govt infleunces

Question 1

what is the role of govt

Answer 1

the role of the govt is to develop rules/policies and implement corporate legislation

establish govt bodies that ensure businesses act within the law

Question 2

what are the two govt infleunces

Answer 2

ASIC - Australian securities and investment commission

company taxation

Question 3

what is the role of ASIC

Answer 3

to enforce and administer legalisation particularly the Corporate Act 2001 (Cth)

investigate fraud and other unfair practices

Question 4

what does the Corporations Act 2001 (Cth) regulate

Answer 4

The Corporations Act 2001 (Cth) regulates corporations’ markets and the provision of finance services to ensure investors and consumers are protected from Fuad

Question 5

what are the penalties for fraud or unfair practices

Answer 5

monetary penalties or imprisonment as well as reputation

Question 6

what is the taxation flat rate

Answer 6

27.5%

Question 7

why is taxation influence on a business’s finances

Answer 7

it is an influence because it reduces the expected returns (profits) of a business

Question 8

what must a business ensure is up to date?

Answer 8

financial records

Question 9

why must a financial records be maintained, up to date and accurate

Answer 9

because if profits are overstated, excess taxes are paid, leaving less profits while understating profits leds to tax evasion which can have serious penalities