Unit of competency details

FNSACC404A - Prepare financial statements for non-reporting entities (Release 1)


Usage recommendation:
Is superseded by and equivalent to FNSACC404 - Prepare financial statements for non-reporting entitiesUpdated to meet Standards for Training Packages 24/Mar/2015
Supersedes and is equivalent to FNSACCT405B - Prepare financial statementsUpdated content plus new unit format and code changed to retain sequence of unit group 23/Nov/2010

ReleaseRelease date
1 1 (this release) 24/Nov/2010


SchemeCodeClassification value
ASCED Module/Unit of Competency Field of Education Identifier 080101 Accounting  

Classification history

SchemeCodeClassification valueStart dateEnd date
ASCED Module/Unit of Competency Field of Education Identifier 080101 Accounting  24/Nov/2010 
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Modification History

Not applicable.

Unit Descriptor

Unit descriptor 

This unit describes the performance outcomes, skills and knowledge required to develop a range of commonly required financial reports for entities that do not have a statutory duty to file financial reports with government agencies and regulators.

This unit may apply to job roles subject to licensing, legislative, regulatory or certification requirements so Commonwealth, State or Territory requirements should be confirmed with the relevant body.

Application of the Unit

Application of the unit 

This unit can be applied across all sectors of the financial services sector.

Licensing/Regulatory Information

Not applicable.


Prerequisite units 

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



1. Compile data

1.1. Data  is systematically coded, classified and checked for accuracy and reliability in accordance with organisational policies and procedures 

1.2. Internal and external financial data is checked to ensure consistency and accuracy

2. Prepare reports

2.1. Charts, diagrams and supporting data are presented in an appropriate manner

2.2. Reports are prepared following a clear and appropriate structure and format  and to conform with organisation  requirements

2.3. Statements and data are error free and comprehensive with the full report cross-checked against original data and accounting standards

2.4. Any necessary corrections are made and verified and authorised by relevant persons 

Required Skills and Knowledge


This section describes the skills and knowledge required for this unit.

Required skills 

  • communication skills to:
  • determine and confirm report requirements, using questioning and active listening as required
  • liaise with others, share information, listen and understand
  • use language and concepts appropriate to cultural differences
  • literacy skills to:
  • read and interpret documentation from a variety of sources
  • read and interpret financial statements and reports
  • well-developed writing skills for preparing reports and recommendations, recording and classifying financial information
  • numeracy skills for financial calculations and analysis
  • IT skills for setting up and analysing spreadsheets
  • estimating, forecasting and analysis skills
  • organisational skills, including the ability to plan and sequence work and meet organisational timelines

Required knowledge 

  • ethical considerations for the handling of financial matters including conflict of interests
  • financial legislation including for:
  • taxable transactions
  • reporting requirements
  • forecasting and analysis techniques
  • methods of presenting financial data
  • options, methods and practices for deductions, benefits and depreciations
  • organisational guidelines and procedures
  • principles of double-entry bookkeeping and accrual accounting

Evidence Guide


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.

Overview of assessment 

Critical aspects for assessment and evidence required to demonstrate competency in this unit 

Evidence of the ability to:

  • interpret and comply with organisational policies and procedures
  • access, analyse and compile relevant financial data
  • draft comprehensive and accurate reports and financial statements.

Context of and specific resources for assessment 

Assessment must ensure:

  • competency is demonstrated in the context of the financial services work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
  • access to and the use of a range of common office equipment, technology, software and consumables.

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:

  • evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency
  • simulated tasks involving preparation of reports from supplied data
  • verbal or written questioning on underpinning knowledge and skills
  • evaluating samples of work.

Guidance information for assessment 

Range Statement


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.

Data  may include:

  • budgets and forecasts
  • financial and operational statements and reports:
  • expenditures and receipts
  • statements of financial performance.

Organisational policies and procedures  may include:

  • financial management manuals
  • recording and filing systems
  • reporting requirements
  • standard financial analysis techniques.

Report types and formats  may include:

  • cash statements
  • electronic forms
  • financial year reports
  • operating statements such as statements of financial performance
  • spreadsheets
  • statements of financial position.

Organisations  may include:

  • not for profit
  • partnerships
  • sole traders.

Relevant persons  may include:

  • registered tax agents.

Unit Sector(s)

Unit sector 


Competency field

Competency field 

Co-requisite units

Co-requisite units