Reporting on Business Groups
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ACCT3011 Reporting on Business Groups
Group Assignment Instructions and Guidelines
Group members: Group assignment groups are the same presentation groups
Group Assignment and Group Member Evaluation: Due 5pm (AEST) Monday 8 May 2023
1. Background Information for Group Assignment
Support Ltd is an ASX listed Australian investment company. On 1 July 2022 Support Ltd and Equal Bank Ltd,
an ASX listed for profit community bank, established a public company limited by guarantee, Always There
Limited (“Always There”). On 1 July 2022 Always There issued 400,000 $1.00 ordinary shares to Support Ltd
for a consideration of $800,000 and 400,000 $1.00 ordinary shares to Equal Bank Ltd for a consideration of
$800,000. No other equity instruments have been issued by Always There to Support Ltd, Equal Bank Ltd or
any other party.
Always There’s constitution states its principle objective is to facilitate climate change community support
programs and initiatives. The constitution identifies Always There’s relevant activities are:
• Establish and maintain criteria to determine approved Australian climate change community support
programs and initiatives;
• Source donation funds from Australian corporations and philanthropists;
• Provide funding to approved Australian climate change community support programs and initiatives;
and
• Maintain day to day operations of the climate change community support and initiatives program.
Always There constitution states it retains each year’s funding surplus and cannot make an annual distribution
to either Support Ltd or Equal Bank Ltd.
The involvement with Always There is part of Equal Bank Ltd’s new corporate social responsibility objectives. It
is Equal Bank Ltd’s first not for profit investment and since this investment, market research has shown Equal
Bank Ltd’s transactions with ethical, climate change conscious investors and customers have significantly
increased. For Support Ltd, the Always There investment is part of its ongoing and well established support
program operations.
Always There’s Board of Directors has eight (8) members and one (1) chairman position. Four (4) member
positions are appointed and removed by Support Ltd. The other four (4) member positions are appointed and
removed by Equal Bank Ltd. The Board of Directors has the right to approve and change management decisions
concerning Always There’s relevant activities and make strategic decisions such as pursuing government grant
funding and cash support from lucrative international climate change initiates. The Always There Chairman is
appointed by Equal Bank Ltd’s Board of Directors members.
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As per the Support Ltd and Equal Bank Ltd Always There Shareholder Agreement dated 1 July 2022:
• Decisions do not require unanimous consent from Board of Directors members but require at least 50%
agreement among members;
• In the event of equal voting or a dispute resolution, the Always There Chairman has the final casting
vote; and
• The Chairman is also individually responsible for approving Always There’s annual budget and business
plan.
The Support Ltd and Equal Bank Ltd Always There Shareholder Agreement was in existence at all times during
the financial year ended 30 June 2023.
For the period 1 July 2022 to 30 June 2023, the following staff secondments to Always There occurred:
• 25% of the available time of one (1) Equal Bank Ltd Support Program Manager to assist with day to
day operational matters; and
• 20% of the available time of one (1) Support Ltd Senior Finance Manger to assist with setting up
donation procurement and reputable suppliers systems.
The seconded staff anticipated salary costs are included in the Operation costs payments account in the
following Always There’s Projected Operating Surplus/Deficit Budget for the year ended 30 June 2023. These
salary costs are on charged by Support Ltd and Equal Bank Ltd to Always There without any mark up.
30 June 2023
$
Donation receipts - Australian corporations 350,000
Donation receipts - Philanthropists 312,990
Community support payments (230,000)
Climate change initiative payments (310,000)
Operation cost payments (283,750)
Projected operating surplus/ (deficit) (160,760)
Due to Always There being a possible recipient of a large, internationally sourced grant in September 2023,
Chairman removal provisions will be considered.
Support Ltd and Equal Bank Ltd are both parent entities, prepare consolidated financial statements and have
adopted 30 June year-end balance dates. A 30% tax rate is to be applied.
2. Assignment Questions
Responses to the following questions will be considered on their ability to apply relevant AASB technical
requirements, present appropriate background information discussion and develop well argued responses. Do
not submit a series of dot points. Marks will be awarded for content as well as structure, and quality of the
communication.
You are not permitted to use artificial intelligence (AI) tools, such as ChatGPT, to generate any part of your
responses. AI tools cannot be relied upon to generate responses that will adequately address the requirements
of this assignment.
Part A, Part B and Part C responses must be in your own words and do not require extended essay format
responses.
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Part A (16 marks in total)
Required:
In relation to the Equal Bank Ltd investment in Always There, prepare a response that:
(a) develops a persuasive argument for the most appropriate classification of this investment in the Equal
Bank Ltd’s consolidated financial statements at 30 June 2023. Include relevant AASB technical
references, including all applicable appendixes, one (1) item of additional information that would further
develop your group’s argument and explain how it could influence the classification of the Always There
investment (10 marks); and
(b) explains the subsequent accounting treatment in Equal Bank Ltd’s consolidated financial statements
and, as a supporting example, describe the impact (anticipated amount and nature of change) on two
(2) specific account balances in the Equal Bank Ltd consolidated financial statements at 30 June 2023
(6 marks).
Part B (16 marks in total)
Required:
In relation to the Support Ltd investment in Always There, prepare a response that:
(a) develops a persuasive argument for the most appropriate classification of this investment in the Support
Ltd’s consolidated financial statements at 30 June 2023. Include relevant AASB technical references,
including all applicable appendixes, one (1) item of additional information that would further develop
your group’s argument and explain how it could influence the classification of the Always There
investment (10 marks); and
(b) explains the subsequent accounting treatment in Support Ltd’s consolidated financial statements and,
as a supporting example, describe the impact (anticipated amount and nature of change) on two (2)
specific account balances in the Support Ltd consolidated financial statements at 30 June 2023 (6
marks).
Part C (6 marks in total)
Think back to ACCT1006 and the reflection skills you learnt in that unit. As a reminder, look at the 5Rs
Framework for Reflection resources on Canvas under Modules/Group assignment.
Required:
Using the Reasoning criteria from the 5Rs Framework for Reflection
to explain how your group:
(a) developed its Part A (a) and Part B (a) persuasive arguments (2 marks);
(b) made the Part A (b) and Part B (b) accounting treatment professional judgments (2 marks); and
(c) experienced group reflective practices. Include details of challenge(s) your group experienced with
one (1) supporting example from your Part A and Part B responses (2 marks).
Group assignment total word limit is 1,800 words. This includes all footnotes, images and intext
references and excluding a reference list and any appendices.
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3. Assessment Criteria
The group assignment represents 20% of your total mark for ACCT3011 and is compulsory. To provide students
with feedback, group assignments will be graded against the assessment criteria and rubric included in
Appendix 1 to this assignment. Note the group assignment will be marked out of 40 marks and converted to a
mark that contributes to 20% of your total mark for ACCT3011.
Academic Honesty
As a student of the University, you are responsible for taking part in your education in an honest and authentic
manner. It is, therefore, expected that you take extra care to ensure that there are no breaches of academic
honesty. All assignments will be manually and electronically checked for plagiarism (copying). Any perceived
breaches of academic honesty will be referred to the Office of Educational Integrity for further investigation and
penalised if verified.
Students are reminded that all sources of support for the group assignment must be acknowledged and failure
to acknowledge such support may potentially breach the University’s academic honesty requirements. You
are not permitted to use artificial intelligence (AI) tools such as ChatGPT to generate any part of your responses.
Their undeclared use will be reported as a major breach of policy for investigation.
Each group member is expected to be involved in the preparation, drafting, proofing and checking of all aspects
of this group assignment including ensuring no breaches of academic honesty. Group members will be held
jointly responsible for the entire submission and awarded the same merit mark. In the event of a breach of
academic honesty the penalty could apply to all members irrespective of which member(s) caused the breach.
4. Group Assignment Plus Group Member Evaluation
The group assignment is to be completed in groups of three or four students, enrolled in the same tutorial
and be the same students as the presentation group. You can check which group you are enrolled in by
clicking the Groups link on the Global Navigation menu in Canvas.
In addition to submitting the group assignment, each group is required to complete the group member
evaluation.
The Group Member Evaluation is not included in the word limit for the group assignment.
Although the group member evaluation is not graded or weighted in the marking, non-completion could
result in a penalty of 20% of the maximum marks attainable.
In the event there are issues with group members not contributing to the group assignment, and reasonable
attempts have within the group to address these issues and have not been successful, then the coordinator
should be advised before the due date of 8 May 2023. Please note marks may be deducted for non-
contributing students.
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5. Formatting requirements
• The group assignment and the group work report are to be presented in 12 point font (either Times
New Roman or Arial) and paragraphs formatted with 1 or 1.5 line spacing and with margins not less
than 2.5cm.
• You are required to save and submit the group assignment as a Microsoft word file, using the
presentation number_cohort_tutorial number filename format. For example, if your group is
enrolled in the CC cohort, tutorial number 01 and allocated presentation 1 in this tutorial group, the
filename for the group assignment will be P1_CC_T01_assignment.doc.
• The presentation number, cohort and tutorial number and SID of all group members must be included
on the first page of the group assignment.
• The presentation number, cohort and tutorial number must appear in the header section of every page
for the group assignment.
• Your group assignment should not exceed 1,800 words including all intext referencing, footnotes
and images and excluding the reference list and any appendices. The word count is based on the word
count information as presented in Turnitin based on the Microsoft word document submitted and this
will be checked. It is each group’s responsibility to ensure the submitted Microsoft word document
through Turnitin does not exceed 1,800 words in total.
As a suggestion, you can use the following procedure to assist you to track the word count of the
Microsoft Word version of your assignment:
▪ Open your assignment Microsoft Word document.
▪ Use Ctrl+Shift+G to open the Word Count dialog box and insert a tick in the “Include textboxes,
footnotes and endnotes”. This function is also available under Review/Word Count.
• Your assignment must be appropriately and properly referenced using the American Psychological
Association referencing style (or APA as it is more commonly known). The University of Sydney library
provides helpful guidance on using APA style referencing.