This (summative) assignment tests your understanding of the architecture of financial statements, the differences between cash and profit as they relate to key accounting concepts and conventions, and your understanding of, and engagement with uncertainty in the measurement of value. Specifically, the assignment tests the following intended learning outcomes:
L1. Understand the architecture of financial statements and interpret performance via financial ratio analysis;
L2. Understand the differences between cash and profit, fixed and variable costs and direct and indirect cost categories;
L3. Interpret cash budgets, income statements and balance sheets to represent value;
L4. Interrogate cash flow statements for business signals;
L5. Understand how key international accounting standards influence the recording of value;
L17. Prompt dialogue by synthesizing and challenging planning, cost and sales assumptions, and
L20. Apply subject knowledge within the workplace; be able to respond appropriately to changing circumstances and situations.
You have a maximum of 2,500 words to complete the assignment, and you should determine the length of your answers to individual question segments broadly in accordance with the marking schedule accompanying each question. You are allowed to go above this by a maximum of 10%.
Some questions ask you to relate key accounting concepts and conventions to your own organisation. Should you not currently work in an organisation, you should select one you have previously worked at, or one with which you are familiar.
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 Question 1
International accounting standards set out the requirement and recognition criteria for what is included within the statement of financial position, and the statement of profit and loss and other comprehensive income. Through an analysis and application of underlying accounting standards in your organisation, critically discuss examples of transactions and events that are not included within these statements. [30 marks]
Question 2
You are asked to undertake a financial ratio analysis of your chosen
organisation. You should follow the conventions outlined at the virtual workshops to undertake this analysis and present the results visually, in no more than three figures/graphs. [30 marks]
Further guidance:
▪ If you provide more than three visuals, only the first three will be considered.
▪ You are not required to provide your calculations for the ratios you choose to represent financial performance.
▪ The choice of ratios, duration, and reference base are all choices you should make. No individual guidance will be extended for this part of the question since the assignment tests your ability to undertake financial ratio analysis.
▪ You can choose to undertake the analysis on the entire organisation or a sub-set of it (e.g., business unit, geography etc.) depending on data availability and other criteria unique to your organisation, and your role in it.
▪ The question restricts the presentation to three visuals, and it your choice how you choose to populate this space.
▪ Nowhere in this question do you need to provide an interpretation of performance through your chosen ratios.
Question 3
Critically analyse your organisations approach to supporting uncertain decisions.
[40 marks]

You should undertake this analysis set against each of the four rhetorical principles
underpinning Quattrone’s governance framework for approaching uncertainty as
described in ‘Governing Social Orders’ (2015) to critique / defend its approach. The
analysis must also reflect on ways in which you and your organisation engage with,
and profit from uncertainty