BFA 201 FINANCIAL ACCOUNTING
ASSESSMENT TASK 2 Semester 1 2021
|SUBMISSION:||One Video file per group – submitted to MyLO|
|COVID-19 and its impact on financial reporting|
|WEIGHTING:||25% of unit assessment|
|LENGTH:||10 minutes video|
Note the emphasis is on the quality of the information provided, rather than the quantity.
PURPOSE: This assignment aims to apply the knowledge you have learnt in this unit to create a video that creatively and correctly demonstrates your skills to use the acquired knowledge to provide professional advice to your clients. The assignment further aims to develop both technical and soft accounting skills that are highly valued by accounting firms. Some of the soft skills accounting firms looking for are critical thinking, leadership capabilities, team management, innovative thinking, problem solving and analytical thinking and effective communication. The purpose of this assignment is to help you in developing these skills.
COVID-19 has significantly affected governments and people around the globe, the global economy, and financial markets. National economies and businesses are still counting the economic damage created by COVID-19, and it is not yet over. The top business leaders and governments are concerned about the impacts of COVID-19 on Australian and global businesses.
This assignment not only enhances awareness on accounting and accountability related to the information that is published by the organisations but also motivates you to think beyond the box by suggesting how COVID-19 or any other pandemic affects businesses’ financial reporting, and how businesses can better analyse and predict risks associated with such pandemics and what disclosures can be included in the annual report or other reports to make users aware of key risks arising from a pandemic and its impacts on businesses.
You and your team are working for an accounting firm ‘My Accountants’ in Hobart, Australia. One of the Australian Listed companies has contacted your accounting firm to seek advice on impacts of COVID-19 on financial reporting and COVID-19 risks related to disclosures published by the company. The CEO of your accounting firm has chosen your team to prepare a video presentation that needs to be sent to the company’s head office in Melbourne, Australia. You and your team had a meeting with your CEO and have agreed to include the following in the video presentation:
- COVID-19 and risks for businesses in general
- Financial reporting implications of COVID-19 and their accounting treatments
- COVID-19 impacts on the presentation of financial statements
- How companies should assess COVID-19 events after the reporting period and how companies should assess going concern
- Guidance provided by standard setters, Big-4 firms and professional accounting bodies to deal with this issue
- Use of examples provided by taking reports that include disclosures on the financial reporting implications of COVID-19 and the risks associated with COVID-19 published by at least two companies listed on the Australian Stock Exchange
- Prepare a ten-minute video presentation for the potential client. This potential client is one of the listed companies in Australia. Your firm wants a long-term engagement with this client; therefore, is willing to submit the best presentation. This company has also invited presentations from other accounting firms in Australia; therefore, your CEO has advised your team to do adequate research on this issue as has been decided during the meeting earlier and use the information gathered for preparing the video. Also, the CEO expects your team to be highly creative in a video presentation and pitch your report nicely.
The presentation must include an introduction in which you and your team highlight the points you have covered in your presentation, including the sources from where you have collected information. Also, in your presentation to explain the impacts of COVID-19 on financial reporting, you can select a sector (such as energy, finance, hospitality etc.) of your choice. Please include this information in the introduction section.
- Prepare a reference list that shows the sources you and your team consulted for preparing the video presentation.
- Both the Executive Summary and the video presentation must be submitted via MYLO.
- Your CEO wants your team to submit a record of minutes of the group meetings, including tasks allotted and completed by group members. Also, your CEO wants each member of your team to submit a one-page report that critically reflects on their teamwork experience, challenges faced by them during working in the team, how they dealt with those challenges and their overall learning from the teamwork.
Key steps in preparing assignments
- Attend the lecture in week two, during which this assignment will be discussed in detail.
- Form your team in week two and have a first team meeting to have a good understanding of the skills your team members have related to this assignment. Do not forget to document meeting records after each meeting.
- Download information on COVID-19 and its impacts on financial reporting. Below are some links to help you to start your research-
Accounting considerations related to COVID-19
IFRS in Focus- Accounting considerations related to the Coronavirus 2019 Disease- https://www.iasplus.com/en/publications/global/ifrs–infocus/2020/coronavirus
- Download articles and reports published by standard setters, accounting standard boards globally, and Big-4 firms
- Select two companies from the list of the ASX top 200 companies list that your group will be using as an example on COVID-19 reporting. The list is available at https://www.asx200list.com/
- After your group has decided to select two companies for your presentation, announce on the discussion board to let other groups know that you have already selected this company. Each group has to select different companies.
- Make sure that you regularly organise group meetings and maintain the records of minutes of meetings. Submit the assignment using MYLO
ALL GROUP CONTRACTS: Must be signed, scanned & uploaded to the assessment page in MyLO by 21 March, 2021