Financial Services 2020 HSC exam pack (archive)

Students should:

• read the question carefully to ensure that they do not miss important components of the question
• have a clear understanding of key words in the question and recognise the intent of the question and its requirements
• engage with what the question is asking rather than presenting a pre-prepared response
• relate to the question throughout the response rather than just at the beginning
• demonstrate knowledge and understanding of the examinable units of competency from the syllabus
• communicate ideas and information using relevant workplace examples and industry terms
• be prepared to address a range of industry issues
• demonstrate knowledge of employability skills relevant to various situations
• include relevant annotations when including a diagram
• review their response to ensure that it addresses question requirements
• present a logical and cohesive response that answers the question.

Question 16(a)

In better responses, students were able to:

• state that double entry accounting refers to the entries made for transactions impacting TWO accounts, as per the accounting equation, meaning that there are equal debit and credit entries.

Areas for students to improve include:

• reviewing the meaning of double entry accounting and link to the accounting equation.

Question 16(b)

In better responses, students were able to:

• use correct terminology for relevant source documents
• link the use of source documents to hypothetical situations.

Areas for students to improve include:

• reviewing the use of source documents in financial services industry situations.

Question 16(c)

In better responses, students were able to:

• highlight the differences between the general and specialised journals without restating the words of the question
• correctly identify some of the four key specialised journals.

Areas for students to improve include:

• reviewing their understanding of journals and ledgers
• explaining the process of recording transactions using correct terminology.

Question 17(a)

In better responses, students were able to:

• use clear financial service industry examples linked to improvements in quality service.

Areas for students to improve include:

• reviewing characteristics of customer service that are specific to the industry.

Question 17(b)

In better responses, students were able to:

• use the correct terminology ‘conflict of interest’
• provide an overview of conflict of interest.

Areas for students to improve include:

• practising the use of terminology in appropriate situations.

Question 17(c)

In better responses, students were able to:

• understand that the strategies needed to be preventative in reducing harassment provide two detailed and distinctly different strategies, such as awareness training and implementation of policies and procedures.

Areas for students to improve include:

• understanding the distinction between strategies and solutions
• providing the detail as required by the key words in the question.

Question 18(a)

In better responses, students were able to:

• use correct terminology such as ‘regulations,’ ‘enforcing,’ ‘legislation’ and ‘compliance’
• recognise that Safe Work Australia is a national body.

Areas for students to improve include:

• ensuring their answer is specific to the question.

Question 18(b)

In better responses, students were able to:

• communicate how feedback received by an employee improves work performance
• use performance appraisal as a tool for performance management.

Areas for students to improve include:

• understanding features of performance management and linking each feature to improved business performance.

Question 19(a)

In better responses, students were able to:

• conduct correct journaling techniques to respond to the question
• use the table to record the debiting and crediting of accounts.

Areas for students to improve include:

• understanding the chart of accounts
• recognising that when purchasing ‘from’ a business, it is on credit.

Question 19(b)

In better responses, students were able to:

• construct a correctly formatted bank reconciliation
• understand the link between the bank balance and the ledger balance.

Areas for students to improve include:

• understanding the bank reconciliation process
• reviewing the relationship between credit and debit bank balances and how they link with the bank ledger.

Question 19(c)

In better responses, students were able to:

• correctly identify assets, liabilities, owner’s equity, expense and revenue accounts
• correctly calculate the profit
• correctly calculate creditors
• construct a classified balance sheet.

Areas for students to improve include:

• demonstrating an understanding of the chart of accounts
• reviewing the process of preparing a balance sheet, understanding the need to calculate the net profit for the balance sheet.

In better responses, students were able to:

• show the link between using policies and procedures developed by the business to meet legislative and regulatory compliance
• link the use of clear communication to inform employees of policies and procedures through team meetings and induction
• understand the difference between policy and procedure
• use industry examples
• refer to legislation specifically relating to the finance industry (Privacy Act 1988, Money Laundering Act 2006, Fraud Act 2006, Banking Act 1959) not only Work Health and Safety Act 2012, and anti-discrimination laws
• present a cohesive and logical response.

Areas for students to improve include:

• developing a deeper understanding of financial legislation and accounting standards and the effect on policy and procedures
• referring to industry examples.

Question 21(a)

In better responses, students were able to:

• follow the process to dispose of an asset
• use a disposal account
• correctly calculate the gain/loss from the sale of an asset.

Areas for students to improve include:

• understanding of the accounting process.

Question 21(b)

In better responses, students were able to:

• communicate the importance of accuracy and follow up procedures, for example, revising credit terms, when dealing with debtors
• understand the process of recording accounts receivables.

Areas for students to improve include:

• understanding the processes and reasons for managing accounts receivables.

Question 21(c)

In better responses, students were able to:

• show full working
• include additional accounts for balance day adjustments
• write off bad debts prior to increasing the allowance for doubtful debts.

Areas for students to improve include:

• showing the entire process of balance day adjustments in the development of the trial balance.

Question 22(a)

In better responses, students were able to:

• show detailed knowledge of standard procedures in an agency, both soft and hard copy collection and storage of information.

Areas for students to improve include:

• understanding the standard procedures within an agency.

Question 22(b)

In better responses, students were able to:

• communicate a clear understanding of relevant discrepancies
• communicate knowledge of balancing cash holdings beyond petty cash.

Areas for students to improve include:

• demonstrating an understanding of cash balancing procedures in an agency.

Question 22(c)

In better responses, students were able to:

• show that the general store is an independent business entity from the financial services institution and acts as the representative
• provide comprehensive reasons with relevant industry examples, such as providing training.

Areas for students to improve include:

• developing a deeper understanding of the concept of agency
• increasing detail in their response.