OVERVIEW OF QUANG DUNG CONSTRUCTION CO., LTD
Introduction to Quang Dung Company c2 1 1211111011111 1101111121111011 1111 11x kg 1 2 Overview of Company’s historical activities .c.cccccccsseseesscseeseesesecssesecevsecsessessesertsesenss 1 3 Mission, Vision, Core Value and Business Model Canvas .00 ccccccccccccccerecesersceverteueccees 2 xa '.ằ A.A ậơAỏnD
- Full name: Quang Dung Construction Company Limited
- Representative: Mr Dao Anh Dung
- Headquarters: Thanh Non Village, Thanh Son Commune, Kim Bang District, Ha Nam Province, Vietnam
- Company’s website: https://masothue.com/0700245774-cong-ty-tnhh-xay-dung- quang-dung
2 Overview of Company’s historical activities
Quang Dung is a construction company established on March 18", 2007 With clear capacity and orientation, Quang Dung quickly affirmed its own position in the local construction industry in general and in the field of construction of small and medium projects The company is also gradually encroaching into the field of construction of large projects As of 2023, Quang Dung has participated in 105 bidding packages, of which 54 packages have been won, 2 packages have failed, 49 packages have not received results, 0 bidding packages have been canceled Since then, it has become one of the leading construction companies in Ha Nam and gradually expanded its business scope to neighboring provinces
During 16 years of development (from 2007 - now), Quang Dung always tries to make efforts with the high goal of building solid, spacious and aesthetically pleasing buildings, especially the ones used for educational purposes such as schools and academies.
3 Mission, Vision, Core Value and Business Model Canvas a Mission
Since its establishment, Quang Dung Company has defined its mission as "Creating quality works in terms of both structure and aesthetics with minimal cost" Grasping the basic requirements and unique characteristics of each type of construction in each locality, Quang Dung always tries to create works with its own characteristics Keeping close contact between architects and customers 1s necessary so that the project can both maximize the capabilities of the architects and satisfy the wishes of the customer In addition, the company is also constantly looking for sources of building materials with good quality and reasonable costs for long-term business and strict inspection at the stage of importing raw materials - materials to avoid damage , false claim to eat the difference b Vision
By 2022, Quang Dung Company is gradually striving to "Become a leading construction company in Ha Nam" The company always strives to win bids in bidding activities and constantly expands its customer network:
@ Quang Dung Company has won 51.4% of the bidding package participated and after handing over the project, the company always keeps close contact with customers to promptly handle problems arising in the process of using the works That has helped Quang Dung company retain old customers and earn more new construction contracts thanks to the confirmed reputation from longtime partners
@ Besides, the company always focuses on bringing its own culture, so that employees always feel happy, comfortable and full of themselves at work
@ And finally, Quang Dung wishes to bring sustainable benefits to partners, organizations, individuals and collectives and will make practical contributions to society. c Core value
Quang Dung has 6 core values, that are always towards the rights of customers and employees in the company
@ Focus on the quality and quantity of the work
Continuous innovation d Business model canvas
* Individuals and groups wishing to construct and install works ¢ Agencies and departments of Ha Nam province and other provinces
* Manufacturers of equipment and construction materials ¢ Engineering community
KEY ACTIVITIES s Design s Conceptualization and execution of construction projects © Infrastructure development
* Support from departments of Ha Nam province and other provinces
* Values (Gratitude Perseverance and determination}
* Corporate Philosophy: Treating employees tolerantly so that the whole enterprise and society can be better off
* Cost of machinery and materials
* Compensation ¢ Environmental impact relief costs
* Distribution and transport e Registered business lines
1 Building a house to live in
* Awards and certifications ® Account management
* From volume-driven to quality-focus + From people-oriented management to process- driven management system
* Reputable bidding and construction websites
Construction of water supply and drainage works
Construction of telecommunications and communication works Construction of other public works Ð ew ND YM FS
11 Construction of processing and manufacturing works
13 Installation of water supply, drainage, heating and air conditioning systems
14 Agents, brokers, auctions of goods
15 Wholesale of metals and metal ores
16 Wholesale of materials and other installation equipment in construction
Potential competitors: Potential competitors are businesses that are not currently in the industry but have the ability to jump into business activities in the industry in which Quang Dung company is operating New entrants in the industry can be a factor in reducing the profitability of the business as they introduce new production capacities and desire to capture a share of the market Therefore, like other companies operating in the field of construction investment and trade, Quang Dung company must also find ways to limit potential competitors from jumping into its business
Direct competitors: Because Quang Dung company conducts two business forms in parallel, namely construction investment and trading in building materials, direct competitors are also more competitive, in terms of construction and installation of industrial, traffic, bridge and road projects can be listed as: Delco Investment and Construction Joint Stock Company (branch), DAKON Trading and Construction Company Limited, Investment Jomt Stock Company And Bac
Ha Development, Vietnam Technology Equipment Joint Stock Company, 820
Traffic Construction Company, Ha Nam Construction Company, Duc Anh Joint Stock Company
> According to experts, the construction speed increased quite high
> Inthe construction industry, fixed costs are very large, so it is difficult to withdraw from the industry
Thereby, it can be said that the intensity of competition in the construction industry is very large
Analysis of direct competitors: Analyze your competitors’ strengths and weaknesses
> Strengths: Employing cheap, highly disciplined labor force, receiving tax incentives from the state, and having advantages in some types of machinery and equipment
> Weaknesses: Inexperience in construction because new to the industry, lack of some equipment such as: drilling and blasting, tunneling and especially lack of reputation, in experience in construction of industrial, traffic, bridge works As well as the relationship with the building materials market, that is a big drawback
Advantages of Quang Dung Construction Co., Ltd compared to competitors Quang Dung's previous strengths are high-quality and on-schedule projects, ensuring labor safety, and a strong brand name This makes the selling price of investors very good when cooperating with Quang Dung
Price advantage: Quang Dung Company chooses partners to supply materials and tools very strictly and will cooperate for a long time with qualified customers in terms of price and quality That helps the company to always offer very competitive prices compared to its competitors thanks to its good relationship with suppliers
The company continues to focus on diversifying technology and technology, can take on any project, continue to engage in new industries while successfully completing existing industries
The company is committed to a sustainable future and green building solutions, providing solutions to reduce carbon in buildings in the market's preference for green products and policies on savings energy of government. e Improve service quality, make customers feel convenient and comfortable While some contractors often do not supervise or are not responsible for technical problems arising during the use of the works after handing over, Quang Dung regularly updates customers' feedback on the project and have reasonable solutions when problems arise.
Characteristics of Quang Dung's working capIfaẽL - c 2t 1 1211 11011 11x, 6 6 Business results of Quang Dung company In the period 2020-2022 cv 9
As known, capital is an extremely important factor to conduct business and it is also a premise for businesses to survive, develop and stand firm in the market mechanism The effective use of capital requires managers to have certain financial and accounting capabilities, so that the new capital can truly promote its effectiveness At Quang Dung Construction Co., Ltd., a company established and operating for 16 years with the main activity of trading in construction materials, construction of industrial, traffic, bridges and roads is required flexible and rational use of business capital is always the top concern of the board of directors and managers
Year | Total capital Fixed capital Working capital
Unit: VND Value Density Value Density
Source: Finance — Accounting Department lable 1: Company's capital structure
With the characteristic of being a limited liability company with 2 members, the company's business capital 1s additionally invested from the following sources: ¢ Owner's investment capital ® Loans from banks and credit institutions © Capital construction investment
Analysis of the company's capital position shows:
Working capital accounts for a larger proportion in the capital structure, because the company's business characteristics are in the field of trading, commodity auctions, materials and tools In 2020, the capital structure is as follows: accounting for 69.3% of the capital ratio, the working capital is estimated at nearly 69 billion VND, the rest is fixed capital over 30 billion VND, accounting for 30.7% By 2022, there has been a rebalancing of the capital structure but still retaining the characteristic that working capital accounts for the majority with 59%, equivalent to 89 billion VND, working capital 41% reaches nearly 62 billion VND
Fixed capital is used to invest to cover the company's operations, including: buildings, machinery and equipment, means of transport, management equipment and other assets
Sources of loans from banks and credit institutions should be closely monitored, based on loan interest rates to ensure that they are not under pressure from interest payments The source of share capital surplus is concentrated for company shares, participating in the stock market, which is a form of annual capital increase In addition, this capital is also deducted a small part of the annual capital for development investment brand for the company
With the above capital structure, we can see that Quang Dung company has the ability to be flexible in terms of business capital because the company's working capital accounts for a large proportion This is also one of the favorable conditions for operations The company's business is more efficient.
Source: Finance — Accounting Department lable 2: Company's capital in 2020, 2021, 2022
Looking at the analysis of capital sources and use of capital, we can generalize as follows:
In 2021; Capital source and use of capital increased by 113,307,234,455 VND, an increase of 13.95% compared to 2020 If we take a closer look at the sustainability and stability, we can see that in this period, the Covid-19 epidemic has a negative impact The strongest impact on Vietnam's economy causes investors to withdraw or stop their investment projects This situation has a significant impact on the company's activities, which are directly related to construction and production and trading of goods In order to get customers, the company has expanded its sales by various forms, including credit sales to entice customers Therefore, long-term debt accounting for 13.06% of capital is acceptable In addition, liabilities and short-term liabilities have decreased compared to 2020, this is probably a reasonable investment due to the nature of the industry and the Company But equity increased significantly Thus, using equity, long-term debt and a part of short-term debt to finance fixed assets and long-term investments To finance accounts receivable, the majority of current liabilities, other current assets, and inventory must be used to cover the customer portion The solution for businesses is to increase the recovery of receivables from customers and increase equity
In 2022: Capital source and use of capital is VND 150,786,332,112, an increase of 33.08% compared to 2020 In which, capital use increase is mainly equity and short-term debt Equity increase is relative high, the absolute level is
VND24,491,422,331 with a relative increase of 53.29% compared to 2021 To finance these amounts, it is necessary to use receivables from customers, short- term debts and other debts to finance these accounts aid
This is a good sign that the company's equity is increasing Therefore, the company's ability to maintain and operate is guaranteed and follows the business model that defines "limited 2 members" The company is less governed and under pressure for capital than companies forced to switch to the “commercial share" model
6 Business results of Quang Dung company in the period 2020-2022
Source: Finance — Accounting Department lable 3: Business results of the Quang Dung company in 2020, 202], 2022
From the company's business results table, we can see:
The company's revenue increased continuously over the years The increased profit helps the company to invest more in purchasing equipment and training to improve the skills of employees From there, it helps to expand the production scale and develop the company to grow stronger In addition, the company also contributes a large amount of CIT This is an obligation and also a responsibility of the company to the state
Thus, we can see that Quang Dung Construction Co., Ltd is a company operating mainly in the field of road construction, ctvil works and trading in building materials Quang Dung Company has departments with separate functions, modern equipment, a young workforce that can meet production needs and capital with high autonomy From the physical condition and the sense of responsibility, the dedication of the staff can help the company grow stronger
OVERVIEW OF QUANG DUNG COMPANY’S BUSINESS OPERATION ơ——
The Organization structure, Function, and Duties of Departimer . ¿5s s52 11 L KA I0 on nan
HUMAN RESOUCES ACCOUNTING TECHNICAL BUSINESS
Figure 1: Organizational structure of the management apparatus at the company
The Board of Directors is the legal representative of the company and is responsible for operating and supervising all activities of the company, building high-level relationships with customers, partners and organizations offices and departments
@ Technical Department (Construction Steering Committee)
The task of the technical department is to assume the prime responsibility for setting up the quality management plan of the work and to develop the labor safety plan in construction and submit it to the company's board of directors for approval to organize the implementation In addition, this department also represents the company in working relationships with investors and supervision consultants to promptly solve arising problems and chair meetings to urge inspection parts and subcontractors comply with the contract, according to the design, on schedule At the same time, check and confirm the volume and quality of the work as a basis
11 for payment to the construction department and the investor, and the use of construction materials in accordance with the requirements in the construction drawings and work conditions
The finance and accounting department is responsible for performing financial work, managing assets, making payments and finalizing contracts, operating expenses, making monthly financial revenue and expenditure plans and submitting them to the director for approval serve as a basis for implementation and implementation of revenue and expenditure tasks, check the spending of capital amounts, use of materials, monitor and compare debts, directly implement financial and accounting regimes and policies accounting, statistics, management of financial revenue and expenditure of the company, preparation of financial statements, tax reports according to the current financial regulations of the State, which honestly reflect the results of operations of the company
In addition, it is also responsible for analyzing the financial situation, balancing capital sources, debts in the company and reporting periodically or irregularly at the request of the Board of Directors In addition, he also presides over working with tax authorities, audits, financial inspectors, prepares medium and short-term loan documents for the Bank, plans and regulates capital mobilization from other sources to serve the needs of customers production, trade and service activities, assume the prime responsibility for transactions with credit institutions, periodically inspect accounting work, implement policies, regulations, financial revenue and expenditure discipline, capital accounting and other assets throughout the company in order to comply with accounting standards
The Human Resources Department is assigned the task of building an operating apparatus suitable to the general development situation of the enterprise, organizing training on occupational safety in construction at construction sites for all employees staff, acting as the focal point in elaborating documents regulating the functions and tasks of units, departments and divisions The task of the human resources department is to manage, update and supplement records, resumes and social insurance books of officials and employees and labor contracts, and implement policies and regimes for employees employees: salary increase,
1.2 insurance regimes, sick leave, maternity leave , perform administrative work, synthesize documents, store, manage and use seals
The sales department is responsible for finding new customers for the Company, building relationships with customers and business partners, monitoring the business situation of the whole Company, reviewing and agreeing to cooperate with other business partners partners, control and track suppliers who are cooperating with the Company, check the costs in the Company's business problems, track sales of goods, resolve customer complaints, report monthly business situation to the Board of Directors and propose business strategies, control, monitor and urge customers’ debt
Functions of finance and accounting department
The Accounting Department at Quang Dung Company is responsible for collecting costs for each item, each project, and monitoring over many accounting periods When the work is completed, the accountant must also calculate the cost for each specific project The output materials used must be in accordance with the estimated norms Allocating costs to works must correspond to the time and value of the works Deduct the construction warranty provision into the cost and record the warranty expenses, if any In addition, the state documents related to compensation land prices must be updated
The tasks that the Finance - Accounting Department need to do:
Check the implementation of the norms of material costs, labor costs, costs of using construction machines and other estimated costs, timely detect differences compared with norms, expenses costs other than the plan, damages, loss, damage, ete
Check the implementation of the cost plan, work items of each type of product, propose the possibility and measures to reduce costs in a reasonable and effective way
Correctly identify and hand over the completed construction volume for timely payment Periodically inventory and evaluate the unfinished construction volume according to the prescribed principles
Make reports on production costs, calculate construction costs, provide accurate and timely information about production costs and costs to serve management requirements of the Director
Making financial statements and internal reports for management
Organize, store and manage accounting records and documents in a scientific manner Do other jobs, as assigned by leaders
Works to note of accountants:
>ằ According to the project: The cost is incurred only once, not repeated
> Detailed cost: A work is often divided into many items, bidding packages, and sub works The cost calculation can be calculated according to the detailed cost and ageregated to the cost of the parent project
> Usually lasts for a long time, lasts for years
Cost aggregation: Aggregate costs by project
Cost factors: Raw materials, labor costs, general costs, construction machine costs, subcontractor costs, outsourcing costs
Materials: Usually imported and exported directly to the project (usually less through the warehouse) Materials can also be moved between buildings The costs of labor, construction machinery, subcontractors, general costs, outsourced costs: Depending on the specific work incurred, these costs may be specific to the project or allocated to the works The allocation is usually based on the cost of raw materials
Bank loan interest: Most construction companies will generate bank loans to serve construction These loans will be granted to construction teams in the form of project advances Some units need to monitor this loan interest according to the construction team
Work estimate table: When the contractor executes the work, an estimate table will be generated for the work and often a comparison report between the estimated cost and the actual cost is required
Determining profit and loss: Allocating selling and administrative expenses by project to determine business results by project
14 e External — province tax: Construction projects outside the province will incur a temporary tax
1.3 Structure of finance and accounting department
Payment Payroll Fixed Asset Treasurer Stocker Accounting Accounting Accounting
Figure 2: Organizational structure of the finance and accounting department at the company
The function of each part
The chief accountant is responsible for advising the Board of Directors to organize and direct the implementation of all accounting, statistical, information and accounting work according to the current management mechanism; Organizing and operating the company's accounting apparatus, taking main responsibility for the company’s financial accounting, making short-term and long-term financial plans to serve business needs, monitoring and checking the financial situation of the company financial receipts and expenditures at the company
In addition, the chief accountant is also responsible for assigning tasks to subordinates, checking, urging and reminding employees to complete assigned tasks, proposing, checking, commenting and evaluating employees, advising , advise the leadership on finance of the whole company, implement the provisions of the law on accounting, perform other tasks assigned by the company's leaders
The general accountant's task is to perform the tasks assigned by the head of the department, to be responsible for comparing data, checking the reasonableness and validity of output invoices as well as expense invoices, entering numbers data, debts, invoices into the accounting software immediately after issuing invoices to customers to ensure complete, fast and accurate data
ACCOUNTING ACTIVITIES AT QUANG DUNG COMPANY
Accounts Receivable ACCOUNTING ccc ccc cesesscssesecsevsecsessessesecssesessessessessessessessessaenaes 23 4 Accounting VAT is deducted cc cccccccccseseessctecscssesscesesessecsecsessecssssessssescsssssesaesnesseees 25 5, ACCOUNTING tOOIS 0 6 “ :11ŸÝsẦỐ
Receivables need to be accounted for in detail for each receivable object, according to each receivable content, detailed monitoring of short-term receivables, long-term receivables and recordings for each payment
Receivables are customers who have economic relations with the enterprise in purchasing products, goods, receiving services, including fixed assets, investment real estate In the relationship of selling products, goods and providing services according to the agreement between the enterprise and the customer, if the delivered products, goods or services are not in accordance with the agreement in the economic contract, the Buyers can ask the business to reduce the sale price or return the delivered goods Detailed accounting needs to classify debts: Debts that can be paid on time, bad debts or uncollectible as a basis for determining provision for bad debts or taking measures to deal with debts uncollectible receivables
Sales of products, goods, investment properties, fixed assets, provision of cash collection services (cash, check or collected via bank) are not recorded in this account
3.1 Used vouchers e VAT invoice, payment request form, debt clearing record, debt reconciliation record, debt confirmation, warehouse receipt ¢ Receipt slip, payment slip, credit note
3.2 Used accounting book ¢ General journal entry
23 ® Account details book 131 - Receivables from customers
3.3.1 On January 2”, 2015, the construction volume of Block B, floor 12, 4S Linh Dong project according to contract 093 (January 2", 2015) has the unit price: VND 988,137,111, the selling price excluding tax: VND 1,434,949.453, on January 22 2015 VAT 10%
Cr 33311: VND 143,494,945 e Attached documents: Ex-warehousing slip No 20150102001, VAT invoice No
0000093 e Attached book: Account detail book 131, General journal entry
3.3.2 On Feburary 6",2015, selling plaster ceiling according to contract 171 block B 4S Linh Dong, unit price: VND 15,187,108, selling price excluding tax: VND 15,946,172, VAT 10%
Cr 33311: VND 1,594,617 ® Attached documents: VAT invoice number 0000171 e Attached book: Account detail book 131, General journal entry
3.3.3 Collect payment for the construction of Block B workers on January 12",
2015 in the amount of VND 2,100,000,000
Cr 1312 V0640: VND 2,100,000,000 ¢ Attached documents: Notice with number 20150114010 e Attached book: Account detail book 131, General journal entry
3.3.4 Construction and installation of water supply and drainage system Phase 7 (10%) block B of 4S Linh Dong project according to contract
07/HDKT/2013 dated September 10", 2013 (Decision 132 dated January
13, 2015) with unit price: VND 363,636,364, selling price excluding tax: VND 372,727,273, VAT 10%
Cr 33311: 37,272,727 VND e Attached documents: VAT invoice number 0000132 e Attached book: Account detail book 131, General journal entry
3.3.5 Collecting steel money by deposit on March 30", 2015 amount VND 2,400,000, 000
Cr 1312 V0624: VND 2,400,000,000 ® Attached documents: Notice with number 20150330005 e Attached book: Account detail book 131, General journal entry
The deductible VAT input is the VAT of goods and services used for production, business and services subject to VAT
Input VAT is equal to the Total VAT stated on the VAT invoice for the purchase of goods and services (including fixed assets) used for the production and trading of goods and services subject to VAT
4.1 Used vouchers © VAT bill ® VAT declaration
4.2 Used accounting book e List of goods and services purchased e List of goods and services sold
4.3 Some transactions arise at the company
4.3.1 Payment for the lst installment of supply & installation of block fireproof steel doors according to contract 215 dated January 2™, 2015 with the amount (including 10% VAT) is VND 246.909, 080
Cr 3314 V0707: VND 246.909,080 e Attached documents: Warehouse receipt No 20150102001 e Attached book: Account detail book 133, General journal entry
4.3.2 Purchased block B bricks under contract 71029 dated January 3", 2015 with the amount (including 10% VAT) of VND 49,297,030
Cr 3314 V0375: VND 49,297,030 e Attached documents: Warehouse receipt No 20150130002 e Attached book: Account detail book 133, General journal entry
4.3.3 On January 6°, 2015, the input VAT was adjusted to increase deductible because the contract was paid on December 24", 2014 in the amount of VND 45,000,000
Cr 1381: VND 45,000,000 VND e Attached documents: Accounting slip No 2015010600 e Attached book: Account detail book 133, General journal entry
Accounting tools and instruments are documents that participate in the operation, production and business process of an enterprise but are not eligible to be recorded as fixed assets
5.1 Used vouchers ® VAT invoice, warehouse receipt, delivery note ® List of tools and tools
26 ¢ General journal entry ¢ Account details book 153 — Tools, tools
5.3 Some transactions arise at the company
5.3.1 On January 6", 2015, purchased plywood with film covered with block A under contract 3584 with VAT-exclusive price of VND 101,818,182, VAT1O%
Cr 3314 V0688: 112.000.000 VND e Attached documents: Accounting slip No 20150360003 e Attached book: Account 153 detail book, General journal entry
5.3.2 On January 31", 2015, construction & installation of block A scaffolding under contract 28 (January 16", 2015) and 29 (January 30", 2015) with the amount of VND 4,541,197,000
Cr 1531: 4,541,197,000 VND ® Attached documents: Ex-warehousing slip No 20150131001, VAT invoice No.028, VAT invoice No 029, payment authorization e Attached book: Account 153 detail book, General journal entry
5.3.3 On March 5",2015, payment for construction & installation of block A scaffolding under the contract of 30 VAT-exclusive price is VND
Cr 3314 V0735: 1,358,624,190 VND e Attached documents: Accounting slip No 20150305001 e Attached book: Account 153 detail book, General journal entry
Fixed Asset ACCOUNUNG 7a e Ả
This account is used to record the current value and the increase or decrease of all fixed assets of the enterprise at cost
27 ¢ Economic contracts, minutes of delivery and receipt of fixed assets, minutes of re-evaluation of fixed assets, amortization tables, VAT invoices e Accounting bill
6.2 Used accounting books ¢ General journal entry ¢ Account details book 211 - Tangible fixed assets ¢ Account details book 214 — Depreciation of fixed assets
6.3 Some transactions arise at the company
6.3.1 On Feburary 4", 2015, payment for the purchase of 2 cage hoist under the contract 573 price excluding tax is VND 84,000,000, 10% VAT
Cr 3314 V0299: VND 924,000,000 ® Attached documents: Accounting slip No 20150204001 e Attached books: Detailed book of account 211, Worksheet and amortization of fixed assets, General journal entry
6.3.2 On February 5°, 2015, payment for the purchase of 1 cage hoist under contract 574 with the amount of VND 500,000,000, 10% VAT
Cr 3314 V0299: VND 550,000,000 e Attached documents: Accounting slip No 20150205001 e Attached books: Detailed book of account 211, Worksheet and amortization of fixed assets, General journal entry
6.3.3 On January 31°, 2015, depreciation of fixed assets in the production department amounted to VND 63,191,017, from the cash management department amounted to VND 2,671,689
Cr 2143: VND 2,671,689 e Attached documents: Accounting slip e Attached book: Account detail book 214, General journal entry
Accounts Payable Accounting - ok: 2121111 1011211 1121111012111111 1011110111111 01111 11kg Hy 29 8 Commodlify acCOUnInE ác 1 2t 1 9111 1911111011111 1501111101115 012111 118111117 1 1 111 xe 30 9 Accounting for short-term ẽOaTS ó1: 201211211 112111 1121111111111 1101111101 011111111111 re 31 10 Accounting for taxes and sfate payabl€s ác 12v 2 191111101111 1012011 121110112 trey 32
This account is used to record the payment status of the enterprise's payable debts to the sellers of materials, goods and service providers under signed economic contracts 7.1 Used vouchers ® VAT invoice, warehouse release note, economic contract ® Payment slip, payment authorization
7.2 Used accounting book ¢ General journal entry ® Account details book 331 — Debts payable to sellers
7.3 Some transactions arise at the company
7.3.1 On January 9", 2015, payment for cement purchase under contract number
1983 with the amount including 10% VAT is VND 14,400,000
Cr 1111: VND 14,400,000 e Attached documents: Payment slip No 20150119001, VAT invoice
No.0001983 ® Attached book: 331 account details book, General journal entry
7.3.2 Payment for the 2 cage hoist according to the contract 573 dated February 4", 2015 excluding tax is VND 84,000,000, 10% VAT
Cr 3314 V0299: VND 92,400,000 e Attached documents: Accounting slip No 20150204001 ® Attached book: 331 account details book, General journal entry
7.3.3 On Feburary 9", 2015, bought block A building bricks under contract 40 with tax-exclusive price of VND 260,183,625, 10% VAT:
Attached documents: Warehouse receipt No 20150209004 , VAT invoice No
040, Minutes of acceptance of quantity, proposal for 6th installment payment, payment authorization
Attached book: 331 account details book, General journal entry
Reflects the current value and the increase or decrease of the enterprise's goods, including goods in warehouses, stalls, and real estate goods Goods are materials and products purchased by enterprises for the purpose of selling (wholesale and retail) In case the purchased goods are used both for sale and for production and business without clearly distinguishing between the two purposes of resale or use, they will still be recorded in account 156 “Goods”
VAT invoices, economic contracts, warehouse receipts, delivery notes Payment slip, Receipt slip
Some transactions arise at the company
8.3.1 On January 30", 2015, purchased block A steel under contract 4865 with tax-exclusive price VND 1,447,800,175, 10% VAT
Attached documents: Warehouse receipt No 20150130001, VAT invoice No.0004865, delivery note, payment authorization
Attached book: Account details book 156, General journal entry
8.3.2, On January 31", 2015, buy concrete block A under contract 1139 with price excluding tax VND 615,643,182, VAT 10%
30 ¢ Attached documents: Warehouse receipt No 20150131002, VAT invoice No
0001139, payment authorization, volume comparison minutes e Attached book: Account detail book 156, General journal entry
8.3.3, On January 31", 2015, imported block A construction sand under contract
751 with tax-exclusive price of VND 30,545,454, VAT 10%
Cr 3314 _V0295: VND 33,599,999 ¢ Attached documents: Warehouse receipt No 20150131003, VAT invoice No
0000751, payment authorization, volume comparison record e Attached book: Account details book 156, General journal entry
9 Accounting for short-term loans
Accountants of short-term loans must track in detail the borrowed amount, loan interest, paid loan amount (principal and interest), and the remaining amount to be paid to the borrower
9.1 Used vouchers ¢ Loan application letter, credit contract © Money receipt, payment slip, payment authorization, payment card
9.2 Used accounting books ¢ General journal entry ® Account details book 311 — Short-term loan
9.3 Some transactions arise at the company
9.3.1 On January 9", 2015, payment of steel for construction of 4S2 apartment building under contract 4242 with the amount of VND 500,000,000
Cr 3111: VND 500,000,000 e Attached documents: Accounting slip No 2015010900 e Attached book: Account details book 311, General journal entry
9.3.2 On January 12", 2015, the principal is collected under KU 34201 with the amount of VND 2,100,000,000
Cr 112124 BIDV-BPT: VND 2,100,000,000 ® Attached documents: Debit note No 20150112012 e Attached book: Account details book 311, General journal entry
9.3.3 On March 26", 2015, payment for installation of kitchen cabinets and wardrobes in the program of 4S Linh Dong apartment building contract
Cr 3111: VND 60,000,000 e Attached documents: Accounting slip No 20150326001 e Attached book: Account details book 311, General journal entry
10 Accounting for taxes and state payables
This account is used to record the relationship between the enterprise and the State regarding taxes, fees, charges and other payable, paid and payable amounts to the State Budget in the annual accounting period Enterprises proactively calculate, determine and declare tax, fee, fee and other payable amounts to the State according to law; Timely reflect in accounting books the amount of tax payable, paid, deducted, refunded
Indirect taxes such as VAT (whether by deduction or direct method), excise tax, export tax, environmental protection tax and other indirect taxes are essentially third party collection Therefore, indirect taxes are excluded from gross revenue figures in the Financial Statements or other reports
For taxes that are refunded or reduced, accountants must clearly distinguish whether the tax refunded or reduced is the tax paid at the purchase stage or payable at the sale stage The accountant must open a detailed book to track each tax, fee, fee and other payable, paid and payable amounts
10.1 Used vouchers e Tax return, tax payment receipt, VAT invoice ® Payment slip, payment authorization
10.2 Used accounting books ¢ General journal entry
32 ¢ Account details book 333 — Taxes and taxes payable to the State
10.3 Some transactions arise at the company
10.3.1.On February 6", 2015, gypsum ceiling sold under contract 171 block B 4S Linh Dong, unit price: VND 15,187,108, selling price excluding tax: VND 15,946,172, VAT 10% Not yet collected
Cr 33311: VND 1,594,617 ® Attached documents: VAT invoice number 0000171 e Attached book: Account detail book 333, General journal entry
10.3.2.0On January 13", 2015, construction and installation of water supply and drainage system Phase 7 (10%) block B of 4S Linh Dong project under contract 07/HDKT/2013 (contract 132) with unit price: VND 363,636,364, selling price without tax: VND 372, 772,273, VAT 10 Not yet collected
Cr 33311: VND 37,272,727 e Attached documents: VAT invoice number 0000132 e Attached book: Account detail book 333, General journal entry
10.3.3 VAT payment January 2015 on February 26", 2015 amount is VND 194,355,734
Cr 112124 BIDV-BPT: VND 194,355,734 e Attached book: Account detail book 333, General journal entry
THE RESULT OF THE INTERNSHIP 022 2H re 34 1 The Achievement During The Internship Period ác c2 1 22 2111 re reg 34 2 The Collecting Experiences During Internship Time .- - 5c 5 5: S22 2xx sxes 34 3 Limitations ofthe Accounting Department at Quang Dung Company
Measures to overcome the limitations of the Finance - Accounting Department at Quang
¢ Study the contract and note when winning the bid
Accountants need to carefully study the construction contract of the investment partner to understand issues such as construction duration, work value, warranty policy, payment method, etc
When signing a successful contract, accountants also need to pay attention to cost estimates, work items, unit price analysis, labor performance, ¢ Know how to break down the estimated cost
Accountants need to know the disaggregated costs to accurately calculate the estimated cost for each item Detail:
> Materials: Dissect each item in detail to build a plan to get supplies
> Manpower: Direct dissection to accurately calculate the number of workers serving the project
> Other costs: Thorough calculation of service costs for the project, asset depreciation
Accountants need to pay attention to enter materials scientifically by using accounting software The materials in which warehouse are tracked in that warehouse, which
35 customer's debt is tracked by that customer It should be noted that every project must have an export receipt and a delivery record as a basis for calculating the cost of the project ¢ Pay attention to getting input invoices
The job characteristics of this industry are always in contact and work with regular bills Accountants need to prepare to get input invoices of raw materials and invoices of other types of expenses in order to issue invoices more accurately and conveniently in the future acceptance work
The receipt of the invoice should be based on the calculation table and the accountant must take the cost equal to or higher than the estimated invoice If it is found that the settlement stage has a high difference, the accountant should take the input costs out of the list of cost sources so that the statistics table is properly balanced © Set up timesheet, clear salary calculation
Accountants need to build payroll for employees A company will take on many projects at the same time Therefore, accountants should set up a clear timesheet and salary calculation for each separate project to facilitate tracking as well as closing salaries and bonuses after the works are accepted © Accurate acceptance of construction works
When the work is completed, the accountant needs to check and accept it and send it to the business leadership In case the customer has not paid, the accountant must also issue an invoice to perform the tax declaration task All data in the invoice such as the minutes of confirmation of volume, construction time, payment records, as-built completion, as-built drawings, technical and economic reports, need to be reported accurately by you
Based on this report, the competent authority will check and decide whether the work 1s of quality and technical to be put in or not
1 Circular 200, Circular 200/2014/TT-BTC dated December 22, 2014 of the Ministry of Finance
2 Standard No 02 — Inventories, “Vietnamese Accounting Standards” dated 15/05/2016