Unit of competency details
BSBFIN401 - Report on financial activity (Release 1)
Summary
Usage recommendation:
Current
Releases:
| 1 1 (this release) |
19/Oct/2020 |
Companion volumes:
Unit of competency
Assessment requirements
Training packages that include this unit
Qualifications that include this unit
Skill sets that include this unit
Accredited courses that have this unit in the completion mapping
Classifications
Classification history
| ASCED Module/Unit of Competency Field of Education Identifier | 080101 | Accounting | 17/Dec/2020 | |
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Unit of competency
Modification History
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Release
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Comments
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Release 1
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This version first released with BSB Business Services Training Package Version 7.0.
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Application
This unit describes skills and knowledge required to prepare financial reports in line with statutory reporting requirements. This includes compiling and analysing financial data.
The unit applies to individuals employed in a range of work environments who are responsible for preparing financial reports. They may be individuals providing administrative support within an organisation, or they might have responsibility for these tasks in relation to their own workgroup or role.
No licensing, legislative or certification requirements apply to this unit at the time of publication.
Unit Sector
Business Competence – Financial Literacy
Elements and Performance Criteria
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ELEMENT
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PERFORMANCE CRITERIA
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Elements describe the essential outcomes.
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Performance criteria describe the performance needed to demonstrate achievement of the element.
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1. Compile and analyse financial data
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1.1 Prepare a register of assets from fixed asset transactions according to accounting, legislative and organisational requirements
1.2 Calculate depreciation according to legislative and organisational requirements
1.3 Make, record and disclose asset and liability valuations in compliance with accounting standards
1.4 Refer discrepancies, unusual features or queries to appropriate authority where they cannot be resolved
1.5 Identify and record effects of taxation
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2. Report general journal entries for balance day adjustments
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2.1 Record all general ledger accounts and prepare a trial balance
2.2 Adjust expense accounts and revenue accounts for prepayments and accruals
2.3 Make adjustments in general ledger system to close any discrepancies for balance day adjustments according to organisational policies, procedures and accounting requirements
2.4 Review data for errors and compliance with statutory requirements and organisational procedures, and amend as required
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3. Prepare end of period financial reports
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3.1 Prepare revenue statement for reporting periods according to organisational requirements
3.2 Prepare a balance sheet to reflect financial position of business at end of reporting period
3.3 Prepare and post revenue and expense account to final general ledger accounts to reflect gross and net profits for reporting period
3.4 Correct or refer errors for resolution according to statutory and ethical requirements and organisational procedures
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Foundation Skills
This section describes those language, literacy, numeracy and employment skills that are essential to performance but not explicit in the performance criteria.
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Skill
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Description
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Numeracy
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- Establishes criteria and categories for financial management purposes and monitors activities on a regular basis
- Uses a wide range of mathematical calculations to interpret and arrange numerical information in order to comply with requirements
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Reading
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- Compares and analyses information from a range of sources varying in complexity to determine and complete financial requirements
- Checks documents for errors or discrepancies
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Writing
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- Records data using relevant format, structure and vocabulary
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Planning and organising
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- Applies legislation, industry standards and organisational policies and procedures in the conduct of own work
- Uses formal and logical processes to plan and complete tasks, achieving timelines and organisational requirements
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Problem solving
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- Addresses problems in the context of own work and seeks advice from others, as necessary
- Uses analytical skills to identify discrepancies
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Technology
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- Uses digital technology to access, filter, compile, integrate and logically present complex information from multiple sources
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Unit Mapping Information
No equivalent unit. Supersedes but is not equivalent to:
- BSBFIA401 Prepare financial reports
- BSBFIA412 Report on financial activity
- BSBFIA501 Report on finances related to international business
- BSBINT408 Prepare business advice on the taxes and duties for international trade transactions.
Links
Companion Volume Implementation Guide is found on VETNet - https://vetnet.gov.au/Pages/TrainingDocs.aspx?q=11ef6853-ceed-4ba7-9d87-4da407e23c10
Assessment requirements
Modification History
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Release
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Comments
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Release 1
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This version first released with BSB Business Services Training Package Version 7.0.
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Performance Evidence
The candidate must demonstrate the ability to complete the tasks outlined in the elements, performance criteria and foundation skills of this unit, including evidence of the ability to:
- prepare a financial report on at least two occasions.
In the course of the above, the candidate must:
- produce a detailed asset register and depreciation schedule
- record entries for balance day adjustments
- use conversion and consolidation procedures including moving averages, standardised variables, trend analysis and unit costs
- apply double-entry principles and accrual accounting.
Knowledge Evidence
The candidate must be able to demonstrate knowledge to complete the tasks outlined in the elements, performance criteria and foundation skills of this unit, including knowledge of:
- double-entry and accrual principles
- provisions of relevant legislation, regulations, standards and codes of practice relevant to financial operations, taxable transactions and reporting requirements
- components of organisational accounting systems
- organisational policies, procedures and accounting standards relating to preparation of financial reports
- organisational financial data, including:
- budget variances
- budgets and forecasts
- cash flow and profit reports
- balance sheets
- financial year reports
- operating statements
- expenditure and receipts
- profit and loss statements
- types of assets including property, plant and equipment
- comparative financial performance
- financial discrepancies including:
- absence of auditable trail
- expenditure report mismatches
- incorrect payments and unreconciled cash flows
- techniques used for financial forecasting and analysis
- options, methods and practices for deductions, benefits and depreciations
- ethical requirements associated with preparing financial reports for corporate entities, including conflict of interest, confidentiality, and disclosure requirements
- industry-standard methods and formats used to present financial data.
Assessment Conditions
Skills in this unit must be demonstrated in a workplace or simulated environment where the conditions are typical of those in a working environment in this industry.
This includes access to:
- accounting software
- financial reporting legislation, regulations, standards and codes of practice
- samples of financial data, reports and documents
- workplace reference materials including procedural manuals and company policies.
Assessors of this unit must satisfy the requirements for assessors in applicable vocational education and training legislation, frameworks and/or standards.
Links
Companion Volume Implementation Guide is found on VETNet - https://vetnet.gov.au/Pages/TrainingDocs.aspx?q=11ef6853-ceed-4ba7-9d87-4da407e23c10
