Trade Practices
ASIC is responsible for?
Overseeing business name registration
Government agency that aims to reduce workplace injuries and support injured workers
WorkSafe Victoria
Benefits that professionals can bring to a business
List why businesses could potentially suffer financial problems
Poor systems, mismanagement, theft or fraud, poor debt management, lack of cash flow, damage to assets, incorrect pricing
What is this term? Degree of responsibility for not only the economic consequences of their activties but also for the social and environmental implications
Corporate social responsibility - CSR
Identify 2 types of taxes businesses must comply with
Income tax, PAYG, GST, FBT, Stamp duty, Land tax
What level of law is OHS established on?
Federal
What profressional? Responsible for raising awareness of a businesses products and brand
Marketing consultant
Why is it necessary for a business to keep a paper-trail of transactions?
source documents verify transactions have occured. Recpeipts, invoices, cheques etc.
Disadvantages of using socially responsible suppliers
Increased costs, less choice of suitable suppliers, maintaining a cost-effective and time effecient supply chain
What level of government is the Competition and Consumer law established on?
Federal
2004 act that is in place in Victoria
Occupational Health and Safety
Factors to consider when choosing a bank account
bank fees, credit cards, interest rates, overdraft facilities, convenience and support
Which control system am I and what benefit do I provide?
The process of testing and evaluating a business’s accounting process and internal financial controls
Auditing
Allows business to pinpoint exactly where problem areas may be such as great expenditure, and then come up with goals to eliminate this risk.
List 5 factors to consider when choosing a supplier
Price, Quality, reliability, location, socially responsible suppliers
What does the Competition and Consumer law ensure?
Businesses and consumers are protected from unfair trading practices
What is the objective of workcover insurance?
Provide financial and medical support, ensures business pay staff if they are liable for an injury, ensures fair compensation
Defiine 'Seperate Entity' principle
All assets, liabilities and business activities must be kept entirely seperate to that of the owner and other entities they may have
Explain a record-keeping strategy that businesses may use to improve financial performance
Income Statement
Balance sheet
Cash book
Source document
Explain why location of a supplier is important factor for many businesses
cost implications
delivery implications
working environment standards etc
What is meant by misuse of market power?
Cannot get rid of a competitor, prevent competition or prevent someone from entering the market
4 purposes of the Work Health and Safety Act (2011)
Secures health, safety and protection of all workers, eliminates risk, ensures safety of the public, establishes standards and policies
Difference between accountant and bookkeeper
Bookkeeper responsible for collation of financial information.
Accountant analyses this information and prepares reports such as income statemetns and sends it to the ATO
Difference between financial control systems and record-keeping strategy
Financial control systems are the processes that allow businesses to manage, monitor and report on financial performance, whereas record keeping strategies are books that keep records of transactions to inform these processes.
Raw materials, manufactured goods, equipment, machinery, finance and information are known as what when they come from a suppler?
Inputs