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: 

Demonstrate basic accounting concepts 
SAQA US ID UNIT STANDARD TITLE
117421  Demonstrate basic accounting concepts 
ORIGINATOR
SGB GET & FET Business, Commerce and Mngment Stud 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 3  NQF Level 03  12 
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 
To provide the foundation for further study in the field of accounting. 

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
  • Accounting NQF level 2.
  • Communication at NQF Level 2.
  • Mathematical Literacy at NQF Level 2. 

  • UNIT STANDARD RANGE 
    A person may exhibit this competence in the private and/ or the public sector. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Identify and describe the different forms of business ownership. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The profit motive and capital gain through rendering a service or selling goods is explained in detail. 

    ASSESSMENT CRITERION 2 
    Clubs, non-profit organisations, sole trader, partnerships, private and public companies and close corporations are correctly identified as forms of ownership. 

    ASSESSMENT CRITERION 3 
    Characteristics of each form of ownership is correctly described. 
    ASSESSMENT CRITERION RANGE 
    The following characteristics are required: Number of owners, statutory requirements, extent of liability of owners, ability to raise capital, profit and loss sharing.
     

    SPECIFIC OUTCOME 2 
    Explain the accounting cycle. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Define the term Accounting. 

    ASSESSMENT CRITERION 2 
    Explain the purpose of the books of first entry. 

    ASSESSMENT CRITERION 3 
    Explain the purpose of the general ledger. 

    ASSESSMENT CRITERION 4 
    Explain the concept and purpose of financial statements. 

    SPECIFIC OUTCOME 3 
    Explain the functioning of the double entry system. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Concepts of Assets, Owners Equity, Liabilities, Income and Expenses is defined correctly. 

    ASSESSMENT CRITERION 2 
    Various types of Assets, Owners Equity, Liabilities, Income and Expenses, Profit and Losses, surpluses and deficits is identified correctly. 
    ASSESSMENT CRITERION RANGE 
    To include non-current assets, current assets, other financial assets, Interest bearing liabilities, current liabilities.
     

    ASSESSMENT CRITERION 3 
    Explain the principles of the double entry system with relation to assets, liabilities and owners equity. 
    ASSESSMENT CRITERION RANGE 
    To include T-accounts and the accounting equation.
     

    ASSESSMENT CRITERION 4 
    Demonstrate the effects of transactions on the accounting equation. 
    ASSESSMENT CRITERION RANGE 
    Purchasing and selling of goods, rendering of services, acquisition of non-current assets, income and expenses, capital contribution, drawings.
     

    SPECIFIC OUTCOME 4 
    Identify source and supporting documents. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Source documents are identified correctly. 
    ASSESSMENT CRITERION RANGE 
    Receipt, Cheque counterfoils, salary advice slips, weekly wages slip, cash register slips, invoices, petty cash vouchers, credit notes, debit notes, bank deposit slips, internal office memorandum, receiver of revenue form (UIF & PAYE), application for investment form, application for a loan.
     

    ASSESSMENT CRITERION 2 
    Source documents listed are to be sorted into internal, external, duplicate and original documents. 

    ASSESSMENT CRITERION 3 
    Supporting documents are identified correctly. 
    ASSESSMENT CRITERION RANGE 
    Bank statement, bank debit note, stop order and debit orders, cheque, opening of current bank account, application for opening of debtor and creditors account, appointment contract, invoices, order forms, attorney letters, tender documents, asset register, minutes of financial meetings.
     

    SPECIFIC OUTCOME 5 
    Archiving and safe-keeping of source and supporting documents. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Documents are numbered according to accounting practice. 

    ASSESSMENT CRITERION 2 
    Source document books are recorded in a register. 

    ASSESSMENT CRITERION 3 
    Documents are archived according to business policy and accounting practice. 

    ASSESSMENT CRITERION 4 
    Safety procedures for safe-keeping of documents should be followed. 
    ASSESSMENT CRITERION RANGE 
    Fireproof safe, Back-up documents, Control register for sign in/ out of documents.
     


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • An individual wishing to be assessed (including through RPL) against this Unit Standard may apply to an assessment agency, assessor or provider institution accredited by the relevant ETQA, or an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Anyone assessing a learner against this Unit Standard must be registered as an assessor with the relevant ETQA or with an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this Unit Standard or assessing this Unit Standard must be accredited as a provider with the relevant ETQA or with an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Moderation of assessment will be conducted by the relevant ETQA at its discretion. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    N/A 

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    Be culturally and aesthetically sensitive across a range of social contexts. 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems in which responses display that responsible decisions using critical and creative thinking have been made. 

    UNIT STANDARD CCFO ORGANISING 
    Organise and manage oneself and one's activities responsibly and effectively. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, organise and critically evaluate information. 

    UNIT STANDARD CCFO COMMUNICATING 
    Communicate effectively using visual, mathematical and language skills in the modes of oral and written presentations. 

    UNIT STANDARD CCFO SCIENCE 
    Use science and technology effectively and critically (showing responsibility towards the environment and health of others). 

    UNIT STANDARD CCFO DEMONSTRATING 
    Demonstrate an understanding of the world as a set of related systems. 

    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  58375   National Certificate: Bookkeeping  Level 3  NQF Level 03  Reregistered  2023-06-30  FASSET 
    Elective  49089   National Certificate: Financial Services  Level 3  NQF Level 03  Reregistered  2023-06-30  INSETA 
    Elective  50398   National Certificate: Project Support Service  Level 3  NQF Level 03  Reregistered  2023-06-30  SERVICES 


    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. CKP Development Agency (Pty) Ltd. 
    2. RJM Educational Consulting (Pty) Ltd 
    3. Sanlam Life Insurance Ltd 



    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.