HNC Accounting
New Framework
HNC Accounting Units




Recording Financial Information (RFI)
Preparing Final Accounts (PFA)
Cost Accounting
MAUIT
Recording Financial Information
DE5D 34
F7JV 34
1 Record business transactions into a
double entry book-keeping system,
extract a trial balance and prepare a
VAT return.
1 Record financial transactions in
books of original entry
2 Record financial transactions in a
double entry book-keeping system and
extract a trial balance
3 Complete a VAT Return
2 Incorporate control mechanisms into
the book-keeping system.
4 Incorporate control mechanisms into
a book-keeping system
RFI
 Outcome 1 separated into 3
– Books of Original Entry
– Ledgers and Trial Balance
– VAT Return
• One month only
 To separate or not to separate Outcome 1
 Control Accounts removed from Outcome 4 (2)
 Time issue
Delivery Schedule
Phase 1
Phase 2
RFI
Phase 3
Graded Unit 1
PFA
PFA
Cost Accounting
Cost Accounting
MAUIT
MAUIT
Preparing Final Accounts
DE5C 34
F7JT 34
1. prepare final accounts for a
1 Prepare final accounts for business
partnership and a limited company (for organisations
internal use) trading as either a trader
or manufacturer
2. prepare final accounts for a sole
trader from incomplete records.
2 Prepare final accounts, for a sole
trader, from incomplete records
3. prepare a cash flow statement for a
limited company.
3 Prepare a cash flow statement for a
limited company
4. analyse the final accounts of a
limited company using appropriate
accounting ratios.
4 Analyse the final accounts of a
limited company using accounting
ratios
PFA
 No change in content
 Outcomes 3 and 4 can be combined
Cost Accounting
DE5F 34
F7JR 34
1. Classify and code costs.
2. Account for and evaluate the effect
on profit of material costs
1 Account for material costs
3. Account for labour costs.
2 Account for labour costs
4. Account for overhead costs in a
traditional costing system
3 Apportion and allocate overhead
costs
5. Determine product costs from
various accounting methods
4 Account for product costs
(includes coding)
6. Record transactions in a cost
accounting system
5 Record transactions in a cost
accounting system
Cost Accounting
 Removal of coding as a distinct Outcome
– Now included as part of Outcome 4
– Coding list included
 ‘more deliverable’
MAUIT
DE9G 34
F7JS 34
1. Prepare a master budget.
1 Prepare budget statements
2. Prepare a basic budgetary control
report and a variance analysis.
2 Prepare a basic budgetary control
report and a variance analysis
3. Use break-even analysis to show
3 Use break-even analysis for decision
the effect on profits of changing prices. making
4. Prepare marginal and absorption
costing statements and compare both
methods.
4 Prepare profit statements using
marginal and absorption costing
methods
MAUIT
 Exemplar 110 pages
– Inclusion of xl sheets
– Useful for lecturers delivering for first time
 Assessment not changed
 Error tolerance harder for students than 70%
pass mark
Error Tolerance
 Number of tolerated error given for each
Outcome
 Remediation or Re-sit?
– Remediation if just over threshold
– Re-sit ‘rule of thumb’
• if more than double the threshold limit!