AAT Level 4 | Professional Diploma/ Certificate in Accounting

This level covers the final modules and it’s the last level to gain full Accounting Technician Qualification. At Level 4, the subjects and exam setting is lot harder than the previous levels but the hard work pays off as you can become a MAAT after fulfilling the experience requirements.

The qualification also gives you progression to further accounting qualifications like ACCA, CIMA and ICAEW.

Unlike AAT levels 2 & 3, the assessments will include some written elements to them, meaning you will need a good level of understanding about the different topics covered as you will be required to elaborate them in more detail.

Like other levels of AAT, we have integrated high level of practical elements like final accounts training and management accounts training, this includes on working Sage accounts production and computing the Corporation tax, CT600 for the companies. The learners doing AAT Level 4 with us will also get trained on Self-Assessment returns SA100.

AAT Level 4 - Module Description and AAT Exam Structure

Course Details:

Learners should be able to do the following,

  • Completion of limited company’s statutory financial statements
  • Interpret financial statements using ratio analysis
  • Prepare budgets and income expenditure forecasts
  • Measure performance and manage costs
  • Prepare performance reports for management
  • Write a professional report based on the internal control of an accounting system
  • Complete a corporation tax return Complete a self-assessment tax return

Optional units, selecting two modules from the following:

  • Business Tax
  • Personal Tax
  • External Auditing
  • Cash and Treasury Management
  • Credit Management

LEVEL 4 Professional Diploma/ Certificate in Accounting

Management Accounting: Budgeting

  • Prepare forecasts of income and expenditure
  • Prepare budgets
  • Demonstrate how budgeting can improve organisational performance
  • Report budgetary information to management in a clear and appropriate format

Accounting Systems and Controls

  • Demonstrate an understanding of the role and responsibilities of the accounting function within an organisation
  • Evaluate internal control systems
  • Evaluate an organisation’s accounting system and underpinning procedures
  • Analyse recommendations made to improve an organisation’s accounting system

Financial Statements of Limited Companies

  • Demonstrate an understanding of the reporting frameworks and ethical principles that underpin financial reporting
  • Demonstrate an understanding of the key features of a published set of financial statements
  • Draft statutory financial statements for a limited company
  • Draft consolidated financial statements
  • Interpret financial statements using ratio analysis

Management Accounting: Decision and Control

  • Analyse a range of costing techniques to support the management accounting function of an organisation
  • Calculate and use standard costing to improve performance
  • Demonstrate a range of statistical techniques to analyse business information
  • Use appropriate financial and non-financial performance techniques to aid decision making
  • Evaluate a range of cost management techniques to enhance value and aid decision making

Business Tax

  • Complete tax returns for sole traders and partnerships and prepare supporting tax computations
  • Complete tax returns for limited companies and prepare supporting tax computations
  • Provide advice on the UK’s tax regime and its impact on sole traders, partnerships and limited companies
  • Advise business clients on tax reliefs, and their responsibilities and their agent’s responsibilities in reporting taxation to HMRC
  • Prepare tax computations for the sale of capital assets

Personal Tax

  • Analyse the theories, principles and rules that underpin taxation systems
  • Calculate a UK taxpayer’s total income
  • Calculate income tax and National Insurance (NI) contributions payable by a UK taxpayer
  • Account for capital gains tax
  • Discuss the basics of inheritance tax

External Auditing

  • Demonstrate an understanding of the principles of auditing
  • Demonstrate the importance of professional ethics
  • Evaluate the audited entity's system of internal control
  • Evaluate audit procedures for obtaining audit evidence
  • Evaluate the planning process
  • Evaluate audit procedures

Cash and Treasury Management

  • Use statistical techniques and financial information to prepare forecasts of cash receipts and payments
  • Prepare cash budgets and monitor cash flows within the organisation
  • Evaluate the principles of cash management within the context of regulation and government monetary policies
  • Evaluate ways of raising finance in accordance with organisational requirements
  • Evaluate ways of investing surplus funds within organisational policies

Credit Management

  • Analyse relevant legislation and contract law that has an impact on the credit control environment
  • Critically analyse information from a variety of sources to assess credit risk and grant credit in compliance with organisational policies and procedures
  • Evaluate a range of techniques to collect debts
  • Critically evaluate credit control in line with organisational policies and procedures
  • Present advice and recommendations to management on the credit control system

Related Practical Accounting Training - Final Accounts Training

Certification at the end of the Training

Level 4


Xero Adviser Certificate

AAT Level 2, AAT Level 3, AAT Level 4

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