Assessment 2 Sitxfin 003 Manage finances within a budget PDF

Preview

Summary

n

Check out this Early Bird Listing. All our Early Bird rental properties are listed FIRST on TenantApp. Hopefully it is just what you are looking for



Early Bird Alerts are designed to give you a head start on the competition by letting you know the moment a...

Description

ASSESSMENT 2 – Assignment This cover sheet is to be completed by the assessor and used as a record of outcome of this assessment task

Student Name:

Samodha Nayanatharaka Aluthgama Guruge

Student ID No:

QC0698

Unit code

SITXFIN003

Unit Title

Manage finances within a budget

Note to Assessor: • You are to use this checklist when assessing the evidence provided by the student as a result of the student completing this assessment task. You should conduct your assessment in accordance with the Principles of Assessment and Rules of Evidence as outlined in Standards for RTO’s 2015: Clause 1.8. • Attach student`s hand out during the coaching session if applicable. Assessment Criteria

Satisfactory

Did the student: Part A Monitor income and expenditure and evaluate budgetary performance over budgetary life cycle. Allocate funds according to budget and agreed priorities. Use financial records to regularly check actual income and expenditure against budgets. Problem solving skills to identify and report deviations according to significance of deviation. Communicate with and advise colleagues of budget status in relation to targets. Assess existing costs and resources and proactively identify areas for improvement. Numeracy skills to interpret and use budget figures in day-to-day work operations. Interpret business and financial documents and document clear recommendations based on budget information and reports. Attach Printed copy of responses to all the question listed under the Task 1 Attach Printed copy of completed comparative analysis report for the Bistro departmental budget – April for Task 2 Attach Printed copy of responses to all the question listed under the Task 3 Part B

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

1 of 24

 Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No

If Not Satisfactory, please comment

Discuss changes to income and expenditure priorities with appropriate colleagues prior to implementation. Consult with and informs relevant personnel about resource decisions. Use financial records to regularly check actual income and expenditure against budgets. Use problem solving skills to identify and report deviations according to significance of deviation. Investigate appropriate options for more effective management of deviations. Assess existing costs and resources and proactively identify areas for improvement. Discuss desired budget outcomes with relevant colleagues. Undertake appropriate research to investigate new approaches to budget management. Use numeracy skills to interpret and use budget figures in day-to-day work operations. Interpret business and financial documents and document clear recommendations based on budget information and reports. Part C

 Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No  Yes  No

Complete financial reports within designated timelines and using correct budget terminology. Prepare and present clear and concise information to enable informed decision making. Use numeracy skills to interpret and use budget figures in day-to-day work operations. Interpret business and financial documents and document clear recommendations based on budget information and reports. Use problem solving skills to identify and report deviations according to significance of deviation.  Satisfactory  Not Yet Satisfactory If Not Yet Satisfactory – Please identify the re-assessment arrangements: (Please tick the assessment result for this task) Comments/ Feedback (If the student is deemed Not Satisfactory the Assessor MUST state the circumstances and reasons why this judgment has been made):

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

2 of 24

Student Declaration: I hereby acknowledge by signing this declaration that I have not cheated or plagiarised any work in all the assessment tasks undertaken in this unit of competency except where the work has been correctly acknowledged or as per the specific assessment task instructions.

Assessor Declaration: I declare that I have conducted a fair, valid, reliable and flexible assessment with this student, and I have provided appropriate feedback

Assessor Name: _____________________________ Signature: ____________________________

I declare that I have been assessed in this assessment task, have been provided with feedback and I have been advised of my result. I also am aware of my appeal rights

Date: ____/_____/_____

Student name: Samodha Nayanatharaka Aluthgama Guruge Signature: Date:

Tharaka

_02_/__10_/_2021____

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

3 of 24

Assessment Guidelines for Student: Conditions of assessment: 

For this Assessment you are required to follow the instructions provided under Tasks to be completed by the student and submit your response by the date advised to your Assessor.

 

Your assessor will advise you the Dates and timing for this assessment as per the timetable. Your evidence submitted for this Assessment Task will be graded as either S – Satisfactory or NS – Not Satisfactory. Your Assessor will provide you with feedback. If the evidence is graded as NS – Not Satisfactory you will be required to re-submit the evidence. In this case you will be provided with clear and constructive feedback based on the assessment decision so that you can improve your skills / knowledge prior to reassessment.



Submitting assessments You must submit the completed assessment cover sheet and your answers to your assessor. Your assessor will tell you how to submit your responses to this task. Ensure you keep a copy of your submitted work. Keep a copy of all of your work, as the work submitted to your assessor will not be returned to you.

When and where will this assessment take place? The task must be done in your classroom. Your assessor will also tell you when your work should be submitted by.

What if the assessment is not suitable? If you are unable to respond to the questions in writing, your assessor may be able to provide you with an alternative method, such as asking you verbal questions. Discuss this with your assessor.

Reasonable adjustment or special needs Reasonable adjustment will be provided for students with a disability or learning difficulty according to the nature of the disability or difficulty. Reasonable adjustments are made to ensure that the student is not presented with artificial barriers to demonstrating achievement in the program of study. Reasonable adjustments may include the use of adaptive technology, educational support and alternative methods of assessment such as oral assessment.

In assessing the competence of individuals, assessors must provide for reasonable adjustments to ensure the assessment principles of fairness and flexibility are addressed. However, assessors must be confident that reasonable adjustments do not compromise the outcomes of the unit and the integrity of the qualifications and Statements of Attainment issued as certification of achievement. bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

4 of 24

What if the answers are not satisfactory? You have 2 attempts of submission for each unit of competency. For each assessment re-submission, you should complete any assessment tasks that were marked as NYS and resubmit. Students should meet the student support officer and book for the reassessment at this stage. Third attempt to submit the assessment will require further training and you will need to enrol in the unit of competency and subsequently extend your CoE. If you are dissatisfied with an assessment decision, you should make an appeal to the CEO in writing no longer than 20 days following advice of the assessment decision.

What if I missed my assessment day? You will be required to attempt the assessment during the re-assessment week. Please check the fee and charges policy for any fee that may apply for re-assessment.

Cheating and Plagiarism QCVE has a zero-tolerance policy for cheating and plagiarism. The work that you submit should be your own. must not be a used or reproduced (all or parts) of another student's work.

o Must not be collaborated with another student on work that is intended to be completed individual submission o Must not be performed/submitted by another person on your behalf o contracted another person to do the work for you o allowed or contracted another person to edit and substantially change your work

Feedback Students are encouraged to reflect on key observations and issues encountered during their studies to encourage learning. Knowing what you understand or have mastered and identifying where you need to improve the critical skills for successful learning. Your assessor will give you feedback throughout the duration of the unit you are studying and after assessment results. The feedback given to you will always be to support your achievements and to monitor your progress throughout your studies. satisfactory within that term. Students must approach the trainer during their tutorial classes and discuss with the trainer and arrange the reassessment.

Context of and specific resources for assessment  Access to office equipment and learning resources, access to computer with internet, printer, projector, and other office facilities.  Budgets, Bistro May budgets, Bistro reports bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

5 of 24

Tasks to be completed by the student This assessment consists of Three Parts namely A, B and C Part A  This part consists of Three tasks namely 1, 2 and 3  Read the Contextualised scenario and answer the questions outlined in three tasks.

Contextualised scenario The Jackson hotel has a bistro, two bars (public and sports), a drive-through and walk-in bottle shop and TAB situated beside the sports bar. You are the manager of JJ’s Bistro. It seats 210 people and is open for lunch and dinner, seven days a week. The hotel promotes a family environment and has a playroom for younger children and an activity centre for pre-teens containing electronic and other games. This glass walled areas are within view of customers seated in the rear section of the bistro. The hotel’s management team develop an operational budget for the business based on previous budgets, anticipated business and any special projects, such as renovations or new products. Each operational area within the hotel is given a departmental budget based on organisational goals and their anticipated revenue and expenses. Budgets are developed on a quarterly basis. Each department has quarterly and monthly budget targets. Monthly budgets can be adjusted during a quarterly cycle if circumstances within the department change.

The following events have taken place during the April budget period.  Prices for meat, fruit and vegetables have increased as a result of recent drought in some regions and floods or storms in others.  Prices for many wines have fallen due to a surplus in the market.  Beer prices have risen slightly, again due to the drought leading to shortages of ingredients and an increase in government taxes.  A major wine supplier has been running an in-house promotional campaign, with staff product knowledge training provided to help increase sales.  The bistro menu changes to the new winter menu on May 1st. Its introduction is being promoted in April throughout the hotel.

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

6 of 24

Task 1: Monitor budgets Refer to the document “budgets” provided on Futura Moodle and answer the following questions Q1:

List the hotel’s financial commitments under their correct cost category. Name at least two commitments for each category  Variable direct costs Laundry Maintenance  Variable indirect costs small equipment replacement Advertising / Promotions  Fixed indirect costs Cleaning Contractor

Q2:

Name the top four cost categories the business has allocated the most funds too in this budget period.

Wages and on-costs Food Purchases Beverage Purchases Utilities

Q3:

Why have significant funds been allocated to these categories? Discuss their importance to the business and consequences if inadequate funds are allocated.



Q4:

Discuss their importance to the business and consequences of inadequate funds are allocated

Using the same document “budgets “go to the Bistro departmental budget – April. You are holding a team meeting to discuss the financial targets provided in the organisational and April bistro budgets.

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

7 of 24

What information do you need to communicate to the team to ensure they understand the targets and goals to be achieved?



Q5:

have a full understanding of their company's business strategies and what they can do to help achieve organizational goals

What techniques can you use to promote awareness of methods of controlling costs or increasing sales, so you can achieve budget targets?



Reducing costs will require you to change the way you do things but be aware of the potential to risk to your core business activities.

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

8 of 24

Task 2: Calculate variances  Refer to the document “budgets” provided to you  Complete the comparative analysis report for the Bistro departmental budget – April by calculating all missing dollar value and percentage variances.

 Complete the Favourable/Unfavourable column by indicating if the budget results are favourable (F) or unfavourable (UF) for the business.

 Comparative analysis report  Bistro departmental budget – April Favourab le / Unfavour able

April Budget

Actual

Variance

Variance

$

$

$

%

May

June quarter

Budget

Budget

$

$

Revenue Food sales

105,120

119,837

14,716.80

14

F

114,975

328,500

89,250

96,390

7,140.00

8

F

91,875

262,500

194,370

216,227

21,857

11.24

F

206,850

591,000

Food purchases

40,953

45,048

4095

10

UF

42,194

124,100

Beverage purchases

27,563

30,043

2,481

9

UF

26,775

78,750

Total cost of sales

68,516

75,091

6,576

9.6

UF

68,969

202,850

125,855

141,136

15281

12.1

UF

137,881

388,150

780

624

156

20

F

962

2,600

Beverage sales Total sales Cost of sales

Gross profit Expenses Advertising/Promotions Cleaning contractor

1,490

1,490

-

0

UN

1,490

4,471

Small equipment replacement

333

393

(60)

18.02

UN

333

1,000

Laundry

245

232

13

5.5

F

245

735

1,493

1,262

231

15.5

F

1,493

4,480

Printing & stationery

160

195

(35)

(22)

UN

160

480

Training & seminars

408

653

(245)

(60)

UN

396

1,200

85,901

98,771

(12,870)

14.98

UN

89,345

260,763

3,441

3,235

206

6

3,494

10,589

Maintenance

Wages & on-costs Utilities

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

9 of 24

F

Total expenses

94,251

106,855

12604

13.4

UN

97,918

285,858

NET PROFIT

31,604

34,281

2677

8.47

F

40,116

102,292

Task 3: Answer the following questions based on the budget outcomes in the completed April budget comparative report in Task 2. Q1:

Are there any significant variances in the sales figures that you should be concerned about? Explain what the results indicate and why you are/are not concerned about them.

No There are no any significant variances in the sales figures that we should be concerned about Q2:

Are there significant variances in any of the expenses categories that you think should be investigated further? If yes, discuss which categories and why you think they need investigation. If no, discuss why the deviations do not warrant investigation.

Yes There are significant variances in Training & seminars and Printing & stationery categories of the expenses that I think should be investigated further. Because variances are as high as 22% and 60%. That is large amount.

bc70b3eba39274af447b08dbf47a09b4.docx

V 2.0

Feb 2020

10 of 24

Q3:

Based on your responses to questions 1 and 2, what is your overall evaluation of the budget results? Is the bistro meeting its financial targets?

Yes In overall scenario I can say that bistro has met its financial targets. Because very less number of variances are there. Even these variances are not very much significant.

Q4:

Which expense category has the most funds allocated to it? Explain why it is important you manage costs in this category carefully.

Most funds have been allocated to Wages & on-costs. Because wages are important expanse of any industry because any business cannot survive without man power and you need provide good salaries to your employees.

Q5:

Using the results and information obtained from the April comparative report, your answers to the previous questions and the background information, write a transcript of the outcomes of your report ready to deliver to the bistro staff at the next team meeting. The transcript should include the following information.  The current status of the budget; is the work area meeting its budget targets, is it on track to meet June quarter budget targets?  Which areas are underperforming or performing better than expected?  What chan...