Accounting and Financial Analysis Report: Forecasting and Taxation

This report presents a financial analysis of the XYZ company, comparing forecasted versus actual returns, examining PAYG installments for large clients, and exploring methods to identify client expectations through surveys. It further explains the use of bond rates for assessing business performance and outlines the key sections of an evaluation report. Additionally, the report identifies and describes four areas likely to cause taxation issues for clients, including income tax assessment, available deductions, superannuation, and fringe benefits accounting. The report is a comprehensive overview of key financial and accounting concepts. The report also provides the benefits for large clients making monthly PAYG instalments on wages paid. The report is comprehensive analysis of the financial aspects.

Running head: ACCOUNTING FINANCIAL ANALYSIS REPORT
Accounting and Financial Reporting
Name of the Student:
Name of the University:
Author’s Note:

1ACCOUNTING AND FINANCIAL ANALYSIS
Table of Contents
In Response to Question 1..........................................................................................................2
In Response to Question 2..........................................................................................................2
In Response to Question 3..........................................................................................................2
In Response to Question 4..........................................................................................................3
In Response to Question 5..........................................................................................................3
In Response to Question 6..........................................................................................................3
Reference....................................................................................................................................5

2ACCOUNTING AND FINANCIAL ANALYSIS
In Response to Question 1
The forecasted versus actual return for the company was done on the XYZ company
where the valuation of the company was don on the base of the historical growth of the
company and the average of the same was taken in order to forecast the future financials of
the company. The multi-period return which the XYZ Company could provide in contrast to
the XYZ Company (Zhou et al. 2016).
Particulars Forecast Actual
Sales 110 100
Cost of Input 48 50
Interest Cost 10 10
Net Profit 52 40
Capital Employed 500 500
Return on Equity 10% 8%
In Response to Question 2
Every Cash Flows made to the suppliers or the contractors or the employees of the
company the same needs to be accounted under the PAYG holding that gives an opportunity
for the employees of the company to reduce the burden of payment of tax at the end of
financial year. The benefit for the large clients in this case is the direct assessment of income
and cash flows and tax deducted at source which promotes key accounting policies as guided
by the Australian Taxation Department (Di Liddo, 2018).
In Response to Question 3
Use of Customer Review and feedback in the form of Survey done could be the best
form for determining the client expectations and objectives. It should be noted that use of the
data analytics in the form of survey doe and for the analysis portion the same can be applied

3ACCOUNTING AND FINANCIAL ANALYSIS
in order to better assess the changing taste and preference of the customers (Das &
Bharadwaj, 2017).
In Response to Question 4
The bond rate can determine the performance of the company in terms of the
credibility and the assessment of the risk in the company. At the time of issuance of a bond
the bond has a specified level of credibility and goodwill and according to the financial risk
of the company, the bond is given a specific rating. The bond rate given or the one which is
transacted at market is the expected rate of return an investor can earn while investing in a
risk free asset for earning real returns. Further it is important to reassess the changes in the
financial risk of the company in order to re-price the bond and reflect economic reality about
the company’s financial risk. The bond rating changes as per the financial risk of the
company, the business, and the macro environment scenario further the same will help assess
the performance of the company and the level of risk in the company.
In Response to Question 5
The five sections that are included in the evaluation report are the Programme
description section, which includes the origination and goals and objectives of the report.
Evaluation methodology says about the method used for evaluating the methods and
techniques deployed for the evaluation report. The findings section involves the key aspect
analysed and found in the evaluation report. The Interpretation and the result section is the
last section that is to be included in the evaluation report it also says about the suggestion,
tips and recommendation for the same.
In Response to Question 6
The four areas that are likely to cause taxation issue to the clients are in the field of:

4ACCOUNTING AND FINANCIAL ANALYSIS
 Assessment of Income Taxes: The assessment of income taxes for individual client
may be difficult for the individual clients (Bacache‐Beauvallet & Bloch, 2018).
 Deductions available to the Individual Clients: The individual client should be made
aware of the available deduction they are eligible for in the assessment of income
taxes.
 Superannuation: Accounting for the Superannuation fi\und and the tax implication
implied with the same.
 Accounting for Fringe Benefits and accounting for the same in the assessment year.
Generally, fringe benefits is the surplus benefits and perk provided to the employee of
the company like car, health care, etc.

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Reference
Bacache‐Beauvallet, M., & Bloch, F. (2018). Special issue on taxation in the digital
economy. Journal of Public Economic Theory, 20(1), 5-8.
Das, A. K., & Bharadwaj, S. S. (2017). Framework for alignment of service provider value
drivers with client expectations in IT services outsourcing. Journal of Information
Technology Case and Application Research, 19(1), 34-61.
Di Liddo, G. (2018). Immigration and PAYG pension systems in the presence of increasing
life expectancy. Economics Letters, 162, 56-61.
Zhou, L., Xie, J., Gu, X., Lin, Y., Ieromonachou, P., & Zhang, X. (2016). Forecasting return
of used products for remanufacturing using Graphical Evaluation and Review
Technique (GERT). International Journal of Production Economics, 181, 315-324.