ASSESSMENT BRIEF
Subject Code and Title ACCT6003 FINANCIAL ACCOUNTING PROCESS
Assessment Major Assessment – Part A
Individual/Group Individual
Length 600 words
Learning outcomes 1. Explain the regulatory framework that governs financial reporting in Australia with emphasis on the Conceptual Framework for financial reporting 3. Apply accounting principles and standards when accounting for non-current assets, revenue and liabilities and recognise the judgements required in a range of diverse business contexts
5. Differentiate between shares and debentures and apply appropriate accounting procedures
Submission Sunday of Week 4 by 11:55pm AEST/AEDT
Weighting 5% (Part 1 only, Full assessment 30%)
Total Marks 100 marks
Context:
This assignment forms Part A of the major assignment. Students are provided with a business case in which an entrepreneur, Xiaojing Wu, from China immigrated to Australia and considered setting up a business in South Australia. Xiaojing decided to start her business as a partnership with the other two partners but decided to dissolve the partnership and restructure the business.
Subsequently, Xiaojing and the other partners considered forming a company and discussing with the accountant on accounting regulation and reporting requirements relevant to companies.
Business Case
Refer to the video of Xiaojing business scenario in Module 1 Accounting Regulation and Revenue Recognition
ACCT6003 FAP Assessment 2 Part A Brief 1
Instructions
Review the content, the short video in module 1, relevant Accounting Regulations and respond to the assignment queries raised below:
Xiaojing and other partners decided to form a company.
You are the accountant of Xiaojing and her partners. Advise on the following issues:
• Advantages and disadvantages of a proprietary company compared to a partnership
• How to set up a small proprietary company
• Rights and obligations of company directors
• Funding options for the company
Also address the following future state for Xiaojing’s business to consider being a company listed on the Australian Stock Exchange:
• Advantages and disadvantages compared to small private companies
• Funding options for the company
• Reporting requirements as per Australian Securities Exchange (ASX)
As the assessment is to be kept around 600 words, a rough guide will be about 350 words to addressing the first issue, and about 250 words for the second one. Addressing these queries require the answers to be in the context of Xiaojing’s specific scenario.
You are strongly encouraged to re-phrase the relevant regulations when referencing it to ensure your assessment keep to the word limit.
You may refer to the following resources:
• Module 1 video of Xiaojing business scenario
• Textbook, lecture PP presentation, tutorial/workshop questions
• The Australian Securities and Investments Commission (ASIC): www.asic.gov.au
• The Australian Stock Exchange (ASX): www.asx.com.au
• Small business guide in the Corporations Act 2001.The Australian Government’s AttorneyGeneral’s Department www.comlaw.gov.au
ACCT6003 FAP Assessment 2 Part A Brief 2