Unit 3 Preparing Ledger Balances and an Initial Trial Balance
Unit Commentary
This unit relates to the internal checks involved in an organisation’s accounting processes. The first element is primarily concerned with comparing individual items on the bank statement with entries in the cashbook and identifying any discrepancies. This involves recording details from the relevant primary documentation in the cashbook, manual and computerised, and calculating the totals and balances of receipts and payments. You are also required to identify any discrepancies, such as differences identified by the matching process.
Unit 3 Preparing Ledger Balances and an Initial Trial Balance
Element 3.1 Balance bank transactions
Performance Criteria
In order to perform this element successfully you need to:
Record details from the relevant primary documentation in the cashbook and ledgers
Correctly calculate totals and balances of receipts and payments
Compare individual items on the bank statement and in the cashbook for accuracy
Identify discrepancies and prepare a bank reconciliation statement
Range Statement
Performance in this element relates to the following contexts:
Primary documentation:
Credit transfer
Standing order and direct debit schedules
Bank statement
Cash book and ledgers:
Manual
Computerised
Discrepancies:
Differences identified by the matching process
Bank reconciliation statement:
Manual
Computerised
Final version approved November 2006 ACCOUNTANCY OCCUPATIONAL STANDARDS GROUP (AOSG) Unit 3 Preparing Ledger Balances and an Initial Trial Balance
Unit 3 Preparing Ledger Balances and an Initial Trial Balance
Unit Commentary
This unit relates to the internal checks involved in an organisation’s accounting processes. The first element is primarily concerned with comparing individual items on the bank statement with entries in the cashbook and identifying any discrepancies. This involves recording details from the relevant primary documentation in the cashbook, manual and computerised, and calculating the totals and balances of receipts and payments. You are also required to identify any discrepancies, such as differences identified by the matching process.
Unit 3 Preparing Ledger Balances and an Initial Trial Balance
Element 3.1 Balance bank transactions
Performance Criteria
In order to perform this element successfully you need to:
Record details from the relevant primary documentation in the cashbook and ledgers
Correctly calculate totals and balances of receipts and payments
Compare individual items on the bank statement and in the cashbook for accuracy
Identify discrepancies and prepare a bank reconciliation statement
Range Statement
Performance in this element relates to the following contexts:
Primary documentation:
Credit transfer
Standing order and direct debit schedules
Bank statement
Cash book and ledgers:
Manual
Computerised
Discrepancies:
Differences identified by the matching process
Bank reconciliation statement:
Manual
Computerised
Final version approved November 2006 ACCOUNTANCY OCCUPATIONAL STANDARDS GROUP (AOSG) Unit 3 Preparing Ledger Balances and an Initial Trial Balance
