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Evidence Guide: SITXFIN002 - Interpret financial information

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

SITXFIN002 - Interpret financial information

What evidence can you provide to prove your understanding of each of the following citeria?

Access and interpret financial information.

  1. Identify and interpret the range of financial information and reports required to monitor business performance.
  2. Interpret financial information and reports applicable to operational or departmental activities.
Identify and interpret the range of financial information and reports required to monitor business performance.

Completed
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Teacher:
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Interpret financial information and reports applicable to operational or departmental activities.

Completed
Date:

Teacher:
Evidence:

 

 

 

 

 

 

 

Use and provide financial information.

  1. Review financial information for impacts on operational activities and resolve discrepancies according to own level of responsibility.
  2. Routinely provide information on operational or departmental financial activities within required timelines.
Review financial information for impacts on operational activities and resolve discrepancies according to own level of responsibility.

Completed
Date:

Teacher:
Evidence:

 

 

 

 

 

 

 

Routinely provide information on operational or departmental financial activities within required timelines.

Completed
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Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Access and interpret financial information.

1.1.Identify and interpret the range of financial information and reports required to monitor business performance.

1.2.Interpret financial information and reports applicable to operational or departmental activities.

2. Use and provide financial information.

2.1.Review financial information for impacts on operational activities and resolve discrepancies according to own level of responsibility.

2.2.Routinely provide information on operational or departmental financial activities within required timelines.

Required Skills and Knowledge

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Access and interpret financial information.

1.1.Identify and interpret the range of financial information and reports required to monitor business performance.

1.2.Interpret financial information and reports applicable to operational or departmental activities.

2. Use and provide financial information.

2.1.Review financial information for impacts on operational activities and resolve discrepancies according to own level of responsibility.

2.2.Routinely provide information on operational or departmental financial activities within required timelines.

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

correctly complete each of the following financial information documents or reports used to monitor overall business performance:

account summaries and balances

balance sheets

bank deposit documentation

bank statements

banking summaries

business activity statements

credit card transaction statements

invoices

journal entries

merchant statements

merchant summaries

profit and loss statements

trial balance

provide financial information using correct financial terminology on six different operational or departmental financial activities listed in the knowledge evidence.

Demonstrated knowledge required to complete the tasks outlined in elements and performance criteria of this unit:

specific industry sector and organisation:

financial terminology specific to financial report

reporting periods and different financial years observed by different businesses

key features and functions of accounting software programs used to manage financial operations

use of financial information and reports in monitoring overall business performance

operational or departmental financial activities relevant to the sector:

average customer spend

daily, weekly and monthly transactions

departmental expenditure on:

labour

stock purchased

wastage

departmental income:

covers and gross income

commission earnings

occupancy and gross income

sales

outstanding accounts:

payable

receivable

quotations realised to sales

sales performance

stock levels

variance from budget

types of financial reports and their purpose:

budgets

cash flow

covers

expenditure

labour and wages

occupancy rates

purchases

receivables

sales

stock

transactions

transactions exempted

units sold

variance

wastage

key elements of financial record-keeping and key terminology:

ledgers, subsidiary ledgers and journals

transactions, receipts and disbursements

invoices, accounts payable, debtors and creditors

cash flow

key elements of accounting and how it provides information for business management:

charts of accounts and account categories

basic rules for double-entry 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:

purpose

how these reports are generated

format

features

key information

reconciliations:

purpose

different types of reconciliation, and the impact of unpresented cheques

bank charges

direct debits and credits

concept of costing, and fixed and variable costs

accounting for and reporting goods and services tax (GST).