2013 AAT Accounting Qualification specification
Published October 2012

1

Level 2 Certificate in Accounting. Qualification number: 60069090 (Level 5 in Scotland)
Title (and reference number) Level Credit value Learning outcomes The learner will… 1 Understand the cost recording system within an organisation Basic Costing 2 (Level 5 in Scotland) 8 (4 knowledge and 4 skills) Assessment criteria The learner can… 1.1 K 1.2 K 1.3 K 1.4 K 1.5 K 2 Be able to use the cost recording system to record or extract data 2.1 K 2.2 K 2.3 S Explain the nature of an organisation’s business transactions in relation to its accounting systems Explain the purpose and structure of a costing system within an organisation Identify the relationship between the costing and accounting systems within an organisation Identify sources of income and expenditure information for historic, current and forecast periods Identify types of cost, profit and investment centres Explain how materials, labour and expenses are classified and recorded Explain different methods of coding data Classify and code cost information for materials, labour and expenses Classify different types of inventory as:  Raw materials  Part-finished goods (work in progress)  Finished goods Calculate inventory valuations and issues of inventory using these methods :  First in first out (FIFO)  Last in first out (LIFO)  Weighted average Use these methods to calculate payments for labour:  Time rate  Piecework rate  Bonuses Explain the nature of expenses and distinguish between fixed, variable and semi-variable overheads Calculate the direct cost of a product or service Enter income and expenditure data into a spreadsheet Explain how spreadsheets can be used to present information on income and expenditure and to facilitate internal reporting Enter budgeted and actual data on income and expenditure into a spreadsheet