ACF5510 Integrated Accounting Prepared by Assoc Prof Ly-Fie Sugianto & Mr Lincoln Tong, February 2017 Individual Assignment 1 Weighting: 45% Deadline: Monday 10 April 2017, before 10am Submission made after the deadline will be automatically marked “late”, and penalty will be imposed on the submitted work. In general, no late submission will be accepted. In special circumstances, students may apply for extension by consulting the lecturer at least 2 days prior to the submission date. If approved, submission must be done within 3 days from the deadline. Penalty: 10% of the allocated marks for each working day delay. Instruction: This assignment consists of three parts. Attempt all tasks and prepare a separate file for your answer to each part. It is important that you read and understand the VIBE before carrying out the assignment tasks. Total number of words for the tasks: 2000 words. Submission: You are required to submit both the hardcopy and the softcopy of your individual work. The hardcopy version should be submitted to the Assignment Box located in Building H Level 3. Attach a signed cover sheet with your submission. The softcopy submission should consist of three Microsoft Word files named as instructed below. The three files should be submitted through Moodle Dropbox. There will be separate Dropbox for these files. The following naming convention should be used to name your softcopy submission. Naming File: The zip file should be named X_Y_PartZ.docx where X is up to 5 characters of your SURNAME Y is the last 3 digits of your STUDENT ID Z is a number (1, 2 or 3) indicating the different PART of the assignment.2 Tasks: Part (1) Corporation Law You are the financial accountant at Blackhill Holdings Limited and are keen to demonstrate your new skills as a recent Monash Uni graduate. To prepare for an important upcoming Board meeting, the CFO has come to seek your advice. The CFO has asked you to prepare two separate emails to him that answer the following questions. First email (i) Identify and clearly outline who is a related entity (both corporations as well as individuals) for the purpose of the Corporations Act (2001) Cth. Support your response by citing the relevant section reference. Please note that this request is general in nature and is not in response to a specific transaction. Second email (ii) On the basis that Blackhill Holdings Limited is considering listing on the ASX, what are the most relevant annual reporting requirements (at least three points) and Director responsibilities (at least three points) that the CFO should be concerned about. Your advice may consider other requirements of an ASX listed company and not just those imposed by the Corporation Law. Please explain why you consider these to be the most relevant and should be at the top of the list for Blackhill’s CFO to be aware of. (Note: Format of part (i) and (ii) are email) Part (2) Auditing (i) Compare and analyse the quality of auditor independence pre and post September 2013. (ii) Identify and discuss an incentive and an opportunity for manipulation (or fraud) of accounts by Blackhill Resources (or decision by its board of directors).ACF5510 Integrated Accounting Prepared by Assoc Prof Ly-Fie Sugianto & Mr Lincoln Tong, February 2017 Part (3) Ethics The following excerpt is taken from Kitchen Best (Harvard Business Case, HKU948, page 6): “Kitchen Best had no clear guidelines or vetting procedures for expenses incurred from wining and dining or entertainment provided to suppliers and customers. In fact, Ma regularly used kickbacks, entertainment and gift-giving to open and maintain accounts, and expenses for such activities were reimbursed to Ma through fake invoices booked as “entertainment expenses”. (i) Based on professional ethics and integrity, comment whether or not Ma’s conduct of wining and dining is acceptable. (ii) Suggest three recommendations to Henry Chan in terms of internal control procedures and policies to deal with the above situation. Mark Allocation and Criteria The submission should indicate evidence that students have understood the assessed topics presented in VIBE. Part (1): 7 marks for correct and complete answer in (i), 6 marks for correct answer in (ii) and 2 marks for good command in written communication skill. Part (2): 7 marks for correct answer in (i) and 8 marks for correct answer in (ii). Part (3): 8 marks for evidence that you have performed critical analysis on ethics and integrity, indicating that you have carefully thought and understood the underpinning aspects for the ethical conduct and decisions in (i); and 2.5 marks for each sound recommendation in (ii) up to a maximum of 7 marks in total. Total 30 1.75-2.9 2.7 The fundamental theories relevant to this question are provided without ambiguity and refers to a text or journal article, but these may not be well discussed.Some context provided. Reflection demonstrates satisfactory clear reasoning and provides reasonable discussion on the “cultural fit” to the organisation. 3-3.5 3.2 The fundamental theories relevant to this question are clearly identified and explained, without ambiguity and in context and with reference to a suitable journal article. Reflection demonstrates clear and consistent reasoning and provides detailed discussion on the “cultural fit” to the organisation. 3.6-4.15 3.7 The fundamental theories relevant to this question are clearly identified and described well, with relevant information and argument where necessary for understanding. The context is clear and suitable journal article(s) are used. Reflection demonstrates clear, consistent and detailed reasoning and provides high-level discussion on the “cultural fit” to the organisation. 4.2-4.75 5 The fundamental theories relevant to this question are clearly identified and described comprehensively, delivering all relevant information necessary for full understanding. The context and background are well explained and suitable journal article(s) are used. Reflection demonstrates consistent and systematic reasoning and provides thorough discussion on the “cultural fit” to the organisation. 4.8-6 Quality of language and ability to communicate information accurately using academic style ULO2 (Max 4 marks) 0.4 Writing filled with grammatical and spelling errors. English expression is difficult to understand. Little or no use of paraphrasing, with a heavy reliance on quotes. In-text citation and referencing have not been used or do not conform to Harvard standard. 0-1.55 1.2 Many grammatical and spelling errors. English expression is difficult to understand, but meaning can be made of what is written. Little effort has been put into paraphrasing of material. In-text citations not utilised or inaccurate. List of references does not follow the Harvard referencing style correctly. 1.6-1.95 1.6 Expresses thoughts meaningfully, even though there may be occasional errors. Paraphrasing uses too many of the author’s own words. In-text citations are too sparse and/or mostly inaccurate. Some attempt to present a list of References following the Harvard referencing style, but may have several errors. 2-2.36 1.9 Expresses thoughts meaningfully, even though there may be occasional errors. Paraphrasing portrays the ideas of others in student’s own words. In-text citations are accurate in most cases and are just adequate to the task. List of References presented using the Harvard referencing style accurately in most cases. 2.4-2.76 2.2 Communicates meaning with clarity and fluency. Writing is almost error-free. Paraphrasing correctly portrays the ideas of others in student’s own words. In-text citations are accurate and support the arguments made in the assignment quite well. List of References presented accurately using the Harvard referencing style. 2.8-3.16 3 Skillfully communicates meaning with high level of clarity and fluency. Writing is virtually error-free. Paraphrasing correctly portrays the ideas of others in student’s own words. In-text citations are accurate and support the arguments made in the assignment very well. List of References presented very accurately using the Harvard style. 3.2-4 List of suggested academic journal articles, books and book chapters: Carroll, AB and Shabana, KM, 2010. ‘The business case for corporate social responsibility: A review of concepts, research and practice’, International Journal of Management Reviews, vol. 12, no.1, pp. 85-105. Edwards, JR, Caplan, RD and Van Harrison, R, 1998. Person-environment fit theory. In CL Cooper (Ed.) Theories of organizational stress (pp. 28-67), Oxford University Press, Oxford, UK. Edwards, JR, Cable, DM, Williamson, IO, Lambert, LS and Shipp, AJ, 2006. ‘The phenomenology of fit: linking the person and environment to the subjective experience of person-environment fit’, Journal of Applied Psychology, vol. 91, no. 4, pp. 802-807. Ferguson, J (2016) ‘Corporate response to climate change: language, power and symbolic construction’, Accounting, Auditing & Accountability Journal, vol. 29, no. 2, pp. 278- 304. http://ezproxy.deakin.edu.au/login?url=http://dx.doi.org/10.1108/AAAJ-09-2013-1465 Hollensbe, E, Wookey, C, Hickey, L, George, G, & Nichols, CV, 2014, 'Organizations with purpose’, Academy of Management Journal, vol. 57, no. 5, pp. 1227-1234. Available from: 10.5465/amj.2014.4005. http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=heh&AN=98822522&site=eds-live&scope=site Jovanovic, Z, 2015. ‘Management and changes in business environment’, Ekonomika, vol. 61, no. 2, pp. 143-151. http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=103670794&site=ehost-live&scope=site Robbins, SP, DeCenzo, DA, Coulter, M, Woods, M 2016, Management: The Essentials 3e, Pearson, Melbourne, Australia. Szymańska, K and Walecka, A, 2016, ‘Culture openness as an element of positive potential of enterprised in a crisis situation’. Journal of Positive Management, vol. 6, no.4, pp. 53-65. http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=116483370&site=ehost-live&scope=site Verbos, AK, Gerard, JA, Forshey, PR, Harding, CS and Miller, JS, 2007, ‘The positive ethical organization: Enacting a living code of ethics and ethical organizational identity’, Journal of Business Ethics, vol. 76, no. 1, pp. 17-33.