Accounting at AAT Level 2 covers the basic bookkeeping services needed by businesses in Canada and the United States. The main aim of the curriculum in the second year is to provide the students with an introduction to bookkeeping basics, bookkeeping techniques, financial statement management, profit and loss account and other related topics that are essential for managing a business and preparing a financial statement. A major part of this curriculum is the introduction to the various concepts used in accounting, which includes tax concepts, bookkeeping and financial accounting. There are two major branches in accounting, namely the internal bookkeeping and the external bookkeeping. At this level, students will learn the basic functions of these two types of bookkeeping.
AAT Level 2 consists of five units: Bookkeeping Transactions. Bookkeeping administration. Bookkeeping techniques. Elements of costing and income forecasting.
The first unit in the curriculum deals with bookkeeping transactions aat level 2. The student should familiarize themselves with the various procedures and bookkeeping records used in making a bookkeeping transaction. The student will learn how to record information such as date, amount, type of payment, and other relevant data. Other bookkeeping activities involve organizing and sorting data on a regular basis, preparing and reviewing financial statements, and determining the correct balance between assets and liabilities. This includes determining a minimum balance that a business needs to maintain to pay off debt.
The second unit in the curriculum deals with bookkeeping administration. The student should become familiar with financial statements and what financial data means. The student will also learn how to prepare financial statements and prepare tax return forms. These can be very tedious work and most students will need assistance from a teacher in this area. There are also the preparation and review of income forecasts and bookkeeping statements. The final and third unit covers the basics of bookkeeping cost.
The last unit in the curriculum is concerned with bookkeeping techniques. The student must be taught how to do calculations, how to use spreadsheets, how to organize bank statements and keep track of the expenses incurred by a business. This is usually one of the most difficult areas in bookkeeping to master because there are so many books and spreadsheets involved in the entire bookkeeping process. Students will learn how to use computer programs and spreadsheets to make their jobs easier. and more efficient. There are also formulas used in accounting that are based on common financial information. In addition, they learn about financial statements and their importance aat training.
AAT Level 2 also covers the basics of budgeting. Students should understand the difference between an internal budget and an external budget. The student should learn to prepare an internal and external budget and how to make changes to an internal budget when necessary. The student will learn how to create financial statements and how to make projections on future financial statements. The last unit of the curriculum deals with tax issues and how to file taxes. There are several topics on the financial statement that relate to finances that are covered here.