Student Assessment Tasks FNSACC516 Implement and maintain internal control procedures FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 2 of 41 Table of Contents Table of Contents 2 Assessment Information 3 Assessment Instructions 5 Student Assessment Agreement 7 Assessment Task 1 Cover Sheet 9 Assessment Task 1: Written Questions 11 Assessment Task 1 Instructions 14 Assessment Task 1 Checklist 17 Assessment Task 2 Cover Sheet 19 Assessment Task 2: Internal control procedures review 21 Assessment Task 2 Instructions 22 Assessment Task 2 Checklist 23 Assessment Task 3 Cover Sheet 24 Assessment Task 3: Internal control procedures project 26 Assessment Task 3 Instructions 27 Assessment Task 3 Checklist 31 Assessment Task 4: Internal control procedures evaluation project 33 Assessment Task 4 Instructions 34 Assessment Task 4 Checklist 36 FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 3 of 41 Assessment Information The assessment tasks for FNSACC516 Implement and maintain internal control procedures are included in this Student Assessment Tasks booklet and outlined in the assessment plan below. To be assessed as competent for this unit, the student must complete all of the assessment tasks satisfactorily. Assessment Plan Assessment Task Overview 1. Written questions Students must correctly answer all questions. 2. Internal control procedures review Students must review a company’s internal control procedures. 3. Internal control procedures project Students must develop, implement and monitor internal control procedures. 4. Internal control procedures evaluation project Students must evaluate internal controls against key performance indicators, develop recommendations for variations and implement recommendations. Assessment Preparation Please read through this assessment thoroughly before beginning any tasks. Ask your assessor for clarification if you have any questions at all. When you have read and understood this unit’s assessment tasks, print out the Student Assessment Agreement. Fill it out, sign it, and hand it to your assessor, who will countersign it and then keep it on file. Keep a copy of all of your work, as the work submitted to your assessor will not be returned to you. Assessment appeals If you do not agree with an assessment decision, you can make an assessment appeal as per your RTO’s assessment appeals process. Students have the right to appeal the outcome of assessment decisions if they feel they have been dealt with unfairly or have other appropriate grounds for an appeal. Additional Resources The following resources will be given to you before you begin Assessment Task 3. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 4 of 41 • Financial Policy and Procedures FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 5 of 41 Assessment Instructions Each assessment task in this booklet consists of the following: Assessment Task Cover Sheet This must be filled out, signed and submitted together with your assessment responses. If you are submitting hardcopy, the Cover Sheet should be the first page of each task’s submission. If you are submitting electronically, print out the cover sheet, fill it out and sign it, then scan this and submit the file. The Assessment Task Cover Sheet will be returned to you with the outcome of the assessment, which will be satisfactory (S) or unsatisfactory (U). If your work has been assessed as being not satisfactory, your assessor will include written feedback in the Assessment Task Cover Sheet giving reasons why. Your assessor will also discuss this verbally with you and provide advice on re-assessment opportunities as per your RTO’s re-assessment policy. Depending on the task, this may include • resubmitting incorrect answers to questions (such as short answer questions and case studies) • resubmitting part or all of a project, depending on how the error impacts on the total outcome of the task • redoing a role play after being provided with appropriate feedback about your performance • being observed a second (or third time) undertaking any tasks/activities that were not satisfactorily completed the first time, after being provided with appropriate feedback. Assessment Task Information This gives you: • a summary of the assessment task • information on the resources to be used • submission requirements • re-submission opportunities if required Assessment Task Instructions These give questions to answer or tasks which are to be completed. Your answers need to be typed up using software as indicated in the Assessment Task Instructions. Copy and paste each task’s instructions into a new document and use this as the basis for your assessment task submission. Include this document’s header and footer. If you are submitting electronically, give the document a file name that includes the unit identification number, the task number, your name and the date. Checklist FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 6 of 41 This will be used by your assessor to mark your assessment. Read through this as part of your preparation before beginning the assessment task. It will give you a good idea of what your assessor will be looking for when marking your responses. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 7 of 41 Student Assessment Agreement Make sure you read through the assessments in this booklet before you fill out and sign the agreement below. If there is anything that you are unsure of, consult your assessor prior to signing this agreement. Have you read the assessment requirements for this unit? Yes No Do you understand the requirements of the assessments for this unit? Yes No Do you agree to the way in which you are being assessed? Yes No Do you have any specific needs that should be considered? Yes No If so, explain these in the space below. Do you understand your rights to re-assessment? Yes No Do you understand your right to appeal the decisions made in an assessment? Yes No Student name Student number Student signature Date Assessor name Assessor signature Date FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 8 of 41 FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 9 of 41 Assessment Task 1 Cover Sheet Student Declaration To be filled out and submitted with assessment responses I declare that this task is all my own work and I have not cheated or plagiarised the work or colluded with any other student(s). I understand that if I If I am found to have plagiarised, cheated or colluded, action will be taken against me according to the process explained to me. I have correctly referenced all resources and reference texts throughout these assessment tasks. Student name Student ID number Student signature Date Assessor declaration I hereby certify that this student has been assessed by me and that the assessment has been carried out according to the required assessment procedures. Assessor name Assessor signature Date Assessment outcome S NS DNS Resubmission Y N Feedback Student result response FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 10 of 41 My performance in this assessment task has been discussed and explained to me. I would like to appeal this assessment decision. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 11 of 41 Student signature Date A copy of this page must be supplied to the office and kept in the student’s file with the evidence. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 1 of 41 Assessment Task 1: Written Questions Task summary • This is an open book test. • Students need to answer all of the written questions correctly. • Questions must be completed within 1.5 hours. • Answers must be word processed and sent to your assessor as an email attachment. Required • Access to textbooks/other learning materials • Computer and Microsoft Office • Access to the internet Timing The assessor will advise you of the due date of this submission. Write in the due date below as advised by your assessor: Submit • Answers to all questions Assessment criteria • All questions must be answered correctly in order for a student to be assessed as having completed the task satisfactorily. Re-submission opportunities Students will be provided feedback on their performance by their Assessor. The feedback will indicate if you have satisfactorily addressed the requirements of each part of this task. If any parts of the task are not satisfactorily completed your assessor will explain why and provide you written feedback along with guidance on what you must undertake to demonstrate satisfactory performance. Re-assessment attempt(s) will be arranged at a later time and date. Students have the right to appeal the outcome of assessment decisions if they feel they have been dealt with unfairly or have other appropriate grounds for an appeal. Students are encouraged to consult with their assessor prior to attempting this task if they do not understand any part of this task or if they have any learning issues or needs that may hinder them when attempting any part of the assessment. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 2 of 41 Written answer question guidance The following written questions use a range of “instructional words” such as “identify” or “explain”, which tell you how you should answer the question. Use the definitions below to assist you to provide the type of response expected. Note that the following guidance is the minimum level of response required. Analyse – when a question asks you to analyse something, you should do so in in detail, and identify important points and key features. Generally, you are expected to write a response one or two paragraphs long. Compare – when a question asks you to compare something, you will need to show how two or more things are similar, ensuring that you also indicate the relevance of the consequences. Generally, you are expected to write a response one or two paragraphs long. Contrast – when a question asks you to contrast something, you will need to show how two or more things are different, ensuring you indicate the relevance or the consequences. Generally, you are expected to write a response one or two paragraphs long. Discuss – when a question asks you to discuss something, you are required to point out important issues or features, and express some form of critical judgement. Generally, you are expected to write a response one or two paragraphs long. Describe – when a question asks you to describe something, you should state the most noticeable qualities or features. Generally, you are expected to write a response two or three sentences long. Evaluate – when a question asks you to evaluate something, you should do so putting forward arguments for and against something. Generally, you are expected to write a response one or two paragraphs long. Examine – when a question asks you to examine something, this is similar to “analyse”, where you should provide a detailed response with key points and features and provide critical analysis. Generally, you are expected to write a response one or two paragraphs long. Explain – when a question asks you to explain something, you should make clear how or why something happened or the way it is. Generally, you are expected to write a response two or three sentences long. Identify – when a question asks you to identify something, this means that you are asked to briefly describe the required information. Generally, you are expected to write a response two or three sentences long. List – when a question asks you to list something, this means that you are asked to briefly state information in a list format. Outline – when a question asks you to outline something, this means giving only the main points, Generally, you are expected to write a response a few sentences long. Summarise – when a question asks you to summarise something, this means (like “outline”) only giving the main points. Generally, you are expected to write a response a few sentences long. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 3 of 41 FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 4 of 41 Assessment Task 1 Instructions Provide answers to all of the questions below: 1. Describe how the Privacy Act 1988 applies to the handling of files and records. 2. Explain how the Privacy Act 1988 may affect the management of a company’s files. 3. Discuss at least two ethical responsibilities of an accountant when preparing financial statements 4. Discuss the ethical implications of finding that a work colleague has been accessing some of your files that they should not have had access to. 5. Explain the role of the Australian Securities & Investments Commission (ASIC) and the legislation that determines its authority and scope? 6. Identify the three pieces of legislation that ASIC is responsible for administering. Explain the purpose of each Act. 7. According to the Corporations Act 2001, what are company directors’ four main duties? Briefly explain each. 8. Identify and explain three key features of A New Tax System (GST) Act 1999 9. Explain the effect that the Common Reporting Standard for the Automatic Exchange of Financial Account Information have on foreign tax residents in Australia, and on Australians earning money in other countries. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 5 of 41 10. Describe the Global Reporting Initiative (GRI). FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 6 of 41 11. Explain how an effective internal control structure assists management. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 7 of 41 12. Discuss the relationship between corporate governance and internal audit 13. List five work practices or routines that are also internal control procedures 14. Describe the accountability mechanisms between the following, and where each mechanism is usually documented within the organisation: • CEO (or managing director) • Company directors • Executive management team • Shareholders • Employees. 15. According to the ASX Corporate Governance Principles, after how many years may the CEO take on the role of Chair? 16. Describe the key requirements of an Operational Policies and Procedures Governance Manual (or Charter). 17. Identify and explain the five components of internal control. 18. List and explain the stages of an auditor’s evaluation of internal controls. 19. Explain the difference between internal and external audits. 20. Identify and explain the Seven Internal Control Procedures in Accounting. FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 8 of 41 Assessment Task 1 Checklist Student’s name: Did the student provide a sufficient and clear answer that addresses the suggested answer for: Completed successfully Comments Yes No Question 1 Question 2 Question 3 Question 4 Question 5 Question 6 Question 7 Question 8 Question 9 Question 10 Question 11 Question 12 Question 13 Question 14 Question 15 Question 16 Question 17 Question 18 Question 19 Question 20 Task Outcome: Satisfactory Not Satisfactory Assessor signature FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 9 of 41 Assessor name FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 10 of 41 Student’s name: Did the student provide a sufficient and clear answer that addresses the suggested answer for: Completed successfully Comments Yes No Date FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 11 of 41 Assessment Task 2 Cover Sheet Student Declaration To be filled out and submitted with assessment responses I declare that this task is all my own work and I have not cheated or plagiarised the work or colluded with any other student(s). I understand that if I If I am found to have plagiarised, cheated or colluded, action will be taken against me according to the process explained to me. I have correctly referenced all resources and reference texts throughout these assessment tasks. Student name Student ID number Student signature Date Assessor declaration I hereby certify that this student has been assessed by me and that the assessment has been carried out according to the required assessment procedures. Assessor name Assessor signature Date Assessment outcome S NS DNS Resubmission Y N Feedback Student result response My performance in this assessment task has been discussed and explained to me. I would like to appeal this assessment decision. Student signature FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 12 of 41 Date FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School trading as Southern Academy of Business and Technology Level 1 and 4 Bathurst Street Sydney NSW 2000 | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E FNSACC506 Implement and maintain internal control proceduresStudent Assessment Tasks Version : Last Updated : 07 May Next Update: 07 May Page 20 of A copy of this page must be supplied to the office and kept in the student’s file with the evidence. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 1 of 41 Assessment Task 2: Internal control procedures review Task summary For this assessment task you are required to research an Australian company and review their internal control and governance systems. Required • Computer and Microsoft Office • Access to the internet for research Timing The assessor will advise you of the due date of this submission. Write in the due date below as advised by your assessor: Submit • Email to your assessor with internal control and governance report attached. Assessment criteria Students must complete all of the activities listed and will be assessed against the assessment criteria included in the checklist included with this task. Re-submission opportunities Students will be provided feedback on their performance by their Assessor. The feedback will indicate if you have satisfactorily addressed the requirements of each part of this task. If any parts of the task are not satisfactorily completed your assessor will explain why and provide you written feedback along with guidance on what you must undertake to demonstrate satisfactory performance. Re-assessment attempt(s) will be arranged at a later time and date. Students have the right to appeal the outcome of assessment decisions if they feel they have been dealt with unfairly or have other appropriate grounds for an appeal. Students are encouraged to consult with their assessor prior to attempting this task if they do not understand any part of this task or if they have any learning issues or needs that may hinder them when attempting any part of the assessment. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 2 of 41 Assessment Task 2 Instructions Complete the following activities: 1. Write a report on Australian company and its internal control and governance systems. You can select any Australian Securities Exchange (ASX) listed Australian company. Access the information for review through the organisation’s annual reports, website and any other published materials. An example can be found at the ANZ Bank website: http://www.anz.com/about-us/our-company/corporate-governance/ Your report should address the following: • A summary of the company you have selected, including the type of business, industry and background • A summary of ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations and how the company has applied these. • An explanation of the key features of the company’s governance and control system • Identification of relevant legislative and/or regulatory requirements relevant to internal controls, governance and reporting • Explanation of why internal control and governance procedures are important for the company’s specific business or industry sector It is important that all external sources used are correctly cited. This means referring to the company being reviewed, as well as providing the appropriate website details or book references. The report must be written in your own words and style, ensuring that you use appropriate formats. Include any relevant charts, graphs, diagrams etc. 2. Send an email to your assessor. The text of the email should be in grammatically correct English, written in an appropriate (polite, business-like) style. It should summarise the contents of the attachments. Attach your report to the email. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 3 of 41 Assessment Task 2 Checklist Student’s name: Did the student: Completed successfully Comments Yes No Submit a report reviewing a company’s internal control procedures? Undertake adequate research on the selected company, as demonstrated by the thoroughness of the report? Provide a review of the company’s corporate governance in comparison to ASX Principles and Recommendations? Identify the key features of the company’s governance and control system? Demonstrate understanding of relevant legislative and regulatory requirements relevant to internal controls, governance and reporting? Identify the importance of internal controls and governance procedures for the company’s specific business or industry sector? Task Outcome: Satisfactory Not Satisfactory Assessor signature Assessor name Date FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 4 of 41 Assessment Task 3 Cover Sheet Student Declaration To be filled out and submitted with assessment responses I declare that this task is all my own work and I have not cheated or plagiarised the work or colluded with any other student(s). I understand that if I If I am found to have plagiarised, cheated or colluded, action will be taken against me according to the process explained to me. I have correctly referenced all resources and reference texts throughout these assessment tasks. Student name Student ID number Student signature Date Assessor declaration I hereby certify that this student has been assessed by me and that the assessment has been carried out according to the required assessment procedures. Assessor name Assessor signature Date Assessment outcome S NS DNS Resubmission Y N Feedback Student result response My performance in this assessment task has been discussed and explained to me. I would like to appeal this assessment decision. Student signature Date FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 5 of 41 A copy of this page must be supplied to the office and kept in the student’s file with the evidence. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 6 of 41 Assessment Task 3: Internal control procedures project Task summary For this assessment task, students are required to complete a range of activities in relation to developing, implementing and monitoring internal control procedures. This will involve writing two Internal Control Procedures and a number of reports. You will also meet with your company’s CEO to discuss these. This assessment task will be completed in the simulated work environment at your RTO Required • Computer and Microsoft Office • Access to the internet for research • Financial Policy and Procedures Timing The assessor will advise you of the due date of this submission. Write in the due date below as advised by your assessor: Submit • Email to your assessor with your responses to activities 1 to 4 attached. • Email to your assessor with your amended procedures attached. Assessment criteria Students must complete all of the activities listed and will be assessed against the assessment criteria included in the checklist included with this task. Re-submission opportunities Students will be provided feedback on their performance by their Assessor. The feedback will indicate if you have satisfactorily addressed the requirements of each part of this task. If any parts of the task are not satisfactorily completed your assessor will explain why and provide you written feedback along with guidance on what you must undertake to demonstrate satisfactory performance. Re-assessment attempt(s) will be arranged at a later time and date. Students have the right to appeal the outcome of assessment decisions if they feel they have been dealt with unfairly or have other appropriate grounds for an appeal. Students are encouraged to consult with their assessor prior to attempting this task if they do not understand any part of this task or if they have any learning issues or needs that may hinder them when attempting any part of the assessment. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 7 of 41 You are working as an accountant for a small training organisation called The Train Station. The CEO has approached you with the following issues: • Several invoices have been received recently that have no prior approval from managementfor purchase • One of the staff members was paid at the incorrect pay rate as the payroll officer processedpays based on information the staff member provided rather than the employment contract • Cash flow and profit and loss reports are not being reviewed regularly • Staff are unsure who they can seek approval or guidance from, as there is not a clearlydelegated role The CEO has decided to appoint a Chief Financial Officer (CFO), who will have high level approval responsibilities and assist to control business operations. The CFO will now become the delegated person responsible for all financial purchases, queries and monitoring. The CEO has requested that you help to resolve the above issues by developing new Control Procedures that address the issues. You are also asked to write several reports that will be used in the development and implementation of the new procedures. Assessment Task 3 Instructions Carefully read the following: Complete the following activities: 1. Develop a list of tasks that a newly appointed CFO would be responsible for, including relevant reports they will access and review and the schedule for when this would occur. 2. Develop two internal control procedures to resolve the issues regarding unapproved purchases and payroll processing. Refer to the following for guidance on internal procedure development: https://www.cpaaustralia.com.au/~/media/corporate/allfiles/document/professionalresources/business/internal-controls-for-small-business.pdf?la=en Undertake research to find any similar processes used by other companies. Review these to ensure that your process is in line with other recognised practices. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 8 of 41 3. Write a report for your CEO. You will now write a plan for the procedures’ implementation. The report should include the following: • Who the relevant stakeholders are • How you will arrange consultation with the stakeholders • Proposed timeframes for the proposed implementation • Three performance indicators that will be used to evaluate future compliance to each procedure • A timetable for to review the ongoing success of the procedures. 4. Write an internal Management Report. When the procedures have been finalised after discussion with your CEO, the company’s management will be informed by way of a written report. The report should include all relevant information, including: • What the issues were and what the causes of those are. • Your review of any similar processes used by other companies • Supporting research from relevant sources in order to support the application of this process • Where procedural information can be accessed • Implementation and review timetables • The people responsible for certain areas of implementation • Why the changes are being implemented • Three performance indicators that will be used to evaluate future compliance to each procedure • How the ongoing success of the procedures will be assessed. It is important that you reference the sources of your information. For instance, if you have found an internal control procedure that seems to be appropriate to the case study, and has worked for another company, cite the company and the effect that the procedure has had on its bottom line, as well as how it is relevant to the case study. 5. Email your CEO (your assessor) to arrange a meeting. The text of the email should be in correct English, and use an appropriate tone (polite and deferential) while requesting a time and date that you can meet. The email text should also give a summary of the contents of the email’s attachment. Create a Word document that contains the questions and your answers to activities 1, 2, 3, and 4, namely: FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 9 of 41 • List of CFO tasks • Two internal control procedures • Stakeholder consultation report FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 10 of 41 • Internal management report Attach this Word document to the email FNSACC516 Implement and maintain internal control procedures Student A t T k Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 11 of 41 6. Meet with your CEO. You must now meet with your CEO (played by your assessor) and discuss the steps you have taken to date, and seek approval to proceed with implementation. During the meeting you must demonstrate an understanding of: • why the control procedures are required • how the procedures will reduce company risk and better control the finances • how the timetables for implementation will be managed to maximise benefits for all parties During the meeting, you are required to demonstrate effective interpersonal and communication skills including: • Speaking clearly and concisely • Using effective non-verbal communication skills to encourage audience interest • Responding to questions • Asking questions to seek feedback • Use of active listening techniques to confirm and clarify understanding. • Use of appropriate language and concepts in order to liaise with others appropriately. 7. Send an email to the CEO (your assessor). Make the amendments to the Control Procedures and the timetables that were suggested by your CEO at the meeting that will facilitate compliance with the Control Procedures. The text of the email should summarise the meeting and the conclusions reached. It should also summarise the content of the email attachment. The email text should also ask for the CEO’s approval of the project, giving you permission to proceed. Attach your amended Control Procedures and Management Report to the email. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 1 of 41 Assessment Task 3 Checklist Student’s name: Did the student: Completed successfully Comments Yes No Develop a list of tasks including reports for revision and relevant timelines for the new CFO? Develop two adequate internal control as set out in the Financial Policy and Procedures? Demonstrate the ability to consult with stakeholders? Develop the timeframes involved with implementation and review to key stakeholders with the CEO? At the meeting, demonstrate an adequate understanding of the control procedures required and explain these appropriately? At the meeting, demonstrate appropriate communication skills to share information with others, such as using questioning and active listening skills? Use appropriate language and concepts in order to liaise with others appropriately? Prepare an internal management report for distribution that includes performance indicators? Demonstrate the ability to monitor and adjust the processes in order to maintain compliance? Use published sources or recognised practices to assist with development and adjustments to the processes? Send their revised report within the agreed timeframe? Task Outcome: Satisfactory Not Satisfactory Assessor signature Assessor name FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 2 of 41 Student’s name: Did the student: Completed successfully Comments Yes No Date FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 3 of 41 Assessment Task 4: Internal control procedures evaluation project Task summary For this assessment task, students are required to evaluate internal control procedures against established performance indicators, then write a report on achievement of these performance indicators, as well as development recommendations for action and implement actions. This assessment task will be completed in the simulated work environment at your RTO. Required • Computer and Microsoft Office • Access to the internet for research Timing The assessor will advise you of the due date of this submission. Write in the due date below as advised by your assessor: Submit • Email to your assessor with your responses to activities 1 to 4 attached. • Email to your assessor with your amended procedures attached. Assessment criteria Students must complete all of the activities listed and will be assessed against the assessment criteria included in the checklist included with this task. Re-submission opportunities If a student submits work that is not satisfactory, the assessor will provide written feedback explaining why, as well as timelines for resubmission. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 4 of 41 Assessment Task 4 Instructions Carefully read the following: Garden Worx Pty Ltd is a company specialising in providing a wide range of garden products. It has six stores across Australia. The company includes the CEO with a senior management team consisting of a Marketing Manager, Finance Manager and Operations Manager. The Marketing Manager is responsible for the four customer service staff located at head office. The Finance Manager is responsible for the Purchasing Officer and Administration Officer. The Operations Manager is responsible for the six store managers and retail staff. The Finance Manager has overall responsibility for all financial decisions. The purchasing officer is responsible for all purchasing orders, although purchase orders are to be signed off by the CEO. The purchasing officer is new to the company having been employed since March. The company does not have a strong training or induction ethic. Assume the following performance indicators are in place for purchasing: • All purchases over $500 approved by the Finance Manager or CEO. • All purchases over $500 supported by a Purchase Order signed by the purchasing officer based on approval from Finance Manager. • All invoices from suppliers include purchase order number. Review the following information from a recent audit of purchasing orders by the purchasing officer to assess whether the above performance indicators have been met. • 40 purchase orders were reviewed from the period March to June 2017. A total of 80 purchase orders were issued during that time. • 10 purchase orders were not signed by the purchasing officer. • Purchase Order #670 was for $640. Approved by purchasing officer. Note says CEO was unavailable. • Purchase Order #450 was for $920. Approved by purchasing officer. Note says CEO was unavailable. • 40 invoices from suppliers were reviewed from the period March to June 2017. A total of 80 invoices were received during that time. • Invoice 96 issued by Spades Pty Ltd on April 2 2017 did not include Purchase Order Number. Invoiced paid by purchasing officer on April 5 2017. • Invoice 106 issued by Soils Pty Ltd on May 5 2017 did not include Purchase Order Number. Invoiced paid by purchasing officer on May 9 2017. 1. Internal controls evaluation report FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 5 of 41 This assessment tasks requires you to write a short report (approximately 1 page) addressing the following: • Introduction – the purpose of the purchasing audit and the criteria against which the purchasing audit was evaluated. • Findings – assessment of whether performance indicators met. • Recommendations – recommendations for action. 2. Implement recommendations Assume that your recommendations have been accepted. In order to implement procedures, send an email to the all staff advising of the new procedures/checks. The text of the email should summarise the conclusions reached and changes to be made. FNSACC516 Implement and maintain internal control procedures Student Assessment Tasks Australian Training School Pty ltd trading as Southern Academy of Business and Technology 95 Bathurst Street Sydney NSW 2000 | Unit 1, 159 Queen St, Campbelltown | Phone: 1300 852 205 | RTO Code: 31595 | CRICOS Provider Code: 03602E Version : 2.0 Last Updated : 07 May 2020 Next Update: 07 May 2021 Page 6 of 41 Assessment Task 4 Checklist Student’s name: Did the student: Completed successfully Comments Yes No Correctly report on performance indicators to evaluate compliance with internal control procedures? Report on variations in procedures and causes? Provide suitable recommendations to ensure compliance with internal control procedures? Implement recommendations by advising all staff of new procedures? Task Outcome: Satisfactory Not Satisfactory Assessor signature Assessor name Date