Presentation on theme: "What are the changes to the ACCA Qualification?"— Presentation transcript:
1What are the changes to the ACCA Qualification? With effect in June 2011, the ACCA Qualification will undergo some development and updating to ensure that the qualification continues to evolve and adapt to the latest business and accounting sector needs - ensuring that the ACCA Qualification continues to comply with the appropriate regulatory standards, to improve the articulation between related syllabuses and to reflect the views of our key stakeholders.There will be no major structural changes to the ACCA Qualification assessment or in respect of rules relating to registration, progression or exemption. Neither will there be any significant changes to the structure of the exams, apart from the Knowledge module papers, which will be structured differently from December 2011, as well as having new syllabi from that date.A new exam timetable will apply from December 2011.
2FUNDAMENTALS PROFESSIONAL FUNDAMENTALS : Knowledge F1, F2, F3FUNDAMENTALSPROFESSIONALKnowledgeSkillsEssentialsOptionsF1F2F3F4F5F6F7F8F9P1P2P3P4P5P6P7Most of the ACCA Qualification syllabuses will be affected to a greater or lesser extent.To start with - the changes in the Fundamental level - Knowledge module
3F3 - one version New exam style Amended syllabuses FUNDAMENTALS : Knowledge F1, F2, F3New exam styleAmended syllabusesA greater variety of longer and short-form questions will be introduced into the assessment. The new format applies to both paper-based and computer-based exams (CBE). **further details on sides 4-6 if required**The syllabuses have been re‑aligned and brought up to date to take into account the latest occupational standards for the accountancy and finance sector.Paper F3 will only have one version offered, based on International Financial Reporting Standards, so students will no longer have to designate whether they wish to take INT, UK, SGP etcAll in effect from December which coincides with the launch of ACCA’s new Foundations in Accountancy suite of qualificationsF3 - one version
4MAIN SYLLABUS DIFFERENCES F1 Sections slightly reordered, contains more on accounting information and reports. Focuses more on fraud, accounting systems, money laundering and ethics, including conflict resolution.F2 More focus on planning, control and performance measurement, such as budgeting and standard costing. Amended to better underpin F5.F3 More emphasis on the regulatory framework, drafting accounts and on reporting business transactions and the accounts of unincorporated business. This syllabus also includes more on basic consolidations of accounts and interpretation.Better underpins F7 in syllabus and question type as 15 mark questions introduced in CBE and paper exams.Highlight these changes apply to December 2011 onwards
5Paper F1, Accounting in Business FUNDAMENTALS : Knowledge F1, F2, F3Section A16 x one-mark short objective test questions and 30 x two-mark short objective test questionsSection B6 x four-mark longer version objective test questions, one taken from each of the six sections of the syllabus**Optional slide**The detail of the new exam style / structure for Papers F1, F2 and F3
6Paper F2, Management Accounting FUNDAMENTALS : Knowledge F1, F2, F3Section A35 x two-mark short objective test questionsSection B3 x 10-mark longer version objective test questions – one taken from each of the budgeting, standard costing and performance measurement sections of the syllabus**Optional slide**The detail of the new exam style / structure for Papers F1, F2 and F3
7Paper F3, Financial Accounting FUNDAMENTALS : Knowledge F1, F2, F3Section A35 x two-mark short objective test questionsSection B2 x 15 mark longer version objective test questions with one question based on group accounts and the other on preparation of financial statements**Optional slide**The detail of the new exam style / structure for Papers F1, F2 and F3
8FUNDAMENTALS PROFESSIONAL FUNDAMENTALS : Skills F4, F5, F6, F7, F8, F9FUNDAMENTALSPROFESSIONALKnowledgeSkillsEssentialsOptionsF1F2F3F4F5F6F7F8F9P1P2P3P4P5P6P7The changes in the Fundamentals level - Skills moduleNote: For all financial reporting and auditing papers, Irish papers will continue to follow the UK Syllabus and Study Guide, and Hong Kong, Malaysia and Singapore papers will continue to follow the International Syllabus and Study Guide. All papers will continue to have separate examinable documents.
9F5 - decision-making, environmental accounting FUNDAMENTALS : Skills F4, F5, F6, F7, F8, F9F4 - no changesF5 - decision-making, environmental accountingPaper F4 (all versions) - no changesPaper F5 - syllabus changes to align better with Papers F2 and P5, for example, more decision making is being brought into F5. Also inclusion of environmental accounting and sales mix and quantity variances**Please amend slide according to audience**Paper F6 - minor syllabus changes to more effectively underpin the syllabus of Paper P6F6 (UK) - introduce the basic aspects of inheritance tax (IHT), and the inclusion of overseas transactions for VATF6 (IRL) - will include domicile, termination payments, and overseas aspects of VAT, and remove retirement relief and favourable holding company relief from the syllabus. (change shape 4 to read: F6 (IRL)- domicile, termination payments, and overseas aspects of VAT)F6 (MYS) - reintroduce Real Property Gains Tax (RPGT) in the December 2010/June 2011 syllabus (change shape 4 to read: F6 (MYS) - reintroduce RPGT)Other Paper F6 variant tax papers may have minor changes, as is normal from year to year. (change shape 4 to read: F6 (?) - no changes)F6 (UK) - IHT, overseas transactions for VAT
10F9 - Islamic finance F8 - updated syllabus FUNDAMENTALS : Skills F4, F5, F6, F7, F8, F9F7 - legal / regulatory info, UK based on IFRSF8 - updated syllabusPaper F7 (INT) & (UK) - To introduce more legal/regulatory information on financial reporting of groupsPaper F7 (UK) - will be based on International Financial Reporting Standards (IFRS) using international terminology with the key differences between UK GAAP and IFRS becoming examinable.Paper F8 (INT) & (UK) - syllabuses have been updated to more explicitly include certain examinable content within the Study Guide, including the audit framework, internal audit, planning and risk and audit evidence, International Accounting Standards will be used to underpin Paper F8 (UK) exam papersPaper F9 - introduction to Islamic finance added in relation to sources of finance - which are gaining greater prominence in the financial markets and in mainstream finance - to keep syllabus relevant and up to date.F9 - Islamic finance
11FUNDAMENTALS PROFESSIONAL PROFESSIONAL : Essentials P1, P2, P3FUNDAMENTALSPROFESSIONALKnowledgeSkillsEssentialsOptionsF1F2F3F4F5F6F7F8F9P1P2P3P4P5P6P7The changes in the Professional level - Essentials module
12Governance, Risk and Ethics PROFESSIONAL : Essentials P1, P2, P3P1 - business riskGovernance, Risk and EthicsProfessional AccountantPaper P1 - syllabus has been amended to include more areas on business risk as a response to an employer stakeholder survey results done in 2008/2009. These areas include risk assessment and management responses in changes to risk profile, both strategic and operational, including some strategic aspects of financial risk.Because of this, we are changing the paper name to Governance, Risk and Ethics
13P3 –management accounting added PROFESSIONAL : Essentials P1, P2, P3P2 - SMEs, consolidated accounts, entity reconstructionsPaper P2 (INT) & (UK) - the syllabuses have been re-aligned to contain more on requirements relating to small and medium-sized enterprises (SMEs) and about when accounts must be consolidated and when exemptions from consolidation apply. Entity reconstructions have been added.IFRICs will not be examinable in Paper P2 from June 2011.As with Paper F7 (UK), Paper P2 (UK) will now be based on IFRS with the key differences between UK GAAP and IFRS being examinable, and it will now also include more content on the legal requirements relating to the submission and reporting of accounts.Paper P3 - management accounting has been introduced to this syllabus to provide a more rounded financial context to the business analysis scenarios examinable. The changes will give the examiner wider scope to set more ‘real world’ questions, including the assessment of such business financial and quantitative techniques as forecasting, budgeting, cost accounting and decision making within a business analytics context.The original 2007 Pilot Paper has been updated for the new syllabus.Quality Section and performance aspects of HR management removed to Paper P5 to address overlapsP3 –management accounting added
14FUNDAMENTALS PROFESSIONAL PROFESSIONAL : Options P4, P5, P6, P7FUNDAMENTALSPROFESSIONALKnowledgeSkillsEssentialsOptionsF1F2F3F4F5F6F7F8F9P1P2P3P4P5P6P7The changes in the Professional level - Options module
15P5 - remove overlap with F5 and P3 PROFESSIONAL : Options P4, P5, P6, P7P4 - syllabus rearrangedP5 - remove overlap with F5 and P3Paper P4 - re-arrangement of syllabus and better re-alignment with Paper F9. No significant areas added but some removed to provide more coherence such as predicting corporate failurePaper P5 - Syllabus developed to align better with Paper F5 and to reduce potential overlap with Paper P3. Some strategic management areas have been removed from Paper P5. Quality management and performance management is now exclusively assessed in Paper P5 as previously noted.**Please amend slide according to audience**Paper P6 (UK) - no changes until June basic elements of IHT will be removed from P6 (UK) syllabus, and the syllabus will concentrate exclusively on the more complex areas of IHTP6 (IRL) - will introduce retirement relief and favourable holding company relief as new topics at this level (change shape 4 to read: P6 (IRL) - retirement relief and favourable holding company relief)P6 (MYS) - reintroduce Real Property Gains Tax (RPGT) in the December 2010 syllabus (change shape 4 to read: P6 (MYS) - reintroduce RPGT)Other Paper P6 variant papers have no significant changes, although they may have minor changes, as is normal from year to year (change shape 4 to read: P6 (?) - no changes)P6 (UK) - June basic IHT removed
16PROFESSIONAL : Options P4, P5, P6, P7 P7 - internal audit amended, practice management, assignments and reporting removedChanges to style of questions in Section A to integrate requirements and make more “real life”Paper P7 (INT) & (UK) - The internal audit area has been amended. Aspects of practice management, assignments and reporting have been removed - bringing both syllabi into line with each otherPaper P7 (UK) - Auditing aspects of insolvency have been introduced to the syllabus (not applicable to P7 (INT) as this area is country specific and legal in nature).
17All ACCA publishers have been given details of all the planned changes to syllabuses so that study texts can be updated accordingly. It is therefore important to remember the dates when selecting new textbooks:- June 2011 or later for the skills module and professional level- December 2011 or later for the knowledge module exams2011 syllabuses are available on the ACCA website nowThe new Knowledge module Syllabus and Study Guides will be published from August 2010Pilot questions for the new style longer questions for Section B of the Knowledge module papers will be available from January 2011 in both paper and CBE format.