Level III Diploma in Computerised Bookkeeping 

Type of Examination:

Home-based Assessment

Having achieved the Level I qualification, followed by the II qualification in both manual and computerised bookkeeping, students progress to the Level III Diploma papers in Bookkeeping. 

Students must be able to demonstrate their ability to understand and carry out the following functions:

(1) Stock Valuation

Prepare stock valuations and be able to:

• Apply FIFO and AVCO methods of valuation
• Create the entry for recording the value of closing stock

(2) Accruals and Prepayments

Identify the need for such adjustments and be able to:

• Calculate accruals and prepayments and code appropriately
• Create the entries for accounting for accruals and prepayments
• Understand fully the effect of these on the final accounts

(3) Provision for Bad Debts

Account for and prepare a provision for bad debts and be able to:

• Identify the need to provide such a provision
• Calculate the provision
• Create the entry for accounting for the provision
• Understand fully the effect of this on the final accounts

(4) Acquisition and Disposal of Fixed Assets

Account for the acquisition and disposal of fixed assets and be able to:

• Identify the original cost of the assets acquired and disposed
• Create entries to record all acquisition and disposal costs and revenues and code to the relevant accounts
• Identify and determine the cumulative depreciation to date on the disposal and create the entry to record this
• Extract and check the disposal account to identify profit or loss on disposal
• Understand fully the effect of an asset disposal on the final accounts

(5) Provision for Depreciation

Identify the need to provide for depreciation on fixed assets and be able to:

• Create entries to record depreciation of fixed assets on either straight line or reducing balance methods
• Extract a schedule of fixed assets to examine the NBV of the assets in each category
• Understand fully the effect of depreciation on the final accounts

(6) Partnerships

Extract a set of final accounts for a partnership and be able to:

• Create the appropriate entries to prepare the Trading and Profit and Loss Account
• Create the appropriate entries to prepare and extract an appropriation account
• Extract the Balance Sheet
• Examine the print out of the accounts for completeness

(7) Limited Company Accounts

Extract a set of final accounts for a Limited Company and be able to:

• Create the appropriate entries to prepare a set of accounts for a Limited Company to include:

• adjustments and provisions
• debenture interest accrued
• proposed dividend
• provision for corporation tax

• Extract the Trading and Profit and Loss Account
• Extract the Balance Sheet
• Examine the print out of the accounts for completeness