Google Links

Follow the links below to find material targeted to the unit's elements, performance criteria, required skills and knowledge

Elements and Performance Criteria

1. Access and interpret financial information.
   • Identify and use relevant business performance indicators and benchmarks for decision-making purposes.
   • Identify the range of financial information and reports required to monitor business performance effectively on a day-to-day operational management level.
   • Access and review relevant financial information at appropriate times according to organisation policy and financial reporting periods.
   • Interpret financial information correctly.
2. Apply financial information to work activities.
   • Identify financial information that applies to particular areas of work operation.
   • Review financial information in terms of its impact on day-to-day work operations and take action accordingly.
   • Share appropriate financial information with colleagues in a timely manner.

Required Skills

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

The following skills must be assessed as part of this unit critical thinking skills to evaluate financial information and determine its impact and importance for daytoday workplace operations literacy skills to interpret a wide range of business documentation numeracy skills to interpret and use financial reports

The following knowledge must be assessed as part of this unit understanding of the basic features of accounting and how it provides information for business management including charts of accounts and account categories such as assets liabilities equity cost of sales income and expense basic rules underpinning doubleentry accounting and the concept of debits and credits accrual versus cash accounting profit and loss statements and balance sheets as key financial statements used to measure business performance including their role how these reports are generated and the format features and key information an operational manager should look for reporting periods including variations different financial years observed by different businesses concept of reconciliations concept of costing including fixed and variable costs general features of computerised accounting packages including the types of packages suitable for different industry sectors overview of the financial recordkeeping process and key terminology including ledgers subsidiary ledgers and journals transactions receipts and disbursements invoices accounts payable debtors and creditors reconciliations including purpose different types of reconciliation and the impact of unpresented cheques bank charges direct debits and credits on reconciliations cash flow financial terminology used specific to different industry sectors eg average spend cover ullage and Travel Compensation Fund requirements overview of GST accounting and reporting processes for business and the impact of this on daytoday operations

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge the range statement and the Assessment Guidelines for this TrainingPackage
Critical aspects for assessment and evidence required to demonstrate competency in this unit	Evidence of the following is essential understanding of the accounting process and of key accounting terminology ability to interpret financial information and determine the relationship between the information and the performance of a business
Context of and specific resources for assessment	Assessment must ensure use of commercially realistic financial data and reports
Methods of assessment	A range of assessment methods should be used to assess practical skills and knowledge The following examples are appropriate for this unit case studies that allow the candidate to report on business performance through analysis of financial reports oral or written questions to assess knowledge and understanding of accounting concepts and terminology review of portfolios of evidence and thirdparty workplace reports of onthejob performance by the candidate Holistic assessment with other units relevant to the industry sector workplace and job role is recommended for example SITXFINA Manage finances within a budget SITXFIN004A Manage finances within a budget SITXFINA Prepare and monitor budgets SITXFIN005A Prepare and monitor budgets SITXFINA Manage financial operations SITXFIN008A Manage financial operations.
Assessing employability skills	Employability skills are integral to effective performance in the workplace and are broadly consistent across industry sectors How these skills are applied varies between occupations and qualifications due to the different work functions and contexts Employability skills embedded in this unit should be assessed holistically with other relevant units that make up the skill set or qualification and in the context of the job role

---

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 in the performance criteria is detailed below.
Financial information:	must include: source documents journal entries transaction reports account summaries and balances balance sheets profit and loss statements invoices budget reports expenditure reports (labour or non-labour) may include: trial balance receivable reports purchase summary reports stock reports variance reports wastage reports sales reports supporting reports, such as covers, occupancy rates, staff costs and units sold business activity statements labour and wages reports cash flow reports bank statements bank deposit documentation merchant statements transaction exemption reports cheque books credit card transaction statements banking summaries merchant summaries.

---