Accounting For Business Performance At Lien Minh Technical Service And Mechanical Company Limited.pdf

GRADUATION THESIS THE ACCOUTING ACCOUNTING FOR BUSINESS PERFORMANCE AT LIEN MINH TECHNICAL SERVICE AND MECHANICAL COMPANY LIMITED INSTRUCTOR: PHAM HIEU, MBA... MINISTRY OF EDUCATION AN

9 T-chart of account 911 - “Income summary”

Reason for choosing the topic

Currently, with the world economy in general and Vietnam in particular constantly innovating and developing, there are quite a few businesses being born However, as economic integration deepens, the rule of elimination becomes increasingly clear, and competition in the economic market becomes stronger According to the General Statistics Office, in the first six months of 2023, there are

31 thousand businesses waiting for dissolution procedures (an increase of 28.9% over the same period last year) and 8.8 thousand enterprises have completed dissolution procedures (up 2.8%) On the contrary, there were 75.9 thousand newly registered businesses (down 0.5%), nearly 37.7 thousand businesses returned to operation, down 7.4% In addition, the World Bank forecasts that global GDP will decline significantly, in 2022, world GDP will be 3.1% and it will decrease to 2.1% in 2023 Therefore, improving business operations to survive and develop strongly is something businesses are facing, optimizing profits and minimizing costs is considered as a good solution to help do business more effective

Accounting for revenue, costs and determining business results can help managers understand the business situation of the enterprise, come up with specific business strategies, and make estimates revenue to bring more profits to the business According to Master Nguyen Thi Sam, “Estimating revenue and costs is extremely important for administrators in providing systematic and well-founded information for the entire business plan Estimating service business revenue is the foundation for making other business estimates, so it requires businesses to have solutions to capture consumer needs and tastes, combined with capacity activities to plan and estimate revenue and service business expenses to closely match the market situation.”

In addition, revenue and cost accounting and determining business results also them to conduct appraisals and evaluate the financial situation of the business, thereby making a decision on how much to lend and how long to borrow

Recognizing the significance of financial accountability in business operations, the author has meticulously selected "Accounting for Business Performance at Lien Minh Technical Service and Mechanical Company Limited" as the central theme of their graduation thesis This meticulous research delves into the essential accounting practices that drive business success, offering valuable insights into the financial management strategies employed by Lien Minh.

Research objectives

This project is carried out with the following objectives:

‑ General understanding of information, accounting system and current accounting regime of Lien Minh Technical Service and Mechanical Company Limited

‑ Overview of the theoretical basis of revenue and expenses accounting and determining business results

‑ Learn accounting work on revenue, expenses and determine the company's business results

‑ Evaluate the current status of accounting work, offer solutions to complete and improve the company's accounting system.

Research methods

To complete this report, the author used the following research methods:

‑ Interview method: Talk directly with accountants to better understand revenue and expenses accounting, determine the company's business results

‑ Data collection method: Collect data from original books and documents on revenue, expenses and determine the company's business results

‑ Observation method: Observe working methods through accountants

‑ Document research method: Research documents collected from the company's Accounting department.

Subject and scope of research

Research object: Revenue and expenses accounting and determining business results at Lien Minh Technical Service and Mechanical Company Limited

‑ Research time: From April 2023 to June 2023

‑ Research space: Research at Lien Minh Technical Service and Mechanical Company Limited.

Structure of the report

In addition to the introduction and conclusion, the report includes 4 chapters:

‑ Chapter 1: General introduction about Lien Minh Technical Service and Mechanical Company Limited

‑ Chapter 2: Theoretical basis for revenue and expenses accounting and determining business results

‑ Chapter 3: Status of revenue and expenses accounting and determining business results at Lien Minh Technical Service and Mechanical Company Limited

GENERAL INTRODUCTION ABOUT LIEN MINH TECHNICAL

General introduction about Lien Minh Technical Service and Mechanical

Lien Minh Technical Service and Mechanical Co., Ltd registered for the first Enterprise Registration Certificate on February 4, 2015, issued by the Department of Planning and Investment of Ho Chi Minh City (Appendix 01)

‑ Company name: Lien Minh Technical Service and Mechanical Company Limited

Image 1 1 Lien Minh Company’s logo

‑ Legal representative: Mr Nguyen Ngoc Tan

‑ Charter capital: 10,000,000,000 VND (In words: Ten billion VND)

‑ Type of company: LLC with two or more members

‑ Main business lines: Manufacturing other specialized machines

‑ Head office address: 61 Tran Thi Dieu, Quarter 2, Phuoc Long B Ward, Thu Duc City, Ho Chi Minh City

‑ Factory address: 48/14 Le Thi Hoa, Binh Chieu Ward, Thu Duc City, Ho Chi Minh City

The company's customers: Mondelez Kinh Do Viet Nam Joint Stock Company, KIDO Corporation, Ajinomoto Co., Inc., Masan Group Corporation,

Image 1 2 Mondelez Kinh Do Viet

The company's partners: Bizerba SE & Co KG, KUKA, Atlas Copco Vietnam Co., Ltd,

Image 1 7 Atlas Copco Vietnam Co., Ltd

Some outstanding products of the company: spiral conveyor, bottle picking robot, hot glue labeling machine, Corilis filling machine,

Image 1 8 Spiral conveyor Image 1 9 Robot picks up stacking crates

Image 1 10 PU - PVC belt conveyor

1.1.2 Company formation and development process

With human resources with nearly 20 years of experience working in the field of machinery, equipment, and automation at large manufacturing companies in Vietnam, Lien Minh Technical Service and Mechanical Co., Ltd was established on February 4, 2015, according to Enterprise Registration Certificate No 03131226931

Lien Minh provides solutions for automatic packaging and filling solutions, robotic palletizing systems, and smart warehouses; providing electrical machinery components and mechanical equipment; providing conveyor systems for transporting raw materials and products; designs and manufactures high specification labeling machines, high quality labeling equipment and has a variety of standard and special purpose machines

From its humble beginnings with the establishment of its initial workshop in 2019, Lien Minh has expanded significantly The company inaugurated a spacious office and a 1,500m2 manufacturing workshop in 2020 In September 2023, Lien Minh further expanded its operations by opening a new office and assembly workshop, boosting its workshop space in Thu Duc to an impressive 6,000m2 This expansion demonstrates the company's remarkable growth and commitment to providing exceptional services to its clients.

Image 1 11 Office and workshop in Thu Duc

(Source: Company’s website) foundation of the company

‑ Create many values and benefits for customers and give each member of the company a full material and spiritual life

1.1.3 Functions, tasks, and fields of activity

Lien Minh Technical Service and Mechanical Co., Ltd is a unit specializing in providing automation solutions in product filling and packaging lines, such as filling systems, packaging systems, and control systems inspection, carton packing machine, goods loading robot In addition, the company designs and manufactures industrial machinery and equipment; cooperate in production, trade, and services with many domestic and foreign partners

With the goal of serving the production and machinery processing needs of domestic and foreign businesses, Lien Minh is proud to bring high quality products and services, meeting all customer requirements

- Manufacturing other specialized machines except manufacturing and assembling household air conditioners (with capacity of 38,000 BTU 1 or less) using R22 refrigerant

- Repair of machinery and equipment except mechanical processing, waste recycling, electroplating

- Installation of machinery and industrial equipment

- Wholesale of industrial machinery, equipment, and spare parts

The company's management apparatus

Diagram 1 1 Organization chart of Lien Minh Technical Service and Mechanical

1.2.2 Functions and tasks of each department

Board of Manager: Is the legal representative and has the highest authority of the company Additionally, he is the person who monitors and operates Lien Minh's daily business, and directly communicates and signs contracts with customers and suppliers

Technical Department: Responsible for the design of machinery and equipment according to the agreements between Lien Minh and customers, construction, and installation stages to complete the complete product

Production Department: Directly participates in the production of machinery and equipment according to drawings and plans of the technical department

Sales Department: Is the department that advises superiors and coordinates with other departments to increase sales, helping Lien Minh grow At the same time, monitoring, controlling and reporting the status of projects help the company easily manage and discuss further with partners if necessary Come up with plans to develop

Statistics and periodic financial reports to superiors.

The company's accounting apparatus

Diagram 1 2 Accounting chart of Lien Minh Technical Service and Mechanical

1.3.2 Functions and tasks of each section

Head of Accountant Department: Is the person who helps the director to organize the accounting apparatus, subject to professional inspection, general monitoring, and planning for the financial year, and directs all statistical and accounting information included reviewing documents, checking accounting records, and promptly adjusting accounting errors At the same time, the chief accountant must be responsible for providing data, documents, and records when there is inspection work from state agencies and must explain if requested

General Accounting: Responsible for synthesizing accounting, preparing receipt and payment voucher, managing revenue and expenses, determining business results, preparing financial reports

As a Liabilities Accountant, the primary responsibility lies in managing accounts receivable and payable This entails maintaining meticulous tracking lists for both, ensuring prompt collection of receivables and timely payment of payables Through diligent planning and execution, the Liabilities Accountant formulates revenue and expenditure strategies to facilitate debt repayment and sales collection, effectively resolving outstanding financial obligations.

Warehouse Accountant: monitors the management of import and export of materials warehouse, purchase materials according to request for supplies from departments, prepare necessary documents to make payment requests (quotation, request letter for supplies, request letter for payment, etc.)

1.3.3 Accounting regime applied at the company

Lien Minh Technical Service and Mechanical Co., Ltd is applying the accounting regime according to Circular No 133/2016/TT-BTC

- Currency unit: Vietnam Dong (VND)

- Accounting year: starting from January 1 to December 31

- Declare value added tax according to the deduction method

- Accounting for inventory using the perpetual inventory

- Calculate ex-warehousing prices using the average method at the end of the period

- Depreciate fixed assets using the straight-line method

Lien Minh Technical Service and Mechanical Co., Ltd is currently using General Journal and MISA accounting software The software has many modules such as purchasing, sales, invoice management, salaries, funds, taxes, etc., making all financial management activities of the company easier, monitoring the situation finance, prepare reports quickly and accurately

Image 1 12 The company's MISA software interface

Enter data daily Print books and reports at the end of the month, quarter, and year Compare and check

Diagram 1 3 Accounting book recording order

Accounting software (MISA) cvcv Computer Accounting voucher

Summary table of accounting documents of the same type

Every day, original documents are transferred from the warehouse office to the accounting department to conduct analysis and bookkeeping to relevant accounts Because Lien Minh uses MISA accounting software, every time an accounting transaction arises, it will be updated on the computer With pre-set formulas, the program will automatically transfer the relevant accounting entry to the related ledger

At the end of the month, quarter, and year, accountant will close entry and prepare financial reports, check, and compare accounting books and financial reports

Chapter 1 provides an overview of the history of formation and fields of operation of Lien Minh Technical Service and Mechanical Co., Ltd.Besides, chapter 1 also introduces the detail about the organizational system, functions, and duties of the departments in the company, especially the functions and duties of accounting department, the accounting regimes, policies, forms, and accounting software applied at the company.And understand the difficulties, challenges and the process of forming and developing into what it is today.

THEORETICAL BASIC FOR REVENUE AND EXPENSES

General issues of revenue and expenses accounting and determining business

Pursuant to Article 56 of Circular 133/2016/TT-BTC stipulates “Revenue is the economic benefit obtained that increases the equity of the enterprise minus the additional capital contributed by shareholders”

Revenue does not include third party collections such as:

- The amount of money the sales agent collects on behalf of the goods owner

- Surcharges and fees collected in addition to the selling price are not entitled to be enjoyed by the business

“Revenue is recognized at the time the transaction arises, when it is certain that economic benefits will be obtained and is determined according to the fair value of the amounts entitled to receive, regardless of whether money has been collected or will be collected”

The timing and grounds for recording revenue differ between accounting and taxation Accounting revenue adheres to accounting principles and is recorded in accounting books, while taxable revenue is used to calculate taxes according to regulations This distinction is crucial for businesses to understand as it ensures compliance with both accounting standards and tax laws.

Revenue is recorded as revenue of the reporting period Accounts reflecting

According to Vietnamese Accounting Standards, Standard No 1 defines expenses as “the total value of items that reduce economic benefits during the accounting period in the form of cash outlays, asset deductions or discoveries generating debts leads to a decrease in equity, excluding distributions to shareholders or owners.”

Expenses include production, business, and other expenses:

- “Production and business expenses incurred during the normal business operations of the enterprise, such as: cost of goods sold, selling expenses, business management expenses, loan interest expenses, and expenses related to activities for other parties to use assets that generate income, royalties, etc These expenses arise in the form of cash and cash equivalents, inventory, depreciation of machinery and equipment”

- Other expenses such as liquidation expenses, fines due to contract violations, sale of fixed assets,

Pursuant to Article 59 of Circular 133/2016/TT-BTC, “expenses are recognized at the time the transaction arises or when there is a relatively certain possibility that they will arise in the future regardless of the amount spent or not.”

“Expenses and the revenues they generate must be recognized simultaneously according to the matching principle However, in some cases, the principle of relevance may conflict with the principle of prudence in accounting, so the accountant must base on the nature of the transaction to reflect honestly and reasonably.”

“Expenses that are not considered deductible expenses according to the provisions of the Law on Corporate Income Tax but have complete invoices and documents and have been accounted properly according to the Accounting Regime, shall not be recorded as a decrease in accounting expenses, but only as an adjustment Adjustments in CIT finalization to increase the amount of CIT payable.”

“Accounts reflecting expenses have no balance At the end of the accounting period, all expenses incurred during the period must be transferred to determine business results.”

Business performance results are the amount of profit (loss) due to production, business, financial activities and other activities of the enterprise in an accounting period

According to Article 68 of Circular 133/2016/TT-BTC, determining business results is “determining and reflecting the results of business operations and other activities of an enterprise in an accounting period.”

Business performance results include production and business performance results, financial performance results and other operating results

- “The results of production and business activities are the difference between net revenue and the value of cost of goods sold, sales expenses and business management expenses.”

- “Financial performance results are the difference between income from financial activities and costs of financial activities.”

- “Other operating results are the difference between other income, other expenses and corporate income tax expenses.”

2.1.3.2 Accounting principles determine business performance

Article 68 of Circular 133/2016/TT-BTC stipulates:

- “Must fully and accurately reflect business results of the accounting period.”

- “Business performance results must be accounted for in detail according to each type of activity In each type of business activity, detailed accounting may be

PBT = Net profit from business activities + Other profits

Net profit from business activities

Gross profit from sales and service provision

Other profits = Other income - Other expenses

Accounting for revenue from sales and provision of service

According to Article 57 of Circular 133/2016/TT-BTC, revenue from sales and service provision is the revenue an enterprise earns from production and business activities in an accounting period, of which:

- Sales revenue is revenue earned from selling products that the business produces, selling products purchased then sold, and selling investment real estate

Service provision revenue refers to earnings generated from performing contractual work over multiple accounting periods These services include transportation, fixed asset leasing, and construction contracts They represent income earned from providing specific deliverables in accordance with agreed-upon terms.

According to Clause 1.2.a, Article 57 of Circular 133/2016/TT-BTC, sales revenue is recognized when the following 5 conditions are simultaneously met:

- “Enterprises have transferred most of the risks and benefits associated with ownership of products and goods to buyers.”

- “The enterprise no longer holds the right to manage the goods as the owner or the right to control the goods.”

- “The revenue can be measured reliably When the contract stipulates that the buyer has the right to return the purchased products or goods under specific conditions, the enterprise can only record revenue when those specific conditions no longer exist, and the buyer is not allowed to return the goods The right to return products and goods (except in cases where customers have the right to return goods in the form of exchange for other goods or services).”

- “The enterprise has or will receive economic benefits from the sales transaction.”

- “Identify expenses related to sales transactions.”

Regarding the conditions for recording service provision revenue, Clause 1.2.b, Article 57 stipulates:

- “The revenue can be measured reliably When the contract stipulates that the buyer has the right to return the purchased service under specific conditions, the business can only record revenue when those specific conditions no longer exist, and the buyer is not entitled to return the services provided.”

- “The enterprise has or will gain economic benefits from the transaction providing that service.”

- “Determine the completed work at the time of reporting.”

- “Determine the expenses incurred for the transaction and the expenses to complete the service provision transaction.”

2.2.3 Source documents and usage accounts

Chart 2 1 T-chart of account 511 - “Revenue from sales and service provision”

(Source: The author synthesizes based on Circular 133/2016/TT-BTC)

Accounting for cost of goods sold

According to Article 62 of Circular No 133/2016/TT-BTC, cost of goods sold is the actual expense that an enterprise uses to invest in the production and sales of products or services, determined to be sold

Cost of goods sold includes:

- Expenses for purchasing equipment and machinery for production;

- Cost of raw materials and input materials;

Revenue from sales and provision of service

Taxes payable when selling goods and providing services

2.3.2 Method for determining cost price

The method of calculating inventory value is specified in Accounting Standard

- First-in, first-out (FIFO) method: “Applied based on the assumption that the inventory purchased first or produced first is issued first, and the remaining inventory at the end of the period is the inventory purchased or manufactured first production near the end of the period.”

- Weighted average method: “The value of each type of inventory is calculated according to the average value of each similar type of inventory at the beginning of the period and the value of each type of inventory purchased or produced during the period.”

- Specific cost indentification method: “Applicable to businesses with few types of goods or stable and identifiable goods.”

Account 632 - “Costs of goods sold” is used to record cost of goods sold and is an account that reflects the capital value of products, goods, services, and investment real estate; production expenses sold during the period; expenses related to investment real estate business activities

Chart 2 2 T-chart of account 632 - “Costs of goods sold”

Accounting for revenue from financial activities

Pursuant to Article 58 of Circular 133/2016/TT-BTC, financial revenue is revenue earned from financial activities of an enterprise, including interest revenue, dividends, and distributed profits…

Depreciation or loss of inventory

154 The actual cost of the product is converted into fixed assets used for production and business

General production costs exceed normal levels

Sell investment property Residual value

Expenses incurred related to investment property, do not record an increase in value

Sold goods are returned to warehouse

Reversal of provisions for inventory devaluation

Provision for devaluation of inventory

For business securities transactions, revenue is recognized as the difference between the selling price and the purchase price

For foreign currency buying and selling activities, financial revenue is recorded as the profit difference between the selling and buying prices

Account 515 - “Revenue from financial activities” is used to record revenue from financial activities of the enterprise

Chart 2 3 T-chart of account 515 - “Revenue from financial activities”

Financial expenses are costs related to capital activities, financial investment activities and other financial operations of the enterprise

Dividends and profits are distributed after the investment date

1112,1122 Sale, recovery of financial investment

Allocate profits from sales of deferred payments and profits received in advance

413 Carryover of exchange rate gains

The account used to record financial expenses is account 635 - “Financial expenses”

Exchange rate loss due to revaluation of foreign currency amounts at the end of the period

Loss on sale of investments

Proceeds from sale of investments

Establish provisions for devaluation of securities and provisions for investment losses in other companies

Interest payable on loans, interest allocation on deferred payments and installment payments

Payment of liabilities in foreign currency Exchange rate loss

1112, 1122 Collection of receivables in foreign currency Exchange rate loss

Reversal of the difference in provisions for devaluation of securities investments and investment losses in other companies

Chart 2 4 T-chart of account 635 - “Financial expenses”

Accounting for business management expenses

Business management expenses include selling expenses and business management expenses

- “Sales expenses include actual costs incurred in the process of selling products and goods, providing services, costs of offering, introducing products, advertising products, and sales commissions, product and goods warranty expenses, storage, packaging, transportation expenses, sales staff salaries, social insurance, health insurance, union fees, unemployment insurance, labor accident insurance for sales staff; costs of materials, labor tools, depreciation of fixed assets used for the sales department; outside services; expenses in other currencies.”

Business management expenses encompass the general administrative costs of an enterprise These expenses include salaries for management staff, social security and health insurance contributions, union fees, unemployment insurance, and expenses related to office supplies, equipment, and depreciation of fixed assets used in management Additionally, rent, license tax, bad debt provisions, and external services are also considered part of business management expenses These expenses are vital for the smooth operation and oversight of the enterprise.

Account 642 - “Business management expenses” is used to record business

Chart 2 5 T-chart of account 642 - “Business management expenses”

133 Cost of materials and tools

334, 338 Cost of salaries, allowances, social insurance, health insurance, unemployment insurance, trade union fee and deductions from salary

Gradually allocated costs, accrued costs

Provision for payable contracts has large risks

Provision for bad receivable debts

Cost of outside services Other expenses

Input VAT is not deductible

The amount payable to the export entrusted unit for the amounts paid on behalf

Reversal of the difference between the provision for bad receivable debts that was made in the previous year and has not been fully used is greater than the amount set aside this year

Reversal of provisions payable to product warranty costs

Accounting for other income

Other income is the income that does not occur regularly, such as income from the transfer or liquidation of assets; collect fines and compensation due to the other party's breach of contract; gifts, monetary gifts, etc

- And some other related documents

The account used to record other income is account 711 - “Other income” The account reflects income other than normal production and business activities of the enterprise

Chart 2 6 T-chart of account 711 - “Other income”

Collect fines for violations of economic contracts and compensation from insurance organizations Collect bad receivables that have been written off

The fine is calculated and 338 deducted from deposits received

Receive sponsorship, donations of materials, goods, and fixed assets

331, 338 Debt payable whose owner cannot be identified Import and export tax, special 333 consumption tax, and environmental tax are reduced and refunded

Invest in fixed assets 228 (Revalued value > Book value)

152, 156,… Value of goods and services given as gifts

Refund of provisions for warranty costs 352 of construction works

Evaluate increase in asset value when converting business type Invest in materials, goods 228

Taxes deducted from other income

Accounting for other expenses

Other expenses are costs incurred in the period outside of the enterprise's production and business activities, such as costs of liquidation and sale of fixed assets, the remaining value of destroyed fixed assets, and fines payable due to Economic contract violations, administrative violations, etc

- Payment slip to the state budget

- And some other related documents

Account 811 - “Other expenses” is used to record other expenses incurred during the period

Chart 2 7 T-chart of account 811 - “Other expenses”

Accounting for corporate income tax expenses

“Corporate income tax is a type of tax that the state directly collects into the state budget on the taxable income of enterprises (organizations engaged in production and trading of goods and services).”

CIT expense includes current CIT expense and deferred CIT expense

- Current CIT expense is the amount of corporate income tax payable calculated on taxable income for the year and the current CIT rate

Other arising expenses (Liquidation expenses, sale of fixed assets )

Fines due to contract violations and administrative violations

Depreciation of fixed assets that are no longer used for production and business

228 Original cost of fixed assets contributed as capital to joint ventures

Value of capital contribution to joint ventures The difference between the revalued price is smaller than the remaining value of the fixed asset Assets

Evaluation of asset value reduction when converting business type

Collect and sell bidding documents for liquidation and sale of fixed assets

- Deferred CIT expense is the amount of CIT payable in the future arising from the recognition of deferred CIT tax payable during the year and the reversal of income tax assets recognized from previous years

Account 821 - “Corporate income tax expenses” is used to reflect CIT expenses incurred during the year as a basis for determining the after-tax business results of the enterprise in the current fiscal year

Appropriation for science and technology fund (if any)

Assessable income = Taxable income - ( Tax-exempt income + Allowable loss )

Taxable income = Revenue - Deductible expenses + Other income

Chart 2 8 T-chart of account 821 - “Corporate income tax expenses”

The amount of income tax payable for a period is determined by calculating the difference between provisional corporate profit tax payable and the amount payable in terms of revenue and cost of goods sold, selling expenses, and business management expenses.

- Financial performance results are the difference between income and expenses of financial activities

- Other income results are the difference between other income, other expenses and CIT expenses

Chart 2 9 T-chart of account 911 - “Income summary”

Transfer of enterprise income costs

Transfer of revenue and other income

Transfer of operating profits during the period

421 Transfer of business operation losses in the period

Chapter 2 explored and clarified theories about revenue, expense and determination of business results, including: accounting concepts, principles and methods, and the content of Vietnamese accounting standards Through the above bases, the author will observe, evaluate the current situation and propose appropriate solutions to improve revenue and cost accounting and determine the business results of Lien Minh Technical Service and Mechanical Co., Ltd.

STATUS OF REVENUE AND EXPENSES ACCOUNTING AND

Accounting for revenue from sales and provision of service

Revenue from sales and service provision arising at the company is the total value of the economic benefits that the enterprise receives from business items, from the supply of machinery, mechanical equipment, and production lines, mechanical systems for customers

The account used in accounting for sales and service provision at the company is account 511 - “Revenue from sales and service provision”

Diagram 3 1 The company's project implementation process

(Source: Lien Minh Technical Service and Mechanical Co., Ltd.)

Implement the plan at Lien Minh company factory

Implement the plan at the customer's factory

The Sales Department discusses the project with the customer and then gives the necessary information to the departments

- PO number and PO creation date

Step 2: Implement the plan at Lien Minh company factory

Phase 1: The Technical Department surveys the actual location, then deploys solutions based on technical requirements

Phase 2: The Production Department receives drawings from the Engineering department, then implements the processing plan The Drawing Coordination Team will classify the drawings and hand over the drawings to the machining team to deploy processing After completion, the QC team checks all workpieces for the machines before installation

Phase 3: The Engineering and Production Department implements the installation plan at Lien Minh factory

- Propose to receive materials and processed products from warehouse

- Complete basic installation according to drawings

- Technical Department arranges personnel to deploy electrical connectors, programming, operations, etc

Phase 4: The Technical Department checks the functionality of each cluster and the entire system, then accepts it and delivers it to the customer's factory

Step 3: Implement the plan at the customer's factory

- Plan installation, determine installation time and arrange personnel to work at

Next, the Sales Department prepares acceptance documents including:

Finally, the accounting department records revenue, issues invoice, sets the expected payment date and deducts rewards

3.1.3 Some illustrations of arising economic operations

1 Based on order PO14262141, VAT invoice No 00000096, receipt of delivery and acceptance minutes, Lien Minh received an upgrade to the HDMI control screen of air compressor 09 for Unilever Vietnam International Co., Ltd at the unit price is 80.990.000 VND, excluding VAT, unpaid The order was delivered to Unilever's Cu Chi factory on March 24, 2023 The VAT rate is 10% (Appendix 02)

On April 21, the accountant records revenue:

2 Based on sales contract No 2311/AC-LM, VAT invoice No 00000102 and acceptance minutes, Atlas Copco Vietnam Co., Ltd leases machinery, equipment, and construction tools for full-time service for the package Contract “Purchase of materials and maintenance and repair services for air compressor ZR630-Nol (APF160149), air compressor ZA6G-No2 (APF169066) Vung Ang 1 Thermal Power Plant in 2022” with a total amount of 882.907.200 VND , excluding VAT, unpaid

On April 25, the accountant records revenue:

3 Based on order PO14417121 dated April 27, 2023, VAT invoice No

00000120 and receipt of delivery, Lien Minh sold Unilever Vietnam International Co., Ltd motor oil and oil filter, total amount is 52.857.700 VND, excluding VAT, unpaid The order was delivered to the Cu Chi factory of Unilever Vietnam company on May 22, 2023 (Appendix 04)

On May 30, the accountant records revenue:

4 Based on order PO14433817 dated May 3, 2023, VAT invoice No 00000122 and receipt of delivery, Lien Minh sold Unilever Vietnam International Co., Ltd R134A gas cylinder with a unit price excluding 10% VAT is 4.250.000 VND/bottle, quantity is 3 bottles and unpaid The order was delivered to the Cu Chi factory of Unilever Vietnam International Company Limited on May 16, 2023 (Appendix 05)

On May 30, the accountant records revenue:

5 Based on VAT invoice No 00000140, quotation No 9.05.23/SONION II, purchase request dated May 12, 2023, the company sold goods to SONION Vietnam

II Co., Ltd with a total amount is 74.600.000 VND, excluding VAT, unpaid

On June 19, the accountant records revenue:

6 Based on order PO14455594, VAT invoice No 00000143, receipt of delivery

Accounting for revenue deductions

- List of invoice numbers, amounts, and tax amounts that need to be adjusted Revenue deductions are reflected directly on account 511 - “Revenue from sales and service provision” by recording on the Debit side

3.2.2 Illustration of arising economic operations

Based on VAT invoice No 00000121 and VAT invoice No 00000168, the company adjusted the invoice for Unilever Vietnam International Company Limited, recording a decrease in "60 o C temperature sensor" worth 13.111.000 VND (excluding VAT) (Appendix 08)

Accounting for cost of goods sold

Account 632 – “Cost of goods sold”, used in accounting for sales and service provision at the company

1 Based on contract No 1113/LM-DP/2023, VAT invoice No 55 and acceptance minutes, Danh Phuc Investment Trading Services Co., Ltd received an upgraded HDMI control screen for air compressor 09 (Appendix 09)

Lien Minh applies the ex-warehousing price calculation according to the average method at the end of the period And since there is no beginning inventory, the cost of goods sold is 76.940.500 VND

2 Based on contract No 0103/2023/DAN-LM dated February 15, 2023, VAT invoice No 46 dated April 25, 2023 and acceptance minutes, the company assigned to Duong An Nhien Production Trading Service Co., Ltd is in charge of supplying conveyor belts (Appendix 10)

3 Based on contract No 0423/HDMB/LM-DTM dated April 3, 2023, VAT invoice No 367 dated May 3, 2023 and receipt of delivery dated April 25, 2023, purchasing products from Dat Toan My Trading and Services Company Limited

4 Based on contract No 2605/HDMB/LM-DTM dated May 26, 2023, VAT invoice No 468 dated June 19, 2023 and acceptance record dated June 18, 2023, purchasing products from Dat Toan My Trading and Services Company Limited

5 Based on installation contract No 2302/MS - LM dated June 5, 2023, VAT

Accounting for revenue from financial activities

Lien Minh Technical Service and Mechanical Co., Ltd focuses on designing and manufacturing machinery and mechanical equipment, so revenue from financial activities is mainly related to deposit interest and capital gain

The account used in accounting for revenue from financial activities at the company is account 515 - “Revenue from financial activities”

1 On April 25, 2023, the accountant based on the VietBank’s Bank statements of April 2023 and proceeded to record deposit interest of account 000000243339 with an amount of 5.946 VND (Appendix 14)

2 On April 29, 2023, the accountant, based on Sacombank's Bank statements of April 2023 and Credit Note, recorded deposit interest of account 060239375998 with an amount of 6.733 VND (Appendix 15)

3 On May 25, 2023, the accountant based on VietBank's Bank statements of May 2023 and proceeded to record deposit interest of account 000000243339 with an amount of 5.053 VND (Appendix 16)

4 On May 31, 2023, the accountant, based on the Sacombank's Bank statements of May 2023 and Credit Note, will proceed to record deposit interest of account

060239375998 with an amount of 6.944 VND (Appendix 17)

5 On June 25, 2023, the accountant based on the VietBank's Bank statements of June 2023 and proceeded to record deposit interest of account 000000243339 with an amount of 2.784 VND (Appendix 18)

6 On June 30, 2023, the accountant, based on Sacombank's Bank statements of June 2023 and the Credit Note, recorded deposit interest of account 060239375998 with an amount of 6.707 VND (Appendix 19)

Accounting for financial expenses

Account 635 – “Financial expenses” is used for accounting for financial expenses at the company

1 On April 18, 2023, business loan interest payment, amount of 37.161.400 withdrawal at Citi Bank, an amount of 44.592.774 VND (Appendix 20)

3 On May 8, 2023, the company paid the penalty fee arising from early withdrawal at Citi Bank, an amount of 60,593,126 VND (Appendix 21)

4 On May 16, 2023, payment of penalty fees arising from early withdrawal at Citi Bank in the amount of 25.300.927 VND (Appendix 22)

5 On June 19, 2023, payment of business loan interest, amount of VND 97.161.400 VND

6 On June 28, 2023, payment of penalty fees arising from early withdrawal at Citi Bank, amount of 67.003.957 VND (Appendix 23)

Accounting for business management expenses

No economic transactions occurred during the period

3.6.2.1 Source documents and usage accounts

The account used in accounting for business management expenses at the company is account 6422 - “Business management expenses”

3.6.2.2 Some illustrations of arising economic operations

1 Based on VAT invoice No 00003908 dated April 14, 2023 of Saigon Tourism Corporation Branch, Binh Quoi Tourist Village Limited, the accountant recorded the food and beverage service with an amount excluding VAT of 4.101.818 VND (Appendix 24)

2 Based on VAT invoice No 1011 dated May 19, 2023 of Viet Nhon Company Limited Branch - Se San Restaurant, the accountant recorded food service fees with a total pre-tax value of 2.791.000 VND (Appendix 25)

3 Based on VAT invoice No 00001380 dated May 21, 2023 of Hoang Long Company Limited, the accountant recorded the room service fee with an amount excluding VAT of 2.363.636 VND (Appendix 26)

4 Based on VAT invoice No 6493 dated June 2, 2023 of the Branch of Tay Nam Import-Export Production Trading Company Limited - Tan Son Nhat Hotel, the accountant recorded the room service fee with an amount excluding VAT of 4.363.636 VND (Appendix 27)

6 Based on VAT invoice No 00003093 dated June 9, 2023 of Hoa Vien Private Enterprise, the accountant recorded the food service fee with an amount excluding VAT of 2.108.500 VND (Appendix 29)

Accounting for other expenses

- Payment slip to the state budget

The account used to reflect the accounting for business management expenses at the company is account 811 - “Other expenses”

1 Based on the Payment slip to the state budget, No 11220230194665413, dated April 1, 2023, the accountant recorded the payment of administrative violations in the tax field, the amount is 60.900 VND (Appendix 30)

Accounting for income summary

The account used to reflect operating results at the company is account 911 -

3.8.2 Revenue and expense transfer operations

1 In the second quarter of 2023, Lien Minh had a total revenue from sales and service provision of 27.628.737.960 VND At the end of the quarter, the accountant transfers to account 911

2 In the second quarter of 2023, Lien Minh has a total revenue deduction of 26.436.680 VND At the end of the quarter, the accountant transfers to account 911

4 In the second quarter of 2023, Lien Minh had a total financial revenue of 1.283.004 VND At the end of the quarter, the accountant transfers to account 911

5 In the second quarter of 2023, Lien Minh had a total financial expense of 385.712.876 VND At the end of the quarter, the accountant transfers to account 911

6 In the second quarter of 2023, Lien Minh has a total business management expense of 2.423.383.182 VND At the end of the quarter, the accountant transfers to account 911

7 In the second quarter of 2023, Lien Minh had total other expenses of 164.225.598 VND At the end of the quarter, the accountant transfers to account 911

Net revenue from sales and service provision = Revenue from sales and service provision - Revenue deductions = 27,602,301,280 VND

Gross profit from sales and service provision = Net revenue from sales and service provision - Cost of goods sold = 1,976,315,347 VND

Net profit from business activities = Gross profit from sales and service provision + Financial revenue - Financial expenses - Business management expenses

Other profits = Other income - Other expenses = (164,225,598) VND

 Total accounting profit before tax = Net profit from business activities + Other profits = (995,723,305) VND

The company has a negative total accounting PBT, resulting in a loss in the second quarter of 2023's income

Table 3 1 Income statement of Lien Minh Company

Công ty TNHH Cơ Khí và Dịch Vụ Kỹ

61 Trần Thị Điệu, Kp 2, P Phước Long B, Tp

Thủ Đức, Tp Hồ Chí Minh

(Ban hành theo thông tư số 133/2016/TT-BTC ngày 26/08/2016 của Bộ Tài chính)

BÁO CÁO KẾT QUẢ HOẠT ĐỘNG KINH DOANH

Quý 2 năm 2023 Đơn vị tính: VND

Chỉ tiêu Mã số Quý này

1 Doanh thu bán hàng và cung cấp dịch vụ 01 27.628.737.960

2 Các khoản giảm trừ doanh thu 02 26.436.680

3 Doanh thu thuần về bán hàng và cung cấp dịch vụ

5 Lợi nhuận gộp về bán hàng và cung cấp dịch vụ

6 Doanh thu hoạt động tài chính 21 1.283.004

- Trong đó: Chi phí lãi vay 23 134.322.800

13 Tổng lợi nhuận kế toán trước thuế

15 Lợi nhuận sau thuế thu nhập doanh nghiệp

In Chapter 3, the author analyzes the revenue and cost accounting data of Lien Minh Technical Service and Mechanical Co., Ltd to determine its business results The chapter outlines the accounting regulations for each account used in reporting and the associated source documents Additionally, each section of the business performance report includes specific economic operations to clarify the indicators presented, enhancing the reader's understanding.

To comment on the current accounting situation at the company, the author bases on the following factors:

- Practical basis: during the internship period, being exposed to and practicing real work, the author learned about accounting work at Lien Minh Technical Service and Mechanical Co., Ltd in general and accounting for revenue, expenses and determining business results in particular

- Legal basis: Circular No 133/2016/TT-BTC dated August 26, 2016 of the Ministry of Finance, guiding the accounting regime for small and medium enterprises

- Compare between actual work at the company and theories learned at the university

4.1 Some comments about Lien Minh Technical Service and Mechanical Company Limited

* Employees: The company has a team of enthusiastic, dynamic, and creative employees

* Management: There is hierarchy and connection between departments, easily supporting each other in work to help the company quickly complete the progress of projects

The company's accounting apparatus always ensures correct assignment principles, has a reasonable and highly logical work assignment for creating work efficiency Furthermore, organizing reasonable work arrangements, suitable to each person's abilities help company create a comfortable and happy working environment The company's accounting apparatus is organized according to a centralized model, which ensures consistency and rigor in accounting work The accounting apparatus is compact, easy to manage and suitable for the company's accounting work

The company uses MISA accounting software in daily work This is considered an effective assistant for accounting work, helping accountants easily track all information and meet user needs of the company

To ensure compliance with Ministry of Finance regulations, the organization meticulously organizes accounting documents, ensuring completeness and accuracy of information Strict document storage protocols are implemented, assigning responsibility for document retention to the accountants managing specific sections.

Regarding the form of organization of accounting books, the company applies the General Journal format on MISA accounting software, which helps reduce the workload of bookkeeping

Accountants regularly check and compare books and data to promptly monitor company activities

The company's accounting of sales revenue and service provision is quite well organized The revenue of each department is reflected in detail on the accounting books, this has created favorable conditions for management to firmly grasp the situation and operational capabilities of each department in the company

The company has complied with the principles of revenue and expense recognition according to prescribed accounting standards

All revenues and expenses are fully documented

Regarding the accounting organization to determine business results, under the guidance of the chief accountant and general accountant, the determination of the results of production and business activities is evaluated specifically and effectively Therefore, there will be proper plans in production and business activities at the company

* Employees: The company's staff is young and inexperienced, requiring a lot

COMMENTS AND RECOMMENDATIONS

For human resources

To bolster warehouse accounting operations during peak seasons, including receiving, organizing, and distributing materials to projects, additional seasonal staff is required Given the workforce's youth and lack of experience, the company must prioritize professional development opportunities to enhance their competence in handling such tasks effectively.

- The company provides 30% tuition support; employees must work for the company for a period of 3 - 5 years

- Receive a salary increase ahead of schedule if employees make progress after the courses

- Set out policies on salary, leave and rewards if the set goals are achieved

In addition to the basic salary and allowances agreed in the labor contract, the company provides additional benefits such as:

- When becoming an official employee, employees will be able to participate in periodic general health examinations and participate in advanced health insurance

- Annual leave: At the end of the year, employees with remaining leave can convert it into salary if desired or will accumulate unused leave to the next year In case the employee quits his job, unused leave will be converted into salary according to the current salary

At the end of the quarter and year, the company should organize parties for all employees and reward excellent employees

Organize events and exchange activities such as team building, sports festival, annual travel, Mid-Autumn Festival to strengthen the spirit of solidarity and create a comfortable working environment.

For accounting software

Regarding accounting software, although it has helped accountants easily handle accounting tasks, accountants still need to review data to avoid errors To minimize errors that arise, when economic transactions arise, accountants need to collect invoices and all relevant documents as a basis for accounting and tax declaration After that, the accountant should process and check whether the invoices and documents are legal, reasonable, and valid Then records into accounting software and storing documents

Diagram 4 1 Source document circulation process

Companies should use accounting software for quick, accurate and less time- consuming consensus, reducing pressure on accounting staffs

The company provides tuition support for accountants to participate in training Economic operations arise Collect source documents

Enter data into accounting software Monitor debt

(if any) Store source documents

The company should open a detailed sales book on MISA, separating revenue by each project and each customer to help the Board of Directors and other departments or people who do not directly do this job can easily access them

The company needs to use detailed account books to easily manage objects such as: debts, customer receivables,

Diagram 4 2 Accounts receivable management process

Step 1: Update information and customer grouping

From customer information, accountant can group companies or individuals, by region Avoiding creating 2 IDs for the same customer to accurately reflect and potential risks during the tracking process and debt recovery

Step 2: Record and notify, compare debts

Documents used to record and reflect receivables include:

- Contract: When drafting a contract, it is necessary to specify the time, debt limit and payment method

- Warehouse receipt, receipt of delivery, acceptance minutes, VAT invoice

- Detailed book of customer receivables

Update information and customer grouping

Record arising and notify, compare debts

Recover debts Handling bad debts

- Debt notification: After recording the debt, the accountant needs to prepare a debt notification to send to customers for comparison and confirmation

At the beginning of each month, the sales detail book and record of reconciliation and debt collection are kept for customers to confirm and proceed with recovery

The company should set some regulations for groups of customers with bad debts:

- The debt term is 30 days If the debt term is exceeded, the company can apply an interest rate policy (2%/month)

- Debt limit is 300 million VND If the debt exceeds the limit, a customer guarantee commitment is required

In addition, the company should apply payment discounts to customers who frequently transact and have large contract values If they pay their debt early, they will receive a discount on the total payment value in the future contract

This measure is highly feasible to speed up the payment process, attract more customers and increase capital turnover, at the same time, accountants do not have to keep track of a debt for too long, which is time-consuming and costly effort in reminding customers

And, for potentially unrecoverable debts, accountants should make provisions to limit possible losses and be safer in business operations, thoroughly grasping the principle of prudence

4.2.5 Lowering the cost of production

Reduce raw material costs: manner, reducing the number of unnecessary workers This helps businesses reduce the amount of salary they must pay to employees, in addition to reducing benefits

Regularly check and maintain to ensure the quality of machinery Collect customer feedback on the quality of machinery and equipment used

Building a strict production quality control process, before delivery, businesses need to ensure that the product meets the best quality and efficiency according to customer requirements

Form a research and development team with the purpose of finding the most optimal production plan to save time, reduce costs while still ensuring product performance and quality

Increase electronic components and embedded software on machines and equipment, add smart sensors to increase machine performance, and improve technical service efficiency

At chapter 4, the author has stated the advantages as well as the remaining shortcomings and limitations at Lien Minh Technical Service and Mechanical Co., Ltd that the author observed through the internship process at the company Since then, the author has proposed solutions to help improve the existing shortcomings and limitations to help the company become more and more perfect and develop

In the contemporary market economy, accounting is recognized as a vital instrument for financial and economic management To remain effective, accounting must continuously adapt to the evolving business landscape For Lien Minh Technical Service and Mechanical Company Limited, accounting for revenue, expenses, and business outcomes allows for efficient monitoring, control, and management of all business operations within the organization.

During the process of research and practical research, the author has a better understanding of the Company, future development directions and strategies, tasks and functions of each department and policies applied at the company In addition, the author has direct contact with the work of revenue and expense accounting and determining business results at Lien Minh Technical Service and Mechanical Company Limited through documents and accounts are applicable Since then, with the personal view, the author has pointed out some outstanding advantages and disadvantages in the Company and made some recommendations to help the company overcome and improve its operating procedures

In addition, the author also finds that accounting in general and accounting for revenue, expenses and determining business results in particular playing an important role in providing key business information and data which are accurate for business managers Full and accurate accounting of revenue and expenses is a necessary condition to quickly provide information about all business activities at the unit During the internship at the accounting department of Lien Minh Technical Service and Mechanical Company Limited, the author learned more deeply about revenue, expense accounting and determining business results, thereby seeing the advantages as well as the remaining shortcomings in the company However, due to limited knowledge and limited internship time at the company, the issues raised in this report are not highly general, the solutions are not thorough, and problems cannot be avoided If there are any shortcomings, author would like to receive comments from lecturers to make the report more complete

1 Ministry of Finance (August 26, 2016) Circular No 133/2016/TT-BTC Guidance on accounting regimes for small and medium enterprises

2 Ministry of Finance (2008), Vietnamese Accounting Standards 2001-2006, Finance Publisher

3 Ministry of Finance (2002) Accounting Standard No 1 on General Standards Access at: https://ktkt.uel.edu.vn/chuan-muc-ke-toan-viet-nam-vas2/chuan-muc-so- 1-chuan-muc-chung

4 Ministry of Finance (2002) Accounting Standard No 14 on Revenue and other income Access at: http://www.ketoanthue.vn/index.php/he-thong-chuan-muc- ke-toan-viet-nam/2091-chuan-muc-ke-toan-so-14-doanh-collection-and-collection- other-.html

5 Lien Minh Technical Service and Mechanical Company Limited Access at: https://lienminhco.vn

6 General Statistics Office Report on the socio-economic situation in the second quarter and the first 6 months of 2023 Access at: https://www.gso.gov.vn/du- lieu-va-so-lieu-thong-ke/2023/06/how-to-crystal-hinh-economic-te-xa-hoi-quy-ii- va-6-month-dau-nam-2023/

7 National Assembly (June 3, 2008) Corporate income tax law

8 Ministry of Finance (2002) Accounting Standard No 2 on Inventories Access at: https://ktkt.uel.edu.vn/chuan-muc-ke-toan-viet-nam-vas2/chuan-muc-so- 2-hang-ton-kho

9 National Assembly (June 3, 2008) Law No 14/2008/QH12 Corporate income tax

10 Government (December 26, 2013) Decree No 218/2013/ND-CP Detailed regulations and guidance on implementation of corporate income law supplementing several articles of the Law on Value Added Tax

12 National Assembly (June 3, 2008) Law No 13/2008/QH12 VAT tax

13 VNBusiness (August 15, 2023) Reduce production costs for Vietnamese businesses from automation breakthroughs Access at: https://vnbusiness.vn/vietnam/giam-chi-phi-san-xuat-cho-doanh-nghiep-viet-tu-dot-pha-tu-dong-hoa-

14 Ministry of Finance (2006) Small and medium enterprise regime Finance Publisher

Appendix 01: Enterprise Registration Certificate delivery, acceptance minutes

Appendix 03: VAT invoice No 00000102, sales contract No 2311/AC-LM and acceptance minutes delivery delivery purchasing request delivery and acceptance minutes

Appendix 09: VAT invoice No 55 of Danh Phuc Investment Trading Services Co.,

Ltd., equipment supply and installation contract No 1113/LM-DP/2023 and acceptance minutes

Appendix 10: VAT invoice No 46 of Duong An Nhien Production Trading Service

Co., Ltd., installation contract No 0103/2023/DAN-LM and acceptance minutes

Appendix 11: VAT invoice No 367 of Dat Toan My Trading and Services Co., Ltd., sales contract No 0423/HDMB/LM-DTM and receipt of delivery

Appendix 12: VAT invoice No 468 of Dat Toan My Trading and Services Co., Ltd., equipment supply and installation contract No 2605/HĐMB/LM-ĐTM and acceptance minutes

Appendix 13: VAT invoice No 172 of Minh Son Import-Export Co., Ltd., installation contract No 2302/MS – LM and acceptance minutes

Appendix 14: VietBank’s bank statements of April 2023, account No

Appendix 16: VietBank’s bank statements of May 2023, account No 000000243339

Appendix 18: VietBank’s bank statements of June 2023, account No 000000243339

Appendix 20: Payment voucher No PC05391 dated 20/04/2023

Appendix 24: VAT invoice No 00003908 of Saigon Tourism Corporation Branch,

Binh Quoi Tourist Village Limited

Appendix 26: VAT invoice No 00001380 of Hoang Long Company Limited

Production Trading Company Limited - Tan Son Nhat Hotel

Appendix 28: VAT invoice No 00002885 of Dai Nien Cat Trading Company

Appendix 30: Payment slip to the state budget, No 11220230194665413

CÔNG TY TNHH CƠ KHÍ VÀ DỊCH VỤ KỸ THUẬT LIÊN MINH

61 Trần Thị Điệu, Kp 2, P Phước Long B, Tp Thủ Đức, Tp Hồ Chí Minh

Tên tài khoản: Doanh thu bán hàng và cung cấp dịch vụ

Diễn giải TK đối ứng

Số hiệu Ngày tháng Nợ Có

Bán hàng CÔNG TY TNHH QUỐC TẾ UNILEVER VIỆT NAM theo hóa đơn

25/04/2023 BH00392 25/04/2023 Bán hàng CÔNG TY TNHH ATLAS

COPCO VIỆT NAM theo hóa đơn 00000102 131AC 882.907.200

30/06/2023 30/06/2023 Kết chuyển lãi lỗ đến ngày 30/06/2023 911 6.574.583.712

Appendix 34: General ledger of Account 632 – “Cost of goods sold”

Tên tài khoản: Giá vốn hàng bán

03/05/2023 HĐ367 03/05/2023 Giá vốn hàng bán - 0423/HĐMB/LM-ĐTM 1561 80.971.796

21/06/2023 HĐ172 21/06/2023 Giá vốn hàng bán - 2302/MS - LM 154 152.097.912

Appendix 35: General ledger of Account 515 - “Revenue from financial activities”

Tên tài khoản: Doanh thu hoạt động tài chính

30/06/2023 30/06/2023 Kết chuyển lãi lỗ đến ngày 30/06/2023 911 1.283.004

Appendix 36: General ledger of Account 635 – “Financial expenses”

Tên tài khoản: Chi phí tài chính

- Phát sinh trong kỳ 18/04/2023 PC05354 18/04/2023 Thanh toán lãi vay vốn kinh doanh 1121 37.161.400 hàng Citi Bank

08/05/2023 PC05543 08/05/2023 Phí phạt phát sinh do rút tiền trước hạn tại ngân hàng Citi Bank 1111 60.593.126

19/06/2023 PC06031 19/06/2023 Thanh toán lãi vay vốn kinh doanh 1121 97.161.400

Appendix 37: General ledger of Account 6422 - “Business management expenses”

Tên tài khoản: Chi phí quản lý kinh doanh

- Phát sinh trong kỳ Chi tiền mua hàng CN Tổng công ty Du Lịch

19/05/2023 1011 19/05/2023 Việt Nhơn – Nhà hàng Se San theo hoá đơn số

21/05/2023 00001380 21/05/2023 Chi tiền mua hàng Công ty TNHH Hoàng

Long theo hoá đơn số 00001380 1111 2.363.636

Chi tiền mua hàng Công ty TNHH MTV SX

TM XNK Tây Nam – Khách sạn Tân Sơn Nhất theo hoá đơn số 6493

Chi tiền mua hàng Công ty TNHH Một Thành Viên Thương Mại Đại Niên Cát theo hoá đơn số 00002885

09/06/2023 00003093 09/06/2023 Chi tiền mua hàng Doanh Nghiệp Tư Nhân

Hoa Viên theo hoá đơn số 00003093 1111 2.108.500

Appendix 38: General ledger of Account 811 - “Other expenses”

Tên tài khoản: Chi phí khác

- Phát sinh trong kỳ 01/04/2023 UNC00467 01/04/2023 Nộp tiền vi phạm hành chính lĩnh vực thuế 3339 60.900

01/04/2023 UNC00478 01/04/2023 Nộp tiền vi phạm hành chính lĩnh vực thuế 3339 128.447

Debt management

Diagram 4 2 Accounts receivable management process

Step 1: Update information and customer grouping

From customer information, accountant can group companies or individuals, by region Avoiding creating 2 IDs for the same customer to accurately reflect and potential risks during the tracking process and debt recovery

Step 2: Record and notify, compare debts

Documents used to record and reflect receivables include:

- Contract: When drafting a contract, it is necessary to specify the time, debt limit and payment method

- Warehouse receipt, receipt of delivery, acceptance minutes, VAT invoice

- Detailed book of customer receivables

Update information and customer grouping

Record arising and notify, compare debts

Recover debts Handling bad debts

- Debt notification: After recording the debt, the accountant needs to prepare a debt notification to send to customers for comparison and confirmation

At the beginning of each month, the sales detail book and record of reconciliation and debt collection are kept for customers to confirm and proceed with recovery

The company should set some regulations for groups of customers with bad debts:

- The debt term is 30 days If the debt term is exceeded, the company can apply an interest rate policy (2%/month)

- Debt limit is 300 million VND If the debt exceeds the limit, a customer guarantee commitment is required

In addition, the company should apply payment discounts to customers who frequently transact and have large contract values If they pay their debt early, they will receive a discount on the total payment value in the future contract

This measure is highly feasible to speed up the payment process, attract more customers and increase capital turnover, at the same time, accountants do not have to keep track of a debt for too long, which is time-consuming and costly effort in reminding customers

And, for potentially unrecoverable debts, accountants should make provisions to limit possible losses and be safer in business operations, thoroughly grasping the principle of prudence.

Lowering the cost of production

Reduce raw material costs: manner, reducing the number of unnecessary workers This helps businesses reduce the amount of salary they must pay to employees, in addition to reducing benefits.

Product quality

Regularly check and maintain to ensure the quality of machinery Collect customer feedback on the quality of machinery and equipment used

Building a strict production quality control process, before delivery, businesses need to ensure that the product meets the best quality and efficiency according to customer requirements

Form a research and development team with the purpose of finding the most optimal production plan to save time, reduce costs while still ensuring product performance and quality

Increase electronic components and embedded software on machines and equipment, add smart sensors to increase machine performance, and improve technical service efficiency

At chapter 4, the author has stated the advantages as well as the remaining shortcomings and limitations at Lien Minh Technical Service and Mechanical Co., Ltd that the author observed through the internship process at the company Since then, the author has proposed solutions to help improve the existing shortcomings and limitations to help the company become more and more perfect and develop

In the contemporary market landscape, accounting serves as a pivotal instrument for effective economic and financial management Consequently, accounting practices must adapt to advancements and alterations in the current business environment For Lien Minh Technical Service and Mechanical Company Limited, meticulous accounting of revenue, expenses, and business performance enables effortless monitoring, control, and management of all operational activities within the organization.