This module aims to provide students with a basic knowledge in the following areas(i) Production of financial statements of a single entity(ii) Interpretation of financial statements of single entities through the use of ratios and other techniques.(iii) Production of budgets with particular reference to cash budgets(iv) Capital Investment decisions
Accounting Framework
Elements of Financial Statements including accounting principles and conventions.
Preparation of Financial Statements from Trial Balance and accompanying notes
Classification of individual amounts in the Trial Balance by reference to elements of the Financial Statements.Preparation of the Income statement and Balance Sheet of a single entity in a prescribed format from a Trial Balance and accompanying notes.Computation and adjustments for amounts by reference to "additional information to the Trial Balance" including (i) Accruals & Prepayments (ii) Non Current Assets-Depreciation straight line and reducing balance (iii) Closing inventory (iv) Bad debts write off and provision for bad/doubtful debts.
Analyses of Financial Statments
Analyses of financial statements using ratios and other techniques in relation to the Liquidity, Profitabilty, Efficiency and Owner aspects of that entity.
Cash budgets
Preparation of cash budgets of a single entity. Discuss and explain the theory behind budgeting and budgetary control in the management of the entity.
Investment appraisal techniques
Application of NPV, ARR, and PAYBACK in assessing proposed projects and comparing and contrasting the differences between them.
| Module Content & Assessment | |
|---|---|
| Assessment Breakdown | % |
| Other Assessment(s) | 30 |
| Formal Examination | 70 |