Page 1 of 10APPENDIX GA36a LEVEL 4 ASSESSMENT SPECIFICATION Programme:BA Business Management (BABM)Module:Accounting FundamentalsModule code:LCBB4001Contribution toOverall ModuleAssessment (%):50%Lecturer:Dr. Widin Bongasu Sha’venInternal Verifier:Emad ElkhashenAssignment Title:Assignment- A1Word count (orequivalent):N/ASubmissiondeadline:To be announced by theAssessment teamPlease refer to the assessmentsschedule published onStudents’ Hall in MoodleReturn date ofprovisional marks& written feedback:After the ExamBoardSubmissionmethod:All written assessments, where practical and possible, must be submitted viaTurnitin unless otherwise instructed by the Lecturer. (Please DO NOT put thisassessment specification into Turnitin or it will match many similarities withother students’ submissions.)Alternative submission method (if applicable):Late submission of the assessment will result in a late penalty mark.Penalties for late submission: Up to one week late, maximum mark of 40%.Over one week late, 0%. Only the Extenuating Circumstances Panel mayapprove a change to submission dates.Academichonesty /referencing:Academic honesty is required. In the main body of your submission you mustgive credit to authors on whose research and ideas your work is based. Appendto your submission a reference list that indicates the books, articles, etc. thatyou have used, cited or quoted in order to complete this assessment. Page 2 of 10 Module Learning Outcomes(from module syllabus)Having successfully completed the module, you will be able to:• Discuss who might be the main users of financial statements and their needs• Understand the basic principles underlying financial statements• Recognise the measurement problems arising in financial accounting• Appreciate the significance of the choices of accounting policies• Interpret simple financial statements• Use a set of financial statements to value an organisation for investment purposes TASK DESCRIPTION PLEASE ANSWER ALL QUESTIONSQUESTION 1The following balances relate to Kedison PLC for the year ended 31st December 2020 £££1 ordinary shares310,00010% £1 preference shares300,0004% Debentures100,000Plant and equipment632,730Stock at 31st December 2020330,600Sales826,650Cost of sales578,650Debtors170,125Trade creditors171,355Cash and bank12,900Retained profits at 1st January 2020132,000Ordinary dividend paid20,000Preference dividend paid30,000Administrative expenses30,000Interest paid2,000Directors remuneration5,000Distribution costs28,0001,840,0051,840,005 The following information is relevant:1.Corporation tax for the year is estimated at £68,000. 2. Salesmen are owed commission of £3,000 in respect of December sales. It will be paid on 31st January 2021 andhas not been recorded in the ledger accounts yet.3. Goods valued at £980 were sent to customers on 31st December 2020. Payment is due on 28 February 2021.This has not been recorded in the ledger accounts yet.4. The preference shares should be included within equity.Required:a) Prepare a Profit and Loss statement for the year ended 31st December 2020 for Kedison PLC and a statementof financial position as at that date. [40 marks]b) Why does the statement of financial position balance? [10 marks]Page 3 of 10QUESTION 2Chocco plc is a long-established chocolate and confectionery manufacturer. All products are manufactured in the UK,but sales are made worldwide. It is a growing but competitive market. Given below are extracts from their financialstatements,Profit and Loss statement for the year ended 31st December 20202019£m£mRevenue6,7386,441Cost of sales(3,235)(3,096)Gross profit3,5033,345Distribution costs(437)(422)Marketing and selling costs(1,324)(1,274)Administrative expenses(937)(950)Operating profit805699Profit/loss on sale of fixed assets19(5)Investment income2226Interest payable(226)(181)Profit/(loss) before taxation620539Taxation(189)(173)Profit for the year431366 Statement of Financial Position as at 31st December 20202019Non- Current assets£m£mIntangible assets5,4855,809Property, plant and equipment1,6131,605Investments3353187,4337,732Current assetsInventory708659Trade receivables1,2491,287Investments145232Cash2011772,3032,355Total assets9,73610,087Current liabilitiesTrade payables(583)(655)Other creditors(1,928)(2,391)(2,511)(3,046)Non current liabilitiesLoans and other borrowings(4,137)(4,129)Net assets3,0882,912EquityOrdinary share capital (50p shares)300300Share premium1,0711,071Retained profits1,7171,5413,0882,912 Additional information:i. During 2020 a total dividend of £255m was paid (2019: £242m)ii. The average share price during 2020 was £5.12 (2019: £4.00).Page 4 of 10Required:a. Calculate the following ratios for Chocco plc for 2020 and 2019, showing the formulas and workings: 1-ROCE2-ROE3-Earnings per share4-Net profit margin5- Asset turnover6-Stock holding days7-Debtors collection period8-Current ratio9-Gearing ratio 10- Invertor cover[40 marks]b. Using the information in the financial statements and the ratios you have calculated, comment on the financialperformance and position of Chocco plc. [10 marks] GUIDANCE FOR STUDENTS IN THE COMPLETION OFTASKS NOTE: The guidance offered below is linked to the five generic assessment criteria overleaf.1. Engagement with Literature SkillsYour work must be informed and supported by scholarly material that is relevant to and focused on the task(s)set. You should provide evidence that you have accessed an appropriate range of sources, which may beacademic, governmental and industrial; these sources may include academic journal articles, textbooks,current news articles, organisational documents, and websites. You should consider the credibility of yoursources; academic journals are normally highly credible sources while websites require carefulconsideration/selection and should be used sparingly. Any sources you use should be current and up-todate, mostly published within the last five years or so, though seminal/important works in the field may beolder. You must provide evidence of your research/own reading throughout your work, using a suitablereferencing system, including in-text citations in the main body of your work and a reference list at the end ofyour work.Guidance specific to this assessment:2. Knowledge and Understanding SkillsAt level 4, you should be able to demonstrate knowledge of the underlying concepts and principles associatedwith your area(s) of study. Knowledge relates to the facts, information and skills you have acquired throughyour learning. You demonstrate your understanding by interpreting the meaning of the facts and information(knowledge). This means that you need to select and include in your work the concepts, techniques, models,theories, etc. appropriate to the task(s) set. You should be able to explain the theories, concepts, etc. toshow your understanding. Your mark/grade will also depend upon the extent to which you demonstrate yourknowledge and understanding.Guidance specific to this assessment:3. Cognitive and Intellectual SkillsYou should be able to present, evaluate and interpret qualitative and quantitative data, in order to developlines of argument and make sound judgements in accordance with basic theories and concepts of yoursubject(s) of study. You should be able to evaluate the appropriateness of different approaches to solvingproblems related to your area(s) of study and/or work. Your work must contain evidence of logical, analyticalthinking. For example, to examine and break information down into parts, make inferences, compile, compareand contrast information. This means not just describing what! But also justifying: Why? How? When? Who?Where? At what cost? You should provide justification for your arguments and judgements using evidencePage 5 of 10that you have reflected upon the ideas of others within the subject area and that you are able to make soundjudgements and arguments using data and concepts. Where relevant, alternative solutions andrecommendations may be proposed.Guidance specific to this assessment:4. Practical SkillsAt level 4, you should be able to apply the basic underlying concepts and principles to evaluate and interpretthese within the context of your area of study. You should be able to demonstrate how the subject-relatedconcepts and ideas relate to real world situations and/or a particular context. How do they work in practice?You will deploy models, methods, techniques, and/or theories, in that context, to assess current situations,perhaps to formulate plans or solutions to solve problems, or to create artefacts. This is likely to involve, forinstance, the use of real world artefacts, examples and cases, the application of a model within anorganisation and/or benchmarking one theory or organisation against others based on stated criteria.Guidance specific to this assessment:5. Transferable Skills for Life and Professional PracticeYour work must provide evidence of the qualities and transferable skills necessary for employment requiringthe exercise of some personal responsibility. This includes demonstrating: that you can communicate theresults of your study/work accurately and reliably, and with structured and coherent arguments; that you caninitiate and complete tasks and procedures, whether individually and/or collaboratively; fluency of expression;clarity and effectiveness in presentation and organisation. Work should be coherent and well-structured inpresentation and organisation.Guidance specific to this assessment:Page 6 of 10 STUDENT FEEDBACK FORM This section details the extent to which the assessment criteria are demonstrated by you, which in turn determines yourmark. The marks available for each category of skill are shown. Lecturers will use the space provided to comment onthe achievement of the task(s), including those areas in which you have performed well and areas that would benefitfrom development/improvement. Generic Assessment CriteriaMarksavailableMarksawarded1. Engagement with Literature Skills.2. Knowledge and Understanding Skills3. Cognitive and Intellectual Skills4. Practical Application Skills5. Transferable Skills for Life and Professional Practice Assessment Mark (Assessment marks are subject to ratification at theExam Board. These comments and marks are to give feedback on module workand are for guidance only until they are confirmed. )Late Submission Penalties (tick ifappropriate)%Up to 1 week late (40% Max)Over 1 week late (0%) GENERIC ASSESSMENT CRITERIA Level 4In accordance with the Framework for Higher Education Qualifications, at the end of Level 4 students will be expected to have demonstrated knowledge ofthe basic underlying concepts and principles of a subject, and an ability to evaluate and interpret these within the context of that area of study. They shouldbe able to present, evaluate and interpret qualitative and quantitative data in order to develop lines of argument and make sound judgements in accordancewith basic theories and concepts of their subject(s) of study. They will have learned how to evaluate different approaches to solving problems, and will beable to communicate the results of their study/work accurately and reliably, and with structured and coherent arguments. They will be able to undertake furthertraining and develop new skills within a structured and managed environment and will have the qualities and transferable skills necessary for employmentrequiring the exercise of some personal responsibility. Level 4FAILMARGINAL FAILSATISFACTORY(3rd / Pass)GOOD(2.2 / Pass)VERY GOOD(2.1 / Merit)EXCELLENT(1st / Distinction)EXCEPTIONAL(1st / Distinction)Category0-29%30-39%40-49%50-59%60-69%70-84%85-100%Engagementwith literature(includingreading,referencing,academicconventions andacademichonesty)Little or noevidence ofreading and/orreliance oninappropriatesources.Views andfindings mostlyunsupported andnonauthoritative.Referencingconventionsusedincoherently orlargely absent.Poorengagementwith essentialreading. Noevidence ofwider reading.Reliance oninappropriatesources, and/orindiscriminateuse of sources.Heavily relianton informationgained throughclass contact.Inconsistent andweak use ofreferencing.Engagementwith a limitedrange of mostlyrelevant andcredible sourcesbut with somereliance oninformationgained throughclass contact.Some omissionsand minorerrors.Referencingconventionsevident thoughnot alwaysappliedaccurately orconsistently.Engagementwith anappropriaterange ofliterature,includingsourcesretrievedindependently.Some overreliance on textsrather than othersources.Referencing mayshow minorinaccuracies orinconsistencies.Engagementwith a widerange ofliterature,includingsourcesretrievedindependently.Selection ofrelevant andcredible sources.Generally soundreferencing, withno/very fewinaccuracies orinconsistencies.Engagementwith anextensive rangeof relevant andcredibleliterature.Consistentlyaccurateapplication ofreferencing.Exceptionalengagementwith anextensive rangeof relevant andcredibleliterature. Highlevel referencingskillsconsistentlyapplied.Knowledgeandunderstanding(Knowledge of thebasic underlyingconcepts andMajor gaps inknowledge andunderstanding ofthe basicunderlyingconcepts andGaps inknowledge of thebasic underlyingconcepts andprinciples, withflawed orLimitedknowledge andunderstanding ofthe basicunderlyingconcepts andKnowledge ofthe basicunderlyingconcepts andprinciples isaccurate with aCompetentknowledge of thebasic underlyingconcepts andprinciples.Exhibits veryExcellentknowledge andunderstanding ofthe basicunderlyingconcepts andExceptional,detailedknowledge andunderstanding ofthe basicunderlying Level 4FAILMARGINAL FAILSATISFACTORY(3rd / Pass)GOOD(2.2 / Pass)VERY GOOD(2.1 / Merit)EXCELLENT(1st / Distinction)EXCEPTIONAL(1st / Distinction)Category0-29%30-39%40-49%50-59%60-69%70-84%85-100%principles of asubject.)principles of thesubject matter.Inclusion ofirrelevantmaterial.Substantialinaccuracies.superficialunderstanding.Some significantinaccuraciesand/or irrelevantmaterial.principles withinthe subject area.Some elementsmay be missing.goodunderstanding ofthe field of studybut lacks depthand/or breadth.goodunderstanding.principles of thesubject.concepts andprinciplesCognitive andintellectualskills(Evaluateunderlyingconcepts andprinciples of asubject andinterpretqualitative andquantitative datain order todevelop lines ofargument andmake soundjudgements.)Wholly or almostwhollydescriptive work.Little or noevaluation of theunderlyingconcepts andprinciples.Failure todeveloparguments,leading toillogical or invalidjudgements.Minimal or nouse ofevidence to backup views.Largelydescriptive work,with superficialevaluation of theunderlyingconcepts andprinciples. Weakinterpretation ofdata, flaweddevelopment ofarguments andjudgements.Informationaccepteduncritically, usesgeneralisedstatementsmade with scantevidence andunsubstantiatedopinions. Ideassometimesillogical andcontradictory.Limited attemptat evaluation ofthe underlyingconcepts andprinciples,tending towardsdescription.Can interpretqualitative andquantitative databut with someerrors. Someevidence tosupportemergingarguments andjudgements butthese may beunderdevelopedor with a littleinconsistency /misinterpretation.Good evaluationof the underlyingconcepts andprinciples. Caninterpretqualitative andquantitativedata, with minorerrors.An emergingability to useevidence tosupport theargument.Mostly validarguments andlogicaljudgements.Soundevaluation of theunderlyingconcepts andprinciples. Caninterpretqualitative andquantitative dataaccurately.Ability to devisearguments usingevidence tomake mostlyappropriate andvalidjudgements.Excellentevaluation of theunderlyingconcepts andprinciples. Caninterpretqualitative andquantitative dataaccurately andwith someinsight. Excellentability to devisearguments usingevidence andmakeappropriate andvalidjudgements.Exceptionalevaluation of theunderlyingconcepts andprinciples basedevidence.Outstandinginterpretation ofqualitative andquantitativedata.Exceptionalability to devisearguments usingevidence andmake whollyappropriate andvalidjudgements.Practical skills(Differentapproaches tosolving problemsin particularcontexts.)Limited or nouse of taught,basic methods,materials, toolsand/ortechniques.Little or noappreciation ofthe context ofthe application.Rudimentaryapplication oftaught, basicmethods,materials, toolsand/ortechniques butwithoutconsiderationandAn adequateawareness andmostlyappropriateapplication ofbasic methods,materials, toolsand/ortechniques.A good andappropriateapplication ofbasic methods,materials, toolsand/ortechniques.Clearappreciation ofA very goodapplication of arange of basicmethods,materials, toolsand/ortechniques.Very goodconsideration ofthe context ofAn advancedapplication of arange of taught,basic methods,materials, toolsand/ortechniques.The context ofthe application isExceptionallevels ofapplication anddeploymentskills inparticularpracticalcontexts.Outstandingidentification of Level 4FAILMARGINAL FAILSATISFACTORY(3rd / Pass)GOOD(2.2 / Pass)VERY GOOD(2.1 / Merit)EXCELLENT(1st / Distinction)EXCEPTIONAL(1st / Distinction)Category0-29%30-39%40-49%50-59%60-69%70-84%85-100%Very weakevidence ofdifferentapproaches toproblem-solvingin particularcontexts.competence.Flawedappreciation ofthe context ofthe application.Weak evidenceof differentapproaches toproblem-solvingin particularcontexts.Basicappreciation ofthe context ofthe application.Can identifyproblems inparticularcontexts andpropose basicalternativeapproaches orsolutions thoughthere may beerrors.the context ofthe application.Good evidenceof differentapproaches toproblem-solvingin particularcontexts andproposes mostlyappropriatesolutions.the application.Very goodevidence ofdifferentapproaches toproblem-solvingin particularcontexts andproposesappropriatesolutions.well considered,and insightful.Excellentevidence ofdifferentapproaches toproblem-solvingin particularcontexts andproposesappropriatesolutions.problems inparticularcontexts andformulation ofwhollyappropriate,thoughtfulsolutions /differentapproaches.Transferableskills for lifeandprofessionalpractice(Communicatethe results of theirstudy/workaccurately andreliably, and withstructured andcoherentarguments; thequalities neededfor employmentrequiring theexercise of somepersonalresponsibilitywithin a structuredand managedenvironment.)Work is poorlystructured,disorganised,inaccurateand/orconfusinglyexpressed. Veryweak use oflanguage and/orveryinappropriatestyle. Failure towork effectivelyindividual or aspart of a group.Little or noevidence of theskills foremploymentrequiring theexercise of somepersonalresponsibility.Work is poorlypresented in adisjointedmanner. It isloosely, and attimesincoherently,structured, withinformation andideas oftenpoorlyexpressed.Weak use oflanguage and/orinappropriatestyle. Flawedapproach toindividual orgroup work,meeting onlypartialobligations toothers. Limitedevidence of theskills foremploymentrequiring theMostly orderedpresentation andstructure inwhich relevantideas / conceptsare reasonablyexpressed. Workmay lackcoherenceand/or accuracyin places. Canwork as part of agroup, meetingmost obligationsto others butperhaps withlimitedinvolvement ingroup activities.Demonstratesthe basic skillsfor employmentrequiring theexercise of somepersonalresponsibility,with some areasMostly coherent,organised andaccurate work, ina suitablestructure and isfor the most partclearlyexpressed. Canwork effectivelyindependentlyand/or as part ofa team, withclearcontribution togroup activities.Demonstratesthe skills foremploymentrequiring theexercise of somepersonalresponsibility,with some areasof strength andsome of minorweakness.Work isaccurate,coherent, fluent,well-structuredand organised.Can workeffectivelyindependentlyand/or as part ofa team, with verygoodcontribution togroup activities.Demonstratesvery good skillsfor employmentrequiring theexercise of somepersonalresponsibility,with justoccasional minorweakness.Work iscoherent, veryfluent and ispresentedprofessionally.Can workeffectivelyindependentlyand/or as part ofa team, with anexcellentcontribution togroup activities.Demonstratesexcellent skillsfor employmentrequiring theexercise of somepersonalresponsibilitywith an appetitefor furtherdevelopment.Work isaccurate,exceptionallycoherent, veryfluent andpresented well.Can workeffectivelyindependentlyand/or as part ofa team, with anexceptionalcontribution togroup activities.Demonstratesexceptional skillsfor employmentrequiring theexercise of somepersonalresponsibilitywith an appetitefor furtherdevelopment. Level 4FAILMARGINAL FAILSATISFACTORY(3rd / Pass)GOOD(2.2 / Pass)VERY GOOD(2.1 / Merit)EXCELLENT(1st / Distinction)EXCEPTIONAL(1st / Distinction)Category0-29%30-39%40-49%50-59%60-69%70-84%85-100%exercise of somepersonalresponsibility.of minorweakness.
