Free AAT FAPS Exam Prep

Fundamental concepts including accruals, going concern, business entity, materiality, prudence, consistency, historical cost, the accounting equation, and the IFRS/IAS framework.

Capital and revenue expenditure, journals, books of prime entry, control accounts, contra entries, errors, error correction, and the suspense account.

Capitalising asset cost, VAT treatment, the non-current asset register, recording disposals, part-exchange, and profit or loss on disposal.

Straight-line and reducing balance methods, residual value, useful life, monthly and full-year policies, depreciation entries, and accumulated depreciation.

Accruals, prepayments, accrued and deferred income, closing inventory, IAS 2 valuation, irrecoverable debts, and the allowance for doubtful receivables.

Preparing the trial balance, the extended trial balance, recording adjustments, the suspense account, and deriving profit for the year.

Statement of profit or loss and statement of financial position, gross and net profit, capital and current accounts, appropriation accounts, and the Partnership Act 1890.

Profitability, liquidity and efficiency ratios, mark-up and margin, return on capital employed, collection and payment periods, and interpretation.

Incomplete records, the capital comparison method, cash and bank summaries, mark-up and margin to derive missing figures, and estimating inventory.