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Evidence Guide: FNSORG501A - Develop and manage a budget

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

FNSORG501A - Develop and manage a budget

What evidence can you provide to prove your understanding of each of the following citeria?

Plan for and collect information for a budget

  1. Areas for which the budget is being prepared are determined and confirmed with appropriate personnel, and data required for development of the budget are identified, accessed and analysed
  2. Budget parameters are determined with estimates based on research, consultation and negotiating with appropriate personnel
  3. Relevant colleagues are provided with the opportunity to contribute to the budget planning process
Areas for which the budget is being prepared are determined and confirmed with appropriate personnel, and data required for development of the budget are identified, accessed and analysed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Budget parameters are determined with estimates based on research, consultation and negotiating with appropriate personnel

Completed
Date:

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Relevant colleagues are provided with the opportunity to contribute to the budget planning process

Completed
Date:

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Develop budget

  1. Budget is drafted based on analysis of all available information in accordance with organisation policy
  2. Income and expenditure estimates are identified and supported by reliable information and the draft budget circulated for comment
Budget is drafted based on analysis of all available information in accordance with organisation policy

Completed
Date:

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Income and expenditure estimates are identified and supported by reliable information and the draft budget circulated for comment

Completed
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Finalise budget and allocate resources

  1. Modifications to the budget are agreed and incorporated as required and a final budget provided to the appropriate personnel
  2. Personnel affected by the budget are informed and its application to the area in which they work in terms of limits and goals, financial management and reporting responsibilities clarified
  3. Priorities within the budget are agreed and resources allocated
Modifications to the budget are agreed and incorporated as required and a final budget provided to the appropriate personnel

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Personnel affected by the budget are informed and its application to the area in which they work in terms of limits and goals, financial management and reporting responsibilities clarified

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Priorities within the budget are agreed and resources allocated

Completed
Date:

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Monitor and control budget

  1. Actual income and expenditure are checked against budget at regular intervals with budget reports prepared and presented to appropriate personnel
  2. Deviations and response to the deviations are identified and appropriate action taken with appropriate personnel advised on budget status
Actual income and expenditure are checked against budget at regular intervals with budget reports prepared and presented to appropriate personnel

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Deviations and response to the deviations are identified and appropriate action taken with appropriate personnel advised on budget status

Completed
Date:

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Complete financial and statistical reports

  1. All required financial and statistical reports are completed accurately within designated timelines
  2. Recommendations about future financial planning are made as appropriate
  3. Reports are clearly presented and checked for accuracy and provided to appropriate personnel
All required financial and statistical reports are completed accurately within designated timelines

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Recommendations about future financial planning are made as appropriate

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Reports are clearly presented and checked for accuracy and provided to appropriate personnel

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the ability to:

collect and accurately interpret relevant data to develop a budget

consult effectively and negotiate outcomes with others on budgetary issues

accurately complete financial and statistical reports related to budgeting.

Context of and specific resources for assessment

Assessment must ensure:

competency is demonstrated in the context of the financial services work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment

access to and the use of a range of common office equipment, technology, software and consumables

access to an integrated financial software system and data.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:

evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency

verbal or written questioning on underpinning knowledge and skills

setting and reviewing business simulations or scenarios

evaluating samples of work

accessing and validating third party reports.

Guidance information for assessment

Required Skills and Knowledge

Required skills

well-developed communication skills to:

establish budget requirements, using questioning and active listening as required

liaise with others, share information, listen and understand

use language and concepts appropriate to cultural differences

research and analysis skills to access, interpret and manage budget information

problem solving skills to address budget development and management issues

judgement skills for forming recommendations in operational situations

numeracy and IT skills such as:

calculating budget data

accessing and using appropriate software such as accounting systems, spreadsheets and databases

literacy skills for:

reading and interpreting documentation from a variety of sources and recording, gathering and consolidating information

drafting reports and maintaining records

organisational skills, including the ability to plan and sequence work

Required knowledge

basic accounting and financial industry terminology

basic accounting techniques

budgeting techniques and tools

organisation and industry policies and procedures

Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Areas may include:

an entire organisation

section of an organisation

particular project or other activity.

Budget will normally:

refer to an expenditure budget but may also include:

an income budget

sales budget

resource allocation and use budget.

Data will include, but is not restricted to, information relating to:

business plans

historical data

human resource plans

sales and marketing plans.

Budget parameters include:

availability of finance

organisation policy and directives

sales forecasts

timelines.

Relevant colleagues include:

all stakeholders who may be expected to need to approve the budget and key stakeholders who will be required to implement the budget.

Income and expenditure includes:

monetary and financial income and expenditure but may also include:

resources

materials

products

people or hours.

Financial and statistical reports include:

reports which may be required for:

regulatory compliance

to meet organisation procedure and policy requirements

to give useful information to a relevant person.