Business Roles and Financial Management

The video discusses the influence of government on financial management, focusing on the Australian Government's role through the Australian Securities and Investment Commission (ASIC) and company tax rates. ASIC regulates the financial services industry, ensuring fairness and compliance with the Corporations Act. A case study on NAB highlights ASIC's impact on businesses. The video also covers company tax rates in Australia and compares them globally, explaining how businesses strategize around these rates.

What is the primary focus of the video regarding financial management?

• The influence of technology

• The influence of government

• The influence of consumer behavior

• The influence of global markets

What is the main role of the Australian Securities and Investment Commission (ASIC)?

• To regulate corporations and markets

• To provide loans to businesses

• To set interest rates

• To manage government budgets

What must a company do if it is listed on the Australian Stock Exchange?

• Submit a prospectus

• Increase share prices

• Pay a flat tax rate

• Hire an internal auditor

What can negative publicity due to ASIC's actions lead to?

• Increased sales

• Reduced revenue and profits

• Higher stock prices

• More investment opportunities

What was NAB accused of in the case study mentioned?

• Money laundering

• Tax evasion

• Charging fees for no service

• Insider trading

What is the current company tax rate for large businesses in Australia?

• 30%

• 35%

• 25%

• 27.5%

Why might multinational companies prefer to operate in countries like Ireland?

• Larger consumer base

• Lower tax rates

• Higher tax rates

• Better infrastructure

What is one of the roles of businesses in relation to GST?

• To set the GST rate

• To collect GST from consumers

• To exempt themselves from GST

• To use GST for business expenses

What is a significant impact of company tax on financial management?

• Increased employee wages

• Need for accurate financial records

• Higher marketing costs

• Reduced product quality

How did McDonald's manage to reduce its global tax rate significantly?

• By taking advantage of lower tax rates in other countries

• By increasing prices

• By reducing employee numbers

• By closing stores