Accounting 1

ACC1
Course Description

Teacher in Charge: Ms A. Scholes

Prerequisites

Open Entry


Accounting is the study of how we communicate financial information to businesses/organisations to help their decision-making.

This course aims to promote knowledge and understanding of Accounting as a financial language for individuals, community organisations and businesses, and enable students to apply financial knowledge and skills to practical situations. Understanding the basic accounting concepts allows individuals to make informed business decisions, be it for a small sole trader, or large multinational.

The stereotype of a pencil pushing accountant hunched over a calculator scribbling sums couldn't be be more inaccurate in todays world.
Accountants are innovative.
Accountants are good with money.
Accountants are business advisors.
As a result, they have transferable, strongly valued skills that make them exceptional and visionary business leaders.
One in four CEOs is a Chartered Accountant and 55% of CEOs have a Finance Background


FAQ

Q.  What is the difference between Accounting and Economics?

Even though they are both “businessy” subjects, they are completely different. 

Decision making in business can be assisted using financial information. 

Accounting helps us to understand financial information and make important decisions like improving profitability or investment decisions. Topics include; Xero, Cashflow, Spreadsheeting, Forecasting, Financial Documents and of course Financial Statements.

Economics is more about the environment that our business operates in. Studying this subject helps you to understand how the markets work that you sell your product to, and how the economy around you impacts your business. 

Q. Can I do both?

Yes. If you have space in your timetable, students find that they complement each other really well and are completely different to each other. None of the achievement standards overlap.

Q. Can I move between subjects over 3 years?

Yes, they can be picked up at any stage, if you are dedicated enough to catch up on the content from the previous years.

Q. Where does it lead to?

Both subjects operate in the context of the “real world” and are highly relevant to what is actually happening “out there”.

Many Year 13 students that go on to tertiary study, study a Business/Commerce degree. These require both Economics and Accounting in the first year, thus the student is well positioned to move to the tertiary level content.

For those that don’t carry on to tertiary study, the learning and knowledge about the way in which the economy/business works and how both individuals and organisations can make good financial decisions is invaluable. As are the practical skills developed in both courses.

Q. Are Accounting and Economics becoming redundant with the improvement of software to complete many jobs previously completed manually?

No. While software may complete many jobs more quickly and accurately than in the past, this has shifted the work of accountants and economists into consulting and advocate roles where a deeper understanding of the underlying concepts is essential. Sound commerce advice will always be in need.


Course Overview

Term 1
Process financial transactions for a small entity. Learning the DR / CR system by organising transactions into accounts.

Demonstrate understanding of cash management for a small entity.
- learning vital household finance skills. (How to look after your money)

Term 2
Prepare financial information for a community organisations annual general meeting.
- learning the role of the treasurer for a club.

Interpret accounting information for sole proprietors. (External)
- this is the real role of accountants today, interpreting financial information so that they can advise businesses and aid important decision making.

Term 3
Prepare financial statements for sole proprietors. (External)
- assisting businesses in determining the profitability, liquidity and value of their business.

Term 4
Prepare for the external exam.

Learning Areas:

Commerce



Pathway

Accounting 2, Business Studies 2, Economics 2