NZQA registered unit standard
8503 version 5
Page 1 of 3
Title
Interpret and use financial data and reports for business decisionmaking
Level
5
Purpose
Credits
5
This unit standard is for people who have responsibility for
financial analysis to monitor business health and aid business
decision-making.
People credited with this unit standard are able to evaluate
financial statements against organisational reporting and analysis
requirements, and apply financial analysis tools to interpret and
report on financial statements to assist business decisionmaking.
Classification
Financial Management > Financial Skills
Available grade
Achieved
Explanatory notes
1
Definition
Organisation refers to a specific business entity which may be – profit or non-profit; in
private, public, or voluntary sectors; a business unit, iwi, or other special-purpose body.
2
Legislation relevant to this unit standard includes but is not limited to the Companies
Act 1993, Financial Reporting Act 2013, and any other legislation relating to the
organisation or its operations.
3
People will be assessed against this unit standard on the basis of evidence of
demonstrated and repeatable performance in the workplace.
4
People seeking to use credits from this standard for a New Zealand Business
qualification (for example by Recognition of Prior Learning or of Current Competence
[RCC or RPL], or by credit transfer), may be required to demonstrate their
competence “in and for the context of a real or realistic business entity, and in light of
the requirements of that context”, as required by New Zealand Business
qualifications.
Outcomes and evidence requirements
Outcome 1
Evaluate financial statements against organisational reporting and analysis requirements.
Evidence requirements
NZQA National Qualifications Services
SSB Code 9999
 New Zealand Qualifications Authority 2016
NZQA registered unit standard
8503 version 5
Page 2 of 3
1.1
Financial statements are evaluated for compliance with standards required for
disclosure in financial reporting.
1.2
Financial statements are evaluated for meeting the reporting and analysis needs
of the organisation.
Outcome 2
Apply financial analysis tools to interpret and report on financial statements to assist business
decision-making.
Evidence requirements
2.1
Analytical techniques and tools are selected for their relevance to the organisation
under review.
Range
analytical techniques and tools may include but are not limited to –
comparative financial statements, percentages, measures of
operational effectiveness, earning capacity, financial stability,
management effectiveness, and investment value;
justification for the use of each technique or tool is required in the
context of the organisation under review;
evidence for two justifications is required.
2.2
Application of analytical techniques and tools identifies trends in components and
relationships.
2.3
Limitations in the form and content of financial statements and the principles and
practices of accounting measurement, including present reporting requirements,
are recognised and allowed for in their interpretation.
2.4
Presentation of financial analysis report with findings, interpretations, conclusions,
and recommendations is in a manner and form to facilitate decision-making by
others.
Range
Planned review date
may include but is not limited to – findings, interpretations,
conclusions, recommendations;
recommendations may relate to, but are not limited to – problems
identified, remedies available, means of improving managerial
performance.
31 December 2020
NZQA National Qualifications Services
SSB Code 9999
 New Zealand Qualifications Authority 2016
NZQA registered unit standard
8503 version 5
Page 3 of 3
Status information and last date for assessment for superseded versions
Process
Version Date
Last Date for Assessment
Registration
1
31 January 1997
31 December 2016
Revision
2
7 September 1999
31 December 2016
Review
3
17 April 2009
31 December 2016
Rollover
4
18 April 2013
31 December 2020
Rollover and
Revision
5
17 September 2015
31 December 2020
Consent and Moderation Requirements (CMR) reference
0113
This CMR can be accessed at http://www.nzqa.govt.nz/framework/search/index.do.
Please note
Providers must be granted consent to assess against standards (accredited) by NZQA,
before they can report credits from assessment against unit standards or deliver courses
of study leading to that assessment.
Industry Training Organisations must be granted consent to assess against standards by
NZQA before they can register credits from assessment against unit standards.
Providers and Industry Training Organisations, which have been granted consent and
which are assessing against unit standards must engage with the moderation system that
applies to those standards.
Requirements for consent to assess and an outline of the moderation system that applies
to this standard are outlined in the CMR. The CMR also includes useful information about
special requirements for organisations wishing to develop education and training
programmes, such as minimum qualifications for tutors and assessors, and special
resource requirements.
Comments on this unit standard
Please contact NZQA National Qualifications Services nqs@nzqa.govt.nz if you wish to
suggest changes to the content of this unit standard.
NZQA National Qualifications Services
SSB Code 9999
 New Zealand Qualifications Authority 2016