This section describes the essential skills and knowledge and their level required for this unit

Required skills

determine most appropriate appraisal methods

identify and analyse current market trends and positions

interact with clients and resolve their concerns and issues

obtain information relevant to appraising a business and provide information on the appraisal process and final appraisal

reading skills to access and interpret a variety of information relating to appraising a business and relevant information regarding legislative requirements

relate to people from a range of social cultural and ethnic backgrounds and of varying physical and mental abilities

select and use appropriate technology

Required knowledge and understanding

agencys business structure

basic accounting principles such as double entry bookkeeping and accrual accounting

interpretation of financial data and reports including comparative balance sheets budget sheets and profit and loss statements

mechanisms to obtain and analyse client comments and feedback

organisations policy and procedures for client service including ethical behaviour and listing procedures

principles and techniques for checking and validating financial statements and the ownership and status of a business and associated plant and equipment

principles and techniques for communicating concerns to clients

relevant federal and state or territory legislation and local government regulations related to

antidiscrimination

business operation and listings especially in regard to franchises and business structures and the sale and appraisal of businesses

consumer protection

environmental issues

equal employment opportunity

financial probity

industrial relations

OHS

service standards and agency requirements

strategies for planning and monitoring appraisal activities

types of appraisal methodologies principles and techniques for valuing a business and benefits and limitations of each for a variety of business types

Overview of assessment

This unit of competency could be assessed through practical demonstration of appraising a business Targeted written including alternative formats where necessary or verbal questioning to assess the candidates underpinning knowledge would provide additional supporting evidence of competence The demonstration and questioning would include collecting evidence of the candidates knowledge and application of ethical standards and relevant federal and state or territory legislation and regulations This assessment may be carried out in a simulated or workplace environment

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

A person who demonstrates competency in this unit must be able to provide evidence of

analysing the business and associated plant and equipment and finances as they relate to appraising a business

clarifying concerns and communicating with clients to enable the appraisal process and resolve complications

documenting agreements and distributing relevant documents and information to clients and other relevant internal and external parties

knowledge of agency practice ethical standards and legislative requirements associated with appraising a business

preparing and structuring advice on the appraisal process

Context of and specific resources for assessment

Resource implications for assessment include

access to suitable resources and simulated or real opportunities to demonstrate competence

assessment instruments that may include personal planner and assessment record book

access to a registered provider of assessment services

Where applicable physical resources should include equipment modified for people with disabilities

Access must be provided to appropriate learning andor assessment support when required

Assessment processes and techniques must be culturally appropriate and appropriate to the language and literacy capacity of the candidate and the work being performed

Validity and sufficiency of evidence require that

competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace

where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the persons competence

all assessment that is part of a structured learning experience must include a combination of direct indirect and supplementary evidence

where assessment is for the purpose of recognition RCCRPL the evidence provided will need to be current and show that it represents competency demonstrated over a period of time

assessment can be through simulated projectbased activity and must include evidence relating to each of the elements in this unit

In all cases where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions and will reflect the requirements of the competency and the work being performed

Appropriate information may be obtained from sources such as:

Legislative and agency requirements may relate to:

Business technology may include:

Market information may include:

Financial data may include:

Source and occupancy documents may relate to:

Associated components may include:

Appraisal practices may include:

Market-related pricing structures may relate to:

Feedback may include:

Recommendations may relate to:

Appraised price refers to a realistically determined buying or selling price that takes account of:

Conclusions and recommendations may relate to:

Records and documentation may include: