Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to collect and analyse information and apply sound accounting principles to the development and ongoing management of a budget for a small organisation or section of a large organisation. 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 may apply to job roles dealing with budgetary control in a range of organisations. |
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. Plan for and collect information for a budget |
1.1. Areas for which the budget is being prepared are determined and confirmed with appropriate personnel, and data required for development of the budget are identified, accessed and analysed 1.2. Budget parameters are determined with estimates based on research, consultation and negotiating with appropriate personnel 1.3. Relevant colleagues are provided with the opportunity to contribute to the budget planning process |
2. Develop budget |
2.1. Budget is drafted based on analysis of all available information in accordance with organisation policy 2.2. Income and expenditure estimates are identified and supported by reliable information and the draft budget circulated for comment |
3. Finalise budget and allocate resources |
3.1. Modifications to the budget are agreed and incorporated as required and a final budget provided to the appropriate personnel 3.2. Personnel affected by the budget are informed and its application to the area in which they work in terms of limits and goals, financial management and reporting responsibilities clarified 3.3. Priorities within the budget are agreed and resources allocated |
4. Monitor and control budget |
4.1. Actual income and expenditure are checked against budget at regular intervals with budget reports prepared and presented to appropriate personnel 4.2. Deviations and response to the deviations are identified and appropriate action taken with appropriate personnel advised on budget status |
5. Complete financial and statistical reports |
5.1. All required financial and statistical reports are completed accurately within designated timelines 5.2. Recommendations about future financial planning are made as appropriate 5.3. Reports are clearly presented and checked for accuracy and provided to appropriate personnel |
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 ability to:
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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, in combination, are appropriate for this unit:
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Guidance information for assessment |
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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Areas may include: |
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Budget will normally: |
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Data will include, but is not restricted to, information relating to: |
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Budget parameters include: |
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Relevant colleagues include: |
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Income and expenditure includes: |
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Financial and statistical reports include: |
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Unit Sector(s)
Unit sector |
Organisational skills |
Competency field
Competency field |
Co-requisite units
Co-requisite units |
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