Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to maintain financial records for a business. It includes maintaining daily financial records such as reconciling debtors' and creditors' systems, preparing and maintaining a general ledger, and preparing a trial balance. It also includes activities associated with monitoring cash control for accounting purposes. No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement. |
Application of the Unit
Application of the unit |
This unit applies to individuals who are skilled operators and apply a broad range of competencies in various work contexts. They may exercise discretion and judgement using appropriate theoretical knowledge of financial records to provide technical advice and support to a team. |
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Prerequisite units |
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Employability Skills Information
Employability skills |
This unit contains employability skills. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
1. Maintain daily financial records |
1.1. Correctly maintain daily financial records and in accordance with organisational requirements for accounting purposes 1.2. Identify and rectify or refer discrepancies or errors in documentation or transactions to designated persons in accordance with organisational requirements 1.3. Accurately credit and debit transactions and promptly enter into journals in accordance with organisational requirements |
2. Maintain general ledger |
2.1. Maintain general ledger in accordance with organisational requirements 2.2. Post transactions into general ledger in accordance with organisational reporting requirements 2.3. Reconcile systems for accounts payable and receivable with general ledger 2.4. Accurately prepare trial balance from general ledger in accordance with organisational requirements |
3. Monitor cash control |
3.1. Ensure cash flow is accurately accounted for in accordance with organisational requirements 3.2. Make and receive payments in accordance with organisational requirements 3.3. Collect or follow-up outstanding accounts within designated time lines 3.4. Check payment documentation for accuracy of information and despatch to creditors within designated time line |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
This section describes the skills and knowledge required for this unit. |
Required skills |
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Required knowledge |
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Evidence Guide
EVIDENCE GUIDE |
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The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. |
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Overview of assessment |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the following is essential:
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Context of and specific resources for assessment |
Assessment must ensure:
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Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
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Guidance information for assessment |
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
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Range Statement
RANGE STATEMENT |
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The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. |
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Organisational requirements may include: |
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Discrepancies may relate to: |
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Documentation may include: |
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Designated persons may include: |
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Journals may include: |
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Transactions may include: |
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Reconciling systems for accounts payable and receivable may include: |
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Payments may include: |
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Designated time lines may include: |
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Unit Sector(s)
Unit sector |
Competency field
Competency field |
Finance - Financial Administration |
Co-requisite units
Co-requisite units |
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