Annex: skills in accounting
In relation to the knowledge and understanding outlined in the subject content for A-level Accounting, students need to have acquired competence in the following skills:
- record transactions using double entry bookkeeping, verify the accuracy of the bookkeeping and correct any errors
- prepare financial statements for sole traders and limited companies, including recording adjustments, by applying knowledge of accounting concepts
- calculate and interpret accounting ratios
- analyse and evaluate business performance using accounting techniques to interpret financial information
- develop a logical and methodical approach to problem solving through the analysis and evaluation of financial and management information
- prepare, analyse and evaluate budgets including the calculation and interpretation of variances
- prepare information using costing techniques to enable managers to make decisions
- present and communicate accounting information, numerically, graphically and in written form, so that it can be understood by non-accountants and can be used by stakeholders for decision making purposes
- analyse and evaluate projects through the application of capital investment appraisal measures
- prepare financial statements for businesses with incomplete records
- prepare financial statements for partnerships
- prepare information to enable managers to plan, control and make decisions using a range of accounting techniques such as: absorption costing, activity based costing and standard costing
- evaluate the benefits and limitations of management accounting systems and techniques in providing information to enable managers to plan, control and make decisions
- prepare statements of cash flow
- evaluate the benefits and limitations of financial reporting in communicating information to a range of stakeholders to enable them to reach informed opinions about the organisation
- analyse situations to identify ethical considerations and suggest appropriate actions.
These skills may be assessed across the assessment objectives.
