What is Applied Knowledge Level?

A structured qualification, the Association of Chartered Certified Accountants (ACCA) offers mass accountancy certification. There are various ACCA levels; the entry-level is Applied Knowledge offers a detailed guide into the world of finance and accounting. Let us delve deeper into the subjects of this level, exam structure, eligibility criteria, books, and career opportunities.

Table of Content Applied Knowledge Level Subjects Quick Video on Knowledge Level Papers Eligibility for Applied Knowledge Level How does Applied Knowledge Level work? Applied Knowledge Level Exam Structure Applied Knowledge Level Exam Structure Career Opportunities After ACCA Applied Knowledge Level Related Blogs FAQs on Applied Knowledge Level

 

Applied Knowledge Level Subjects

Watch the video below for a step-by-step walkthrough of the ACCA Knowledge level papers!

 

Below are the three papers that cover all the core areas of finance and business. The ACCA subjects are all explored in detail, where you can learn about the different topics covered in this paper.

Business and Technology (BT)

The paper is based on the Business environment, the use of technology in business decision-making, and the organizational structure of businesses. As a student, you will learn about business functions, financial decisions, the influence of external forces, and the power of stakeholders.

Topics Covered

• Governance and ethics in business
• Core business functions - operations, marketing, human resources
• Organizations and the structure of a business organization
• Modern business and the implications of technology behind the success of business
• Role of accounting and finance in decision-making in business
• External factors - legal, social, economic, political, and technological influences

Management Accounting (MA)

The paper discusses the dealing of accounting data, which helps in internal audit and business decision-making. Students learn about cost accounting methods, performance evaluation tools and budgeting techniques.

Topics Covered

• Decision-making techniques and fat break-even analysis
• Cost behavior and cost classification
• Standard costing & performance measurement
• Budgeting and comparing planned vs actual performance
• Management accounting in planning and control
• Working capital management

Financial Accounting (FA)

This paper of ACCA course subjects introduces the preparation of financial statements, accounting concepts and accounting standards. These principles contributes to the overall integration of bookkeeping, functions of money and financial management.

Topics Covered

• Revolutionize business destruction along reinvention
• Bookkeeping principles
• Financial reporting rules and framework
• Financial statement (P&L, cash flow statement, balance sheet)
• International Financial Reporting Standards (IFRS)
• Record keeping of assets, liabilities, expenses and incomes

Eligibility for Applied Knowledge Level

The ACCA courses & certification are accessible to students from diverse backgrounds. Additionally, the entry requirements are quite easily fulfilled; hence, let us share with you the eligibility criteria for ACCA Applied Knowledge Level.

12th- Standard Students - students who have completed their 12th standard education in the commerce stream are eligible to begin their Applied Knowledge Level in ACCA courses.

Non-Accounting Graduates - If you are a graduate outside of the commerce stream without any knowledge in accounting, you can still enter the financial industry. Applied Knowledge Level is your pathway into the accounting field, introducing you to ACCA Levels.

Working Professionals - working professionals who are working in accounting and financial fields are eligible to apply for the Applied Knowledge plan in ACCA for higher salary, professional growth, and opportunities. Business correspondence will also flourish with this qualification.

How does Applied Knowledge Level work?

The applied knowledge level is an entry-level course which is suitable for beginners. Additionally, students or working professionals with no prior accounting experience can also pursue this course. The exams are computer-based assessments (CBAs) which an ACCA aspirant can take anytime of the year.

The level will help in exploring the implementation financial reporting along with core technical and strategic accounting skills. This level will give you a detailed understanding into the merits and demerits of accounting. Qualifying this level will help students pursue further higher level courses of ACCA qualification.

Applied Knowledge Level Exam Structure

Below is the detailed exam format of the Applied Knowledge Level. The exams are all CBE-based and are quite flexible because students can attempt them based on their demand as long as they are eligible. In the whole year, students can complete the exam based on their studies and schedule. Below is the structure of the exam:

• The duration of each exam is 2 hours
• Students have to answer Objective Test Questions and Multiple-Choice Questions (MCQs)
• Students have to score a minimum of 50% or higher to pass

Best Books for Applied Knowledge Level

Some of the best books for Applied Knowledge Level offers an introductory guide into management accounting, financial accounting and business and technology. If you are an ACCA aspirant, you need to study syllabus-aligned content comprehensively.

Students also need to study ACCA’s resources which are necessary for practical corporate governance helping with exam application and techniques.

The following are some of the best books to study for this level:

 

Subjects	Book Name	Publisher
Business and Technology (BT)	ACCA Business and Technology (BT) Study text and Exam kit	Kaplan Publishing
Management Accounting (MA)	ACCA Applied Knowledge - Course Book, Exam Practice Kit ACCA Applied Knowledge: ACCA Diploma in Accounting and Business (RQF Level 4): Management Accounting (MA/ FMA)	BPP Learning Media Kaplan Publishing
Financial Accounting (FA)	ACCA Applied Knowledge: ACCA Diploma in Accounting and Business (RQF Level 4) - Financial Accounting (FA/ FFA)	Kaplan Publishing

Purpose and Significance

To successfully use the learnings and knowledge acquired at the Applied Knowledge Level of ACCA qualification, you need to know about the purpose of the level. It is a significant aspect of the ACCA exams hence, below are the factors which can be identified as the purpose:

Skill Development - The level helps in developing a broad understanding into finance and accounting field. Therefore, students get equipped with core technical skills and business strategy for accounting job opportunities. 

Gateway to ACCA - After qualifying the entry-level which is introductory, students can move on to pursue further levels of ACCA namely Applied Skills Level and the Strategic Professional Level. 

Global Recognition - The ACCA qualification is well known globally hence, individuals aspiring in this industry can apply for consultancy and accountancy job opportunities. This wll help you start strong in the field. 

Career Opportunities After ACCA Applied Knowledge Level

When you complete the entry-level in ACCA, you are ready to progress to many entry-level or beginner’s position in the accounting industry. In the Applied Knowledge level, there are following career opportunities that are available for ACCA qualified professionals:

• Junior Accountant
• Bookkeeper
• Accounts Assistant
• Finance Assistant
• Tax Assistant

Ready to Pass the Applied Knowledge Level?

Now that you have read about the Applied Knowledge Level, which is the perfect stepping stone for your career in accounting and finance. The Applied Knowledge level is the foundation of ACCA learning and certification hence, you can go ahead and apply for good job opportunities. Your successful career is awaiting once you have qualified this level, so now you are ready!

Read More

• What is the Going Concern Concept?
• Diminishing Balance Method
• Occupational Structure
• Deficit Financing
• Debit & Credit
• Meaning & Types of Inflation
• Rectification of Errors in Accounting

Frequently Asked Questions (FAQs)

What is ACCA applied knowledge equivalent to?

The ACCA applied knowledge is quite equivalent to the UK University degree standard, especially because of the similarities between the two for the Applied Skills exams.

Is ACCA Applied Knowledge or AAT Level 4?

Students will get exemptions for three papers with AAT Level 4 at the Applied Knowledge level in ACCA qualifications. 

Can I do ACCA without Math?

Maths plays an important role in the ACCA course and exams, which are simple and quite basic in their application. These elements are not just part of the course, but they will help you in your everyday professional work and personal life.

How do I prepare for the ACCA Skills Module?

You have to complete the study syllabus of the ACCA Skills module along with practice questions and mock exams.

How much does ACCA Applied Knowledge cost?

Approximately, ACCA Applied Knowledge will cost somewhere between INR 9,000 to INR 13,000 for standard entry. Registration fees, annual subscription fees, and other exemption fees are all included in the cost range.