Hi,

I have a assessment regarding to manage budgets and financial plans.

please check my attachment.

thanks

Part A Visit the Australian Tax Office Website on www.ato.gov.au and research the following information:( 20marks-5 per questions) 1. 2. 3. 4. What are the record keeping requirements for a business in Australia? What is an audit and how often can a business be audited by the tax office? What records must a business keep for auditing purposes? What are the penalties for a business not keeping the required records? Part B The section has 2 Tasks. You are required to complete both tasks. Important note: Spreadsheets must be prepared using Microsoft excel. Scenario Simpsons Pty Ltd is a small take away restaurant located In Sydney CBD. The restaurant is owned by Mr&Mrs John Spice. The restaurant started its activities in January current year. In December current year the following information was collected: Sales and Cogs activities for current year The restaurant sod 54,600 take away meals, and the price per meal was $10.5. The food cost per meal sold was $4.60. Also 20,000 units of soft drinks were sold during the year. Soft drinks are sold for $2.5 and the cost price was $0.80. Budget forecasting for next year The owners estimated that for the next year the price per take away meal could be increased to $13.00. Then have also predicted that sales (in units) would be increased by 10% in the next year. The owners have entered into a monthly Contract with the soft drinks supplier. According to the Contract the restaurant must purchase a minimum of 2,000 units of soft drinks per month and the cost price will be reduced to $0.50 per unit. The restaurant owners decided to reduce the selling price of soft drinks to $1.50 in order to increase sales (in units) by 50% and are expecting to meet the required selling demand. The owners have anticipated the following expenses for next year: Anticipated yearly expenses for next year Cost of Goods Sold (food+beverage) $291,276 Rent $24,000 Utilities $10,000 Wages $60,000 Miscellaneous $6,000 Task 1 Task 1 has 4 activities which require you to prepare Microsoft Excel spreadsheets based on given scenarios to monitor and review the budgets. When completed, email your spreadsheets to your trainer before the start of the lesson in Session 5. Your trainer will give you their @apc.edu.au email address. Print a hard copy of the spreadsheets to attach to the rest of Assessment 1 also to be handed to the trainer in Session 5. Question 1: Important note: spreadsheets must be prepared using Microsoft excel Based on the above Sales and Cogs activities for current year; Prepare a spreadsheet with annual Sales for food and drinks and Cogs for meals and drinks; in addition include columns for the monthly average and quarterly average. Using the prepared template form Question 1; continue with the following: (10 marks) Question 2: Based on the Budget forecasting for next year, as mentioned in the scenario: Prepare a 2nd spreadsheet similar to Question 1 for the annual Profit and Loss Budget; also include end columns for average monthly and average quarterly totals. (10 marks) Question 3: Based on the following assumptions prepare a 3 rd spreadsheet with the actual trading activities for the 1st quarter next year. Assume that during the 1st quarter of next year Food revenue was 20% higher than the budget forecasted Food Cost was 30% higher than the budget forecasted Beverage sales was 15,000 units Utilities Expense was $3,000 Wages expense $20,000 Rent expense was $6,500 You are required to monitor the trading activities for Simpsons Pty Ltd for the first quarter of next year and identify and record in an additional column all dollar $ variances form the forecasted budget. (15 marks) Question 4 In order to control costs prepare a 4 th spreadsheet; identifying and recording the necessary adjustments to be made to the budget for the 2 nd, 3rd, 4th quarters of next year. (15 marks) Task 2 Task 2 requires you to identify options for improved budget performance. Write a one page financial report to the restaurant owners; include the following: a. Based on the variances found, identify the possible causes for such deviations and incorporate your recommendations for improving the business performance. (10 marks) b. Include your suggestions regarding the Contract for purchasing soft drinks (10 marks) c. Explain your reasons for the necessary adjustments made to the budget for the 2 nd, 3rd, and 4th quarters of next year. (10 marks)