As a community services team leader or manager, you will be required to develop a good understanding of managing the financial resources and processes of the organisation, as well as knowing how to manage projects effectively.
Your role will be responsible for ensuring that the finances of the organisation are managed in such a way as to be effective, efficient and in compliance with all legislation.
The tasks in this assessment will focus on the content of Topics 8.1 and 8.2 in relation to finances, and include the following:
- Providing definitions for financial concepts
- Research into financial statements of a community organisation and what they mean
- Practical worked examples of a quarterly budget review and action needing to be taken to ensure the budget remains on track.
- Complete the table below by providing a definition for the term and explaining its importance to the financial management of the organisation.
- Identify two accounting principles and explain how they impact on your financial management processes (Approximately 25-50 words each). We have provided an example in the first row.
- Locate an annual financial report for a community organisation. Most organisations include financial statements/reports in their annual report. These may be located on an organisation’s website.
a) Provide the organisation’s name:
b) Provide the URL for financial report:
c) Identify what financial information the report offers – describe the contents of the report and explain what it tells you about the financial activities of the organisation (50 to 100 words).
Using the same organisation identified above, examine and comment on the financial summaries for information about the fiscal condition of the organisation. Confirm the following:
d) Did they have a deficit or surplus budget?
e) Was this explained in the treasurer’s report?
f) Did the auditor find the organisation complied and, if so, with what standards did they comply? (Approximately 25-50 words)
g) What ATO record keeping requirements does the organisation need to abide by? (Approximately 25-50 words).
Part 2 – Budget Case Study
CareShore is reviewing its quarterly budget provided below. Answer the following questions on this financial review.
- What is this report telling you about their current budget allocations? (Approximately 25-50 words) For example, you could talk about what is most overspent and underspent.
- List 2 significant line items that needs to be adjusted and briefly explain why? (Approximately 25-50 words)
- What further information do you need to ensure the budget going forward is realistic? (Approximately 25-50 words)
- Who else do you need to consult/negotiate with in the organisation when reviewing the budget? (Approximately 25-50 words)
- Complete the final column ‘Revised Budget’, explaining your decisions in the ‘Comments’ column. (Approximately 25-50 words)
Complete your answers in the relevant columns in table “CareShore Financial Plan 2016-2017” located at the beginning of Part 2 above.
- Now that you have made changes to the budget, who needs to be advised and how will you disseminate the information?
Who needs to be advised? How will you disseminate the information?
- Clearly, you have had some unexpected expenditure that has impacted the budget. What processes will you now put in places to control costs? (Approximately 25-50 words)
- Finally, the budget overruns have meant that you will now need to develop and implement a contingency plan.
In the table below, develop a contingency plan to ensure the budget is back on track. Include how you will monitor this plan to maintain your financial objectives and who will be involved in the management of the plan.
How will you monitor this plan?
Who will be involved in the management of this plan?
a) Name the Government Legislation for the Goods and Services Tax – GST (Approximately 25 words).
b) Explain what GST is and how it is implemented? (Approximately 25-50 words).
c) Who is required to register for GST? (Approximately 25 words).
Based on your work placement or current place of work, identify a work team that you have observed in operation:
a) Identify who in that team was responsible for management of finances, and outline an example of them supporting other team members when managing the finances.
Who was responsible for the management of finances?
b) Provide an example of what financial data may be used to assist staff to review an aspect of their work (Approximately 25-50 words).
c) Identify and describe an improvement made by the team to the financial management of their section. (Approximately 25-50 words).
Below is a rubric that determines whether your answers and knowledge is satisfactory or not yet satisfactory. To pass the assessment, you must complete ALL the requirements for the column that is titled ‘satisfactory’. It is advisable to read the rubric before attempting the assessments to help you attain the correct submission standard.