Manage Budget and Financial Budget

Running head: MANAGE BUDGET AND FINANCIAL BUDGET
Manage budget and financial budget
Name of the student
Name of the university
Student ID
Author note

1MANAGE BUDGET AND FINANCIAL BUDGET
Table of Contents
Part A.........................................................................................................................................2
Answer 1................................................................................................................................2
Answer 2................................................................................................................................3
Answer 3................................................................................................................................3
Answer 4................................................................................................................................4
Part B..........................................................................................................................................6
Task 1.....................................................................................................................................6
Question 1..........................................................................................................................6
Question 2..........................................................................................................................6
Question 3..........................................................................................................................6
Question 4..........................................................................................................................7
Task 2.....................................................................................................................................8
(a) Possible reasons for variances and suggestions.......................................................8
(b) Suggestions regarding purchasing of the soft drinks...............................................8
(c) Reasons for necessary adjustments for 2nd, 3rd and 4th quarter’s budget..................8
Reference....................................................................................................................................9

2MANAGE BUDGET AND FINANCIAL BUDGET
Part A
Answer 1
Record keeping requirements for a business in Australia
Keeping the business records in appropriate way is an integral part of the business that
helps to meet the tax obligations. Setting up right record keeping arrangement for the
business in turn will help to work efficiently, strengthening the staff and customer
relationships and meeting the legal requirements. It further helps to keep track for the health
of the business which in turn enable to take sound decisions for the business. Further, it helps
to prepare the tax return in concise way, managing the cash flows and demonstrating the
financial position to the bank or any other lender if it requires fund through borrowing1. Basis
records required to be kept by the business as per the legal requirements are as follows –
 Financial accounting programme or cash book that records cash payments as well as
cash receipts
 Employee records including overtime, work time, remuneration and other benefits,
leaves, termination of the employments, superannuation benefits, employment type,
personal details of the employees, details of employees and personal contact of the
employees
 Bank account details including deposit books, cheque books and the bank statement
 Sales records including receipt books, invoice books, credit card documentation, cash
register tapes, credit notes for the returned goods and record for the goods used by the
owner for personal purpose
 Purchase proof that includes petty cash system for smaller amount of cash purchase,
cheque details for large amount of purchases, invoices, credit card statements and
other documents associated with purchases including the agreement copies or leases.
 Records related to occupational training for both owners as well as employees for
complying with the work, safety and health laws including emergency and
evacuation2
1 Keeping Business Records (2019) Ato.gov.au <https://www.ato.gov.au/general/aboriginal-and-torres-strait-
islander-people/tax-for-businesses/keeping-business-records/>.
2 Keep The Right Records (2019) Business.gov.au
<https://www.business.gov.au/new-to-business-essentials/series-one/keep-the-right-records>.