AAT Accounting Pathway Program Course Guide

This course will take a close look at the difference between the general journal and the general ledger, the chart of accounts, and fundamental rules in respect of when to debit or credit an account. It will include but not be limited to the definition and purpose of general journals, account categories, and how to prepare journal entries.This course will take a close look at the difference between the general journal and the general ledger, the chart of accounts, and fundamental rules in respect of when to debit or credit an account. It will include but not be limited to the definition and purpose of general journals, account categories, and how to prepare journal entries.

This course will provide an introduction to the General Ledger and the Trial Balance, and will include but not be limited to the process of posting source journals to the general ledger, how to calculate closing balances of general ledger accounts, as well as the purpose of a trial balance and how to prepare one.

This course will provide an introduction and overview of depreciation and will include but not be limited to the purpose of depreciation, how to calculate depreciation and the different calculation methods, as well as how to prepare journal entries using the straight-line method or the reducing balance method.

This course will provide an introduction to cash basis and accruals basis accounting concepts, and will include but not be limited to the purpose of adjusting entries, the key adjusting entries that need to be made at the end of the financial year, and how to interpret and prepare the balance day adjustments for a range of adjusting entries.

This course will take a close look at the purpose of financial statements, and will include but not be limited to the Profit & Loss Statement and the Balance Sheet and how to prepare these statements, the purpose of inventory and the two common inventory systems, how to prepare journal entries, and how to calculate the year-end stock adjustment.

This course provides an introduction to the fundamentals of Value Added Tax (VAT) with regards to small businesses. It will include but not be limited to the key terms and concepts used when dealing with VAT, how to complete simple VAT calculations, and the requirements for registering for VAT, invoicing, record keeping, filing and paying VAT.

This course will provide an introduction to the fundamentals of income tax with regards to small businesses. It will include but not be limited to the concept of assessable income and allowable deductions, and a look at how to calculate the income tax liability and income tax payable for an entity. 

This course will provide an overview of how to use Xero, including but not limited to the benefits of using Xero and cloud computing, Bank Reconciliation & Managing Accounts in Xero, Xero Sales, Invoicing, Quotes & Inventory, plus Purchase & Bills.

This course is comprised of two sections. The first section provides an introduction to online accounts software Sage One and will include but not be limited to how to create a company in Sage, how to record products and services and how to prepare invoices. The second section will provide an introduction to the basics of working with Quickbooks Essentials, including but not limited to how to create a company in QuickBooks, how to import transactions, prepare invoices, and customise and export reports.

This course will take a close look at the preparation of budgets, forecasts and cash flow management, including but not limited to the purpose of a budget and forecast, the importance and advantages of budgeting, how to prepare a budget and how to compare actual results with analyse variances as well as a look at the cash conversion cycle.

This course will provide an introduction to financial statement analysis, including but not limited to how to analyse trends, how to calculate ratios and how to analyse the results.

This course will provide an introduction to the fundamentals of Microsoft Excel, including but not limited to the key functions within the software including formulas, functions and data manipulation, how to add content to spreadsheets as well as formatting styles. 

Before you get started you will need to pass the quiz below to test your current knowledge of accounting and business. There are 40 questions in this quiz and you must achieve a pass mark of 80% to proceed.

Learn how to efficiently access, save, and manage Excel workbooks, apply SUM functions and formulas for data calculations, and organise data using filters and sorting tools. You’ll also explore formatting techniques, number formats, and learn how to prepare and print Excel documents accurately, including saving as PDF.

This course covers essential accounting principles, including the role of accounting in business, the legal framework in the UK and ROI, and types of business structures. You’ll learn to interpret financial statements, apply the accounting equation, and understand key concepts like revenue, expenses, and accruals. It also explores asset valuation, inventory, and property, plant & equipment (PP&E) treatment.

This module explores the importance of cash flow management, budgeting, and financial control to support informed internal decision-making. You’ll learn to prepare budgets, forecasts, and cash flow statements, analyse financial reports, and assess business performance using key financial measures and solvency tests.

This module covers cost classification, costing methods, and variance analysis, helping you understand the differences between product and period costs, variable and absorption costing, and job order vs. process costing. You’ll explore how to calculate weighted average costs, allocate support department costs, and use standard costing to monitor performance. It also includes variance analysis techniques to identify discrepancies and support informed management decisions.

This comprehensive module introduces key management accounting concepts including Activity-Based Costing (ABC), budgeting, and performance measurement. You’ll learn to apply cost-volume-profit (CVP) analysis, use tools like the Balanced Scorecard and SMART KPIs, and manage inventory through systems like JIT and EOQ. The module also covers decision-making strategies, pricing policies, and how to effectively evaluate and communicate performance.

This module covers essential tax and depreciation concepts for small businesses, including the difference between accounting and tax profit, basic tax and VAT calculations, and compliance requirements. You’ll also learn how to apply depreciation methods like Straight-line and Reducing Balance, and understand Capital Allowances and their impact on financial reporting.

This module equips you to prepare financial statements for sole traders, partnerships, and not-for-profit organisations, using both complete and incomplete records. You’ll learn how to construct trading accounts, balance sheets, and appropriation accounts, apply double entry principles, and account for partnership changes and goodwill. It also covers verification processes, workpaper documentation, and techniques for reviewing and justifying financial records accurately.

In this course, you will learn about Internal Accounting Systems and Controls. All organisations must guard against fraud through good control systems. However, many businesses underestimate both the probability and impact of employee fraud. Those working within the accounts department play a pivotal role in guarding against misuse of resources, and the key aim of this unit is to provide students with the tools to evaluate internal controls and to recommend improvements.

In this course, you will develop a wider understanding of the principles and concepts, including the legal and professional rules of audit and assurance services. The unit will provide students with an awareness of the audit process from planning and risk assessment to the final completion and production of the audit report. The unit also aims to provide a practical perspective on audit and assurance, with an emphasis on the application of audit and assurance techniques to current systems. Students will be equipped with the skills required to undertake an audit under supervision and will gain an understanding of relevant regulatory frameworks and ethical requirements.

In this course, you will learn the skills and knowledge for drafting the financial statements of single limited companies and consolidated financial statements for groups of companies. It ensures that students will have a proficient level of knowledge and understanding of international accounting standards, which will then be applied when drafting the financial statements. Students will also have a sound appreciation of the regulatory and conceptual frameworks that underpin the preparation of limited company financial statements.