EXTENSIONS POLICY: THE UNIVERSITY POLICY ON EXTENSIONS OF TIME WILL BE STRICTLY ENFORCED. EXTENSIONS WILL USUALLY ONLY BE CONSIDERED IF MADE VIA THE ONLINE SYSTEM AND BASED ON MEDICAL OR COMPASSIONATE GROUNDS
EXTENSIONS POLICY: THE UNIVERSITY POLICY ON EXTENSIONS OF TIME WILL BE STRICTLY ENFORCED. EXTENSIONS WILL USUALLY ONLY BE CONSIDERED IF MADE VIA THE ONLINE SYSTEM AND BASED ON MEDICAL OR COMPASSIONATE GROUNDS
Format: One file in .doc or .docx (MSWord) format.
Submissions in any other file format (e.g. .zip) will be treated as a non-submission.
Word limit: 2000-3000 words
Due date extended: Week 8 Thursday (04-May-2017) 05:00 PM AEST
Return to students: Week 11 Friday (26-May-2017)
Extensions policy:
The university policy on extensions of time will be strictly enforced. Extensions will usually only be considered if made via the online system and based on medical or compassionate grounds. Any extension application should be made before the due date for submission. Medical conditions should be supported by a medical certificate, and, since students are expected to start the assignment early, temporary or last-minute conditions are usually not grounds for an extension. Professionals are expected to manage their time to meet their obligations, so work or personal commitments are insufficient grounds for an extension.
Plagiarism:
The university’s plagiarism policy will also be strictly enforced. If plagiarism is found, a minimum penalty is likely to be zero marks for the assessment. It could be worse.
QUESTION 1: 20 marks, 20% of the subject
Australian citizen and tech genius, Marty Goodson, set up “Planks Pty Ltd”, a tech business in Silicon Valley USA in 2012 developing new platforms for web designers and companies throughout the world. He incorporated the company in the USA and issued five shares to himself and five shares to five of his friends. His friends now reside in the US, Europe, Asia, Australia, and New Zealand. Each share was worth $100,000. Marty and his team used the $1,000,000 equity capital to develop a successful tech company in only a few years.
During the 2012/2013 financial year, Marty’s income was $100,000, and he did not return to Australia. During the 2013/2014 financial year, Marty’s income was $200,000 and he returned to Australia during the Christmas period for four weeks to spend time with his mother, father, and sister. His sister and her husband live in his residential home rent free. He met with his accountant to discuss the status of his three commercial investment properties in Brisbane, Sydney, and Melbourne. He also attended a friend’s birthday party and fell in love. During the 2014/2015 financial year, Marty’s income was $400,000 and he returned to Australia from the 1st September to the 1st April to spend time with his girlfriend. During the 2015/2016 financial year, Marty earned $100,000 before he returned to Australia permanently to marry the love of his life and start a family.
During the 2012/2013 financial year, Marty was the sole director and made all the management decisions for the company. The company made $1,000,000 profit. During the 2013/2014 financial year, the company expanded and the shareholders appointed a board of directors who all reside in the USA. However, it was widely assumed by the staff that Marty still made all the important decisions. The company made $10,000,000 profit. During the 2014/2015 financial year, Marty was appointed managing director. From 1st September to the 1st April, Marty made all his management decisions from Australia, and carried out all associated business activities such as signing contracts, and trading Platforms from Australia. The company made $25,000,000 profit. During the 2015/2016 financial year, Marty resigned as managing director, sold his shares to another tech company for $50,000,000, and returned to Australia a very rich man. The company made $50,000,000 profit.
Solve the following issues:
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