Higher National Diploma in Business(Business Management) Assignment 2022
Added on 2022-05-30
18 Pages3141 Words14 Views
Higher Nationals
Assignment Brief – BTEC (RQF)
Higher National Diploma in Business (Business Management)
Student Name /ID Number Nguyen Quoc Anh – Harry
Unit Number and Title Unit 5: Accounting Principles
Academic Year 2021/2022
Unit Assessor Nguyen Lan Phuong & Ha Phuoc Vu
Assignment Number and Title Production and Interpretation of Financial Statements (2 of 2)
Issue Date 27 December 2021
Submission Date 16 January 2022
IV Name
Date
Submission Format:
The submission is in the form of a portfolio of evidence compiled using the evidence produced for two
assignments, it will also include the following.
A detailed letter to a named client. The letter must be clear worded, well-structured and should make use of
appropriate business language and terminology. The letter can also include clearly-labelled tables and charts.
It will accompany and support the appropriately constructed financial statements (income statement and
statement of financial position) for the business in question.
The word count is 2,000–2,500 words, although you will not be penalised for going under or exceeding the
total word limit. A bibliography should be provided using the Harvard referencing system (or an alternative
system). Inaccurate use of referencing may lead to issues of plagiarism if not applied correctly.
Assignment Brief – BTEC (RQF)
Higher National Diploma in Business (Business Management)
Student Name /ID Number Nguyen Quoc Anh – Harry
Unit Number and Title Unit 5: Accounting Principles
Academic Year 2021/2022
Unit Assessor Nguyen Lan Phuong & Ha Phuoc Vu
Assignment Number and Title Production and Interpretation of Financial Statements (2 of 2)
Issue Date 27 December 2021
Submission Date 16 January 2022
IV Name
Date
Submission Format:
The submission is in the form of a portfolio of evidence compiled using the evidence produced for two
assignments, it will also include the following.
A detailed letter to a named client. The letter must be clear worded, well-structured and should make use of
appropriate business language and terminology. The letter can also include clearly-labelled tables and charts.
It will accompany and support the appropriately constructed financial statements (income statement and
statement of financial position) for the business in question.
The word count is 2,000–2,500 words, although you will not be penalised for going under or exceeding the
total word limit. A bibliography should be provided using the Harvard referencing system (or an alternative
system). Inaccurate use of referencing may lead to issues of plagiarism if not applied correctly.
Unit Learning Outcomes:
LO2 Prepare basic financial statements for unincorporated and small business organisations in
accordance with accounting principles, conventions and standards.
LO3 Interpret financial statements.
Transferable skills and competencies developed
• Managing financial data
• Written communication using a range of media
• Manipulating and interpreting data using spreadsheets
• Effective communication of relevant information across the organisation and to appropriate
stakeholders
• Creation and interpretation of information and showing how that information can be used most
effectively to add value to the organisation
• Ability to use quantitative skills to manipulate data, evaluate, estimate and model business
problems
• Application of accounting knowledge to consistently deliver high-quality, accurate data and
information in a timely fashion.
Vocational scenario
Having successfully completed your six-month probation as a Graduate Trainee at the accountancy firm,
you have now been attached to a unit in the firm that deals with the provision of accountancy and consultancy
services to small businesses that are typically set up as sole traders, not-for-profit or partnerships. The
firm is careful about which small and emerging businesses it works with as it seeks to spot growth potential
and identify and work with clients that have scalable business models.
Assignment activity and guidance
You are initially working with a selection of these small businesses that have been trading for several years
and which now need annual trading statements to be compiled and submitted in line with government
requirements. You have been given:
• an extended trial balance for each business, including accruals, prepayments and figures for bad
debts and depreciation
• a range of comparative key performance ratios from the previous year.
These local businesses do not make use of contemporary software to support its book-keeping and
accounting function. This is something which concerns you as you feel that it represents an opportunity for
the business to save time and resource.
Your supervisor, one of the firm’s Key Account Managers, has asked you to compile the year-end financial
statements ready for submission and provide, for each client, some detailed analysis of the figures
produced, which will be presented in the form of an accompanying letter. Specifically, you will undertake
LO2 Prepare basic financial statements for unincorporated and small business organisations in
accordance with accounting principles, conventions and standards.
LO3 Interpret financial statements.
Transferable skills and competencies developed
• Managing financial data
• Written communication using a range of media
• Manipulating and interpreting data using spreadsheets
• Effective communication of relevant information across the organisation and to appropriate
stakeholders
• Creation and interpretation of information and showing how that information can be used most
effectively to add value to the organisation
• Ability to use quantitative skills to manipulate data, evaluate, estimate and model business
problems
• Application of accounting knowledge to consistently deliver high-quality, accurate data and
information in a timely fashion.
Vocational scenario
Having successfully completed your six-month probation as a Graduate Trainee at the accountancy firm,
you have now been attached to a unit in the firm that deals with the provision of accountancy and consultancy
services to small businesses that are typically set up as sole traders, not-for-profit or partnerships. The
firm is careful about which small and emerging businesses it works with as it seeks to spot growth potential
and identify and work with clients that have scalable business models.
Assignment activity and guidance
You are initially working with a selection of these small businesses that have been trading for several years
and which now need annual trading statements to be compiled and submitted in line with government
requirements. You have been given:
• an extended trial balance for each business, including accruals, prepayments and figures for bad
debts and depreciation
• a range of comparative key performance ratios from the previous year.
These local businesses do not make use of contemporary software to support its book-keeping and
accounting function. This is something which concerns you as you feel that it represents an opportunity for
the business to save time and resource.
Your supervisor, one of the firm’s Key Account Managers, has asked you to compile the year-end financial
statements ready for submission and provide, for each client, some detailed analysis of the figures
produced, which will be presented in the form of an accompanying letter. Specifically, you will undertake
the following:
1. From the data provided, you are required to prepare the year-end financial statements, taking into
consideration accounting principles, conventions and standards. You will need to make and show
appropriate adjustments to both the income statement and the balance sheet.
2. Write an accompanying letter to the client that will be sent with the completed financial statements.
The letter needs to include:
• calculation of relevant profitably, liquidity, asset usage and investment ratios
• critical evaluation of the performance to the business year on year (making reference to data you
have calculated and data provided from the previous year), with reference to relevant benchmarks
as well as any limitations of using financial ratios as performance measures
• an outline of the benefits of contemporary accounting software packages, with examples of products
on the market
• justified conclusions and recommendations for your client.
1. From the data provided, you are required to prepare the year-end financial statements, taking into
consideration accounting principles, conventions and standards. You will need to make and show
appropriate adjustments to both the income statement and the balance sheet.
2. Write an accompanying letter to the client that will be sent with the completed financial statements.
The letter needs to include:
• calculation of relevant profitably, liquidity, asset usage and investment ratios
• critical evaluation of the performance to the business year on year (making reference to data you
have calculated and data provided from the previous year), with reference to relevant benchmarks
as well as any limitations of using financial ratios as performance measures
• an outline of the benefits of contemporary accounting software packages, with examples of products
on the market
• justified conclusions and recommendations for your client.
Learning Outcomes and Assessment Criteria
Pass Merit Distinction
LO2 Prepare basic financial statements for unincorporated and small
business organisations in accordance with accounting principles,
conventions and standards
LO2 and LO3
D2 Critically evaluate financial
statements to assess
organisational performance using
a range of measures and
benchmarks to make justified
conclusions.
P3 Prepare financial statements
from a given trial balance for
sole traders, partnerships and
not-for-profit organisations, to
meet accounting principles,
conventions and standards.
M2 Produce financial statements
from a given trial balance, making
appropriate adjustments.
LO3 Interpret financial statements
Merit
P4 Calculate and present
financial ratios from a set of final
accounts.
P5 Compare the performance of
an organisation over time using
financial ratios.
M3 Evaluate the performance of
an organisation over time, using
financial ratios with reference to
relevant benchmarks.
Pearson Education 2021
Higher Education Qualifications
Assignment Brief
Pass Merit Distinction
LO2 Prepare basic financial statements for unincorporated and small
business organisations in accordance with accounting principles,
conventions and standards
LO2 and LO3
D2 Critically evaluate financial
statements to assess
organisational performance using
a range of measures and
benchmarks to make justified
conclusions.
P3 Prepare financial statements
from a given trial balance for
sole traders, partnerships and
not-for-profit organisations, to
meet accounting principles,
conventions and standards.
M2 Produce financial statements
from a given trial balance, making
appropriate adjustments.
LO3 Interpret financial statements
Merit
P4 Calculate and present
financial ratios from a set of final
accounts.
P5 Compare the performance of
an organisation over time using
financial ratios.
M3 Evaluate the performance of
an organisation over time, using
financial ratios with reference to
relevant benchmarks.
Pearson Education 2021
Higher Education Qualifications
Assignment Brief
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Production & Interpretation of Financial Statementslg...
|20
|3273
|405
Accounting in Context and Budgetary Control Assignment 2022lg...
|53
|10634
|14
Accounting in Context & Budgetary Controllg...
|34
|9288
|313
Accounting Principles Report 2022lg...
|21
|4594
|23
Accounting in Context & Budgetary Controllg...
|17
|2650
|296
The Role of Accounting in an Organisationlg...
|7
|2074
|53