018
Identify areas of
the budget that
are not
achievable,
inaccurate or
unclear
Identified issues
Proposed changes of
the budget
Rational for
proposed change
Consequences of
not making
relevant changes
Strategies to
achieve new
target
Authorized by
Financial target
Sales volume due to
current economic climate
Modify the target in
10% less
To keep the target
achievable
Stress for sales
team, false
expectations for
stakeholders; fail
on project due to
Incorrect budget
Motivate the
sales team;
promotional
campaigns;
Increase the
marketing in
social media
John BIack
Chief financial
Officer
2. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
Waste Removal
The cost of waste removal
is 20% more than budgeted
To find other solutions
for wasting and to
reduce the waste of
materials
To reduce the cost
of waste removal
and keep it within
budgeted
Waste money with
something that
could be managed
by other solution
To find out the
reason of waste
keep track of
production
process,find
better solutions
for it, to create
policies and
procedures for
wasting
Charles Pierce –
Production
Manger
Advertising
Economic downturn
To reduce the budget for
expensive media and to
explore cheaper media
To keep the
budget within the
proposed and
save money for
other areas
Using the budget
for non-effective
result and make it
out of planned
Alternative
advertisement
Stuart LaRoux –
Operations
General manger
3. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
2. Three accounting Principles
Principles of accounting can also refer to the basic or fundamental accounting principles: cost principle , materiality principles and time period
assumption going concern principles, economic entity principles, and so on. In this context, principles of accounting refers to the broad underlying
concepts which guide accountants when preparing financial statements.
Principles of accounting can also meangenerally accepted accounting principles(GAAP). Generally accepted accounting principles (GAAP) are a
common set ofaccounting principles, standards and procedures that companies must follow when they compile their financial statements. GAAP is a
combination of authoritative standards (set by policy boards) and the commonly accepted ways of recording and reporting accounting information.
GAAP improves the clarity of the communication of financial information.GAAP attempts to standardize and regulate the definitions, assumptions
and methods used in accounting. This helps companies prepare consistent financial statements from year to year.
cost principles :The cost principle is one of the basic underlying guidelines in accounting. It is also known as the historical cost principle. The cost
principle also means that valuable brand names and logos that were developed through effective advertising will not be reported as assets on the
balance sheet. This could result in a company's most valuable assets not being included in the company's asset amounts. (On the other hand, a brand
name that is acquired through a transaction with another company will be reported on the balance sheet at its cost.)
materiality principles:In accounting, the concept of materiality allows you to violate another accounting principle if the amount is so small that the
reader of the financial statements will not be misled.
A classic example of the materiality concept or the materiality principle is the immediate expensing of a $10 wastebasket that has a useful life of 10
years. The matching principle directs you to record the wastebasket as an asset and then depreciate its cost over its useful life of 10 years. The
materiality principle allows you to expense the entire $10 in the year it is acquired instead of recording depreciation expense of $1 per year for 10
years. The reason is that no investor,creditor, or other interested party would be misled by not depreciating the wastebasket over a 10-year period.
Determining what is a material or significant amount can require professional judgment. For example, $5,000 might be immaterial for a large,
profitable corporation, but it will be material or significant for a small company that has very little profit.
time period assumption:It is also known as the periodicity assumption. The accounting guideline that allows the accountant to divide up the
complex, ongoing activities of a business into periods of a year, quarter, month, week, etc. The precise time period covered is included in the heading
of the income statement, statement of cash flows, and the statement of stockholders' equity.
4. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
3. Three Legislation and ATO requirement
GST ACT 1999 :
This Act may be cited as the A New Tax System (Goods and Services Tax) Act 1999.The goods and services tax[1](GST) in Australia is a value added
tax of 10% on most goods and services sales. GST is levied on most transactions in the production process, but is refunded to all parties in the chain of
production other than the final consumer.
The tax was introduced by the Howard Government and commenced on 1 July 2000, replacing the previous federal wholesale sales tax system and
designed to phase out a number of various State and Territory Government taxes, duties and levies such as banking taxes andstamp duty.
An increase of the GST to 15% has been put forward, but is generally lacking in bi-partisan support.
Corporation Act 2001 :
The Corporations Act 2001 (Cth) (the Corporations Act, or informally as the 'Corps' Act) is an act of the Commonwealth of Australia that sets out
the laws dealing with business entities in Australia at federal and interstate level. It focuses primarily on companies, although it also covers some laws
relating to other entities such as partnerships and managed investment schemes.
The Corporations Act is the principal legislation regulating companies in Australia. It regulates matters such as the formation and operation of
companies (in conjunction with a constitution that may be adopted by a company), duties of officers, takeovers and fundraising.
The Act is published in five volumes covering a total of ten chapters. The chapters have multiple parts, and within each part there may be multiple
divisions. Each chapter contains a collection of sections.
Australian Securities and Investments Commission Act 2001 :
(1) The objects of this Act are:
(a) to provide for the Australian Securities and Investments Commission ( ASIC ) which will administer such laws of the Commonwealth, a
State or a Territory as confer functions and powers under those laws on ASIC; and
(b) to provide for ASIC's functions, powers and business; and
(c) to establish a Corporations and Markets Advisory Committee to provide informed and expert advice to the Minister about the content,
operation and administration of the corporations legislation (other than the excluded provisions), about corporations and about financial
products and financial markets; and
5. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
(d) to establish a Takeovers Panel, a Companies Auditors Disciplinary Board, a Financial Reporting Council, an Australian Accounting
Standards Board, an Auditing and Assurance Standards Board and a Parliamentary Joint Committee on Corporations and Financial Service.
(2) In performing its functions and exercising its powers, ASIC must strive to:
(a) maintain, facilitate and improve the performance of the financial system and the entities within that system in the interests of commercial
certainty, reducing business costs, and the efficiency and development of the economy
(b) promote the confident and informed participation of investors and consumers in the financial system.
(d) administer the laws that confer functions and powers on it effectively and with a minimum of procedural requirements; and
(e) receive, process and store, efficiently and quickly, the information given to ASIC under the laws that confer functions and powers on it;
and
(f) ensure that information is available as soon as practicable for access by the public; and
(g) take whatever action it can take, and is necessary, in order to enforce and give effect to the laws of the Commonwealth that confer
functions and powers on it.
(3) This Act has effect, and is to be interpreted, accordingly.
Australian Securities and Investments Commission(ASIC) is a body corporate
(1) ASIC:
(a) is a body corporate, with perpetual succession; and
(b) has a common seal; and
(c) may, subject to subsection (5), acquire, hold and dispose of real and personal property; and
(ca) may enter into contracts; and
(d) may sue and be sued in its corporate name.
Note:ASIC was established by section 7 of the Australian Securities and Investments Commission Act 1989 and is continued in existence by section 261
of this Act.
6. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
ATO Requirement
Record keeping : Generally, for tax purposes, you must keep your records in an accessible form (either printed or electronic) for five years.
Some of the basic records you may need to keep are:
governing documents (for example, constitution, rules, trust deed)
financial reports (for example, financial statements, annual budgets, reconciliations, audit reports, accounts payable and accounts receivable)
cash book records of daily receipts and payments
tax invoices and income tax records, such as debtors and creditors lists, stocktake records and motor vehicle expenses
records relating to employees (for example, TFN declarations, pay as you go (PAYG) with holding, super annuation and fringe benefits provided)
records of payments withheld from suppliers who do not quote an Australian business number (ABN)
banking records (for example, bank statements, deposit books, cheque books, bank reconciliation)
grant documentation (for example, when funding will be received, when acquittals need to be made, application deadlines)
registration, certificates and accompanying documents to regulators (for example, ATO, Australian Charities and Not-for-profits Commission, and
state regulators)
contracts and agreements (for example, cleaning, maintenance and insurance contracts, finance or lease agreements)
copies of reviews of entitlement to tax concessions
records to help prepare tax statements and returns.
7. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
4. Principles and Techniques of managing budget items
Capital budgeting has five principles that play a crucial role in the allocation of money and the process of capital budgeting.
The five principles are;
(1) decisions are based on cash flows, not accounting income, (2) cash flows are based on opportunity cost, (3) The timing of cash flows are important, (4)
cash flows are analyzed on an after tax basis, (5) financing costs are reflected on project’s required rate of return.
(1) Relevant cash flows are based on incremental cash flows. This represents the changes in cash flow if the project is undertaken. Aspects of cash flow
that affect capital budgeting are sunk costs and externalities. These are both costs that cannot be avoided. Sunk costs are costs that are unavoidable, even if
the project is undertaken. Externalities are side effects of a project that affect other firm cash flows.
(2) Cash flows are based on opportunity cost. In other words, it is the cash flow that will be lost due to the financing of a project. These are cash flows that
are accumulated by assets the firm already owns and would be sunk if the project under consideration is undertaken.
(3) The timing of cash flow is crucial because it is dependent on the time value of money. Cash flow that is received now will be worth more in the future
if it were to be received later.
(4) Cash flows are measured on an after tax basis. It is useless to measure cash flow before taxes because it is not its present value. Firm’s value is based
on cash flow that a firm gets to keep, not the money that is sent to the government.
(5) Financing costs are reflected on project’s required rate of return. Rate of return is an aspect of financing that has potential risks. Project’s that are
expected to have a higher rate of return than their cost of capital will increase the value of the firm.
BudgetingTechniques
A budget is basically a plan of action for the forthcoming business period and budget planning should involve the whole organisation. The ability to
budget effectively is crucial both in terms of performance and profitability as without having an awareness of costs it is all too easy to spiral down
into losses over a period of time.
8. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
There are thee main budgeting techniques:
Incremental budgeting
Zero-based budgeting
Flexed budgeting
Incremental Budgeting
The incremental approach to budgeting combines the costs identified from the previous accounting period with percentage additions. These percentage
additions are utilised to cover two key areas which include cost increases as a result of inflation or higher purchases costs and predictions associated with
increases in costs and income as a result of business volume predictions.
A key limitation of the incremental budgeting system is the manner in which percentages are added in a blanket fashion resulting in the likelihood of
higher overall costs in the long-term. This may then also result in a business having to increase its sale prices to a level that is no longer competitive.
Zero-Based Budgeting
The clue is is in the title here as the zero-based budgeting system requires budgeting to commence with the assumption that every cost has a zero base.
Next, each item relating to expenditure is worked through and decisions are made as to whether the purchase is completely essential. Then different
purchasing options associated with the specific item are explored as a means of ensuring the item is obtained as cost-effectively as possible.
One of the main limitations of the zero-budgeting system is that it can take an awful lot of time to work through each individual cost in this manner.
However, it is fair to add that utilising this approach will then provide an extremely useful database containing valuable, time-saving information for the
years to come.
Flexed Budgeting
As with zero-based budgeting, the flexed budgeting system gives its name away in the title as it involves ‘flexing’ the normal budget. The benefits of
flexed budgeting are that it is likely to be considerably more accurate as the budget is adapted to suit various external changes. Within this approach
managers are able to provide key information resulting in an achievable budget, pessimistic budget and optimistic budget.
Through undertaking the process of flexed budgeting, managers are better able to make important decision relating to risk and expenditure, having gained
a wider perspective on best and worst outcomes.
As highlighted above, there are three main categories associated with budgeting which include incremental, zero-based and flexed budgeting. Each of
these approaches has various strengths and limitations with the latter approach being able to provide more accurate information.
9. BSBFIM501 - DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 1 –Plan Financial Management Approaches
5. Contingency Plan
CONTINGENCY PLAN
Company name
Developer of the
plan
Poonam Position Manager of Sales Centre
Risk identified
Risk
Likeline
ss
Risk
Impact
Risk
Score Contingency Responsibility
Time Line in
days
Budget
Profit for FY more than
10% less than budgeted
5 5 25 Develo strate ies to increase sales and
training of staff m sales techniques
Sam Gellar -
Sales General
Manager
30 days $8,000
Currently no enforcement
of credit terms (customers
take too long to pay back
impacting on cash flow)
4 5 20 Creates policies and procedures and John Black - CFO 24 days $1,500
Many bikes need to be
thrown out in parts rust
4 5 20
Minimize the rust using sprays anti-
rust,in case of bikes damaged, fix and
sell it
cheaper
Charles Pierce -
Production
Manager
20 days $10,000
10. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 2- Implement financial management approaches
Assessment Task 2- Impement financial management approches
Role: You are the manager of Sales Team A. You manage a small tteam of sales team members. Your duties include accessing budget information for
your team, explaining relevant aspects of budget documents to your team, and supporting team members to achieve performance goals.
1. Role-play to support team member prep work
Purpose
To train Bill on policies and
procedures as well as usage of
formulas and functions on
Microsoft Excel
Determine
organisational
needs
Keep control of expenses
Identify
coaching/training
needs of team
member
30 hours of training
Mentoring program
2. Plan Training session
Topic to be taught Training Method
How do we test
participants
Resource Required Outcome/Competency
Policies and procedures
Booklet, online
information
Internal audition
Booklet, documents online,
auditor, computer
At the end of the training, participants will
be able to use and apply policies and
procedures
Advanced Excel skills
(formulas and
functions)
Course with
trainer
Online
demonstration
Excel workbook, computer,
excel, trainer, room, tables,
chairs, board
participants will have advanced excel skills
being able to use formulas and
functions
11. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 2- Implement financial management approaches
How to access budget
information
Workshop, guide
information
Internal audition
Computer, room, video,
mentor
At the end of the coaching participants will
be able to access budget information
Advanced accounting Skllls
Coaching
program
Make the
employee to
Work on a real
case being
monitored by
senior staff
member
Senior staff member,
computer
At the end of the coaching program work on
a real participants will have advanced
accounting skills, being able to deal with
different problems and prolects, finding
solutions
23. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 3- Monitor and finances
Rates 100,000 100,000 0.00 0%
Rent 200,000 200,000 0.00 0%
Water 30,000 35,000 5,000.00 17%
Waste removal 50,000 60,000 10,000.00 20%
TOTAL EXPENSES 1,401,500 1,422,500 21,000.00 1%
NET PROFIT
(BEFORE INTEREST
& TAX)
1,021,000 825,000 196,000 (19%)
Income Tax Expense
(25%Net)
255,250 206,250 49,000 (19%)
NET PROFIT AFTER
TAX
765,750 618,750 147,000 -19%
24. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 3- Monitor and finances
3. Modified contigency plan and modified implementation plan
For every variance identified:
Variance type & % Rational Strategy to correct Person responsible Time Monitor
Sales — 6% less Impact negatively on the
profit
Create promotional campaigns, discounts
for cash payments, training sales team in
sales techniques
Sam Gellar
Sales General Manager
3 weeks Monthly
Bank Charges 17% To avoid paying
unnecessary bank charges
Negotiate with the back better charges,
if not possible, find a bank with better
rates
Pat Roberts Senior
Accountant
1 week FY
Dues &
Subscriptions 20%
To reduce the percentage
on dues and subscriptions
in 20% to keep within the
budget
For subscriptions, to find free
subscriptions or even cut them off, when
i is not possible to negotiate a cheaper
price
Stuart LaRoux
Operations General
Manager
1 week Monthly
Travel 10% To reduce the percentage
and keep within the budget
Create a policy and procedure to
evaluate when is extremely necessary to
travel, otherwise, video chats
Charles Pierce
Production Manager
2 weeks Monthly
Postage & Printing
25%
To reduce the percentage,
finding out what is waste
and keep it within the
budget
Create a policy and procedure for
printing. For postage, to find out the
reason and share the expense with the
recipient.
Charles Pierce
Production Manager
2 weeks Monthly
25. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 3- Monitor and finances
Telephone 12% To be more objective
when using telephone
reducing the time spent on
it
To create a limit of minutes for calls,
when is possible, to use other
communication ways (email, message,
etc)
Stuart LaRoux
Operations General
Manager
1 week Fortnight
Staff Amenities
15%
To reduce the money
spent on staff amenities
keeping within the budget
To find out what is necessary for staff
and reduce what is not so necessary
Holly Burke HR
Manager
2 weeks Monthly
Advertising 4% To keep the budget within
the proposed and save
money for other areas
To find cheaper alternative
advertisement (social media, for
example)
Stuart LaRoux
Operations General
Manager
2 weeks Monthly
Water 17% To use the right amount of
water avoiding waste and
to keep it within budgeted
Create policies and procedures for water
usage
Stuart LaRoux
Operations General
Manager
3 weeks Monthly
Waste Removal
20%
To reduce the cost of
waste removal and keep it
within budgeted
To find out the reason of waste, keep
track of production process, find better
solutions for it, to create policies and
procedures for wasting
Stuart LaRoux
Operations General
Manager
3 weeks Monthly
4. Create a 3 step procedure based on 1 Variance identified, to eliminate or reduce the likeliness of a variance occurring in the future.
Manage budget and financial plans procedure
Purpose : the purpose of this procedure is to reduce or even eliminate the likeliness of variance in budgets of Big Red Bicycle. This is a part of a
continuous improvement on budget and financial plans.
26. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 3- Monitor and finances
Area: Sales
1. Planning
• Analyse the market and economic forecast;
• To analyse competitors companies;
• To maintain clients and explore others possible clients;
• Establish the target to be achieved considering SMART criteria;
• To train sales staff in sales techniques;
2. Monitor
• Monthly sales report;
• Identify what are the gaps that results in low level of sales;
• If is related to staff performance, to provide training to help them achieving targets;
• If is due to economic situation, to create promotional campaigns, discounts, etc.
3. Review and evaluate
• Evaluate sales performance;
• Review and establish new procedures for those systems that may be failing;
• Agree on a new plan.
27. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment Task 3- Monitor and finances
28. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
ASSESSMENT TASK 4 - Review and evaluate financial management processes
TASK A
As you are aware, one risk to the strategic plans of Big Red Bicycle (BRB) is bad debt and poor
cash flow due to large trade debtor balances. Consider the following:
The following information from the Statement of Financial Position and current ledger accounts in
the electronic accounting system (MYOB AccountRight).
Account $
Trade debtors 362,500
Trade creditors 80,000
Opening stock 100,000
Closing stock 300,000
Purchases 1,000,000
1. Review the Statement of Financial Performance in Appendix 2 to calculate:
a. The average debtor days: 46 days
Average debtor days =
(tradedebtors
sales ) x365
=
(362,500
2,900,000 )x365
= 45.63
b. The average creditor days: 77 days
Average creditor days = (
trade creditors
cost of sales
) x365
= (
80,000
380,000
) x365
= 76,84
c. The average stock turnover: $60,000
29. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Average stock turnover =
(openingstock+closingstock
2 )
=
(100,000+20,000
2 )
= 60,000
2. Two written recommendations for improvement to existing financial management processes
to improve cash flow.
Firstly, we should improve the average debtor days by trying to collect from our
debtor within 30 days. From our record, it is shown that there is 15% of our
debtors pay their debts later than 60 days.
Secondly, we should try to negotiate with our creditors to let us have 45-60 days
period of credit days. Therefore, we have more time to manage our cash flow.
To support recommendations refer to data sources, organisational needs, and analytical
techniques, for example:
a. Statement of Financial Performance
b. ledger accounts
c. scenario information
d. ageing debtors budget
e. ratios.
To improve the existing financial management process in a matter of improving cash flow is
necessary to reduce the payment period and also create a discount for payment in cash. To slow
down payables is another good technique regarding to cash flow.
As was calculated before, the average debtors days is 46 days, which is a higher and critical number
for a company. On basic recommendation would be to make it easy for people to pay, giving them
many systems to pay. It is very important to have a reliable monthly statement of financial
performance, ate least until the percentage of debtors to reduce, and them keep track of it for each
quarter. The statements clarify the operations and the financial position of the company.
As BRB does not currently train sales staff on credit terms, it could be a recommendation to train
staff on this particular case. It is very important not just to sell but to negotiate in good terms for the
company.
3. List three sources of information of use to complete this activity
30. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
1.Financial statements
Financial statements present the results of operations and the financial position of the company.
Financial statements for businesses usually include income statements, balance sheets,
statements of retained earnings and cash flows. It is standard practice for businesses to present
financial statements that adhere to generally accepted accounting principles (GAAP) to maintain
continuity of information and presentation across international borders. Financial statements are
often audited by government agencies, accountants, firms, etc. to ensure accuracy and for tax,
financing or investing purposes.In short, it is a view of the company’s financial positions as of the
date it is prepared.
Balance Sheet (Statement of Financial Position)
The balance sheet tells you whether the company can pay its bills on time, its financial flexibility to
acquire capital and its ability to distribute cash in the form of dividends to the company's owners. In
short, it is a view of the company’s financial positions as of the date it is prepared.
The balance sheet shows the company's assets, liabilities and shareholders' equity. Each is defined
in Statement of Financial Accounting Concepts No. 6, but to summarize:
Assets are items that provide probable future economic benefits
Liabilities are obligations of the firm that will be settled by using assets.
Equity (variously called stockholders equity, shareowners equity or owners equity) is the
residual interest that remains after you subtract liabilities from assets and represents what is
left for the shareholders.
The key balance sheet accounting equation is
Assets = Liabilities + Owners Equity,
or
A=L+OE
In the most common format, assets on a balance sheet are listed on the left; they ordinarily have
debit balances unless the balance is negative or a contra-asset, an offset to a basic asset account is
shown separately. Liabilities and owner’s equity is shown on the righthand side, and these accounts
typically have credit balances. These three main categories are separated and further divided to
show important relationships and subtotals.
Assets are broken down into current and noncurrent (or long-term). Assets are listed from top to
bottom in order of decreasing liquidity, i.e., how quickly they can be converted to cash. (For more
on this see, Reading The Balance Sheet.)
Current assets are cash and other assets that are expected to be used during the normal operating
cycle of the business, usually one year. They typically include cash and cash equivalents, short-term
investments, accounts receivables, inventory and prepaid expense. Noncurrent assets will not be
31. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
realized in full within one year. They typically include long-term investments: property, plant and
equipment; intangible assets and other assets.
Liabilities are listed in order of expected payment. Obligations expected to be satisfied within one
year are current liabilities. They include accounts payable, trade notes payable, advances and
deposits, current portion of long-term debt and accrued expenses. Noncurrent liabilities include
bonds payable and the portion of long-term debt such as loans maturing in period longer than a year.
The structure of the owners' equity section depends on whether the entity is an individual, a
partnership or a corporation. Assuming it's a corporation, the section will include capital stock,
additional paid-in capital, retained earnings, accumulated other comprehensive income and treasury
stock.
Balance sheet data can be used to compute key indicators that reveal the company's financial
structure and its ability to meet its obligations. These include working capital, current ratio, quick
ratio, debt-equity ratio and debt-to-capital ratio. (To learn more read, Testing Balance Sheet
Strength.)
Analysts, potential creditors and investors can learn a lot from reviewing a company’s balance
sheet. For example:
How risky is the firm’s capital structure? How does it compare to other companies in the
same industry? Too much debt in the capital structure can pose a risk during rough periods
in the economy, too little debt might be a sign that too little leverage is being used possibly
limiting the company’s ability to grow as quickly as their competitors.
How liquid is the company? This can be assessed by looking at the firm’s current assets
relative to their current liabilities.
The balance sheet in combination with other financial statements is a key tool in reviewing
a company’s financial picture and its financial viability.
Income Statement
The income statement (also known as the profit and loss statement or P&L) tells you both the
earnings and profitability of a business. The P&L is always for a specific period of time, such as a
month, a quarter or a year. The periodic nature of the income statement is essential as this allows
users to compare results for the company over similar periods of time, and to the results of other
firms for the same period. Depending on the industry, year over year comparisons that eliminate
seasonal variables can be especially useful.
The format of the income statement has been determined by a series of accounting pronouncements;
some of these are decades old, others released in the past few years. Like the balance sheet, the
income statement is broken into several parts:
32. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Income from continuing operations
Results from discontinued operations (if any)
Extraordinary items (if any)
Cumulative effect of a change in accounting principle (if any)
Net income
Other comprehensive income
Earnings per share information
Income from continuing operations is the heart of the P&L. It includes sales (or revenue), cost of
goods sold, operating expenses, gains and losses, other revenue and expense items that are unusual
or infrequent but not both, and income tax expense.
This section of the income statement is used to compute the key profitability ratios of gross margin,
operating margin, and pretax margin that help readers assess the ability of the company to generate
income from its activities.
Results from continuing operations are of primary interest because they are ongoing and can be
predictive of future earnings; investors put less weight on discontinued operations (which are about
the past) and extraordinary items (unusual and infrequent, thus unlikely to recur).
Companies thus have an incentive to push negative items that belong in continuing operations into
other categories.
Net income is the "bottom line"; it is expressed both on an actual and, after comprehensive income,
on a per share basis. If a company has hybrid securities, like convertible bonds, there is the potential
for additional shares to be created and earnings to be diluted. Earnings per share may therefore be
presented on basic and diluted bases, in accordance with the complex rules of FAS 128.
2. Cash flow
Cash flow is the life blood of all businesses and is the primary indicator of business health. It is
generally acknowledged as the single most pressing concern of most small and medium-sized
enterprises (SMEs), although even finance directors of the largest organisations emphasise the
importance of cash, and cash flow modelling is a fundamental part of any private equity buy-out. In
a credit crunch environment, where access to liquidity is restricted, cash management becomes
critical to survival.Cash flow can also be described as a cycle. Your business uses cash to acquire
resources. The resources are put to work and goods and services produced. These are then sold to
customers. You collect their payments and make those funds available for investment in new
resources, and so the cycle repeats.
It is crucially important that you actively manage and control these cash inflows and outflows. So
what do these look like?
33. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Inflows Cash
inflow is money coming into your business:
• money from the sale of your goods or services to customers
• money on customer accounts outstanding
• bank loans
• interest received on investments
• investment by shareholders in the company.
Outflows Cash
outflow is, naturally, what you pay out:
• purchasing finished goods for re-sale
• purchasing raw materials to manufacture a final product
• paying wages
• paying operating expenses (such as rent, advertising and R&D)
• purchasing fixed assets
• paying the interest and principal on loans
• taxes.
Cash flow management
Cash flow management is all about balancing the cash coming into the business with the cash going
out. The danger is that demands for cash, from the landlord, employees or the tax man, arrive before
cash you’re owed is collected. More often than not, cash inflows seem to lag behind your cash
outflows, leaving your business short. This money shortage is your cash flow gap. If a company is
trading profitably, each time the cycle turns, a little more money is put back into the business than
flows out. But not necessarily. If you don’t carefully monitor your cash flow and take corrective
action when necessary, your business may find itself in trouble. If cash flow is carefully monitored,
you should be able to forecast how much cash will be available on hand at any given time, and plan
your business activities to ensure there is always cash to meet upcoming payments
3. Chart of accounts
Chart of accounts is constructed with its digitization numbering system. It is not necessary to
include an entire dictionary of accounting terms in any general accounting manual, but it is useful to
include those that are commonly used within the company’s transactions, as well as those that
appear in its accounting software. Of particular importance are those terms that are unique to the
industry within which the company operates. For example, the oil and gas, software, and movie
industries have special terminology that cannot be learned through regular accounting classes.
Developing chart of accounts and its procedure for the first time, the definitions provided, on the
manual book, should be concise and meaningful. One or two sentences of definition are usually
34. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
sufficient. Because the definitions are references sources, they should be developed for quick and
easy look-up. For example, the definition for “fixed asset” may be listed under “A,” using the
header “Asset, fixed.” If a user goes to the “F” section of the definitions, there should be a referral
statement, such as “Fixed asset, see Asset, fixed. This standard indexing method should make it as
easy as possible to find a specific definition.
A different approach to the inclusion of accounting term definitions in the manual is to define every
account listed in the chart of accounts. By doing so, any accounting personnel who are responsible
for entering transactions into either the general ledger or its supporting journals will have a better
idea of which accounts should be used. This can save a great deal of time later on, when incorrectly
applied transactions must be researched and corrected.
The following sample definitions are used for the three-digit sample chart of accounts that was
described in my previous post (Chart Of Accounts):
010 – Cash – Money deposited at the bank. If there are restrictions on deposited cash, then it is
accounted for as a long-term asset.
020 – Petty cash – Money retained in the petty cash box.
030 – Accounts receivable – Money due from customers for services received or products shipped,
but not yet received. If there are amounts due from officers or employees, these moneys are listed
under “other accounts receivable.”
040 – Reserve for bad debts – A reserve fund that is held as a contingency against the Non-
payment of outstanding accounts receivable. This account should always have a credit balance.
050 – Marketable securities – Cash that is invested in easily traded equity or debt securities. The
cost of acquiring these securities is included in the account.
060 – Raw materials inventory – The amount of materials kept on hand for eventual inclusion in
finished goods. All freight costs associated with the acquisition of raw materials are included in this
account.
070 – Work-in-process inventory – The cost of partially completed units of production. Costs
stored in this account include raw materials, and any raw materials or overhead used to date.
080 – Finished goods inventory – The cost of completed products that have not yet been shipped
to customers. Costs stored in this account include all raw materials, direct labor, and overhead used
during the production process.
090 – Reserve for obsolete inventory – A reserve fund that is held as a contingency against the
eventual write-off of any types of inventory that no longer have a resale value.
100 – Fixed assets—Computer equipment – Purchased computer equipment exceeding the
corporate capitalization limit that has an expected life of greater than one year.
110 – Fixed assets—Computer software – Purchased computer software exceeding the corporate
capitalization limit that has an expected life of greater than one year.
120 – Fixed assets—Furniture and fixtures – Purchased furniture exceeding the corporate
capitalization limit that has an expected life of greater than one year.
130 – Fixed assets—Leasehold improvements – Improvements made by the company to its leased
properties, exceeding the corporate capitalization limit, that has an expected life of greater than one
year.
140 – Fixed assets—Machinery – Purchased production equipment exceeding the corporate
capitalization limit that has an expected life of greater than one year.
35. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
150 – Accumulated depreciation—Computer equipment – The total of all depreciation charged
against the computer equipment fixed asset account, net of disposed assets. This account has a
credit balance.
160 – Accumulated depreciation—Computer software – The total of all depreciation charged
against the computer software fixed asset account, net of disposed assets. This account has a credit
balance.
170 – Accumulated depreciation—Furniture and fixtures – The total of all depreciation charged
against the furniture and fixtures fixed asset account, net of disposed assets. This account has a
credit balance.
180 – Accumulated depreciation—Leasehold improvements – The total of all depreciation
charged against the leasehold improvement fixed asset account, net of disposed assets. This account
has a credit balance.
190 – Accumulated depreciation—Machinery – The total of all depreciation charged against the
machinery fixed asset account, net of disposed assets. This account has a credit balance.
200 – Other assets – An account in which minor asset items are stored that do not fit into any other
asset account categories.
300 – Accounts payable – Both billed and accrued commitments to pay suppliers for services
rendered or products shipped to the company.
310 – Accrued payroll liability – An obligation to pay wages to employees, but which has not yet
been paid.
320 – Accrued vacation liability – An obligation to pay for earned vacation time to employees, but
which has not yet been paid.
330 – Accrued expenses liability—Other – An account in which minor accrued expenses are
stored, or those accrued expenses are stored, that do not occur on a recurring basis.
340 – Un-remitted sales taxes – Sales taxes to government entities that are a company obligation
to make as a result of selling products or services into the geographic areas governed by those
entities, but which have not yet been made.
350 – Un-remitted pension payments – Pensions payments that are an obligation of the company
to make into the employee pension fund, but which have not yet been made.
360 – Short-term notes payable – Debt obligations that are due for payment in less than one year.
370 – Other short-term liabilities – An account in which minor liability items are stored that do
not fit into any other liability account categories.
400 – Long-term notes payable – Debt obligations that are due for payment in more than one year.
500 – Capital stock – The amount of funds received from investors in exchange for the issuance of
common or preferred stock.
510 – Retained earnings – Total corporate earnings since the creation of the company, less
dividends and any prior period adjustments.
600 – Revenue – The sale of products or services, or receipts from investments, such as interest,
royalties, or dividends.
700 – Cost of goods sold—Materials – The direct cost of materials associated with the sale of a
tangible product. This includes all materials listed on a product’s bill of materials, plus all scrap
incurred during production, less the resale value of any by-products.
710 – Cost of goods sold—Direct labor – The labor expense required to produce a product or
service, which is limited to assembly labor.
720 – Cost of goods sold—Manufacturing supplies – The cost of supplies consumed when a
product is manufactured. This includes all incidental machinery maintenance supplies and
packaging materials.
36. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
730 – Cost of goods sold—Applied overhead – The cost of manufacturing, excluding materials,
direct labor, and supplies. Includes depreciation on manufacturing equipment and facilities, as well
as factory administration, indirect labor, maintenance, production
Employee’s benefits, quality control and inspection, production facility rent, repair expenses,
rework labor, and spoilage.
800 – Bank charges – The expense associated with credit card fees, bank service charges, and the
cost of printing checks.
805 – Benefits – The expense associated with medical insurance, dental insurance, long-term and
short-term disability insurance, and health club reimbursement fees. All employee payroll
deductions to co-pay benefits should be credited against this account.
810 – Depreciation – The expense associated with the periodic reduction of the value of fixed
assets, in accordance with a standard value-reduction methodology.
815 – Insurance – The expense associated with key-man life insurance, business insurance, and
workers’ compensation insurance.
825 – Office supplies – The expense associated with miscellaneous tangible office purchases, such
as paper products, printer cartridges, and diskettes.
830 – Salaries and wages – The expense associated with employee pay, which includes salaries,
wages, severance payments, signing bonuses, and accrued wages.
835 – Telephones – The expense associated with “800” phone service, incoming phone lines, and
cell phones. The cost of phone equipment is charged either to office supplies or to fixed assets,
depending upon the dollar-value purchased.
840 – Training – The expense associated with outsourced training suppliers, tests, and purchased
training materials. It does not include travel costs associated with employee travel to training
classes, nor the salary cost of in-house training personnel.
845 – Travel and entertainment – The expense associated with the travel of either employees or
reimbursed contractors. Includes air fare, lodging, parking, and meals.
850 – Utilities – The expense associated with water, heat, waste removal, and electricity fees
charged by utilities.
855 – Other expenses – Includes all incidental expenses under $500 that do not readily fall into any
other category. Consult with the assistant controller before making entries into this account.
860 – Interest expense – The expense associated with the interest cost of revolving debt, interest on
late payments to suppliers, and outstanding company bonds. Also includes accrued interest on
unpaid interest expenses.
900 – Extraordinary items – Any expense that is both unusual and infrequent, such as a gain on a
troubled debt restructuring or the loss of foreign assets due to governmental expropriation. No
entries to this account are allowed without the controller’s approval.
Other Common Terms and Definitions Used for Chart of Accounts
Other definitions for accounts that are commonly used by the accounting staff include:
1. Travel and Subsistence
Meals and lodging: Includes meals and lodging costs (hotel, motel, etc.) in accordance with
company policy for reimbursement. Per diem allowances for meals and lodging are included here.
Travel in private vehicle: Includes travel in employee-owned vehicles at the
currently approved mileage reimbursement rate.
Travel in rented vehicle: Includes daily car rental fees from outside providers.
Travel in public carrier: Includes air, bus, and train travel.
37. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Travel in motor pool vehicles: Includes charges for the use of company-owned vehicles at the
approved rates. Costs of air travel for the company-owned air plane are included here.
Other travel costs: Includes such incidental expenses as tips, telephone calls, taxis, tolls, and
parking while on a company-authorized trip. Tips on meals are included in meal costs.
Conference and registration fees: Includes registration fees for seminars, work shops, conferences,
and similar meetings. Tuition for schools and workshops is included here. If meals and lodging fees
included in registration fees cannot be separated, then they are included here.
2. Communications
Postage: Includes postage charges for mailing, as well as service and rental fees for postage
machines, and periodic service fees charged by online postage providers.
Express postage: Includes all freight costs for express delivery services, including
pickup fees.
Cell phones: Includes the basic monthly fees, as well as roaming charges, for all issued cell phones.
Telephone local service: Includes the basic monthly charges for all phones.
Telephone long distance: Includes the charges for all long distance services, including the WATS
line, line rentals, and telegraph charges.
Telephone installation and maintenance: Includes all charges for the installation of phones and
subsequent maintenance of the phone system.
3. Marketing
Advertising: Includes the cost of classified advertising for employee hiring, as well as required
advertising for published purchasing bids.
Publicity and public information: Includes the cost of radio, television, and live shows promoting
the company, as well as related layout and copy costs.
4. Rents
Rental of buildings and floor space: Includes payments to others for buildings, rooms for events,
and floor space in buildings for special events. Rental of housing facilities and meeting rooms is
included here.
Rental of computer equipment: Includes the rental or lease cost of computer software and
equipment, such as payments on operating leases.
Other rentals: Includes any rental that cannot be recorded in other rental accounts.
5. Repairs and Maintenance
Repairs, streets and parking: Includes repairs and other maintenance on roads, streets, drives, and
parking lots.
Repairs, building and grounds: Includes wages and material costs of repairing, cleaning, and
maintaining buildings and grounds. Outside contractor costs for this purpose are recorded here.
Repairs, office equipment: Includes the costs of repairing and maintaining office equipment such as
furniture, copiers, and facsimile machines. It does not include maintenance on the phone system.
Maintenance contracts, equipment: Includes the annual contract costs for maintenance contracts on
office equipment.
Repairing and servicing other equipment: Includes the costs of repairing and servicing machinery,
engineering equipment, laboratory equipment, shop equipment, and other equipment not classified
in the preceding repair accounts.
38. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
6. Fees, Professional
Engineering fees: Includes out-of-pocket fees for professional engineering services.
Auditing fees: Includes the costs of auditing fees to outside independent auditors. Other incidental
costs of the audit, such as supplies, telephone, postage and printing charges related to the audit, are
included here.
Medical fees: Includes direct payments to others for medical services, including pre-employment
physicals and lab tests.
Legal fees: Includes all fees paid to attorneys, appraisers, notaries, and witnesses, in addition to
court costs and legal document recording fees.
Laboratory and testing fees: Includes outside laboratory fees and fees paid to outside agencies for
testing services other than medical services.
Consultant expense reimbursements: Includes travel costs paid to consultants and other non-
employees.
7. Other Contractual Services
Insurance and fidelity bonds: Includes the cost of all casualty and liability insurance and fidelity
bond coverage.
Dues: Includes approved dues for company memberships in professional organizations.
Subscriptions: Includes the cost of subscriptions to newspapers, magazines, and periodicals.
Computer software acquisitions: Includes the initial cost of acquiring operating or systems software
packages. Included is the purchase price, related freight, and software manuals.
Computer software maintenance: Includes the annual maintenance fees to maintain purchased
software systems.
8. Maintenance Supplies
Land improvement supplies: Includes asphalt, cement, joint fillers, curbing, and so forth used in
repairing or replacing roads, sidewalks, and parking lots on company property.
Building construction supplies: Includes lumber, caulking, steel, fabricated metal parts, flooring,
ceiling tiles, plaster, lime, and other materials used in repairing or renovating buildings.
Paints and preservatives: Includes interior and exterior paints, wood preservatives, and road striping
materials used for remodeling or maintenance.
Hardware, plumbing, and electrical supplies: Includes all hardware, plumbing parts and accessories,
and electrical wire or parts, including lights used in maintaining or renovating buildings.
Custodial supplies and cleaning agents: Includes all custodial supplies of an expendable nature,
such as cloths, brooms, cleaning compounds, mops, or pails.
9. Office Supplies
Printing, binding, and padding: Includes the cost of printing, binding, and padding paid to outside
contractors.
Duplication and reproduction: Includes the paper, toner, and other supplies used in the company
copy machines.
Office supplies: Includes all office supplies and materials, such as pens, paper, pencils, staples,
paper clips, and so forth.
10. Equipment Supplies
Fuels: Includes vehicle fuels (gasoline, diesel fuel, propane) purchased for motor pool vehicles or
airplanes.
39. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Lubricating oils and greases: Includes lubricating oils and greases used for all vehicles and
machinery.
Tires and tubes: Includes the purchase of tires and tubes for all vehicles in the company motor pool.
Repair and replacement parts: Includes the purchase of vehicle and machinery repair and
replacement parts and supplies.
Shop supplies: Includes the cost of shop supplies, such as shop rags, windshield cleaner, glues and
cements, brushes, degreasers, solvents, and so forth, used in equipment repair and maintenance
operations.
Small tools: Includes small tools used in manufacturing operations that are below the corporate
capitalization limit.
TASK B
In addition to its Australian business, Big Red Bicycle is considering manufacturing a new
range of cheaper bicycles in Indonesia. The following information is available:
The Indonesian plant has capacity to manufacture 8,000 units.
• Big Red Bicycle's strategic goal is to generate a pre-tax profit of $1,000,000 for the next financial
year for Indonesian operations.
• Clients will pay a maximum of $500 per bicycle
• Possibility exists for move to Indian plant with capacity for 10,000 units.
• Market for bicycles is growing rapidly and BRB will be able to sell all units produced.
• Limited ability to renegotiate costs with suppliers.
• Pricing and cost information is as follows.
a. How many units at current variable cost would need to be produced to achieve profit target (show
calculations).
Profit target --> $1,000,000
Bicycle sales price --> $500
Current variable cost --> $250
Fixed costs --> $1,280,000
Units = (
fixcost+ profit
sales price— cost
)
(
1,280,000+1,000,000
500 — 250
)
= 9,120 units
b. What the variable costs per unit would need to be to achieve profit target at current
manufacturing capacity (show calculations).
Gross margin = sales price — variable cost
40. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
= 500 — 250
= 250 dollars
New gross margin = (
fix cost+ profit
units
)
= (
1,280,000+1,000,000
8,000
)
= 285 dollars
New variable cost = sales price — new gross margin
= 500 — 285
= 215 dollars
2.Make one written recommendation based on your analysis. To support your
recommendation ensure you refer to the organisational needs or situation, and any analytical
techniques used. You may also suggest possible actions for BRB to take depending on possible
future scenarios.
Based on calculations above and on the Indonesian scenario, BRB should produce 9,120 bicycles to
achieve the profit target. As the Indonesian plant has the capacity of producing 8,000 bicycles, the
profit will not be achieved. Then, the variable cost of should decrease in 14%. To decrease the
variable cost we could look at fixed costs: suppliers. Even though it has a limited ability to negotiate
with suppliers, it should be reviewed: material, cost of manufacturing, and also offering an extended
contract with suppliers if they reduce their costs.
TASK C
Soon you will need to prepare a Business Activity Statement (BAS) for the first quarter on
2012/13.
Bicycle price per unit $500 (excl. GST)
Current variable costs per unit $250
Fixed costs $1,280,000
1. State how many years you will need to keep GST records in order to satisfy ATO
requirements.
It is necessary to keep GST records to accomplish ATO requirements for five years.
41. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
2. Complete the GST budget on the following page to anticipate GST liability.
July August September
Budgeted cash receipts Incurring GST:
Cash sales 20,000 10,000 10,000
Cash revenue (besides sales) 0 0 0
Cash receipts from sale of assets (not
stock)
0 0 0
Total receipts for GST 20,000 10,000 10,000
Budgeted non-cash receipts Incurring
GST:
Debtors sales 180,000 230,000 150,000
Total non-cash receipts 180,000 230,000 150,000
Total budgeted receipts incurring GST 200,000 240,000 160,000
Budgeted cash payments incurring
GST:
Cash purchases of stock 0 0 0
Cash expenses 4,300 5,200 5,250
Total cash receipts incurring GST 4,300 5,200 5,250
Budgeted credit payments incurring
GST:
Credit purchases of stock incurring GST 25,000 30,000 25,000
Credit purchases of assets (besides stock) 4,300 5,200 5,250
Total cash payments incurring GST 29,300 35,200 30,250
Total budgeted cash payments incurring
GST
33,600 40,400 35,500
42. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
July August September
GST cash budget calculations
a) Cash receipts $ 2,430 $ 1,520 $ 1,525
b) Cash payments $ 2,930 $ 3,520 $ 3,025
c) GST liability $ 5,360 $ 5,040 $ 4,550
43. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Task D:
An action plan to implement and monitor the recommendation. Ensure you include appropriate activities, monitoring, timelines and
accountabilities.
Recommendation Training of staff in credit terms Rational
To reduce the % of debtors for longer than 30
Rational days and ensure that company's
policies are followed
Action Budget
Person
responsible
Time Monitor
To find out reason why debtors are going longer
than 30 days
$800 Stuart LaRoux
Op. Gn. Manager
1 weeks Analyse report and create a spreadsheet with
the common reasons
To train staff in credits policies and procedures $2,000 Holly Burke
HR manager
1 weeks Evaluate them with an internal audition
To track that staff members who struggle with
credit terms information and the topics
$1,000 Holly Burke
HR manager
2 weeks To audit staff members on credit information
To create a training based on team needs and to
train the team
$4,500 Sam Gellar
Sales G. Manager
4 weeks:
2 to create +
2 training
Control their performance and create a
fortnight report with their sales and payments
conditions
To evaluate team member after training $2000 Sam Gellar
Sales G. Manager
2 weeks Monthly evaluation to keep track of those who
still struggle
44. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Task E
Reflecting on the tasks you have undertaken and on your knowledge of financial management
and planning principles:
1. Describe basic accounting principles
Capital budgeting has five principles that play a crucial role in the allocation of money and the
process of capital budgeting. The five principles are; (1) decisions are based on cash flows, not
accounting income, (2) cash flows are based on opportunity cost, (3) The timing of cash flows are
important, (4) cash flows are analyzed on an after tax basis, (5) financing costs are reflected on
project’s required rate of return.
(1) Relevant cash flows are based on incremental cash flows. This represents the changes in
cash flow if the project is undertaken. Aspects of cash flow that affect capital budgeting are
sunk costs and externalities. These are both costs that cannot be avoided. Sunk costs are
costs that are unavoidable, even if the project is undertaken. Externalities are side effects of
a project that affect other firm cash flows.
(2) Cash flows are based on opportunity cost. In other words, it is the cash flow that will be lost
due to the financing of a project. These are cash flows that are accumulated by assets the
firm already owns and would be sunk if the project under consideration is undertaken.
(3) The timing of cash flow is crucial because it is dependent on the time value of money. Cash
flow that is received now will be worth more in the future if it were to be received later.
(4) Cash flows are measured on an after tax basis. It is useless to measure cash flow before
taxes because it is not its present value. Firm's value is based on cash flow that a firm gets to
keep, not the money that is sent to the government.
(5) Financing costs are reflected on project's required rate of return. Rate of return is an aspect
of financing that has potential risks. Project's that are expected to have a higher rate of return
than their cost of capital will increase the value of the firm.
2. Describe cash flows
Cash flow is the net amount of cash and cash-equivalents moving into and out of a business.
Positive cash flow indicates that a company's liquid assets are increasing, enabling it to settle debts,
reinvest in its business, return money to shareholders, pay expenses and provide a buffer against
future financial challenges. Negative cash flow indicates that a company's liquid assets are
decreasing. Net cash flow is distinguished from net income, which includes accounts receivable and
other items for which payment has not actually been received. Cash flow is used to assess the
quality of a company's income, that is, how liquid it is, which can indicate whether the company is
positioned to remain solvent.
3. Describe ledgers and financial statements
Ledger is a book (or record) for collecting chronological transaction data from a journal, and
organizing entries by account. The ledger provides information on the transaction history and
current balance in each account, throughout the accounting period. At the end of the period, ledgers
45. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
become the authoritative source of data for building a firm's financial accounting reports, including
the income statement and balance sheet.
Financial statements for businesses usually include income statements, balance sheets, statements of
retained earnings and cash flows. It is standard practice for businesses to present financial
statements that adhere to generally accepted accounting principles (GAAP) to maintain continuity
of information and presentation across international borders. Financial statements are often audited
by government agencies, accountants, firms, etc. to ensure accuracy and for tax, financing or
investing purposes.
4. Describe profit and loss statements.
A profit and loss statement (P&L) is a financial statement that summarizes the revenues, costs and
expenses incurred during a specific period of time, usually a fiscal quarter or year. These records
provide information about a company's ability—or lack thereof—to generate profit by increasing
revenue, reducing costs, or both. The P&L statement is also referred to as "statement of profit and
loss", "income statement," "statement of operations," "statement of financial results," and "income
and expense statement."
Summarise your reflections in a short, written statement and submit this to your assessor.
You may revisit the five fundamental principles of accounting. For example, the list is said to be
crucial to effective management decision-making:
1. Control — managers need to control and monitor the business.
2. Relevance — decision-makers need information that is timely, useful etc.
3. Compatibility — the accounting systems should match the aims of a company.
4. Flexibility — the accounting systems need to adapt to the company's needs.
5. Cost-benefit — the benefits of the accounting information system need to outweigh the cost.
What do you think?
For an effective management of budget and financial plans it is very important to look at the many
principles, techniques and information of accounting. A good management that sets plans and
policies which are, formally established and expressed in financial results, allows the managers
know the operating results of the company, and then perform the necessary controls to ensure that
these results are achieved and the possible variations are analyzed, evaluated and corrected.
46. BSBFIM501- DIPLOMA OF LEADERSHIP AND MANAGEMENT
ASSESSMENT BSBFIM501 — MANAGE BUDGETS AND FINANCIAL PLANS
Assessment task 4 - review and evaluate financial management processes
Reference List
Corporations Act 2001— Wikipedia — Viewed on 10/1/2018
(https://en.wikipedia.org/wiki/Corporations_Act_2001)
Australian Securities and Investments Commission Act 2001— Federal Register of Legislation —
Viewed on 10/1/2018 (https://www.legislation.gov.au/Details/C2011C00004)
Our role — Australian Securities & Investments Commission — Viewed on 10/10/2018
(http://asic.gov.au/about-asic/what-we-do/our-role/#what)
Record keeping — Australian Taxation Office—Viewed on 10/1/2018
(https://www.ato.gov.au/Non-profit/your-organisation/records,-reporting-and-paying-tax/record-
keeping/)
Principles of Capital Budgeting —Valuation Academy — Viewed on 10/1/2018
(http://valuationacademy.com/principles-of-capital-budgeting/)
Budgeting Techniques— Fleming & Co. Certified Public Accountants— Viewed on 10/1/2018
(http://cparus.com/tax-information/business/budgeting-techniques/)
Accounting Basics: Financial Statements — Investopedia — Viewed on 11/1/2018
(http://www.investopedia.com/university/accounting/accounting5.asp)
Improving cash flow using credit management —Chartered Institute of Management Accountants
—Viewed on 11/1/2018
(http://esyne.gr/wp-content/uploads/2016/01/CIMA_improving_cashflow_using_credit_mgm.pdf)
Accounting term and definitions for chart of accounts — Accounting Financial and Tax— Viewed
on 11/1/2018
(http://accounting-financial-tax.com/2008/08/accounting-term-and-definitions-for-chart-of-
accounts/)
Cash Flow — Investopedia — Viewed on 14/1/2018
(http://www.investopedia.com/terms/c/cashflow.asp) Ledger, General Ledger, and Nominal Ledger
Explained — Building the Business Case — Viewed on 16/1/2018
(https://www.business-case-analysis.com/ledger.html)
Financial Statements — Investopedia — Viewed on 14/1/2018
(http://www.investopedia.com/terms/f/financial-statements.asp)
Profit and Loss Statement (P&L) Definition —Investopedia — Viewed on 14/1/2018
(http://www.investopedia.com/terms/p/pIstatement.asp#ixzz40We0Bm5W)