Question

$7,500 is spent by the company on an Association membership. The company would like to recoup this membership fee. Prepare an analysis of how much revenue is needed to net $7,500 in profit which would offset the membership cost.

Answer 1

All of the above functions should be followed to Offset the Costs

• Invoice groups/members promptly for rentals (e.g. building, equipment, uniforms).

• Recommend investment strategies for surplus funds.

• Manage the club’s investment programs.

• Negotiate with banks for overdraft facilities, mortgages and other loan facilities where required by the management committee or board.

• Handle payrolls and income tax payments for employees if applicable.

• Regularly file business activity statements (including GST) with the relevant authorities, where applicable.

• Acquit funds received from government grants and submit the necessary financial statements.

• Prepare all necessary financial statements for inclusion in the annual report.

• If incorporated, ensure annual returns and audited financial statements are filed with the relevant government department as required by the Associations Incorporation Act.