IAB Level 3 Diploma in Accounting and Advanced Book-keeping (VRQ) Qualification Specification v1 12 February 2007
The overall aim of this qualification is to accredit candidates’ knowledge and understanding of the fundamental principles concerned in the valuation of the assets of the business, the elimination of errors and the preparing of complex Financial Statements following the calculation of the necessary accounting adjustments. Within the qualification, candidates have the opportunity to gain knowledge of the processes necessary to prepare a Fixed Asset. Register and complete the necessary calculations associated with Fixed Assets.
Candidates will also be able to develop the skills necessary to prepare for the correction of errors using a Suspense Account, and calculations relating to Stock, prepayments, accruals and bad debts. Finally the candidate will be able to prepare financial statements for a variety of business organisations, including a sole trader and a partnership.
The qualification requires candidates to understand the use of the Journal and the preparation of the Trading Account, Profit and Loss Account and Balance Sheet, which form the Financial Statements. Various scenarios are covered including the preparation of financial statements for non profit making organisations and from a set of incomplete records. Accuracy, integrity and security of data should always be uppermost in the candidates mind.
Candidates may use this qualification as the basis of further study of manual systems at Level 4 of the National Occupational Standards, and use it as underpinning knowledge for the study of the IAB Level 3 Diploma in Computerised Accounting.
To be awarded the qualification, candidates are required to successfully demonstrate their competence by means of two external examinations. It will also provide progression to the NVQs in Accounting at Levels 3 and 4. Candidates will receive acknowledgement of successful completion of the qualification.