Accounting Answers

An individual who is not an existing client approaches you in early November stating that the income tax return for the financial year has not been prepared or lodged. The individual is aware that tax agents can lodge later than the October 31 deadline so requests that you prepare and lodge the tax return to avoid penalties.

What advice do you give this individual?

1. A new client has approached you and asked for advice on what documentation will be required for the preparation of their first tax return in Australia.

What advice would you provide and what documents would you indicate that would be needed?

2. A client has receipts for $50.00 from donations provided to door to door charity collectors. Can the client claim a tax deduction for this amount?

3. Is a taxpayer entitled to a spouse rebate if they have no children?

1. To be able to complete budget reporting on time, how should accountants approach new project reporting in a manufacturing business?

2. How should budget assumptions be dealt with to guard against unethical assumptions?

3. Who is responsible for budget management?

4. In order to be effective, which type of executives should make up the majority of the audit committee members?

when are rolling budgets appropriate and inappropriate? what other factor must be considered when adopting a policy for using them?

prepare a request for the budget revision form to accompany the variance report. note that the request is due to a new program which had an original incorrect assumption

Build a production budget for the current month using the following information:

Opening units 2,000.
Ending units 650.
Forecast sales 11,350.

What are the two types of information available to complete the budget? Describe the benefits and disadvantages of them and give an example of each.

Your company Apollo is second in the manufacturing industry. The market leader has introduced an innovative product which is expected to wipe out market share for rovers (one of Apollo’s key products) which currently bring in a quarter of revenue and are responsible for a third of expenditures. Revenue forecast and budget expense revision is necessary.

What impact will the market leader’s actions have on your revenue forecast and expense budget:

If total original revenue assumptions were forecast at $700,000 and total expense assumptions added to $1,000,000?
What would the impact on financial performance be in dollars?

Is it better to pay mortgage interest or have no mortgage for income tax purposes?

In what circumstances do NFP’s compete for funding and what can influence the outcome of funding applications?