Professional Documents
Culture Documents
NATIONAL UNIVERSITY
School Of Accounting
QUESTION PAPER
Instructions:
2.
3.
Write your ID Number on all the pages in your Special Answer Booklet that you use.
Question
Marks
25
Section B: Essay
15
20
40
Sections
TOTALIWEIGHT
100/50%
With reference to this statement, explain what is meant by "Reporting Entity" and how
it is relevant in thepuhlic sector.
(5 marks)
3. Govenunent Accounting Standards Board (GASB) has said that there are at least five
environmental differences between the public sector and private sector.
4. Differentiate between Payback method and Net Present value method for budget estimate
exercise in Fiji.
(S marks)
5. Fiji Government has decided to outsource the implementation of identified projects and
delivery of selected services to private and non-state actors. Early this year, Higgins Fiji was
contracted by the Fijian government to provide road maintenance in the Western Division of
Fiji.
SECTIONB _
ESSAY WRITING
(15 marks)
You are required to write an essay on the implication of the above statement with reference
to Water Authority of Fiji or any relevant organisation.
(15 marks)
Question: 2
The Confederation of Asian and Pacific Accountants (CAP A) is a Regional Organisation
representin.g national professional accounting organisations (P AOs) in Asia Pacific.
Over 1 million accountants are represented by these PAOs. The Confederation of Asian and
Pacific Accountants (CAPA) fully supports and encourages the convergence towards
International Public Sector Accounting Standards (IPSAS) by all member countries in the
Asia/Pacific region to assist in the improvement of public sector financial- management
You are required to write an essay on CAPA's goals and objectives in respect to
convergence towards IPSAS and how its goals and objectives associated with public sector
financial management in Fiji.
(15 marks)
SECTIONC
(20 marks)
Article 1: President appoints AG, Nasik Swami [Sunday - August 25,2013] - EXTRACT
THE office of the Auditor General established under the States Services Decree 2009 continues
in existence, states the new 2013 Constitution.
The Constitution states that the appointment of the Auditor-General is made by the President on
the advice of the Constitutional Offices Commission, following consultation with the Minister
for Finance. It states the President may, on the advice of the Constitutional Offices Commission,
appoint a person to act as Auditor-General during any period the office of the Auditor-General is
vacant or when the Auditor-General is absent from duty or from Fiji or is, for any reason, unable
to perform the functions of his office.
"At least once in every year, the Auditor-General shall inspect, audit and report to Parliament on
the public accounts of the state, the control of public money and public property of the State and
all transactions with or concerning the public money or public property of the State," the
Constitution states. ...........
.
Source: The Fiji Times Online, http://www.jijitimes.comlstory.aspx?id=243637
1. Explain the purpose of public sector audit. Why is this relevant to emerging economics
like Fiji Islands?
(3 marks)
2. Provide your inferences on the establishment of the office of the Auditor-General and the
reasons why our new constitution demands for its continuance? What purpose does an
audit report serve as an output of audit by such office?
(4 marks)
3. Explain the need for the following as per the new constitution:
"At least once in every year, the Auditor-General shall inspect, audit and report to
Parliament on the public accounts of the state, the control of public money and public
property of the State and all transactions with or concerning the public money or public
property of the State".
(3 marks)
Refer to the Article 2 given below and answer the questions thatfollow:
GOVERNMENT is committed to ensuring that high standards are maintained in the accounting
requires adherence to and the enforcement of standards; and it requires loyalty and commitment
Commodore Bainimarama then questioned why the Fiji Institute of Congress did not "see fit" to
invite the Fiji Independent Commission against Corruption at its three-day annual meeting in
Sigatoka.
"While you have a session this (yesterday) afternoon on Governance and Corruption FIA has not
seen it fit to invite FICAC. Instead you have the presence of the local Chapter of Transparency
"Indeed I wonder ifFIA has ever invited FICAC to any of your previous congress or seminars."
3. How does congress such as one mentioned above promote ethics for the accounting
profession as a whole?
(2 marks)
Below in an excerpt from the Fiji Institute of Accountants (FIA) submission towards the national
o.
STRUCTURAL REFORMS
6.1
effective services.
6.Z
Government Services
Accelerate E-Governance initiatives.
Overhaul as a matter of priority:
Registrar of Companies
Titles Office
laws of fiji - update all legislation with all amendments to-date. Public should
have easy access through internet to all laws of fiji with historical updates and
amendments.
You are required to answer the following with reference to the above excerpt:
1. The above suggested reforms were provided by FIA to the government in their
submissions back in year 2011 as well as the sanle for the year 2012. State two (2)
reasons why FIA would make such submissions.
(5 marks)
2. Should FIA be playing an active role in respect to public sector accounting reforms in
terms of providing more detailed suggestions in comparison with those above? Explain
your answer with two (2) examples.
(5 marks)
3. How, in your view, can the public sector reforms bring efficiency and effectiveness to the
government services? Justify your answer with two (2) examples.
(5 marks)
4. How would accountability be achieved through the audit report 111 respect to public
service and/or government service? Provide two (2) justifications.
(5 marks)
7
Case: 2 [20 marks]
The following are the assets and liabilities of Samabula Sports Club at 30th June 2011 :
Assets
Cash at bank
Subs due
Sports equipment
Stock of stationery
Furniture
Sports pavilion .
1700
108
240
40
600
2000
Liabilities
Subs in advance
288
Accumulated funds
An analysis of the treasurer's cash book reveals the following information in respect of the year
ended 30th June 2012.
Receipts
Subs:
Current year
Previous year
Next year
Sale of dance tickets
Sale of furniture (Cost $100)
1400
90
40
280
190
Payments
Wages - caretaker
Electricity
Purchase of sports equipment
Affiliation fees
Match expenses
Hire of hall for dance
Hire of band
Refreshments at dance
Purchase of investment
Stationery
800
48
100
30
44
130
64
32
1000
96
Additional Information:
a. Stock of stationery at 30th June 2012 $50
b. Repairs to pavilion invoiced but not paid $78
c. Hire of band unpaid at balance day $ 36
d. Depreciation on pavilion to be provided at 10% per annum on cost
e. Subscription in arrears $26
,
8
You are required to prepare the following:
1. SUbscriptions account
(4 marks)
2. Income and Expenditure Account
(8 marks)
3. Balance Sheet as at 30th June 2012
(8 marks)
End of Examination