SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Apply financial analysis 
SAQA US ID UNIT STANDARD TITLE
15236  Apply financial analysis 
ORIGINATOR
SGB Generic Management 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Generic Management 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular-Fundamental  Level 5  Level TBA: Pre-2009 was L5 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
This is a Unit Standard intended for managers in all economic sectors. These managers would typically be second level managers such as heads of department, section heads or divisional heads, and may have more than one team reporting to them.

The qualifying learner is capable of:
  • Explaining financial analysis
  • Calculating ratios to measure profitability and resource utilisation
  • Calculating ratios to measure viability
  • Identifying growth opportunities through financial results and reporting the results of financial analysis. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    Ii is assumed that people learning towards this Unit Standard are already competent in:
  • Communication at NQF level 4
  • Mathematical Literacy at NQF level 4
  • Computer literacy at NQF level 4
  • The Unit Standards entitled:
  • Apply the budget function in a business unit
  • Interpret basic financial statements. 

  • UNIT STANDARD RANGE 
  • GAAP is `Generally Accepted Accounting Practices`
  • Financial analysis applies to a business operation which may form part of an organisation for example a division, or it may be the whole organisation. 

  • Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Explain financial analysis in a business operation. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The concepts of financial analysis are identified and explained in terms of their use in a business. 

    ASSESSMENT CRITERION 2 
    2. The users of financial analysis in a business operation are identified and a explanation is given of the ways in which they would use such an analysis to enhance the operations of the organisation. 

    ASSESSMENT CRITERION 3 
    3. Financial analysis is applied to the budgeting process in a business operation. 

    ASSESSMENT CRITERION 4 
    4. The significance of using trends and ratios to analyse financial reports is explained with examples from a specific organisation. 

    SPECIFIC OUTCOME 2 
    Calculate ratios to measure profitability and resource utilisation. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The ratios are calculated in accordance with GAAP. 

    ASSESSMENT CRITERION 2 
    2. The ratios are applied to measure the profitability of an organisation. 

    ASSESSMENT CRITERION 3 
    3. The ratios are applied to measure resource utilisation in an organisation. 

    ASSESSMENT CRITERION 4 
    4. Recommendations are made regarding the profitability of and resource utilisation by the organisation using the results obtained from the application of the ratios. 

    SPECIFIC OUTCOME 3 
    Calculate ratios to measure viability. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The ratios are calculated in accordance with GAAP. 

    ASSESSMENT CRITERION 2 
    2. The concept of, "the viability of an organisation", is explained using examples of viable and unviable ventures in a specific sector. 

    ASSESSMENT CRITERION 3 
    3. The viability of an organisation is determined using the ratios to analyse the organisation's financial situation. 

    SPECIFIC OUTCOME 4 
    Identify growth opportunities through financial results and report the results of financial analysis 
    OUTCOME NOTES 
    Identify growth opportunities through financial results and report the results of financial analysis. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. A financial analysis is done of an organisation for two accounting periods and the results are compared and interpreted in terms of the profitability of the company and to determine which period had better results. 

    ASSESSMENT CRITERION 2 
    2. A financial analysis is done for two different sections or divisions of the organisation and a decision made as to which is more efficient in its utilisation of resources and capital. 

    ASSESSMENT CRITERION 3 
    3. Recommendations are made to address any weaknesses identified in the operation's performance when one section is compared with another or one year with another. 

    ASSESSMENT CRITERION 4 
    4. Opportunities for growth are identified based on the interpretation of past performance. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    Assessment of this Unit Standard should be contextual and practical.
  • Assessors must be registered as an assessor with the Services SETA ETQA or an ETQA that represents the sector in which the learner is employed and which has a Memorandum of Understanding with the Services SETA ETQA.
  • Moderators must be registered as assessors with the Services ETQA, or with an ETQA that has a Memorandum of Understanding with the Services ETQA.
  • The mechanisms and requirements for moderation should be applied in accordance with the requirements of the relevant ETQA.
  • Assessment should include both formative and summative assessment.
  • Training providers must be accredited by the Services ETQA or with an ETQA that has a Memorandum of Understanding with the Services ETQA. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
  • Understand the difference between finance and accounting
  • Understanding financial relationships
  • Understanding of trends and ratios
  • Understanding how to analyse past performance, recognise opportunities and plan for the future
  • Financial performance measurement techniques. 

  • UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems through making recommendations to address discrepancies. 

    UNIT STANDARD CCFO WORKING 
    Work effectively with others when gathering information for financial analysis. 

    UNIT STANDARD CCFO ORGANISING 
    Organise and manage oneself and one`s activities when calculating ratios and reporting findings. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, evaluate, organise and critically evaluate information when analysing and interpreting financial results. 

    UNIT STANDARD CCFO COMMUNICATING 
    Communicate effectively with stakeholders in written reports. 

    UNIT STANDARD CCFO SCIENCE 
    Use science and technology for recording and reporting financial analysis. 

    UNIT STANDARD CCFO DEMONSTRATING 
    Demonstrate an understanding of the world as a set of related systems showing how the results of divisions impact on the whole organisation. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  48886   National Certificate: Business Advising  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Reregistered" 
    2010-11-11  Was SERVICES until Last Date for Achievement 
    Core  79886   National Certificate: Business Advising  Level 5  NQF Level 05  Reregistered  2023-06-30  SERVICES 
    Core  49336   National Certificate: Law Enforcement: Sheriffing  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  SAS SETA 
    Core  61594   National Certificate: Management  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Reregistered" 
    2009-05-02  As per Learning Programmes recorded against this Qual 
    Core  49122   National Certificate: Radio Station Management  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  MICTS 
    Core  58473   National Diploma: Freight Handling Logistics  Level 5  NQF Level 05  Reregistered  2023-06-30  TETA 
    Core  48888   National Diploma: Hiring Operations Management  Level 5  NQF Level 05  Passed the End Date -
    Status was "Reregistered" 
    2016-12-31  SERVICES 
    Core  49783   National Diploma: Joint and Multi-National Operations  Level 6  NQF Level 06  Reregistered  2023-06-30  SAS SETA 
    Fundamental  49743   National Certificate: Manufacturing Management  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  FOODBEV 
    Fundamental  57450   National Diploma: Automotive Diagnostics and Repair  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Registered" 
    2009-02-18  Was MERSETA until Last Date for Achievement 
    Elective  71969   National Certificate: Automotive Components: Manufacturing and Assembly  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Reregistered" 
    2015-06-30  MERSETA 
    Elective  61589   National Certificate: Banking  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2021-06-30  As per Learning Programmes recorded against this Qual 
    Elective  59201   National Certificate: Generic Management  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  As per Learning Programmes recorded against this Qual 
    Elective  49121   National Certificate: Interactive Media  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  MICTS 
    Elective  50419   National Certificate: Port Control and Admissions  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Registered" 
    2009-06-29  Was PSETA until Last Date for Achievement 
    Elective  48553   National Diploma: Corrections Science  Level 5  NQF Level 05  Reregistered  2023-06-30  SAS SETA 
    Elective  49710   National Diploma: Development Practice  Level 5  NQF Level 05  Reregistered  2023-06-30  ETDP SETA 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Absa Learning & Development 
    2. Aldabri 106 Institute for Quality Pty Ltd 
    3. Artshub Institute (Pty) Ltd 
    4. Bidvest Bank 
    5. Chartall Business College 
    6. Felix Risk Training Consultants 
    7. Institute for the Advancement of Journalism 
    8. JUSTICE COLLEGE 
    9. Makwedeng Training 
    10. Plumb Line Risk Alignment 
    11. Russ Projects T/A Academy Workplace Development (AWD) (HARRIETDALE) (T 
    12. SA Maritime School and Transport College 
    13. SOUTH AFRICAN NATIONAL WAR COLLEGE 
    14. Y3K Training cc (CAPE TOWN) (TP) 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.