Unit Aims :
The aim of this unit is to develop learners’ skills in preparing financial statements for a variety of organisations using a range of techniques, and that comply with legal and regulatory requirements.
1. Understand accounting concepts and conventions.
- Explain the aims of financial and management accounting and accounting regulations.
- Explain the main types of business and accounting information and their features.
- Evaluate the role of different users of accounting and financial information. .
2. Be able to prepare financial statements for sole traders, partnerships and limited firms from ledger accounts and incomplete records.
- Prepare books of original entry
- Prepare trial balance information to enter to final account
- Construct final accounts including cash flow statements.
- Make adjustments for bookkeeping and final accounts.
3. Be able to evaluate financial performance.
- Calculate a range of financial ratios.
- Categorise financial ratios.
- Evaluate financial performance using ratios.
4. Understand the UK Regulatory Framework for accountancy and finance.
- Summarise the main features of the UK regulatory framework.
- Evaluate the impact of international regulations on UK organisations.