Company's Assets and Capital Situation Over 3 Years 2013

The total number of employees of the company from 2013 to 2015 tends to decrease. The total number of employees in 2014 compared to 2013 decreased by 20 people, which is a decrease of 5.69%. In 2015, the total number of employees compared to 2014 decreased by 6 people, which is a decrease of 1.81%. The reason is that employees tend to look for jobs outside. Meanwhile, the company does not need to use more workers because the number of workers is enough to meet the job requirements, the company cuts a part of the human resources to help the company reduce some costs and operate more effectively but still ensure the normal operation of the company.

In terms of labor nature: From 2013 to 2015, both direct and indirect labor decreased but not significantly. Specifically, in 2014 compared to 2013, direct labor decreased by 7 people, or a decrease of 2.43%, while indirect labor decreased by 13 people, or a decrease of 20.63%. In 2015 compared to 2014, direct labor decreased by 2 people, or a decrease of 0.71%, while indirect labor decreased by 4 people, or a decrease of 8%. In general, the number of direct laborers always accounts for a larger proportion than the number of indirect laborers, which is suitable for a tourism business company, where the number of workers is mainly concentrated in the functional departments.

In terms of professional qualifications: Through the table above, we can see that the number of workers with post-graduate degrees in 2014 compared to 2013 did not change, but in 2015 it increased by 2 people, equivalent to a 200% increase compared to 2014. The number of workers with university degrees in 2014 compared to 2013 decreased by 56 people, equivalent to a 37.08% decrease, but in 2015 it increased by 8 people, equivalent to an 8.42% increase. The number of workers with college degrees from 2013 to 2015 did not change significantly. The number of workers with intermediate degrees in 2014 compared to 2013 decreased by 2 people, equivalent to a 3.92% decrease, and in 2015 it continued to decrease by 4 people, equivalent to an 8.16% decrease. Other qualifications from 2013 to 2014 increased by 37 people, an increase of 25.87%, but by 2015, it decreased by 12 people, a decrease of 6.67% compared to 2014. The company has cut down on labor, giving priority to qualified people. This proves that the company always cares about encouraging and training to improve the qualifications of employees.

2.1.4.2. The company's assets and capital situation over the 3 years 2013 - 2015

Table 2.2. Company assets and capital situation over 3 years 2013 - 2015

Unit: Million Dong

Target

Year						Compare
2013		2014		2015		2014/2013		2015/2014
GT	%	GT	%	GT	%	+/-	%	+/-	%
Asset	270,518	100	265,762	100	247,494	100	-4.756	-1.76	-18.268	-6.87
Current assets	58,522	21.63	44,707	16.82	48,138	19.45	-13.815	-23.61	3,431	7.67
Long-term assets	211,996	78.37	221,055	83.18	199,356	80.55	9,059	4.27	-21.699	-9.82
Capital	270,518	100	265,762	100	247,494	100	-4.756	-1.76	-18.268	-6.87
Liabilities	14,465	5.35	15,730	5.92	11,675	4.72	1,265	8.75	-4.055	- 25.78
Equity	256,053	94.65	250,032	94.08	235,819	95.28	-6.021	-2.35	-14.213	-5.68

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(Source: Accounting - Finance Department)

Comment: Through the analysis table of the company's assets and capital over the three years 2013 - 2015, we can see that the fluctuations of assets and capital tend to decrease. Total assets and capital in 2013 were 270,518 million VND, in 2014 decreased by 4,756 million VND (equivalent to a decrease of 1.76%), in 2015 continued to decrease by 18,268 million VND (equivalent to a decrease of 6.87%). This shows that the scale of the company's production and business activities is increasingly narrowing.

About property

- Current assets account for a low proportion of the company's total assets (under 25%) and have fluctuated up and down over the past 3 years. In 2013, current assets were 58,522 million VND, in 2014 current assets decreased by 13,815 million VND (equivalent to a decrease of 23.61%) compared to 2013. In 2015, current assets increased by 3,431 million VND (equivalent to an increase of 7.67%) compared to 2014.

- Long-term assets account for a large proportion of total assets (over 75%) and have fluctuated over the past 3 years. Long-term assets in 2013 were 211,996 million VND, in 2014 long-term assets increased by 9,059 million VND (equivalent to an increase of 4.27%) compared to 2013. In 2015, long-term assets decreased by 21,699 million VND (equivalent to a decrease of 9.82%) compared to 2014.

About capital

- Liabilities: In 2014, the company's liabilities increased slightly by 1,265 million VND (equivalent to an increase of 8.74%) compared to 2013, but in 2015, it decreased sharply by 4,055 million VND (equivalent to a decrease of 25.78%) compared to 2014. In general, liabilities over the past 3 years still account for a low proportion of total capital.

- Owner's equity: The company's owner's equity has tended to decrease over the past 3 years. In 2013, the company's owner's equity was 256,053 million VND, in 2014 it decreased by 6,021 million VND (equivalent to a decrease of 2.35%) compared to 2013. In 2015 it continued to decrease.

14,213 million VND (equivalent to a decrease of 5.68%) compared to 2014. We see that the proportion of equity accounts for a large proportion and the proportion of liabilities accounts for a much lower proportion, which proves that the company has the ability to ensure financial self-sufficiency and the company's independence from creditors is high.

2.1.5. Company's business performance over the past 3 years

Table 2.3. The company's business performance over the past 3 years 2013 - 2015

Unit: Million Dong

Target

Year			Difference
2013	2014	2015	2014/2013		2015/2014
2013	2014	2015	+/-	%	+/-	%
Sales of insurance and services	54,586	59,683	63,261	5,097	9.34	3,578	6.00
Revenue deductions
Net revenue	54,586	59,683	63,261	5,097	9.34	3,578	6.00
Cost of goods sold	46,161	51,498	60,793	5,337	11.56	9,295	18.05
Gross profit	8,425	8,185	2,468	-240	-2.85	-5.717	-69.85
Financial revenue	9,433	12,428	9,884	2,995	31.75	-2.554	-20.47
Financial costs	2	6,898	2,328	6,896	344,800	-4.570	-66.25
Cost of sales
Business management costs	10,843	12,552	22,317	1,709	15.76	9,765	77.80
Net profit from operating activities	7.013	1,163	-12.293	-5.850	-83.42	-13.456	-1157.01
Other income	594	1.201	1,488	607	102.19	287	23.90
Other costs	1.104	3.023	3,408	1,919	173.82	385	12.74
Other profits	-510	-1.822	-1.920	-1.312	257.25	-97	5.38
Total profit before tax	6.503	-659	-14.213	-7.162	-110.13	-13.554	2056.75
Corporate income tax expense
Profit after tax	6.503	-659	-14.213	-7.162	-110.13	-13.554	2056.75

(Source: Accounting - Finance Department)

Comments: Through the table of the company's business results over the 3 years 2013 - 2015, we see that the company's business results have had significant fluctuations, specifically:

The company's net revenue from 2013 to 2015 tended to increase. Specifically, in 2014, net revenue increased by 5,097 million VND (equivalent to an increase of 9.34%) compared to 2013, and in 2015, net revenue increased by 3,578 million VND (equivalent to an increase of 6%) compared to 2014. This shows that the company is attracting more and more customers, the quality of service is increasingly improved and the company has made efforts to increase revenue.

Cost of goods sold: The increase (decrease) in revenue also affects the cost of goods sold. Specifically, in 2014, the cost of goods sold increased by VND 5,337 million (equivalent to an increase of 11.56%) compared to 2013 and in 2015, it increased by VND 9,295 million (equivalent to an increase of 18.05%) compared to 2014.

The company's gross profit has been on a downward trend over the past 3 years. Specifically, in 2014, gross profit decreased by 240 million VND (equivalent to a decrease of 2.85%) compared to 2013 and in 2015, it decreased sharply by 5,717 million VND (equivalent to a decrease of 69.85%). Gross profit decreased while revenue increased, showing that the company has not saved costs and cost management is not effective.

Financial revenue in 2014 increased by VND 2,995 million (equivalent to an increase of 31.75%) compared to 2013, but in 2015 it decreased by VND 2,554 million (equivalent to a decrease of 20.47%). Overall, financial revenue has not fluctuated much over the past 3 years.

The company's financial expenses have fluctuated over the past 3 years, increasing sharply in 2014 and decreasing in 2015. In 2014, financial expenses increased by VND 6,896 million (equivalent to an increase of 344,800%) compared to 2013, but in 2015, they decreased by VND 4,570 million (equivalent to a decrease of 66.25%). The sharp increase in financial expenses in 2014 was due to the company setting aside provisions for financial investments. This significantly affected the company's profits.

Business management costs have increased over the past 3 years. In 2014, business management costs increased by 1,709 million VND (equivalent to an increase of 15.76%) compared to 2013 and in 2015, they increased significantly by 9,765 million VND (equivalent to an increase of 77.80%) compared to 2014, which reduced the company's profits.

Other income and other expenses: Over the past 3 years, the company's other income and other expenses have tended to increase. In 2014, other income increased by 607 million VND (equivalent to

(equivalent to an increase of 102.19%) compared to 2013, and continued to increase by 287 million VND in 2015 (equivalent to an increase of 23.90%) compared to 2014. As for other expenses, in 2014, they increased sharply by 1,919 million VND (equivalent to an increase of 173.82%), and in 2015, they continued to increase slightly by 385 million VND (equivalent to an increase of 12.74%). These two factors caused other profits to change over the 3 years.

The company's total pre-tax profit fluctuated strongly over the past 3 years. In 2014, total pre-tax profit decreased sharply by 7,162 million VND (equivalent to a decrease of 110.13%) compared to 2013. In 2015, pre-tax accounting profit continued to decrease sharply.

13,554 million VND (equivalent to an increase of 2056.75%) compared to 2014. The main reason for the sudden decrease in total profit over the past 3 years is due to the sharp increase in the company's expenses over the past 3 years.

In summary, through the company's business results over the past 3 years, we see that the company's profits have tended to decrease sharply. Although the company has made efforts to increase revenue, it has not been effective in saving costs in the business, leading to a decrease in profits.

2.1.6. Organization of accounting work

GENERAL KT

Pay

food

KT NVL - CCDC

debt

revenue

CHIEF ACCOUNTANT

2.1.6.1. Organization of accounting apparatus

Treasurer

Cashier

Storekeeper

Materials - Supplies

Diagram 2.2. Accounting organization chart of Huong Giang Tourism Joint Stock Company

Functions and duties of the department

The Company's accounting system is organized scientifically and effectively. Each accountant is responsible for a separate part of the operation, under the direction of the chief accountant. At the same time, the combination with the cashier, warehouse, and supply departments has created a tight, accurate, and fast information collection network.

Chief Accountant : responsible for organizing accounting work in the company, assigning work to each employee in the department. Responsible for building, organizing, guiding and checking all accounting and financial work in the company, providing accounting information to the Board of Directors to develop business strategies for the company.

General Accountant : responsible for synthesizing data from accounts receivable, payment accounting, material and equipment accounting, food accounting and revenue accounting. At the end of the month, prepare accounting documents and enter them into accounting books.

Payment accounting: track cash receipts and disbursements when there are reasonable payment invoices. Track the increase and decrease of cash funds, checks and other types of cash capital at the company.

Accounting for raw materials - fixed assets: is responsible for monitoring and checking the increase and decrease of raw materials - fixed assets, fixed assets; allocating raw material - fixed assets costs; depreciation costs for each accounting period.

Food accounting: monitor and check the daily import and export of food. At the end of the month, summarize and transfer the data to the general accountant.

Revenue accounting : is responsible for tracking the company's revenue, collecting all costs incurred to calculate product costs and determine the company's business results.

2.1.6.2. Accounting forms and regimes applied at the company

 Applicable accounting form

To meet management requirements and facilitate accounting, the company applies the Voucher accounting form with the support of SMILE accounting software.

- Features of accounting software currently applied at the company:

SMILE accounting software is designed by the company with the support of software experts. Therefore, the usage characteristics are suitable for the business characteristics of the company.

company. This is a software that automates the entire accounting process, so it has the ability to automatically calculate and process the steps of the accounting process. Accountants work directly on the computer with SMILE software, which helps calculate relatively accurate data. Provide information to the board of directors promptly and completely.

Accounting documents

Financial reports Management accounting reports

- Accounting recording procedure:

ACCOUNTING SOFTWARE

ACCOUNTING BOOKS

Accounting vouchers General ledger Detailed ledger

Summary table of accounting documents of the same type

Diagram 2.3. Accounting entry sequence in computerized accounting form

Note: Enter daily data Print end of month report Compare and check

Diagram explanation:

(1) Every day, accountants, based on accounting vouchers or the Summary of accounting vouchers of the same type that have been checked, are used as the basis for recording, determining the Debit account and Credit account to enter data into the tables on the accounting software.

(2) According to the accounting software process, information is automatically entered into accounting vouchers, ledgers and related accounting books and cards.

(3) At the end of the month, the accountant performs the closing operations and prepares the financial statements. The reconciliation between the summary data and the detailed data is done automatically. Perform the operations to print the financial statements according to regulations. At the end of the month and year, the summary accounting book and the accounting book

Detailed accounting records are printed on paper, bound into books and legal procedures are carried out according to regulations on handwritten accounting books.

(4) Accountants can check and compare accounting data with printed financial statements.

Applicable accounting policies and regimes

 Annual accounting period: Starts from January 1 and ends on December 31 every year.

 Currency used: Vietnamese Dong (VND)

 Applicable accounting regime

The Company applies the corporate accounting regime in accordance with Circular 200/2014/TT-BTC dated December 22, 2014 of the Minister of Finance. The financial statements are prepared and presented in accordance with the provisions of the current applicable accounting regime.

Depreciation method: Straight-line method VAT calculation method: deduction method

Inventory accounting method: perpetual inventory method. Warehouse cost calculation method: weighted average method.

 Account system

Huong Giang Tourism Joint Stock Company is applying the accounting system issued under Decision No. 15/2006/QD-BTC dated March 20, 2006 of the Ministry of Finance. In addition, the company also opens additional detailed accounts suitable to the company's business characteristics.

2.2. Current status of revenue accounting and determination of business results at Huong Giang Tourism Joint Stock Company in 2015

2.2.1. Revenue accounting

Revenue at the company office includes ticket sales at Huyen Tran Cultural Center, premises revenue and other service revenue.

- Documents used: VAT invoices, receipts, credit notes, retail sales lists of goods and services directly to consumers, revenue summary reports.

- Accounting books: Detailed account books, accounting vouchers, ledgers.

- Account used:

At the company office, account 511 mainly uses the following detailed accounts: