ICB LEARNERSHIP
SAQA Qualification ID No. 36213
FASSET Learnership Code 01/Q010022/28/251/5
National Diploma: Technical Financial Accounting
PRACTICAL TRAINING RECORD (LOGBOOK)
Name of Learnerand ICB Student Number
Name of Workplace Provider and Accreditation Number
Name of Training Provider and Accreditation Number
Purpose of the Practical Training Record (Logbook):
To make the assessment process more manageable for both Learner and Assessor, the unit standards have been adapted into 28 units (learning outcomes). Each unit, with its component assessment criteria, have been included in this Logbook. It is to be completed by the Learner and is vital to the assessment process as it indicates the progress that the learner is making towards meeting all the assessment criteria. After successfully completing each unit of this Logbook the learner will be ready to be assessed against all the outcomes for that unit and the relevant SAQA unit standard. The Logbook contains exactly the same tasks, questions and assessment criteria as the Assessment Record that will be completed by the Assessor during each assessment session.
This blank Logbook must be split up and filed in the front of every section (unit) of the learner’s Portfolio of Evidence. Then (in stages during the year) the Learner must complete the ‘PoE Reference’ column, fill in the timing and completion dates in the ‘Completed’ column and then file the supporting evidence for each section. The Learner and his/her Mentor/Supervisor should then confirm the assessment date/s and venue/s with the Assessor. The assessment can be done in stages or as one complete assessment.
This Logbook is to be referred to in conjunction with the NDTFA ‘Summarised SAQA Unit Standards Booklet’ as well as the ‘Assessment Record’ and the ‘Introductory Learnership Outline’.
Portfolio of Evidence (Training Record):
The Learner's Training Record (Portfolio of Evidence) will therefore consist of several lever arch files and will include the following:
1. Learner’s Quarterly Reports – four formal reports in MS Word format
2. Practical Training Logbook – split into 11 sections - one per unit
(this Logbook includes exactly the same units, learning outcomes and assessment criteria as the Assessment Record)
3. Documentary evidence for each unit – e.g. reports, print-outs, statements, summaries, letters, memos, projects, etc.
It will also include the following ICB forms:
4. Examinations Report form
5. Courses and Seminars Attended form
6. Employment Record form/s
7. Diary form/s – optional - only if required by the Supervisor to supplement 1 and 2 above
8. Review form/s – alternatively the company’s own performance appraisal form can be used.
Responsibilities:
The Learner is responsible for completing and filing all aspects of his/her Portfolio of Evidence (Training Record) except the Review form/s.
The Supervisor is responsible for completing the Review forms and providing the learner with copies.
The Assessor is responsible for completing the Assessment Record in stages and providing the Learner with copies.
Contents of this Practical Raining Record (Logbook):
Unit 1 Record income and receipts
Unit 2 Make and record payments
Unit 3 Prepare ledger balances and an initial trial balance
Unit 4 Maintain financial records and prepare ledger accounts
Unit 5 Draft financial statements
Unit 6 Prepare financial reports and returns
Unit 7 Work with information technology in an accounting environment
Unit 8 Produce spreadsheets using information technology in an accounting environment
Unit 9 Supply costing information for management control
Unit 10 Record, analyse and prepare cost information
Unit 11 Contribute to the management of costs and the enhancement of value
Unit 12 Contribute to the planning and allocation of resources within an accounting environment
Unit 13 Contribute to the implementation of auditing procedures
Unit 14 Manage accounting systems
Unit 15 Recognise, measure, classify and record financial and non-financial data
Unit 16 Operate a cash management and credit control system
Unit 17 Determine what is taxable income
Unit 18 Prepare business tax returns
Unit 19 Prepare personal tax returns
Unit 20 Interpret and apply the laws and procedures related to taxes levied
Unit 21 Interpret the laws and procedures relating to the duty which is levied on the estates of deceased persons
Unit 22 Interpret statutes and provide basic information on RSA legislation as it relates to the accounting function
Unit 23 Achieve personal effectiveness in an accounting environment (only 2 of units 23, 24 and 25 must be selected)
Unit 24 Administer and wind up the estates of deceased persons (only 2 of the 3 units 23, 24 and 25 must be selected)
Unit 25 Administer and wind up insolvent estates (only 2 of the 3 units 23, 24 and 25 must be selected)
Unit 26 Apply workplace communication skills
Unit 27 Demonstrate an understanding of professional values and ethics
Unit 28 Analyse and communicate workplace data
Note 1: These 28 units (unit standards) in this Assessment Guide should be read in conjunction with the NDTFA ‘Summarised SAQA Unit Standards Booklet’ which is available from the ICB in electronic format.
Note 2: In all the units which follow ‘GAAP’ stands for Generally Accepted Accounting Practice (and includes all the AC statements published by SAICA), while ‘PPAS’ represents all the relevant Policies, Procedures and Accounting Systems that are specific to the learner’s own organisation and workplace.
Unit 1 Record income and receipts
US ID 12988 - NQF Level 5 (10 credits)
/Please note that the evidence for Unit 1 can be combined and filed with Units 2 and 3
Instructions to the Learner
The learner must produce a minimum of three documentations each (for aspects of tasks 1.1 and 1.2) to enable the Assessor to evaluate the evidence supplied for this unit.
Unit 1 – Learning Outcomes
/ Timing and Completion Date / Portfolio of EvidenceReference
Task 1.1
Process documents relating to all types of goods and services (of a capital or revenue nature) supplied :
ü Prepare and check invoices and credit notes against e.g. quotes, orders, price lists, trade discounts, tenders, delivery notes, proof of delivery signatures, VAT compliance and PPAS (organisational Policies, Procedures and Accounting Systems)
ü Process sales, sales returns and general journals using both the periodic and perpetual inventory systems
ü Post journals to the general, debtors and creditors ledgers
ü Prepare and distribute debtors’ statements
ü Communicate proactively with debtors
Task 1.2
Receive and record receipts (of a capital or revenue nature):
ü Check and reconcile receipts against e.g. statements, invoices, till registers, signatures, paying-in documents, deposit slips, cheques, cash, electronic banking records and PPAS
ü Process cash receipts journals and any related general journal entries using both the periodic and perpetual inventory systems
ü Check and process interest and cash/settlement discounts and reversals of payments
ü Ensure VAT compliance
ü Post journals to the general, debtors and creditors ledgers
ü Prepare and send debtors statements
ü Identify and then resolve (or refer) unusual issues
Unit 2 Make and record payments
US ID 12989 - NQF Level 5 (8 credits)
/Please note that the evidence for Unit 2 can be combined and filed with Units 1 and 3
Instructions to the Learner
The learner must produce a minimum of three documentations each (for aspects of tasks 2.1 and 2.2) to enable the Assessor to evaluate the evidence supplied for this unit.
Unit 2 – Learning Outcomes
/ Timing and Completion Date / Portfolio of EvidenceReference
Task 2.1
Process documents relating to all types of goods and services (of a capital or revenue nature) received:
ü Check invoices, debit notes and credit notes against e.g. quotes, orders, price lists, trade discounts, tenders, delivery notes, proof of delivery signatures, VAT compliance and PPAS (organisational Policies, Procedures and Accounting Systems)
ü Identify discrepancies in pricing, quantities delivered, discounts, etc.
ü Process purchases, purchases returns and general journals using both the periodic and perpetual inventory systems
ü Post journals to the general, debtors and creditors ledgers
ü Check and reconcile creditors’ statements
ü Communicate proactively with creditors
Task 2.2
Prepare, make and record authorised payments (of a capital or revenue nature):
ü Calculate, check, reconcile, schedule and make payments against e.g. statements, invoices, cheque/electronic requisitions, signatures, electronic banking records, security/confidentiality requirements and PPAS
ü Process cash payments journals and any related general journal entries using both the periodic and perpetual inventory systems
ü Check and process interest and cash/settlement discounts and reversals of receipts
ü Ensure VAT compliance
ü Post journals to the general, debtors and creditors ledgers
ü Reconcile creditors statements and distribute remittance advices
ü Identify and then resolve (or refer) unusual issues
Unit 3 Prepare ledger balances and an initial trial balance
US ID 12990 - NQF Level 5 (10 credits)
/Please note that the evidence for Unit 3 can be combined and filed with Units 1 and 2
Instructions to the Learner
The learner must produce a minimum of three documentations each (for aspects of tasks 3.2, 3.3 and 3.4) to enable the Assessor to evaluate the evidence supplied for this unit. Also refer to the evidence in units 1 and 2 for task 3.1.
Unit 3 – Learning Outcomes
/ Timing and Completion Date / Portfolio of EvidenceReference
Task 3.1
Use evidence from units 1 and 2 to demonstrate an understanding of how both cash and credit transactions are processed from source documents into all the journals (subsidiary books) in compliance with GAAP, PPAS and statutory legislation (e.g. the VAT, Income Tax, SDL, UIF and COID acts:
ü Cash and bank transactions
ü Other transactions
Use evidence from units 1 and 2 to demonstrate an understanding of how all the journals subsidiary books) are posted to the general, debtors and creditors ledgers:
ü Posting to all accounts
ü Balancing of accounts
Task 3.2
Perform a month-end bank reconciliation:
ü Entries on the bank statement are compared (ticked off) to entries in the cash book
ü Differences are highlighted in the cash book or bank statement and itemised
ü Entries on bank statement not recorded in the cash book (cash receipts and payments journals) are entered in the cash book
ü Other differences and bank errors are entered in the bank reconciliation statement
Draft a monthly bank reconciliation statement to reconcile the bank statement balance and the general ledger bank account
Task 3.3
Prepare ledger balances and reconcile control/clearing accounts:
ü Prepare a debtors aged listing and reconcile to the debtors control account
ü Prepare a creditors list and reconcile to the creditors control account
ü Prepare and post the salary register to the general ledger and reconcile all the payroll and statutory clearing/control accounts as well as the VAT control account
ü Identify and resolve (or refer) discrepancies
Task 3.4
Draft an initial trial balance in accordance with GAAP and PPAS:
ü The draft trial balance must balance
ü Examine and analyse the trial balance for reasonability
ü Any discrepancies and/or anomalies must be identified and resolved (or reported)
ü Documents and financial records must be file, stored and retained in line with all statutory and PPAS requirements
Unit 4 Maintain financial records and prepare general ledger accounts
US ID 12995 - NQF Level 5 (12 credits)
/Please note that the evidence for Unit 4 can be combined and filed with Unit 5
Instructions to the Learner
The learner must produce a minimum of two documentations (for aspects of task 4.1) and three documentations (for aspects of task 4.2) to enable the Assessor to evaluate the evidence supplied for this unit. Also refer to the any relevant evidence in unit 5 for task 4.2.
Unit 4 – Learning Outcomes
/ Timing and Completion Date / Portfolio of EvidenceReference
Task 4.1
Demonstrate an understanding of procedures and processes in handling fixed assets:
ü Assets at cost and accumulated depreciation
ü Capital expenditure procedures; request and authorization
ü Purchase of assets and their cost
ü Depreciation policies – straight line and reducing balance etc.
ü Correctly recording depreciation in the income statement and net carrying value (cost less accumulated depreciation) in the balance sheet
ü Disposal of fixed assets; accounting for profit/loss
ü Periodic vouching of assets; procedures for losses and gains
Task 4.2
Given the ledgers and pre-adjustment trial balance for a small business, provide for and journalise the following adjustments, update the ledgers, meet deadlines and produce a post-adjustment trial balance according to GAAP and PPAS:
ü Stock valuation and cost of sales (periodic and perpetual inventory methods)
ü Stock valuation and cost of sales (using FIFO, LIFO and AWC methods)
ü Depreciation (straight-line and diminishing balance methods)
ü Prepaid and accrued expenses
ü Prepaid and accrued income
ü Reversals of accruals and prepayments
ü Corrections of errors
ü Bad debts written off
ü Creation, increasing and/or decreasing the provision for doubtful debts
ü Profit and/or loss on disposal of assets
ü Reconciliations of suspense accounts
ü Differences between financial records and physical existence of assets are finalised
ü Any other discrepancies and/or anomalies are identified and resolved (or reported)
Unit 5 Draft financial statements (sole traders, partnerships, close corporations and private companies)
US ID 13015 - NQF Level 5 (12 credits)
/Please note that the evidence for Unit 4 can be combined and filed here with Unit 5
Instructions to the Learner
The learner must produce a minimum of three documentations each (for aspects of tasks 5.1, 5.2 and 5.3), as well as two documentations each (for aspects of tasks 5.4a and 5.4b) to enable the Assessor to evaluate the evidence supplied for this unit. Also refer to the evidence in unit 4 for task 5.1 as tasks 4.2 and 5.1 are identical.
Unit 5 – Learning Outcomes
/ Timing and Completion Date / Portfolio of EvidenceReference
Task 5.1 (this is the same as task 4.2 – refer to unit 4))
Given the ledgers and pre-adjustment trial balance for a small business, provide for and journalise the following adjustments, update the ledgers, meet deadlines and produce a post-adjustment trial balance according to GAAP and PPAS:
ü Stock valuation and cost of sales (periodic and perpetual inventory methods)
ü Stock valuation and cost of sales (using FIFO, LIFO and AWC methods)
ü Depreciation (straight-line and diminishing balance methods)
ü Prepaid and accrued expenses
ü Prepaid and accrued income
ü Reversals of accruals and prepayments
ü Corrections of errors
ü Bad debts written off
ü Creation, increasing and/or decreasing the provision for doubtful debts
ü Profit and/or loss on disposal of assets
ü Reconciliations of suspense accounts
ü Differences between financial records and physical existence of assets are finalised
ü Any other discrepancies and/or anomalies are identified and resolved (or reported)
Task 5.2
Given a post-adjustment trial balance for a sole trader, draft the following in accordance with PPAS and (if applicable) GAAP:
ü Income Statement (and/or Trading and Profit & Loss account)
ü Balance Sheet
ü Notes to the financial statements
ü Explain the relationships between elements within the financial statements and demonstrate by means of ratio analysis (refer to Appendix 7)
Task 5.3
Given a post-adjustment trial balance for a partnership, draft the following in accordance with PPAS and GAAP (if applicable):
ü Income Statement (including the appropriation of profit in terms of the agreement)
ü Balance Sheet
ü Statement of Changes in Equity
ü Notes to the financial statements
ü Explain the relationships between elements within the financial statements
Task 5.4
Given a post-adjustment trial balance for (a) a private company and (b) a close corporation, draft the following in accordance with GAAP and the relevant legislation:
ü Income Statement
ü Balance Sheet
ü Cash Flow Statement
ü Statement of Changes in Equity
ü Notes to the financial statements
ü Explain the relationships between elements within the financial statements
ü Highlight some the key differences between the four different entities (in terms of their legal status as well as their GAAP and taxation requirements
Unit 6 Prepare financial reports and returns
US ID 12997 - NQF Level 5 (8 credits)