A. The context and purpose of financial reporting
1. The reasons for and objectives of financial
reporting
2. Users’ and stakeholders’ needs
3. The main elements of financial reports
4. The regulatory framework
B. The qualitative characteristics of financial
information and the fundamental bases of
accounting
1. The qualitative characteristics of financial
reporting
2. Alternative bases used in the preparation of
financial information
C. The use of double-entry and accounting
systems
1. Double-entry book-keeping principles including
the maintenance of accounting records and
sources of information
2. Ledger accounts, books of prime entry and
journals
3. Accounting systems and the impact of
information technology on financial reporting
D. Recording transactions and events
1. Sales and purchases
2. Cash
3. Stock
4. Tangible fixed assets
5. Depreciation
6. Intangible fixed assets and amortisation
7. Accruals and prepayments
8. Debtors and creditors
9. Provisions and contingencies
10. Capital structure and finance costs
E. Preparing a trial balance
1. Trial balance
2. Correction of errors
3. Control accounts and reconciliations
4. Bank reconciliations
5. Suspense accounts
F. Preparing basic financial statements
1. Balance sheets
2. Profit and loss accounts
3. Events after the balance sheet date
4. Accounting for partnerships
5. Cash flow statements (excluding partnerships)
6. Incomplete records