Report on financial activity

This unit describes the performance outcomes, skills and knowledge required to report financial activity for business both in response to client requests and to meet statutory requirements such as the completion of statutory requirement reports. No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.


This unit applies to individuals with a broad knowledge of financial activities who contribute financial skills and knowledge to address reporting requirements of clients and legal authorities. They may have responsibility to provide guidance or to delegate aspects of these tasks to others.

Elements and Performance Criteria



1. Compile financial information and data

1.1. Collect, evaluate and code current financial data to ensure consistency, quality and accuracy in accordance with organisational requirements

1.2. Use conversion and consolidation procedures to compile analysis in accordance with organisational requirements

1.3. Make, record and disclose asset and liability valuations in accordance with organisational requirements

1.4. Ensure that discrepancies, unusual features or queries are identified, resolved or referred to the appropriate authority

2. Prepare statutory requirement reports

2.1. Correctly record income and expenditure to ensure compliance with statutory requirements

2.2. Calculate liabilities for tax in accordance with current legislation and revenue gathering practices

2.3. Correctly identify relevant receipts, revenue documentation and payments

2.4. Ensure that statements and claims take full advantage of available benefits and allowances in accordance with statutory requirements

2.5. Submit statutory requirement reports to appropriate authorities within stated deadlines

3. Provide financial business recommendations

3.1. Ensure that recommendations are logically derived and supported by evidence in report

3.2. Provide recommendations to propose constructive actions to enhance the effectiveness and efficacy of functions and services

3.3. Ensure recommendations are concise and facilitate direction and control of organisation's operations

3.4. Identify and prioritise significant issues in statements including comparative financial performances for review and decision making

3.5. Ensure structure and format of reports are clear and conform to organisational and statutory requirements

Required Skills

Required skills

literacy skills to identify financial information and the organisation's accounting procedures, and to create financial reports

problem-solving skills to deal with a defined range of predictable problems

decision making skills to make routine decisions

numeracy skills to calculate data and to reconcile figures.

Required knowledge

key provisions of relevant legislation from all levels of government that may affect aspects of business operations, such as:

anti-discrimination legislation

ethical principles

codes of practice

privacy laws

financial legislation

occupational health and safety (OHS)

principles of double entry bookkeeping and accrual accounting

techniques for forecasting and analysis

Federal government taxes and charges

options, methods and practices for deductions, benefits and depreciations.

Evidence Required

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

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

Evidence of the following is essential:

organising financial data to highlight relevant features

presenting financial data in comprehensive format

completing Business Activity Statements

knowledge of relevant legislation.

Context of and specific resources for assessment

Assessment must ensure:

access to an actual workplace or simulated environment

access to office equipment and resources

examples of financial data, reports and documents.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate

review of income and expenditure records

analysis of responses to case studies and scenarios

demonstration of techniques

review of tax liabilities calculations

oral or written questioning to assess knowledge of principles of double entry bookkeeping and accrual accounting

assessment of recommendations provided proposing constructive actions to enhance the effectiveness and efficacy of functions and services.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

general administration units

other financial administration units.

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, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Financial data may include:

Australian Bureau of Statistics (ABS) economic data

budget variances

budgets and forecasts

cash flow/profit reports

financial markets monitoring services (e.g. Reuters)

financial/operational statements and reports (e.g. expenditures and receipts, profit and loss statements)

market valuations

Organisational requirements may include:

financial analysis assessments

financial management manuals

legal and organisational policies, guidelines and requirements

OHS policies, procedures and programs

price and exchange parameters

quality assurance and/or procedures manuals

recording and filing systems

reporting requirements

standard financial analysis techniques

Conversion and consolidation procedures may include:

moving averages


standardised variables

trend analysis

unit costs

Discrepancies may include:

absence of auditable trail

expenditure report mismatches

inappropriate authorisations

incorrect payments

incorrect report formats

unreconciled cash flows and operating statements

variances from budget and phasings

Statutory requirements may include:

delegated authorities

internal control procedures

reporting periods

taxation payment timings

Revenue gathering practices may include:

billing schedules

fees and charges



lending and financing


Revenue documentation may include:


cash received

debit notes



sales proceeds

Available benefits and allowances may include:



interest payments

sales tax deductions

Stated deadlines may include:

annual reports

lodgement dates

monthly returns

payment schedules

Recommendations may include:

cash flow






Evidence may include:

budgetary analysis

forecasts and estimates

order and supplier documentation

returns on investments

taxation and statutory returns

Significant issues may include:

cost structures

internal controls

losses and returns


statutory obligations


Format of reports may include:

balance sheets

cash flow statements

electronic forms

financial year reports

operating statements


statutory forms


Unit sector

Competency Field

Finance - Financial Administration

Employability Skills

This unit contains employability skills.

Licensing Information

Not applicable.