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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE: 

Apply financial practices and ratio analysis 
SAQA US ID UNIT STANDARD TITLE
252023  Apply financial practices and ratio 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  Level 5  Level TBA: Pre-2009 was L5  8 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Reregistered" 		 2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2026-06-30   2029-06-30  

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 Unit Standard is 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, who may have more than one team reporting to them.

The qualifying learner is capable of:
  • Creating an income statement and balance sheet.
  • Calculating ratios using the income statement and balance sheet of own unit.
  • Analysing the income statement and balance sheet using the ratios. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    It is assumed that learners are competent in:
  • Communication at NQF Level 4.
  • Mathematical Literacy at NQF Level 4.
  • Computer Literacy at NQF Level 4. 
    		•

    UNIT STANDARD RANGE 
  • The learner is required to apply the learning in respect of this/her own area of responsibility.
  • Unit refers to the division, department or business unit in which the learner is responsible for managing and leading staff.
  • Entity includes, but is not limited to, a company, business unit, public institution, small business, Non-Profit Organisation or Non-Governmental Organisation. 
    		•

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Create an income statement and balance sheet. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The data required for creating an income statement and balance sheet are selected correctly. 

    ASSESSMENT CRITERION 2 
    An income statement is created using a range of financial transactions. 

    ASSESSMENT CRITERION 3 
    A balance sheet is created using the income statement and a range of financial transactions. 

    SPECIFIC OUTCOME 2 
    Calculate ratios using the income statement and balance sheet of own unit. 
    OUTCOME RANGE 
    Ratios include profitability and returns, liquidity, activity, working capital and debt equity. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The correct data is used to calculate the different rations. 

    ASSESSMENT CRITERION 2 
    The answers of the calculated ratios are formulated in the relevant format. 

    SPECIFIC OUTCOME 3 
    Analyse the income statement and balance sheet using the ratios. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The meaning and use of each ratio is explained with reference to the ratios calculated. 

    ASSESSMENT CRITERION 2 
    The result of each ratio is analysed in terms of its implication for the unit. 

    ASSESSMENT CRITERION 3 
    The implication of the different ratios on one another are explained with reference to the unit. 

    ASSESSMENT CRITERION 4 
    The implication of the ratio analysis for the future performance of the unit is motivated. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Anyone assessing a candidate against this Unit Standard must be registered as an assessor with the relevant ETQA or an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this Unit Standard must be accredited as a provider through the relevant ETQA or an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines and the agreed ETQA procedures. 
    		•

    UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
  • Income statement, balance sheet.
  • Ratios, including profitability and returns, liquidity, activity, working capital and debt equity.
  • Methods for calculating ratios.
  • Ratio analysis. 
    		•

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems using critical and creative thinking processes to interpret financial data. 

    UNIT STANDARD CCFO WORKING 
    Work effectively with others as a member of a team, group, organisation or community to gather financial data. 

    UNIT STANDARD CCFO ORGANISING 
    Organise and manage oneself and one`s activities responsibly and effectively in order to conduct ratio analysis. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, analyse, organise and critically evaluate information in order to conduct ratio analysis. 

    UNIT STANDARD CCFO COMMUNICATING 
    Communicate effectively using visual, mathematical and/or language in the modes of oral and/or written persuasion to present financial information. 

    UNIT STANDARD CCFO DEMONSTRATING 
    Demonstrate an understanding of the world as a set of interrelated systems by recognising that financial management impacts on the functioning of the broader entity. 

    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
    Elective  59201   National Certificate: Generic Management  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "Reregistered"     		 2023-06-30  As per Learning Programmes recorded against this Qual 
    Elective  73129   National Diploma: Public Relations Practice  Level 5  NQF Level 05  Passed the End Date -
    Status was "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.
     
    NONE 


    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.