Unit of competency details

Unit descriptor 

This unit describes the performance outcomes, skills and knowledge required to prepare financial reports for a reporting entity and encompasses compiling and analysing data and meeting statutory reporting requirements.

This unit has application to a variety of financial services sectors and is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements so the varying Commonwealth, State or Territory requirements should be confirmed with the relevant body.

Application of the unit 

The unit has application to any job roles that have responsibility for producing financial reports for corporate entities.

Prerequisite units 

Employability skills 

This unit contains employability skills.

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.

ELEMENT 

PERFORMANCE CRITERIA 

1. Compile data

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

1.2. Conversion and consolidation procedures  are used to compile data in accordance with organisational policies and procedures 

1.3. Valuations in compliance with relevant accounting standards are recorded

1.4. Effects of taxation are identified and recorded

2. Prepare reports

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

2.2. Structure and format of reports  are clear and conform to statutory requirements  and organisational procedures

2.3. Statements and data are error free, comprehensive and comply with statutory requirements and organisational procedures

REQUIRED SKILLS AND KNOWLEDGE 

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

Required skills 

• communication skills to:

• determine and confirm reporting requirements
• liaise with others, share information, listen and understand
• use language and concepts appropriate to cultural differences

• research and analysis skills for accessing, analysing and managing financial services information
• literacy skills for preparing clear written reports for organisations and business units in required formats
• numeracy skills for financial calculations and analysis, estimating and forecasting
• IT skills for developing and integrated financial systems, using spreadsheets and databases and accessing internet information
• learning skills to maintain knowledge of reporting statutory requirements and procedures
• problem solving skills to identify any reporting issues that have the potential to impact on organisations and to develop options to resolve these issues when they arise
• organisational skills, including the ability to plan and sequence work and correctly schedule reporting

Required knowledge 

• current business taxation requirements
• current financial legislation including:

• taxable transactions
• reporting requirements

• ethical considerations such as:

• conflict of interests
• confidentiality
• disclosure requirements

• integrated computerised accounting systems
• methods and formats of presenting financial data
• options, methods and practices for recording and reporting deductions, benefits and depreciation
• organisational guidelines and procedures
• principles of double-entry bookkeeping and accrual accounting
• relevant business legal requirements

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 apply organisational policies and procedures and relevant accounting standards
• comply with relevant statutory requirements
• access and accurately compile data and prepare reports.

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
• verbal or written questioning on underpinning knowledge and skills which may include formal examinations
• setting and reviewing workplace projects and business simulations
• evaluating samples of work
• accessing and validating third party reports.

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:

• financial and operational statements and reports such as:

• expenditures and receipts
• profit and loss statements

• market valuations
• share and debenture issues

Accounting standards  may include:

• Australian Accounting Standards
• Australian Accounting Standards Board (AASB) requirements.

Conversion and consolidation procedures  may include:

• consolidation of a wholly owned subsidiary
• purchase of the business by a company.

Organisational policies and procedures  may include:

• accounting procedures manuals
• ethical requirements
• reporting requirements.

Formats of reports  may include:

• cash flow statements
• electronic forms
• financial year reports
• statements of financial performance
• statements of financial position
• statutory forms.

Statutory requirements  may include:

• delegated authorities
• reporting periods
• taxation payment timings.

Unit sector 

Accounting

Competency field 

Co-requisite units