Course Title: Manage budgets and forecasts

Part B: Course Detail

Teaching Period: Term1 2016

Course Code: ACCT5380C

Course Title: Manage budgets and forecasts

School: 650T Vocational Business Education

Campus: City Campus

Program: C5347 - Diploma of Accounting

Course Contact : Ben Sethia

Course Contact Phone: +61 3 9925 5982

Course Contact

Name and Contact Details of All Other Relevant Staff

Course coordinator - Meetu Aggarwal

Phone: 9925 1621

Nominal Hours: 40

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites


Course Description

This unit describes the skills and knowledge required to prepare, document and manage budgets and forecasts, and encompasses forecasting estimates and monitoring budgeted outcomes.

It applies to individuals who use specialised knowledge and analytical skills to prepare and manage strategic organisational information.

National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSACC503 Manage budgets and forecasts


3. Document budget

Performance Criteria:

3.1 Present data in format that is easily understood and appropriate to budget reporting
3.2 Complete reports within timelines and distribute for specified periods and projects
3.3 Identify trends, issues and comparisons and report in structured format to ensure transparency and validity of analysis
3.4 Identify feasibility by comparing projections with market growth and development


1. Prepare budget

Performance Criteria:

1.1 Clearly define cash, expenditure and revenue items and ensure relevance to identified objectives of budget
1.2 Ensure budget objectives are clear and consistent with organisational aims and projects
1.3 Conduct discussions and negotiations with stakeholders in manner that promotes understanding, goodwill and ongoing cooperation
1.4 Identify and include milestones and performance indicators in budgets to monitor financial performance and break down annual budgets into seasonal periods in accordance with operating trends


2. Forecast estimates

Performance Criteria:

2.1 Provide realistic, ethical and attainable estimates of future cash flow, costs and revenues, and support with verifiable evidence and source documentation
2.2 Identify relevant data for forecasts and anticipate changes in circumstances
2.3 Establish assumptions and parameters and review for accuracy, relevance and compliance with organisational procedures and policy
2.4 Identify financial risks and initiate protection strategies in accordance with organisational procedures and policy


4. Monitor budget outcomes

Performance Criteria:

4.1 Analyse budget variances in accordance with organisational procedures, and make recommendations based on analysis to client or designated person
4.2 Review budget processes and implement as required

Learning Outcomes

Details of Learning Activities


Primarily you will be learning on a face to face basis with the support of an online course site for dissemination of materials and some assessments. Students will be expected to attend four hours of class each week. Students will be introduced to the accounting theory, which will then be supported by practical lllustrations. Students will complete exercises to reinforce their understanding of the material. Solutions will be available on the learning hub.


Your learning experience will be a mix of face to face learning and online. Students will be expected to attend 12 two hour classes, 2 blackboard collaboration sessions and 2 sessions can be completed in their own time. Students will be expected to review the notes prior to coming to class. Each class then focus on a demonstration of the practical application of the theory ie case studies. Students will be expected to complete all the exercises in their own time. Solutions will be available on the learning hub.

Teaching Schedule

Induction Session

Prior to training commencement a program level induction session will be conducted that comprises the following:

  • Program overview and requirements
  • MyRMIT/Blackboard
  • Overview of assessment requirements
  • Pre-Training Review including:
    • Recognition of Prior Learning and Credit Transfers
    • Assessment of current skills and knowledge
  • Competency/Grading Criteria
  • Plagiarism
  • Appeals
  • Extensions
  • Feedback
  • Privacy
  • Submission requirements
  • Resubmission policy
  • Where to get support
  • Student responsibilities 

 FULL TIME STUDENTS- The Teaching Schedule for this course is as follows but please note that it is subject to change.

     Week Week CommencingTopics                                                             Assessment   
 1 08/02/16

 Introduction to course including course guide, RPLs and use of  Blackboard.

 Review of Cost concepts

 2 150/2/16 Budgets 
 3 22/02/16 Budgets 
 4 29/02/16 Budgets 
 5 07/03/16

 Test on budgets

 Variable costing

 In class Assessment 1
 6 14/03/16

 Variable costing

 Absorption Costing

 7 21/03/16

 Absorption costing

 Standard costing

 Assessment 2 Part 1
  25/03/16 - 01/04/2016 - Mid Semester Break 
 804/04/16 Standard costing 

 Standard costing

 Test on standard costing

 In class Assessment 3 Part 1
1018/04/16 ABC Costing 

 ABC Costing

 Cost Volume profit analysis

 Assessment 2 Part 2
 1202/05/16 Responsibility Accounting 
 1309/05/16 Responsibility Accounting Assessment 2 Part 3
 1416/05/16 Differential Accounting 

 Differential Accounting

 Test on Differential accounting and Responsibility accounting

 In class Assessment 3 Part 2
 1630/05/16 Reassessment week Assessment 2 interviews if deemed necessary

Students will have an Easter break from 25/03/2016 to 1/04/2016 and classes will resume from 4/04/2016.

The nominal hours associated with this are a guide only and represent the total teaching time and student effort required to successfully complete the course. This may include not only scheduled classes bit also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

PART TIME STUDENTS- The Teaching Schedule for this course is as follows but please note that it is subject to change.

108/02/2016Introduction to course including course guide, RPLs and use of Blackboard.

Review of Cost concepts

429/02/2016No class. Students will complete their budget exercises 
507/03/2016Budget TestAssessment 1
614/03/2016Variable costing and Absorption costing 
721/03/2016Blackboard collaborationAssessment 2 Part 1
 25/03/2016- 1/04/2016Mid semester break 
804/04/2016Standard costing 
911/04/2016Test on standard costingAssessment 3 Part 1
1018/04/2016ABC Costing 
1125/04/2016Responsibility AccountingAssessment 2 Part 2
1202/05/2016No class. Students will complete the topic CVP analysis in their own time 
1309/05/2016Differential accounting 
1416/05/2016Blackboard collaborationAssessment 2 Part 3
1523/05/2016Test on Differential accounting and Responsibility accountingAssessment 3 Part 2
1630/05/2016ReassessmentsAssessment 2 interviews if necessary

Learning Resources

Prescribed Texts

Management Accounting Principles and Applications (Hart and Wilson) 5th Edition


Other Resources

Relevant learning resources will be placed on the learning hub. Students will need to access the appropriate topic folders on this site, on a weekly basis and bring them to class. It will be expected that students will need to complete some weekly tasks in their own time.

Overview of Assessment

In order to achieve competency in this unit, you must provide:

Performance Evidence

Evidence of the ability to:

  • prepare, document and present budgets and forecasting estimates that:
    • accurately apply accounting principles and practices
    • follow organisational policy and procedures
    • monitor budget outcomes periodically 

Knowledge Evidence

To complete the unit requirements safely and effectively, the individual must:

  • discuss the key purpose and objective of budgets and forecasts, including relevance of milestones and key performance indicators
  • discuss issues relating to ethical considerations for budgetary forecasting and projections to explain the strength of assumptions and forecast reliabilities
  • describe types and sources of data and information required for budgeting and forecasting
  • outline a range of expenditure and revenue items relevant to budgeting and forecasting
  • compare and contrast forecasting techniques
  • identify the key features of organisational procedures and policy relevant to budgeting and forecasting
  • identify and explain the key principles and practices of:
    • accrual accounting
    • budgetary control
    • corporate governance
    • double-entry bookkeeping
    • statistical analysis and measures of variance

Assessment Conditions

Assessment must be conducted in a safe environment where evidence gathered where evidence gathered demonstrates consistent performance of typical activities experienced in the accounting field of work and include access to:

  • common office equipment, technology, software and consumables

You are advised that you are likely to be asked to personally demonstrate your assessment work to your teacher to ensure that the relevant competency standards are being met.


Feedback will be provided throughout the semester in class and/or online discussions.  You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.

You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course. 

Assessment Tasks

Overview of Assessment

This course is co-delivered and co-assessed with the following competencies:

ACCT5382C Provide Management Accounting Information

PLEASE ENSURE THAT YOU ARE ENROLLED IN BOTH COMPETENCIES, ACCT 5380C and ACCT5382C. Failure to enrol will mean you cannot finish your program in the current semester as your teacher will not be able to allocate a mark for a course you are not enrolled in.

Assessment Tasks

Students MUST complete all three assessment tasks and gain competency in an ALL sections.


It is a closed book in class individual test on the budgeting topic. Budgets may be for a retail, service or a manufacturing business.

ASSESSMENT 2 (Due Date: WEEK 7, 11 AND 13)

This is a progressive online assessment. Students will be required to complete 3 individual online sections across the semester. Students must achieve a grade of 100% for each part of the assessment to achieve competency. They will have an unlimited number of attempts to do each section. Students may be interviewed to verify their competency in any section of assessment 2. Students will be given an opportunity  to redo the assessment in week 16 in class if they did not complete in the original time frame.

Part 1: Students will demonstrate an understanding of Variable and Absorption Costing Techniques- To be completed in your own time.

Part 2: Students will demonstrate an understanding of ABC Costing techniques- To be completed in your own time.

Part 3: Students will demonstrate an understanding of CVP analysis- To be completed in your own time.

ASSESSMENT 3 (Due Date: WEEK 9 AND 15)

This is a two part individual test.

Part 1: This test will test the knowledge on standard costing. It will be an open book test.

Part 2: This section will test knowledge on Differential and Responsibility Accounting. This will be a closed book test. 

You must successfully complete all assessment tasks to achieve competency.

Assessment Matrix

Other Information

Submission Requirements

You should:

• Ensure that you submit assessments on or before the due date.
• Always retain a copy of your assessment tasks. (hard copy and soft copy)
• When you submit work for assessment at RMIT University you need to use a cover sheet that includes a declaration and statement of authorship. You must complete, sign and submit a cover sheet with all work you submit for assessment, whether individual or group work. On the cover sheet you declare that the work you are presenting for assessment is your own work. An assignment cover sheet for submission of each assessment task is available on blackboard.
• Each page of your assessment should include footer with your name, student number, the title of the assessment, unit code and title and page numbers. For example, Callie Harvey, 324567, Task 2, OHS2345C Ensure safe workplace, Page 1 of 10.

Late Submission Procedures

You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.

If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days. <check links are still current>

More Information:

Form to use:

Where an extension of greater than seven days is needed, you must apply for special consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination. <check links are still current>

More Information:;ID=g43abm17hc9w

Form to use:

Resubmissions (VET Programs):

If you are found to be unsuccessful in a Course Assessment Task you will be allowed one resubmission only. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. The highest grade you will receive if your resubmission is successful is “CAG”.

If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.

Adjustments to Assessment

In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website: <check link is still current>
More Information:;ID=7usdbki1fjf31

Marking Guide (Competency):

You must demonstrate that you have all the required skills/knowledge/elements in the unit of competency you are studying.

You will receive feedback on each assessment task that will inform you about your progress and how well you are performing.

Marking Guide (Grading)

After achieving competency we then grade your performance in the unit and you will achieve one of the following grades:

Final Grades table:

CHD Competent with High Distinction
CDI Competent with Distinction
CC Competent with Credit
CAG Competency Achieved – Graded
NYC Not Yet Competent
DNS Did Not Submit for assessment

Further information regarding the application of the grading criteria will be provided by your teacher.

Course Overview: Access Course Overview