CIMA - F1 Financial Reporting

Who are the regulators who determine how financial statements are prepared? What do they do? What value do they contribute to the production of financial statements? Coverage will include national and international regulators, stock exchange regulators and various accounting and financial reporting standards boards and major influential bodies like the IIRC. Boards have overall responsibility for ensuring that executives of organisations create value for their stakeholders and safeguard their assets. The role of boards is incorporated in various corporate governance codes. What are the main principles as they apply to financial reporting and the oversight of boards? This sets the main principles that underpin the preparation of financial statements. The focus is on the main principles. No detailed treatments are expected. Examine the requirements for how major items of the financial statements are to be recognised, measured and disclosed. This covers the main areas and not specialist topics. Give hands-on experience of preparing basic financial statements by bringing in all the elements. Gives a broad overview of the different types of taxes, who they affect and why they are used. The focus shifts here to corporate taxation. The main area covered is the difference between accounting profit and profit for taxation purposes. No national law is applied here. The main thing here is coverage and application of principles. Given the increase of cross-border trading and revenue generation in the digital world what are the key issues affecting international taxation? What are the ethical issues that arise in the computation and payment of taxes? What are the main types of funds needed for the short term? Where can those funds be accessed? How does one determine which type or source of finance is appropriate? The operating and cash cycle is one of the main means of putting together various elements of cash and near-cash items in a coherent manner to explain the cash needs of the organisation. What are these elements? How do they affect the availability and adequacy of cash for short-term operations? What are the policies that organisations should put in place to manage working capital? How is the appropriate level determined, forecasted and accessed? What are the risks associated with accessing such funds?

A.     Regulatory environment of financial reporting

· Identify regulators and describe their role.

· Apply corporate governance principles to financial reporting.

B.     Financial statements

· Identify the main elements of financial statements.

· Explain specific financial reporting standards.

· Apply financial reporting standards to prepare basic financial statements

C.     Principles of taxation

· Distinguish between different types of taxes

· Calculate tax for corporate

· Explain some relevant issues that affect taxation.

D.    Managing cash and working capital

· Distinguish between the types and sources of short-term finance.

· Explain and calculate operating and cash cycles.

· Apply different techniques used to manage working capital.

Higher Secondary Qualified