Financial Accounting - Level 1

Upon completion of this course, you will be able to understand:

The purpose of accounting.
Why non-accountants need to understand accounting.
The basic terminology of business transactions.
How to prepare a cash budget.
The gross profit margin of a product and business.
The difference between cash and the profits of a business.
That a set of financial statements can be prepared from data included a trial balance.
The difference between revenue and capital expenditure and the significance of the distinction.
How to prepare a simple statement of profit or loss.
The purpose of a statement of financial position.
The assets and liabilities in a business.
What an accrual and a prepayment are and how to account for them.
How to prepare a statement of financial position for a simple business.
Why non-current assets need to be depreciated.
How to use the straight-line and the reducing-balance methods of providing for depreciation.
Why we need to provide for bad and doubtful debts.
How to prepare a final adjusted statement of profit or loss and statement of financial position.
Some of the limitations of a statement of financial position.