Course content

Level 2

Topic 1 - Underpinning Knowledge

• Understand the importance of adhering to a code of professional ethics
• Understand the legal differences between the structure of different types of businesses
• Understand the specific accounting requirements for different accounting systems
• Understand the basic accounting concepts
• Understand the importance of legislation that applies to bookkeepers
• Understand the importance of the Chart of Accounts
• Understand the importance of IT systems in a modern bookkeeping world
• Understand the basic principles involved in double entry bookkeeping including the format of the accounting equation
• Identify the various methods of payment and receipts to and from a bank account

Topic 2 - Prepare Business Documents

• Understand the purpose and range of business documents
• Understand the need to accurately prepare business documents for goods and services supplied
• Understand the need to check business documents received

Topic 3 - Accounting for VAT

• Understand the various rates of VAT
• Understand how to correctly account for VAT in a bookkeeping system
• Understand how to account for VAT transactions with customers in, and suppliers from, other countries

Topic 4 - Entering transactions

• Understand the purpose of, and making entries into, a bookkeeping system
• Calculate the value of equity
• Understand how to upload and match bank transactions
• Understand the use of control accounts in the system
• Understand the purpose and need to record petty cash
• Post appropriate journal entries into the system

Topic 5 - Reconciliation and Reporting

• Understand the purpose and use of the trial balance
• Reconcile relevant account balances
• Understand the need to correct errors
• Produce relevant reports

Level 3

Topic 1 - Underpinning knowledge

• Understand the importance of adhering to a code of ethical principles
• Understand when and how to take appropriate action to cope with unethical behaviour
• Understand the legal differences between the structures of various types of businesses
• Understand the main accounting concepts that apply
• Understand the various Accounting Standards that are applied to the production of year end accounts
• Understand the different VAT schemes that are available for use
• Understand the importance of being able to clearly communicate relevant information
• Understand the requirements for uploads to HMRC under Making Tax Digital (as and when introduced)

Topic 2 - Reconcile Accounts and Correct Errors

• Reconcile debtors and creditors control accounts
• Write off a bad debt
• Correct errors in the accounts

Topic 3 - Reconcile and Produce a VAT return

• Reconcile the VAT account
• Complete a VAT return

Topic 4 - Calculate and Post Adjustments to the Accounts

• Account for the disposal of fixed assets
• Understand the need to allow for, and be able to post, adjustments to the accounts
• Provide for revaluation of assets

Topic 5 - Produce draft final accounts for internal management purposes

• Prepare a set of final accounts suitable for internal management purposes
• Calculate and post relevant amounts to appropriate profits as required
• Adjust capital share of partners

Topic 6 - Interpretation of financial statements

• Understand the importance of interpreting financial statements for internal management purposes
• Analyse and interpret financial statements
• Prepare a cash budget