Association of

Accounting Technicians
of Sri Lanka
2 Association of Accounting Technicians of Sri Lanka

CONTENT

Page

01. Preamble 03

02. AAT Professional Qualification 04

03. Career Opportunities 05

04. Approach to the New Curriculum 06

05. Expected K-SAM Assurance 07

06. Pillars of the Curriculum 08

07. Curriculum Structure 09

08. Levels of the Curriculum 10

09. Credit and Notional Hours 11

10. Professional Experience 12

11. Teaching, Learning and Assessment Strategy 13

12. Competency Levels 14

13. Check List of Action Verbs 15

14. AAT Assessment Strategy 16

15. Structure of Question Papers 17

16. Key Topics, Weightages and Notional Hours 18

17. Course Description and Key Topics 19 - 25

18. Key Areas of Professional Experience 26 - 27

19. Detailed Content of Courses 28 - 74

20. Detailed Content of Professional Training 75 - 77

21. Transitional Provisions 78

22. Awarding Process of Qualification 79

Detailed Content
Association of Accounting Technicians of Sri Lanka 3

01. Preamble

In keeping with the policy The Association of

Accounting Technicians of Sri Lanka is pleased to
introduce this Curriculum 2020-25 effective from the
July 2020 examination replacing the existing curriculum
(2015-20) with a view to accommodating global changes
in the industry and the accounting profession.

Being the pioneer professional education institute

in Sri Lanka producing middle level professional
accountants, it is required to adapt to the rapidly
enhancing global environment thereby including the
changes in the curriculum, and effecting necessary
revisions to enhance the recognition and the validity
of the AAT qualification. AAT Sri Lanka is faced with the
challenges of an emerging new era which focuses on
professionalism of middle level accountants apropos of
the employability and marketability of the qualification.
The new curriculum with the theme ‘The Employment
Fast Tracked’ addresses these issues and attempts to
empower middle level accounting technicians’ espousal
to industrial and technological aspects keeping up with for Accounting Technicians to acquire relevant
state of the art standards. competencies to work in a digital environment whereby
the global needs are met. Every attempt has been made
Based on stakeholders’ responses and past experience,
to design the 2020-25 curriculum through a systematic
this curriculum focuses mainly on ability and competence
process of gathering information to facilitate producing
of being a professional in the finance industry using
an AAT qualified member with the requisite knowledge,
advanced technology. There is a demand for Accounting
relevant skills and the appropriate mindset.
Technicians who are equiped with academic knowledge
and accomplishment in the area of digital environment. The curriculum 2020-25 is designed to cater to the
The curriculum 2020-25 comprises the same three learning outcomes of International Education Standards
Levels I, II and III and the talent course consists of only (IESs) prescribed by the International Federation of
one subject Business Communication. New trends in Accountants (IFAC), the global apex body of professional
technology, such as E commerce, Block Chain, AI etc accountants, in which AAT Sri Lanka is a full member. The
are included under the subject Information Systems in gradual progression towards the furthest destination of
Digital Environment in Level II. the AAT qualification is not a mere labelling of students
who pass exam papers but also further moulding them
The curriculum 2020-25 is designed to produce
into becoming competent individuals in the profession.
expected K-SAM assurance of a qualified member to
meet the challenges of the dynamic working AAT believes that the new curriculum will generate
environment. With growing competition in the valuable impact on all stakeholders and provide
world, organizations are looking for technological opportunities in the future for both the private and
advancements such as robotics and artificial the public sector employers to derive benefit from
intelligence to achieve targets. Therefore, it is imperative competent middle level accountants.

Curriculum 2020
 4 Association of Accounting Technicians of Sri Lanka

02. AAT Professional Qualification

As stated in the preamble, AAT Sri Lanka intends to provide a ‘Fast Tracking Employment’ opportunity
Compliance with IFAC, NVQ and SLQF Requirements

with a comprehensive Knowledge, Skills, Attitudes and an appropriate Mindset (K-SAM) to the qualified
members in order to get a competitive advantage in the employment market to become middle level
accounting technicians/managers of large corporate bodies or to become an all-rounder in Small and
Medium Scaled Entities (SMEs).
Level I

Our focus is to produce Ethical and Value-Driven Accounting Professionals who are apprised in the
contemporary information systems in a digital environment and skilled in Accounting & Finance,
Performance Analysis & Management, Legal, Taxation & Auditing and Digital & Communication.

After critically analyzing the gap between the nature of the intake and the expected K-SAM of an AAT
qualified member, the requirements of National Vocational Qualification (NVQ) Framework of the Tertiary
and Vocational Education Commission of Sri Lanka, the International Accounting Education Standards of
International Federation of Accountants (IFAC) and the ever-changing and challenging requirements of
the global business environment, the AAT 2020 new curriculum is designed with three levels including
thirteen courses, a one-year professional training programme and People and Leadership Skills (PLS)
workshop to provide qualified members with the prescribed K-SAM.

In order to get the membership of the AAT and be able to use the designation, students need to fulfill the
Level II

following requirements.

▶ Satisfy the minimum entry requirement

▶ Assure all assessments of three levels which include thirteen (13) courses
▶ Suffice the professional training in a computerized digital environment and People and Leadership
Skills (PLS) workshop
Level III

Detailed Content
Association of Accounting Technicians of Sri Lanka 5

03. Career Opportunities

Although the focal point of AAT Sri Lanka is to produce middle level accounting technicians/managers of large
corporate bodies or to groom an all-rounder to a Small and Medium Scaled Entity (SME), it also attempts to espouse
the cause of employment opportunities in the long run to qualified members to go up in the ladder in their careers
and become professional accountants, general managers or CEOs where they could contribute to high productivity.

Level I
By virtue of the new curriculum, we assure that a diploma holder of AAT (AAT passed finalist) or a fully qualified
member will definitely procure Fast Tracked career development alternatives taking advantage of considerable
exemptions from many professional bodies including; CASL, CIMA, ACCA, CMA and IPA (Australia) to make headway
in the professional journey. Depending on their choice, they can register for a degree at the AAT business school
or other Universities with exemptions and go up the pathway for higher education to avail of numerous career
opportunities.

05 A Distinguished Member of AAT

MAAT

Level II
Applying for the Membership

04 [ 1 year Professional Experience + People & Leadership Skills (PLS) ]

OBTAIN
the
Memb
ership
PROFESSIONAL
PATHWAy
CA Sri Lanka
CMA Sri Lanka
CIMA
ACCA
IPA Australia etc.

03
READY
A Passed Finalist of AAT Sri Lanka to get
the ACADEMIC
AAT
Memb PATHWAy
ership
Business School
Degree
of AAT
Sitting for AAT Examinations
02 Examination Levels
Level I
Level II
Level III
COMP
LETE
within
1 1/2 y
ears
Local or Foreign
University
through exemptions
Level III

01
Applying for the Registration START
MINIMUM ENTRy QUALIFICATION afte
[6 passes at the g.C.E. O/L] G.C.E. r
(O/L)

Curriculum 2020
 6 Association of Accounting Technicians of Sri Lanka

04. Approach
to New Curriculum

AAT (2020) new curriculum is designed and developed having gone through a systematic process of gathering
information where several stakeholders were consulted to identify the requisite K-SAM of an AAT qualified member
to meet the challenges of the dynamic working environment. In order to identify the expected K-SAM of an AAT
qualified member, the Curriculum Development Committee organized several stakeholder brainstorming sessions
with the participating of AAT Council members, lecturers, managers & accountants of large organizations and high
Level I

officials of SMEs. The commonly identified requisite K-SAM have been summarized as follows:

Areas of K-SAM Expected Characteristics & Competencies

Accounting and Finance Skills Theoretical and conceptual knowledge on recording financial data, preparing,
analyzing & interpreting financial statements, reporting and communicating
financial information, and making financial decisions
Management Skills Apply relevant knowledge, team work, leadership, analyze business, economic
& legal environment, manage taxes, apply quantitative techniques, evaluate
performance and make decisions
Effective Communication Effective English language usage, business report writing, presentation, and
Skills negotiation
Appropriate Mindset with Be proactive, face challenges, adaptable, all-rounder, do new applications, prepare
Suitable Working Attitudes to do non-accounting work, update knowledge with continuous learning
Level II

Ethical and Value Driven

Professional Conduct Be credible, accountable, honest, disciplined and committed

Information Systems and Be apprised of computerized systems, accounting packages, ERP systems, IT
Digital Skills Applications, practical IT knowledge and new trends in IT

tems and D
tion Sys igita
rma l Sk
Info ills

Accounting and Management

Finance Skills Skills
Level III

Ethical and Value

Driven
Professional
Conduct

Effective Appropriate
Communication Mindset with
Skills Suitable Working
Attitudes

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Association of Accounting Technicians of Sri Lanka 7

05. Expected K-SAM Assurance

STEPS OF THE PROCESS

The AAT new curriculum (2020) is

Taking the views and needs of stakeholders
Identified the
carefully designed and developed into consideration, the expected K-SAM are
Expected
after critically analyzing the lacuna K-SAM identified.

between the nature of the entry

qualifications and the requisite

Level I
K-SAM of a qualified member,
Having held many discussions and
To achieve the expected K-SAM, four major skill
deliberations the requisite courses, Identified
areas are identified as four pillars.
Four Pillars
professional training program
and PLS workshop to ensure the
achievement through the expected
K-SAM of a qualified member of AAT
To achieve the expected K-SAM on four pillars,
Decided
has been designed. Courses, thirteen courses are identified and categorized
Professional into four pillars and a 1-year professional
Training Program training with PLS workshop are also designed
and PLS to fine tune the application and practical skills
Workshop on each pillar.

Level II
Analysing the lacuna between entry
Divided qualifications and the expected K-SAM, the
courses into thirteen courses are divided into three levels
Three Levels taking the nature and the workload of courses
into consideration.

To effectuate the expected K-SAM assurance,

Key topics for each course and key areas of
Identified
skills for the 1-year professional training & PLS
Key Topics
workshop are identified.

Level III

To ensure the fulfilment of expected K-SAM,

Decided ILOs for each key topic of courses and the
Intended Learning ILOs for key areas of skills for the professional
Outcomes (ILOs) training programme are decided.

To effectuate the ILOs of key topics of

courses and the ILOs of professional training
Developed
programme, the detailed contents of courses
Detailed
and the professional training programme are
Contents
decided.

Curriculum 2020
 8 Association of Accounting Technicians of Sri Lanka

06. Pillars
of the Curriculum

The identified thirteen courses to achieve the expected K-SAM of a qualified AAT member are divided into four pillars
to ensure the level of competency expected by the employers.

The one-year Professional Training Programme and People & Leadership Skills (PLS) workshop are designed to
provide the students with necessary application and practical experience to fine tune their K-SAM on the four pillars.
Level I

Therefore, the professional training programme would concentrate on the practical experience to improve the
application skills on Accounting & Finance, Performance Analysis & Management, Legal, Taxation & Auditing and
Digital & Communication.

Professional Professional Training + People & Leadership Skills (PLS)

Experience

Diploma in Accounting and Business (Passed Finalist)

302
Management Accounting & Finance (MAF)

204
Level II

Business
Management
301 (BMA)
Financial
Reporting
104 304
(FAR)
Business Corporate &
Environment Personal Taxation
Courses

(BEN) (CPT)

201 103 303 310

Advanced Financial Economics Financial Controls Business
Accounting & (ECN) & Audit Communication
Costing (FCA) (BC)
(AFC)
Level III

101 102 203 202

Financial Business Business Law Information
Accounting Mathematics & (BLA) Systems in Digital
(FAC) Statistics Environment
(BMS) (ISD)

Performance
Pillars Accounting & Legal, Taxation & Digital &
Analysis &
Finance Auditing Communication
Management

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Association of Accounting Technicians of Sri Lanka 9

07. Curriculum Structure

The structure of curriculum is designed into three levels viz: Level I, Level II and Level III. Twelve courses except Business
Communication are divided into three levels on the basis of the nature and the level of competency required to
comprehend the content of the courses. Taking the nature of the course and the requisite competency level into
consideration, the course on ‘Business Communication’ is placed at Levels II & III as a talent skill course which can
be completed with Level II courses or Level III courses based on the preference of the student. 1 year professional

Level I
training programme and PLS workshop are added to improve the students’ competencies to make them suitable
for employment. Moreover, the training also will encourage students to get experience in a computerized digital
environment and further enhance the requisite IT & Digital skills. PLS workshop focuses on strengthening the overall
soft skills required at work in order their technical skills are sharpened.

AAT Member

Professional Training + People & Leadership Skills (PLS)

Level II
Diploma in Accounting and Business (Passed Finalist)

301 302 303 304

Business Communication (BC)

Financial Management Financial Corporate &
Level III Reporting Accounting &
Finance
Controls &
Audit
Personal
Taxation
(FAR)
(MAF) (FCA) (CPT)
310

201 202 203 204

Advanced Information Business Law Business
Level II Financial
Accounting &
Systems in
Digital
(BLA) Management
(BMA)
Costing Environment
(AFC) (ISD)
Level III
101 102 103 104
Financial Business Economics Business
Level I Accounting Mathematics & (ECN) Environment
(FAC) Statistics (BMS) (BEN)

Levels Courses

Note:
In addition to the one-year professional training programme and PLS workshop, appropriate topics are included
in the relevant courses to develop the pertinent mindset with proper working attitudes and to encourge the
ethical and value-driven professional conduct.

Curriculum 2020
 10 Association of Accounting Technicians of Sri Lanka

08. Levels
of the Curriculum

After critically evaluating the intake of the students and their learning process, the courses of three levels are classified
in a logical order to develop gradually the requisite K-SAM of a qualified AAT member. Each level comprises of four
compulsory courses and the Business Communication course should be completed either in Level II or Level III.
Level I

Level III

Level II
Level II

Level I

Courses for Level III are

included to sharpen the skill
competency level of students to
prepare them for employment
as middle level accountants.
Level II courses concentrate The level of skill competency
on preparation of students expected in the Level III is
to achieve higher order mostly practical application
competency in key areas of and analytical in nature.
accounting and management. Accordingly, the questions
Courses for Level I are identified in the Level III papers would
The competency level
as taking the nature of the entry
Level III

expected in the Level II would concentrate more on testing

qualification and the required level the application and analytical
be more on comprehension
of competency to grasp the content skills.
and application of knowledge.
of advanced courses in Level II and III
Thus, the questions in the Level
into consideration. Level I courses are
II papers would focus more on
deemed as to provide students with
testing the comprehension
the basic knowledge in fundamental
and application of skills.
concepts, principles as well as taking
cognizance of the general business
environment. The competency
level expected in the Level I would
be based more on knowledge and
comprehension. Thus, the questions
in the Level I papers would focus
more on testing the knowledge and
comprehension skills.

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Association of Accounting Technicians of Sri Lanka 11

09. Credit and Notional Hours

In order to meet the requirements of the National Vocational Qualification (NVQ) Framework of Tertiary and Vocational
Education Commission of Sri Lanka, the required credits per level is 30 (1 credit is equal to 25 notional learning hours).
Therefore our courses are developed to comply with this requirement and designed to achieve a minimum of 30
credits per level estimated at least 750 notional hours assigned for each course on the basis of the weightage of each
topic. Moreover 15 credits are allocated for 1-year professional training programme where a student should work 220

Level I
working days covering atleast 1600 working hours.

Level Course Credits Notional Hours

101 Financial Accounting (FAC) 9 225

102 Business Mathematics & Statistics (BMS) 9 225
Level I
103 Economics (ECN) 6 150
104 Business Environment (BEN) 6 150

201 Advanced Financial Accounting & Costing (AFC) 8 200

202 Information Systems in Digital Environment (ISD) 8 200
Level II
203 Business Law (BLA) 8 200

Level II
204 Business Management (BMA) 8 200

301 Financial Reporting (FAR) 8 200

302 Management Accounting & Finance (MAF) 8 200
Level III
303 Financial Controls & Audit (FCA) 8 200
304 Corporate & Personal Taxation (CPT) 8 200

Level II/III 310 Business Communication (BC) 8 200

Professional
1-year Professional Training 15 220 days
Experience

Level III

Curriculum 2020
 12 Association of Accounting Technicians of Sri Lanka

10. Professional Experience

1
Professional
Level I

Training Professional
Experience

2
People &
Leadership
Skills (PLS)

Professional Experience comprises of one-year Professional Training programme and a People and Leadership
Skills (PLS) workshop. In order to become a professional member of AAT, students have to successfully complete
Level II

all 13 courses in the three levels, one-year professional training programme in an accepted organization and PLS
workshop. The professional training programme intends to provide students with, on the job-training experience to
enhance their K-SAM to the expected level by employers. PLS workshop allows the students to improve themselves
to be effective employees with leadership skills. This program was developed based on IFAC requirements and the
specific skill areas that are expected to improve through the programme are illustrated in the diagram below.

Digital Skills

Networking &
Professional Value,
Social Skills
Ethics &
Attitude
Level III

Interpersonal & Professional Intellectual

Communication Experience Skills
Skills

Personal,
Presentation Leadership &
Skills Organizational
Skills
Adaptability,
Flexibility &
Team Work

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Association of Accounting Technicians of Sri Lanka 13

11. Teaching, Learning and

Assessment Strategy

Teaching, learning and assessment strategies are decided after critically analyzing the lacuna between the nature
of entry qualifications and the expected K-SAM which the students are gradually subjected to broaden their
competencies making them readily for employment.

This teaching, learning and assessment strategy would

Level I
AAT Qualified ensure the standard of a qualified AAT member who would
Member possess the requisite K-SAM identified as to perform duties to
fulfil the expectations of employers of corporations and SMEs.

In order to ensure the achievement of K-SAM requisite for an

AAT qualified member, the assessment methods for each
course are determined to assess the achievement of ILOs
of each topic of the course. Written question papers would
Assessment be used to test the ILOs of thirteen courses and a practical
assessment method would be used to test the ILOs of the
professional training programme. The question paper of
each course is structured taking the nature and the ILOs of
the course into consideration.

Level II
In order to provide an interesting and systematic learning
experience, the ILOs of key topics are resolved on the
expected competency level of each topic which is explained
Learning with action verbs that are well-defined taking the nature of
learning process of students into account. According to the
NVQ framework the required notional learning hours that an
average student should study to achieve the specified ILOs of
topics are carefully allocated.

Considering the requisite K-SAM assurance of a qualified

member, the key topics for thirteen courses, ILOs and detailed
content of each topic are carefully ascertained. The weightage
Teaching for each topic is assigned after taking the workload of each
topic into consideration. The required self-learning course Level III
manuals with necessary examples and relevant guidelines
are provided.

Entry
6 Passes of the G.C.E.O/L
Qualification

Course Completion

It is expected that an average student would spend about six months to complete the courses in one level thereby
one and half years are needed to complete the courses in all three levels and a student has to work for one year to
complete the professional training programme to cover at least 220 working days which should approximately cover
at least 1600 working hours.

Curriculum 2020
 14 Association of Accounting Technicians of Sri Lanka

12. Competency Levels

In order to ensure the requisite K-SAM of an AAT qualified member, the AAT new curriculum is designed with
thirteen courses, one-year professional training programme and PLS workshop. Intended Learning Outcomes (ILO)
of key topics of courses are determined having taken into account the competency levels into consideration in order
that AAT passed finalist is able to show the abilities on completion of the qualification. The level of competency on a
topic is hierarchical in nature and its sequential order is Knowledge, Comprehension, Application and Analysis. The
Level I

illustration given below depicts the sequential order of broadening the competency levels:

Analysis
Draws Connections among Ideas
and Solve Problems

Application
Uses and Adapts
Knowledge in New Situations
Level II

Comprehension
Explains & elucidates
Ideas and Information

Knowledge
Recalls Facts
& Basic Concepts
Level III

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Association of Accounting Technicians of Sri Lanka 15

13. Check List of Action Verbs

The verb used at the beginning of an ILO of a topic reflects the level of competency expected. The appropriate verbs
with their definitions intended to reflect the level of competency are given in the Table below. These verbs are used
at the beginning of the ILOs of each topic varying with the level of competency expected.

Level I
Analyze Examine in details to find the solution or outcome
Differentiate Constitute a difference that distinguishes something
Draws
Discuss Examine in detail by arguments
Connections
Analysis (4) Among Ideas Compare Examine to discover similarities
and Solve
Contrast Examine to show differences
Problems
Outline Make a summary of significant features
Communicate Share or exchange information
Apply Put into practical use
Calculate Ascertain or reckon with mathematical computation

Uses and Demonstrate Prove or exhibit with examples

Adapts Prepare Make or get ready for particular purpose
Application (3) Knowledge
in New Solve Find solutions through calculations and/or explanation

Level II
Situations Assess Determine the value, nature, ability or quality
Graph Represent by graphs
Reconcile Make consistent/compatible with another
Define Give the exact nature, scope or meaning
Explain Make a clear description in detail using relevant facts
Explains &
Comprehension Elucidates Describe Write and communicate the key features
(2) Ideas and
Interpret Translate into understandable or familiar terms
Information
Show validity or otherwise using knowledge or
Recognize
contextual experience
List Write the connected items
Level III
Identify Recognize, establish or select after consideration
Recalls Facts
Knowledge (1) and Basic State Express details definitely or clearly
Concepts
Relate Establish logical or causal connections
Draw Produce a picture or diagram
Level of
Description Action Verbs Verb Definitions
competency

Curriculum 2020
 16 Association of Accounting Technicians of Sri Lanka

14. AAT Assessment Strategy

As described earlier, to produce AAT qualified members with expected K-SAM, the Intended Learning Outcomes
(ILO) of each course and the professional training programme and PLS workshop are identified. Then, to ensure the
achievement of ILOs, the assessment methods are decided. Written question papers would be used to test the ILOs
of thirteen courses and a practical assessment method would be used to test the ILOs of the professional training
programme. The structure of the question paper of each course is decided taking the nature and the ILOs of the
Level I

course into consideration.

Key topics are identified to ensure the achievement of

Key Topics
expected K-SAM of a qualified member.

ILOs are decided taking the expected competency level of

ILOs key topics of the course to ensure the expected K-SAM.
Level II

Course assessment methods viz; OTQs and essay type

Assessment
questions are decided to ensure the achievement of ILOs
Methods
of each key topic of the course.

Structure Taking the assessment methods into consideration, the

of Question question papers for each course are structured to assess
Papers the achievement of the ILOs of each course.
Level III

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Association of Accounting Technicians of Sri Lanka 17

15. Structure of Question Papers

Section A – 40 Marks (OTQs)

10 – 20 Objective Test Questions (OTQs ) (1,2,3 or 4 marks)

Level I Section B – 40 Marks

4 compulsory questions each worth 10 marks. Short scenario may be given

Level I
Section C – 20 Marks
One compulsory question with 20 marks. Mid -sized scenario may be given

Section A – 25 marks (OTQs)

8 – 15 Objective Test Questions (OTQs) (1,2,3 or 4 marks)

Section B – 50 Marks
Level II 5 compulsory questions each worth 10 marks. Short scenario may be given

Section C – 25 Marks
One compulsory question with 25 marks. Mid -sized scenario may be given

Section A – 20 Marks
4 compulsory questions each worth 5 marks. Short scenario may be given

Level II
Section B – 30 Marks
Level III 3 compulsory questions each worth 10 marks. Short scenario may be given

Section C – 50 Marks
2 or 3 compulsory questions with 10,15, or 25 marks. Mid scenario may be given

Note 01
All the question papers are of three-hours duration and additional reading time of 15 minutes is given for Level
Level III
II and Level III question papers. The structure of the Business Communication paper is similar to that of Level II
question papers

Note 02
Students can apply for courses of Level I and courses of Level II together and Level III can be applied only after the
completion of Level I and Level II courses.

Note 03
students can apply for the Business Communication course after the completion of Level I courses.

Note 04
Pass mark per course is 50.

Curriculum 2020
 18 Association of Accounting Technicians of Sri Lanka

16. Key topics, Weightages and

Notional hours

Key topics to be covered with the expected competency levels are decided to assure the expected K-SAM of a
qualified AAT member. According to the nature and the extent of workload to achieve the expected competency
level of a topic, the weightage for each topic is decided. Then considering the weightage of the topic, the required
notional learning hours are allocated for each topic.
Level I

Notional According to the NVQ requirements, the notional learning hours

Learning for key topics are allocated considering the weight of each topic
Hours of the course.

Weightage for key topics of a course is decided taking the nature

Weightages and the extent of workload to achieve the expected competency
level into consideration.
Level II

ILOs ILOs of key topics of a course are decided taking the expected
competency level of each key topic to ensure the requisite K-SAM.

Key Key topics of courses are decided to ensure the achievement of

Topics expected K-SAM of a qualified member.
Level III

Course This describes the key topics to be covered to achieve ILOs of the
Description course.

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Association of Accounting Technicians of Sri Lanka 19

17. Course Description and

Key Topics

Course descriptions and the key topics of the 13 courses with the weightage and the notional learning hours for each
key topic are outlined in this section.

LEVEL - I

Level I
101 Weightage Notional
Unit Key Topics
Financial Accounting (FAC) % Hours

This course is an introductory 01 Introduction to Accounting 5 11

course in accounting that Accounting Equation, Double Entry
intends to provide students 02 25 56
System and Accounting Concepts
with necessary fundamental
Prime Entry Books, Control Accounts and
knowledge in accounting 03 27 62
Trial Balance
concepts, principles and practices
in order to train them to prepare 04 Preparation of Financial Statements 30 68
basic financial statements of 05 Bank Reconciliation Statements 8 17
an organization which will be
Computerized Environment and
useful to proceed to higher level 06 5 11
Importance of being Ethical
accounting courses in Levels II
and III. Total 100 225

102
Weightage Notional
Business Mathematics and Unit Key Topics
% Hours
Statistics (BMS)

‘Business Mathematics and 01 Basic Mathematics for Business 15 34

Statistics’ is a supportive course 02 Financial Mathematics for Business 20 45
that provides students with
03 Financial Operative Measures for Business 10 22
basic knowledge and application
of business mathematics Data Presentation and Descriptive
04 15 34
and statistics. The knowledge Measures
obtained in this course would 05 Comparing Two Quantitative Variables 15 34
be useful to analyze and solve
06 Probability and its Applications 15 34
business problems as well as to
follow higher level courses. 07 Index Numbers and Forecasting 10 22
Total 100 225

Curriculum 2020
 20 Association of Accounting Technicians of Sri Lanka

103 Weightage Notional

Unit Key Topics
Economics (ECN) % Hours

This course is designed to provide Economic Concepts and Systems related

01 15 23
students with fundamental to Business Environment.
knowledge in economic concepts
Demand, Supply Equilibrium and ways of
principles and theories in relation 02 20 30
Government Intervention
to micro and macro-economics
to enhance the ability of students Behavior of Production Process and
03 15 22
to analyze the nature and the Different Market Structures.
impact of economy, financial
National Accounting and Role of the
system, money and general price 04 20 30
Government
levels and exchange rates on the
Level I

business activities and decision- Financial System, Money and General

05 15 22
making. Price Level
International Trade and Foreign Exchange
06 10 15
Market
Economic Growth, Development and New
07 05 8
Trends in the Economy
Total 100 150

104 Weightage Notional

Unit Key Topics
Business Environment (BEN) % Hours

The course focuses on developing Concepts of a Business and Different

01 20 30
the skills to comprehend the Types of Organizations
concept of business, organization
Business Environment and its Effect on
and the impact of business 02 10 15
Business Organizations
environment such as, supportive
services, government, society and 03 Supportive Services to Businesses 30 45
business ethics on the business 04 Trade in Business Organizations 10 15
activities and decision-making. It
Influences of the Government to Business
is also expected to highlight the
05 and the Importance of Business Ethics 10 15
importance of SMEs and financial
markets for the development of and Social Responsibility of a Business
an economy. 06 SMEs as the Backbone of an Economy 5 8
07 Contribution of Entrepreneurship 10 15
08 Financial Market in Sri Lanka 5 7
Total 100 150

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Association of Accounting Technicians of Sri Lanka 21

LEVEL - II
201
Weightage Notional
Advanced Financial Accounting Unit Key Topics
% Hours
and Costing (AFC)

This is an advanced course which Elements and Components of Financial

is developed on the foundation of 01 Statements and Adjustments for Financial 15 30
financial accounting in Level I to Statements
enhance the application of skills
Financial Statements for a Limited Liability
to prepare financial statements 02 20 40
of a partnership, limited liability Company
company and not for profit 03 Financial Statements for a Partnership 15 30
organization. This course would
Financial Statements using Incomplete
further provide the knowledge in
04 Records and Financial Statements for Not 20 40
basic cost accounting concepts
for Profit Organizations
and techniques.
05 Cost Accounting 30 60
Total 100 200

202
Weightage Notional
Information Systems in Digital Unit Key Topics
% Hours
Environment (ISD)

Level II
This course is designed to Concepts of Information Systems and
01 10 20
acquaint the students with Impact of Information Systems
more concepts in ISs and IT in
02 Information Technology Infrastructure 25 50
organizations and the ethical,
social and legal environment 03 Information Systems in Organizations 30 60
for ISs. It is also expected to Ethical, Social and Legal Environment for
convince the students about the 04 20 40
Information Systems
importance of being vigilant on
the new trends in IT and ISs such Technology Trends Impacting on
05 15 30
as AI, Block Change etc to survive Information Systems
in the ever-changing dynamic Total 100 200
digital world.

Curriculum 2020
 22 Association of Accounting Technicians of Sri Lanka

203 Weightage Notional

Unit Key Topics
Business Law (BLA) % Hours

Subsequent to successful Introduction to the Law and Regulatory

01 05 10
completion of this course, Framework of Sri Lanka
students will be able to
02 Law of Contracts 15 30
demonstrate an understanding
of the law and regulatory 03 Law of Sale of Goods 15 30
framework and the legal 04 Law of Agency 10 20
environment related to
organizations and businesses in 05 Corporate Law and Partnership Law 10 20
Sri Lanka. This will further discuss 06 Law applicable to Negotiable Instruments 08 16
the laws related to international
Labour Law and Alternative Dispute
trade, offences related to the 07 10 20
Resolutions
business environment and new
regulations. Law of Insurance, Leasing, Hire-Purchase
08 10 20
and Loans
09 International Trade Law 05 10
Offences Relating to the Business
10 12 24
Environment and New Regulations

Total 100 200

204 Weightage Notional

Unit Key Topics
Business Management (BMA) % Hours
Level II

This course intends to acquaint Introduction to Management and

01 10 20
the students with concepts Different Perspectives of Management
and principles in general
02 Functions of Management Process 35 70
management, management
process, the functional areas of 03 Operation Management 10 20
an organization and the change 04 Marketing Management 15 30
and strategic management and
their importance in achieving 05 Human Resource Management 15 30
organizational goals. This will 06 Change Management 05 10
further help students to gain
07 Introduction to Strategic Management 10 20
experience to improve their skills
such as teamwork, leadership Total 100 200
and communication

Detailed Content
Association of Accounting Technicians of Sri Lanka 23

LEVEL - III
301 Weightage Notional
Unit Key Topics
Financial Reporting (FAR) % Hours

This course starts with providing Governance Structure, Importance of

an understanding of the 01 Ethics in Accounting and Conceptual 10 20
governance structure, ethics, Framework of Financial Reporting
the conceptual framework of
Regulatory Requirements, and
financial reporting, regulatory
and disclosure requirements of Application & Disclosure Requirements
02 30 60
LKAS and SLFRS to enhance the of Sri Lanka Accounting Standards in
application and analytical skills preparing Financial Statements
of students to prepare financial Financial Statements for a Limited Liability
statements and to analyze and 03 30 60
Company for Publication Purpose
interpret financial and non-
financial data and provide Interpretation of Financial and Non-
04 15 30
information for decision making. Financial Data and Information
05 Consolidated Financial Statements 15 30

Total 100 200

302
Weightage Notional
Management Accounting and Unit Key Topics
% Hours
Finance (MAF)

The aim of this course is to Introduction to Management Accounting,

enable students to acquire Relevant Cost in Decision Making
01 25 50
knowledge in Management and Decision Making under Risk &
Accounting. This deals with Uncertainties
decision-making under Risk
02 Process Costing and Digital Costing 15 30
& Uncertainties, Budgeting &
Controlling, Standard Costing, Different Types of Budgets and Planning
03 15 30
Cost of Capital, Investment & Controlling Vs Budgeting
Appraisal and Working Capital 04 Standard Costing and Variance Analysis 15 30
Management of an organisation.
Studying this course will be 05 Sources of Capital and Cost of Capital 10 20
helpful to improve the decision 06 Capital Investments Appraisal 15 30
Level III
making skills related to raising
07 Working Capital Management 5 10
and utilization of funds.
Total 100 200

Curriculum 2020
 24 Association of Accounting Technicians of Sri Lanka

303
Weightage Notional
Financial Controls and Audit Unit Key Topics
% Hours
(FCA)

This course is expected to Business Environment and Governance

01 05 10
enhance students’ knowledge Framework
& competencies about business
02 Risk Management Framework 05 10
processes and Auditing
Standards applicable in Internal Control System and Business
03 25 50
conducting and reporting the Processes
audit of financial statements. Assurance Engagements and Related
Moreover, this also emphasizes 04 05 10
Services
on the ethical requirements and
quality requirements of an audit 05 Risk Assessment and Audit process 20 40
of financial statements of an 06 Audit Evidence 15 30
organization.
07 Audit Reporting 10 20
08 Ethical Requirements 10 20
Quality Requirements of an Audit of
09 05 10
Financial Statements

Total 100 200

304
Weightage Notional
Corporate and Personal Unit Key Topics
% Hours
Taxation (CPT)

This course intends to provide the 01 Introduction to Taxation of Sri Lanka 5 10

requisite knowledge in taxation
02 Sources of Income 30 60
of Sri Lanka to identify sources
of income to manage taxation Taxation of Individuals & Companies
03 20 40
for individuals, companies and (Resident)
others. This will focus further 04 Taxation of Miscellaneous Undertakings 10 20
on obligations, procedures and
concepts of applications of WHT, 05 Obligations and Procedures 10 20
Capital Gains, VAT, NBT, ESC Concepts and Applications of WHT, Capital
06 10 20
and stamp duty to enhance the Gains Tax and Case Laws
skills of students to manage the
Other Business Taxes (VAT, NBT, ESC and
taxation of an entity effectively. 07 15 30
Stamp duty)

Total 100 200

Level III

Detailed Content
Association of Accounting Technicians of Sri Lanka 25

310 Weightage Notional

Unit Key Topics
Business Communication (BC) % Hours

This is an additional course unit 01 Conversational Skills 20 40

apart from the 12 courses to be
02 Reading Skills 20 40
completed with either level II or
level III to enhance the business 03 Business Writing Skills 20 40
communication skills. The course 04 Functional Grammar 15 30
intends to provide the students
05 Business Presentation Skills 15 30
with conversation, reading,
writing and presentation skills in 06 Job Interview Skills 10 20
effective communication to meet
the expectations of employers. Total 100 200

Level III

Curriculum 2020
 26 Association of Accounting Technicians of Sri Lanka

18. Key Areas of Professional

Experience

1. Professional Training
Adequate training is required for students to demonstrate that they have gained technical competence, professional
skills, professional values, ethics and attitudes required them to perform their functions. One-year experience should
be completed by students under Monitored/Agreement or Non-Monitored/Non-Agreement training methods to
become a member of the institute.

Professional training under Monitored/Agreement method should be obtained in an approved organization in the
audit or non-audit sector under the direction of a member of CA Sri Lanka.

Professional training under Non-Monitored/Non-agreement method should be undergone in any Proprietorship,

Partnership, Corporate Body, Government Organization, Bank or Financial Institution or any other recognized
institution under the direction of a supervising member accepted by AAT Sri Lanka.

Technical Areas Other areas

▶ Financial Accounting ▶ Communication and Personal Skills
▶ Audit & Assurance Experience ▶ Professional Values, Ethics and Attitudes
▶ Taxation ▶ Digital Skills
▶ Management Accounting & Financial Management ▶ Interpersonal Skills
▶ Information Technology
▶ General Management and Secretarial Practice

Assessment Method
Professional Training/PLS

Input Assessment - A minimum of 220 working days of practical work experience should be
obtained and recorded in the Training Record Book.

Output Assessment
▶ Skill Assessment Report by the supervising member has to be submitted bi-annually
▶ Training record book content and trainee evaluation through one-to-one interview by an
assessing member (annual assessment), A Case Study Report has to be submitted by the
student
▶ Viva Voce Presentation
▶ Professional Values, Ethics and Attitudes

Detailed Content
Association of Accounting Technicians of Sri Lanka 27

2. People and Leadership Skills (PLS)

People and Leadership Skills (PLS) workshop focused on strengthening the overall soft skills are required for
accountants at work so that their technical skills can be displayed. This module covers networking and social skills,
interpersonal, communication and leadership skills, lifelong learning, adaptability & flexibility which are mostly
sought-after by employers.

Key Areas Weightage (%)

Networking and Social Skills 15
Interpersonal and Communication Skills 15
Presentation Skills 15
Adaptability, Flexibility and Team Work 15
Personal, Leadership and Organizational Skills 20
Intellectual Skills 20
Total 100

Professional Training/PLS

Curriculum 2020
28 Association of Accounting Technicians of Sri Lanka

19. Detailed Content

Intended Learning
Outcomes

Topic Weightage

Detailed Content

Detailed Content
Association of Accounting Technicians of Sri Lanka 29

LEVEL - I

Level I
101 - Financial Accounting (FAC)
Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify the importance of Financial Accounting for an 1
organization
Explain the aims and objectives of Financial Accounting 2
Introduction to Identify the role of an Accounting Technician 1 5%
Accounting
Explain the Accounting Process 2
Explain the impact of Environment Factors on Accounting 2
Identify financial information and their limitations 1
Identify business transactions of a business entity 1
Accounting
Equation, Explain the Accounting Equation 2
Double Entry Apply the effects of business transactions on the accounting 3
25%
System and equation
Accounting Apply the double entry principles and double entry system 3
Concepts
Explain Accounting Concepts 2
Identify source documents for business transactions 1
Prepare prime entry books and record transactions in to 3
Prime Entry ledger accounts
Books, Control Explain the need for maintaining subsidiary ledgers and 3
27%
Accounts and prepare control accounts
Trial Balance Prepare Trial Balance 3
Identify different types of accounting errors and prepare 3
suspense accounts

Preparation Prepare Income Statement and Statement of Financial 3

of Financial Position for a sole proprietorship 30%
Statements Prepare Manufacturing Account 3
Bank Explain the purpose of Bank Reconciliation Statement 2
Reconciliation 8%
Prepare the Bank Reconciliation Statement 3
Statements
Explain the use of computers in accounting and Identify 2
Computerized different accounting packages
Environment
5%
and Importance
of Being Ethical Identify the need of adhering to ethical practices in business 1

Curriculum 2020
 30 Association of Accounting Technicians of Sri Lanka

101 - Financial Accounting (FAC)

Unit Detailed Content
Introduction to Accounting (05%)
1.1 Aims and Objectives of Financial Accounting
1.2 Stakeholders of the business organization and uses of financial information
1.3 Difference between Financial Accounting and Management Accounting
1.4 Functions of Accounting Technician in a business entity
01
1.5 Accounting Process
Impact of changes in Environmental Factors (Political, Economic, Social, Technological and Legal)
1.6
Level I

on Accounting
1.7 Limitations of financial information
Accounting Equation, Double Entry System and Accounting Concepts, (25%)
2.1 Entity concept
2.2 Elements of Accounting (including; Assets, Liabilities, Income, Expenses and Equity)
2.3 Recording Business Transactions in line with Accounting Equation
02 2.4 Dual aspect of a transaction
2.5 Double Entry System
Other Accounting Concepts (Going concern, Periodic, Historical Cost, Money Measurement,
2.6
Matching, Accrual, Prudence, Consistency, Realization, Materiality, Substance over-form)
Prime Entry Books, Control Accounts and Trial Balance (27%)
3.1 Source Documents
3.2 Purpose of Prime Entry Books
3.3 Cash Book (Cash Receipts Journal and Cash Payments Journal)
3.4 Petty Cash Book
3.5 Cash Control Account
3.6 Purchase Daybook
3.7 Returns Outward Daybook
3.8 Sales Daybook
03 3.9 Returns Inwards Daybook
3.10 General Journal
3.11 Classification of Ledgers
3.12 Purpose of Control Account
3.13 Control Accounts and Reconciliation Statement
3.14 Trial Balance
3.15 Various Types of Errors in Accounting
3.16 Purpose of Suspense Accounts
3.17 Correction of Errors

Detailed Content
Association of Accounting Technicians of Sri Lanka 31

Unit Detailed Content

Preperation of Financial Statements (30%)
4.1 Objectives of Financial Statements
4.2 Adjustment of Accruals, Prepayments, Closing Stock and Allowance for Trade Receivables
4.3 Adjustment for Depreciation, and Methods of Depreciation
04 4.4 Capital and Revenue Expenditure
4.5 Income Statement of a Sole Proprietorship
4.6 Statement of Financial Position of a Sole Proprietorship
4.7 Manufaturing Account of the Organization

Level I
Bank Reconciliation Statements (08%)
5.1 Purpose and need for preparation of Bank Reconciliation Statements
05
5.2 Preparation of adjusted Cash Control Account and Bank Reconciliation Statements
Computerized Environment and Importance of Being Ethical (05%)
Basic understanding on Computerized Accounting (including; purposes, functions and accounting
6.1
06 packages)
6.2 Basic understanding of Business Ethics

Curriculum 2020
 32 Association of Accounting Technicians of Sri Lanka

102 Business Mathematics And Statistics (Bms)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify and Apply Basic Mathematical Skills 3
Apply mathematical concepts to solve problems using ratios, 3
proportions, mark-ups, margins and percentages
Calculate impact and variations of numbers related to business 3
Basic scenario
Mathematics 15%
for Business Identify and solve the quantitative variable(s) involved in business 3
scenarios
Identify the different sequence of numbers occurring in business 3
Level I

problems, and solve using algebraic expressions

Explain inequalities and identify Inequalities using a graph 2
Identify the basic Financial Mathematics Concepts 1
Explain the difference between simple interest and compound 3
interest and calculate simple and compound interest
Calculate Effective Interest Rate 3
Calculate Present Value and Future Value of cash flows 3
Financial Calculate the Terminal Value of investment plans and size of the 3
Mathematics investment 20%
for Business
Calculate Present Value of Annuity 3
Calculate Present Value of Perpetuity 3
Calculate and interpret the Net Present Value (NPV) 3
Prepare a loan amortization schedule 3
Apply interest for borrowing 3
Identify linear and quadratic functions 1
Apply linear and quadratic functions related to revenue, cost and 3
Financial profit in the graphical form
Operative Demonstrate the use of differential calculus to obtain Marginal 3
10%
Measures for Revenue, Marginal Cost, Total Revenue and Total Cost
Business Calculate the Break-Even Point 3
Calculate the profit maximizing or cost minimizing output level 3
and price
Identify the date and information and explain differences of them 2
Explain different sampling methods 2
Draw presentation of Frequency Distribution 1
Data
Prepare graphs, charts, diagrams, and tables to communicate 3
Presentation information
and 15%
Descriptive Calculate Central Tendency measures (Mean, median and mode) of 3
un-group or group data and explain their relevance in a business
Measures
Discuss the impact of skewness on Central Tendency 4
Calculate measures of dispersion 3
Explain the relationship between Standard Deviation and Variance 2

Detailed Content
Association of Accounting Technicians of Sri Lanka 33

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify different types of correlation 1
Draw a scatter diagram 1

Comparing Calculate and interpret Pearson’s Correlation Coefficient 3

Two Identify the regression line using the free-hand method or least 1
15%
Quantitative square method
Variables Calculate Coefficient of Determination 3
Assess predictions obtained by regression equation 3
Interpret regression analysis outputs 2

Level I
Describe concepts and Laws of Probability 2
Calculate simple and conditional probabilities using the formula, 3
tree diagrams and Venn diagrams and Interpret them
Calculate expected value and variance for discrete probability 3
Probability distribution
and its 15%
Explain normal distribution and calculate the probability of the 3
Applications standard normal distribution
Apply Normal Probability Distribution 3
Identify Central Limit Theorem 1
Calculate the probabilities with Central Limit Theorem 3
Calculate price and quantity relatives, simple aggregate and 3
weighted aggregate indices and interpret them
Index Explain the components of time series 2
Numbers
Calculate the trend using least squares method or moving 3 10%
and
averages
Forecasting
Calculate seasonal indices for Multiplicative Method 3
Assess forecast using Time Series Model 3

Curriculum 2020
 34 Association of Accounting Technicians of Sri Lanka

102 - DETAILED CONTENT - BUSINESS MATHEMATICS AND STATISTICS (BMS)

Unit Detailed Content
Basic Mathematics for Business -15%
1.1 Fundamental Concepts of Mathematics
1.2 Factorization
1.3 Ratios, Proportions, Percentage, Mark Up, Discount and Margin
01 1.4 Equations - Techniques for solving Linear, Quadratic and Simultaneous Equations
1.5 Arithmetic and Geometric Sequences
1.6 Impact and Variations of numbers related to business operation
Level I

1.7 Inequalities
Financial Mathematics for Business – 20%
2.1 Discounting and Time value of Money
2.2 Simple Interest and Compound Interest
2.3 Effective Interest Rate
2.4 Present and Future Value (Discounting and compounding)
02 2.5 Terminal Value of Investment and Size of the investment
2.6 Investment Appraisal using Net Present Value (NPV) and its interpretation
2.7 Perpetuity and Annuities

2.8 Applications of Leases, Mortage and Loans with a loan Amortization Schedule
Financial Operative Measures for Business - 10%
3.1 Differentiation and Integration
3.2 Supply, Demand, Cost , Revenue and Profit Functions
3.3 Break Even Point (BEP)
03
3.4 Arriving Marginal Cost and Marginal Revenue using Differentiation
3.5 Arriving Total Cost and Total Revenue using Integration
3.6 Profit Maximization and Cost Minimization
Data Presentation and Descriptive Measures - 15%
4.1 Data and Information
4.2 Primary and Secondary Data
4.3 Sampling Methods
4.4 Graphs and Charts for Business Presentations
04 4.5 Presentation of Frequency Distribution
4.6 Measures of Central Tendency
4.7 Skewness of Data Distribution
4.8 Measures of Spread (Range, Variance and Standard Deviation)
4.9 Relative Measures of Spread (Coefficient of Variance)

Detailed Content
Association of Accounting Technicians of Sri Lanka 35

Unit Detailed Content

Comparing Two Quantitative Variables - 15%
5.1 Scatter Diagram
5.2 Correlation
5.2.1 Types of Correlation
5.2.2 Correlation Coefficient
05
5.3 Linear Regression
5.4 Forecasting using Regression Model
5.5 Coefficient of Determination
5.6 Interpretation of Regression Outputs

Level I
Probability and its Applications – 15%
6.1 Basics of Set Theory
6.2 Basic Concepts of Probability
6.3 Conditional Probability
6.4 Rules of Probability
6.5 Tree diagram and Venn Diagram
06
6.6 Random Variables and Probability Distributions
6.6.1 Discrete and Continuous Probability Distributions
6.6.2 Expected Value and Variance of Random Variables
6.7 Normal Distribution and its applications
6.8 Central Limit Theorem and Sampling Distribution
Index Numbers and Forecasting – 10%
7.1 Index numbers (Price & Quantity Relatives, Simple and Weighted Aggregate Indices)
7.2 Components of Time Series (Trend & Seasonal, Cyclical & Irregular Variations)
7.3 Estimation of Trend (Straight Line Trend and Moving Averages)
07
7.4 Multiplicative Model of Time Series
7.4.1 Estimation of Seasonal Index of a Multiplicative Time Series Model
7.4.2 Forecasting using Multiplicative Time Series Model

Curriculum 2020
 36 Association of Accounting Technicians of Sri Lanka

103 - ECONOMICS (ECN)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Define Economics and identify underlying concepts of Economics 1
Economic Explain economic resources and non-economic resources 2
Concepts
Explain different types of Economic Systems 2
and Systems
15%
related to Discuss ways of solving the Basic Economic Problems by different 4
Business Economic Systems
Environment Explain the role of economic behavior of people within the 2
business environment
Level I

Explain the consumer behavior in the market 2

Demand, Analyze the theory of Demand and Supply 4
Supply,
Explain and calculate the elasticity of demand and supply and 3
Equilibrium
explain its application 20%
and Ways of
Government Explain the market equilibrium and its impact to the businesses’ 2
Intervention decisions
Explain ways of Government intervention to the market 2
Behavior of Explain the short term and long-term production process of an 2
Production organization
Process and Explain the behavior of Production Cost in the production process 2 15%
Different
Market Explain the Economic Cost and Accounting Cost 2
Structures Discuss the different market structures and their characteristics 4
Identify Macro-Economic Objectives 1
Explain Trade Cycle and its impact on business 2

National Explain the Circular Flow of Income in different sectors 2

Accounting Calculate the National Income on three main approaches 3
and Role 20%
Explain the importance and limitations of National Accounting 2
of the
Government Explain the impact of Macro-Economic dimensions on business 2
operations
Explain the role of Government to achieve Macro-Economic 2
objectives
Explain functions of money, demand for money and money 2
supply
Explain the Financial System and its components in Sri Lanka 2
Explain the objectives and functions of the Central Bank of Sri 2
Lanka
Financial
Explain functions of Commercial Banks 2
System,
Money and Explain the role of financial intermediaries in business operations 2 15%
General Price
Explain the relationship between liquidity and profitability of 2
Level commercial banks
Explain the fundamentals of money supply & demand, interest 2
rates, price level and inflation
Explain the relationship between inflation and interest rate 2
Explain effects of inflation on businesses and remedies for inflation 2

Detailed Content
Association of Accounting Technicians of Sri Lanka 37

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Explain the theories of international trade 2
Explain Terms of Trade and Balance of Payments 2
International
Trade and Assess the importance of international trade for business 3
expansion
Foreign 10%
Exchange Explain the foreign exchange market and the determination of 2
Market exchange rates
Identify steps to control the depreciation of currency of the 1
country

Economic Explain the concept of Economic Growth, Economic Development 2

Level I
Growth, and Sustainable Development, and identify how those concepts
influence on business operations
Development
5%
and New 2
Trends in the Explain the new trends in the Economy
Economy

Curriculum 2020
 38 Association of Accounting Technicians of Sri Lanka

103 - DETAILED CONTENT - ECONOMICS (ECN)

Unit Detailed Content
Economic Concepts and Systems Related to Business Environment – 15%
1.1 Scope of Economics
1.2 Underlying concepts of Economics
1.3 Economic resources and non-economic resources
1.4 Difference between Macro Economy and Micro Economy
01
1.5 Scarcity, Opportunity Cost and Basic Economic Problems
1.6 Different types of Economic Systems and how to solve the basic economic problem by each system
Level I

1.7 Production Possibility Frontier

1.8 Economic behavior within business environment
Demand, Supply, Equilibrium and Ways of Government Intervention – 20%
2.1 Consumer Equilibrium
2.2 Theory of Demand and Law of Demand
2.3 Theory of Supply and Law of Supply
2.4 Market Equilibrium
2.5 Determinants of Demand and Supply and their influence on the Equilibrium Price
02
2.6 Elasticity of Demand (Price Elasticity, Income Elasticity and Cross Elasticity) and their influence
2.7 Price Elasticity of supply and its influence
2.8 Consumer’s Surplus and Producer’s Surplus
2.9 The importance of Demand and Supply concepts in business operations
2.10 Ways of intervention by the Government to the market
Behaviour of Production Process and Different Market Structures – 15%
3.1 Basic concepts related to the production process
3.2 Economic Cost and Accounting Cost
3.3 Behavior of production process and stages of production in short run and long run
03 3.4 The Law of Diminishing Marginal Returns and Law of Returns to Scale
3.5 Marginal Cost, Marginal Revenue and Profit Maximization
3.6 Characteristics of market structures and their behavior in short run and long run
3.7 Optimum output, price and profit in the short run and long run in different markets
National Accounting and Role of the Government – 20%
4.1 Macro-Economic Objectives of a Country
4.2 Trade Cycle and its impact on business
4.3 Circular Flow of National Income
4.4 Different approaches of National Income Accounting
Gross Value Added, Gross Domestic Product, Gross Domestic Income, Gross National Income and
4.5
04 Per Capita Income
4.6 Importance and limitations of National Income Accounting
4.7 Reasons for market failure
4.8 Functions of the Government in a market economy
4.9 Fiscal Policy and its impact on business
4.10 The Government Budget and Direct and Indirect Taxation

Detailed Content
Association of Accounting Technicians of Sri Lanka 39

Unit Detailed Content

Financial System, Money and General Price Level – 15%
5.1 Functions of money
5.2 Demand for money and money supply
5.3 Financial system of a country
5.4 Objectives and the functions of Central Bank of Sri Lanka
5.5 Monetary policy and its impacts to the businesses
5.6 Functions of commercial banks
05
5.7 Financial Intermediaries

Level I
5.8 Profitability and liquidity in relation to commercial banks
5.9 Price level and inflation
5.10 Types of inflation and causes for inflation
5.11 Relationship between inflation and interest rate
5.12 Effects of inflation and remedies for inflation
International Trade and Foreign Exchange Market – 10%
Basic concepts of international trade (Absolute Advantage, Comparative Advantage, Terms of
6.1
Trade and Protectionism)
6.2 Tariff and non-tariff barriers to trade
6.3 Balance of Payment and its elements
06 6.4 Expansion of businesses through international trade
6.5 Foreign exchange market and the determination of exchange rate
6.6 Exchange Rate and its impact on businesses
6.7 Steps to control the depreciation of currency of the country
Economic Growth, Development and New Trends – 5%
7.1 Economic growth
7.2 Economic Development and structural change in Economic Development
7.3 Development and Human Development
07
7.4 Sustainable Development
7.5 Changing role of businesses and accounting with the concept of Sustainable Development
7.6 New trends in the Economy

Curriculum 2020
 40 Association of Accounting Technicians of Sri Lanka

104 - BUSINESS ENVIRONMENT (BEN)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level

Explain meaning of organization and business 2

Concepts of a
Business and 2
Explain concepts of business 20%
Different Types
of Organizations Assess different types of organizations 3

Analyze the business environment and its effects on an 4

Business organization
Environment
Explain the importance of continuity and being environmental 2
and its Effect 10%
Level I

sensitive
on Business
Organizations Explain new dynamic of global business environment and its 2
impact to the businesses
Identify the role of supportive services (Money, Transportation, 1
Communication, Insurance, and Logistics)
Supportive
Services to the Explain the importance of managing supportive services for 2 30%
Businesses the success of a business
Explain characteristics of each supportive service 2
Identify the meaning of trade and channels of distribution 1
Trade in Business Explain procedures in export and import 2
10%
Organizations
Recognize the new trends in retail, wholesale, import and 2
export trade

Explain the impact of the government and local bodies on

2
Influences of the business operations
Government to
Business, the
Importance of Identify and explain the importance of business ethics 2 10%
Business Ethics
and Social
Responsibility of
a Business
Recognize the need of CSR to achieve the business objectives 2

SMEs as the Assess the significance of Small and Medium Enterprises

3
Backbone of an (SMEs) in an economy 5%
Economy Explain the ways of enhancing the performance of SMEs 2
Identify the concept of Entrepreneurship 1
Contribution of 2
10%
Entrepreneurship Explain importance of Entrepreneurship to development

Identify composition of financial market 1

Financial Market
Identify instruments exchanged in financial market 1 5%
in Sri Lanka
Explain importance and role of Colombo Stock Exchange 2

Detailed Content
Association of Accounting Technicians of Sri Lanka 41

104 - DETAILED CONTENT - BUSINESS ENVIRONMENT (BEN)

Unit Detailed Content
Concepts of a Business and Different Types of Organizations – 20%
1.1 Meaning of an Organization and business
1.2 Formal and Informal Organizations
1.3 Nature and characteristics of a business
01
1.4 Concepts related with a Business:
1.5 Different Classification of Organizations with characteristics
1.6 Advantages and disadvantages of each type of organization

Level I
Business Environment and its Effect on Business Organizations - 10%
2.1 Business Organization as an Open System
2.2 Meaning of Business Environment
2.3 Elements of Business Environment, (External and Internal)
Influence of environmental forces on business and the importance of each component to the
2.4
business
2.5 Stakeholders of the business and their impact to the business

02 2.6 SWOT and PESTLE Analysis

2.7 Porter’s Five Forces Model
2.8 Impact of ICT on business and environment
2.9 Locating a Business in an Environment based on degree of change and number of factors
2.10 Learning organization: Continually transform in line with changing environment
2.11 Environmental Sensitivity as a managerial role
2.12 New dynamic of global business environment and its impact to the businesses
Supportive Services to Businesses – 30%
3.1 Use of money, contribution of money and financial system to a business
3.2 Services of commercial banks
3.3 Cheques and electronic money
3.4 Principles and classification of insurance
3.5 Process, elements and modes of communication
3.6 Barriers to effective communication
03
3.7 Elements and methods of transportation
3.8 Qualities of good transportation
3.9 Factors to be considered for logistics
3.10 Ways of logistics
3.11 Importance of each supportive service to the business
3.12 Characteristics of each supportive service

Curriculum 2020
 42 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Trade in Business Organizations – 10%
4.1 Meaning of Trade
4.2 Channels of Distribution
4.3 New Trends in trade
4.4 Two Basic Trades (Home and Foreign)
04 4.5 Wholesale and Retail
4.6 Imports and Exports
4.7 Imports and Exports procedures
Level I

4.8 Impact of global environment to international trade

4.9 Electronic business
Influences of the Government to Business, the importance of Business Ethics and Social Responsibility
of a Business – 10%
5.1 Goal of Business and Goal of Government
5.2 Importance of interrelationship between the government and business
5.3 Ways of government influence to the business
5.4 Contribution of businesses to the development of a country

05 5.5 Importance of business ethics for a business

5.6 Corporate Social Responsibility (CSR)
5.7 Significance of fulfilling responsibilities towards stakeholders
5.8 Classification of CSR
5.9 Sustainable Environment
SMEs as a Backbone of an Economy – 5%
6.1 Definitions of SME
6.2 Importance of SMEs

06 6.3 Performance of Sri Lankan SMEs and ways of enhancing the performance of SMEs
6.4 Challenges faced by Sri Lankan SMEs
6.5 Reasons for failures of SMEs
Contribution of Entrepreneurships – 10%
7.1 Definitions of Entrepreneurship
7.2 Entrepreneurship as a vital function of business
07
7.3 Importance of Entrepreneurship
7.4 Entrepreneurship as an engine of Economic Growth
Financial Market in Sri Lanka – 5%
8.1 Definition of Financial market
8.2 Composition of Financial market
08
8.3 Money market Vs Capital market
8.4 The role and importance of Colombo Stock Exchange and Instruments in financial market

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Association of Accounting Technicians of Sri Lanka 43

LEVEL - II
201 - ADVANCED FINANCIAL ACCOUNTING AND COSTING (AFC)
Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify the elements and components of Financial Statements 1
Elements & Explain the different bases of Accounting 2
Components Explain the adjustment for Prepayment, Accruals, Income Tax,
of Financial
Depreciation, Acquisition and Disposal of PPE, Allowance for Trade 2
Statements
Receivables and Salaries including PAYE, EPF and ETF 15%
and
Adjustments Explain basic accounting for VAT and WHT 2
for Financial Explain accounting treatment and disclosure requirements as per
Statements
the Sri Lanka Accounting Standards (LKAS 2, LKAS 8, LKAS 37 and 2

Level II
LKAS 10)
Explain the legal background of a Limited Liability Company 2
Financial Identify available sources of funds for a company 1
Statements
Explain accounting entries for share/debenture issues and
for a Limited 2 20%
Liability redemption of shares and debentures
Company Prepare a set of Financial Statements for a limited liability
3
company (Only for the Internal Management’s purpose)

Financial Explain legal environment of a partnership business 2

Statements
15%
for a
Partnership Prepare Financial Statements for a Partnership 3

Financial Prepare Financial Statements based on incomplete records 3

Statements
using Explain reasons for preparing Financial Statements for a Not for
Incomplete 2
Profit Organization 20%
Records
and for Not Prepare a set of Financial statements for a Not for Profit
for Profit Organization using accounting policies and appropriate Financial 3
Organizations Reporting Framework

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 44 Association of Accounting Technicians of Sri Lanka

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify Cost Accounting and its objectives 1
Explain cost concepts and classification 2
Explain procedures used in Material Control and calculate costs 3
related to inventory
Explain the importance of material control 2
Explain the different remuneration methods 2
Cost
Identify procedures used in Labour and calculate the Labour Cost 3 30%
Accounting
Explain classification of Overheads 2
Assess distribution/ absorption of Overheads 3
Calculate the cost of a Product/Job/Batch/Service and Price to be 3
charged
Contrast features and accounting entries of Integrated and Non- 4
Integrated Accounting Systems
Level II

Detailed Content
Association of Accounting Technicians of Sri Lanka 45

201 - DETAILED CONTENT - ADVANCED FINANCIAL ACCOUNTING AND COSTING (AFC)

Unit Detailed Content
Elements and Components of Financial Statements and Adjustments for Financial Statements – 15%
1.1 Elements of Financial Statements
1.2 Components of Financial Statements
Alternative bases for measuring the elements of Financial Statements (Historical Cost, Current
1.3
Cost, Realizable Cost and Present Value)
1.4 Adjustments for Accruals, Prepayments, and Allowance for Trade Receivables
1.5 Inventory Valuation & accounting for Stocks as per LKAS 02
1.6 Accounting for Acquisitions, Disposal and Exchange of Property, Plant & Equipment
01
1.7 Basic accounting for Value Added Tax (VAT) and Withholding Tax (WHT)
Basic understanding of Accounting Policies, Changes in Accounting Estimates and Errors as per
1.8
LKAS 8
1.9 Adjustments for the Events After the Reporting Period as per LKAS 10
1.10 Basic understanding of Provision, Contingent Assets and Contingent Liabilities as per LKAS 37
1.11 Adjustments for Salaries including EPF, ETF, and PAYE
1.12 Adjustments for Income Tax for a Company
Financial Statements for a Limited Liability Company – 20%
2.1 Various sources of funds
2.2 Accounting for shares / debentures issues
02 2.3 Redemption of shares and debentures

Level II
2.4 Capitalization of reserves and right issue
2.5 Preparation of Financial Statements for a limited liability company for the purpose of internal use
Financial Statements for a Partnership – 15%
3.1 Provisions in the Partnership Ordinance and other laws in relation to partnership Accounting
3.2 Partner’s Capital & Current Accounts
3.3 Income Statement of a partnership
3.4 Appropriation of Partnership Profits and Losses
03
3.5 Statement of Financial Position of a partnership
3.6 Adjustments under changes in ownership (at the beginning or end of the financial period)
Accounting for goodwill through partner’s capital accounts under ownership changes (calculation
3.7
of Goodwill will not be tested)
Financial Statements using Incomplete Records and Financial Statements for Not for Profit
Organizations – 20%
4.1 Financial statements based on incomplete records & information
Nature of a not for profit organization and reasons for preparing financial statements for not for
4.2
profit organization
04 4.3 Accounting treatments for Not for Profit Organizations (NPOs)
4.4 Income and Expenditure Account for Not for Profit Organizations
4.5 Statement of Financial Position for Not for Profit Organization

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 46 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Cost Accounting – 30%
5.1 Scope and objectives of Cost Accounting
5.2 Role(s) of a cost accountant in an organization
5.3 Difference between Financial Accounting and Cost Accounting
5.4 Cost Concepts and Classifications
5.5 Importance of material control and documents used in material cost control
5.6 Control of Stock Levels and costs related to inventory
Stock Control Systems (including; ROL system, constant order cycle system, two bin system & JIT
5.7
system)
Remuneration methods (including; time based, piece rate incentive schemes, group bonus
5.8
schemes)
Documents used in control of labor costs (including; attendance records, clock cards, time sheets,
05 5.9
job cards, piece work tickets and idle time records) and computation of labour cost
5.10 Labor turnover and associated costs
5.11 Different classifications of overheads
5.12 Overheads absorption process using absorption costing principles
5.13 Preparation of a statement how the overheads are allotted and apportioned
5.14 Treatment of overheads under Activity-Based Costing (ABC) principles
5.15 Computation of the cost of a product or job or batch or service and price to be charged
5.16 Features of Integrated and Non Integrated Accounting Systems
5.17 Profit Reconciliation between Cost Accounts and Financial Accounts
Level II

Accounting entries (only Raw material, wages and production overheads control accounts, WIP
5.18
control Account and Finished goods Control Account)

Detailed Content
Association of Accounting Technicians of Sri Lanka 47

202 - INFORMATION SYSTEMS IN DIGITAL ENVIRONMENT (ISD)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Differentiate data from Information 4
Describe characteristics of quality data 2

Identify the fundamental components of an Information system

2
and describe their functions
Concepts in
Information Explain the reason behind the widespread adoption of information
System and 2
systems in organisations and impact of information systems 10%
Impact of
Information Apply ICT to increase the efficiency and effectiveness of business
3
Systems processes
Explain how ICT support data analysis, decision making and use of
2
ICT tools for analysing data and information
Explain the types of information related to an individual’s personal
2
life that can be managed in computer-based system
Identify and describe the role of each component of
2
organization’s Information Technology (IT) infrastructure
Explain the different purposes of a mobile computing device
2
which can be used in the current context
Identify the importance of software and differentiate between
4
Information forms of Application Software
Technology Identify advantages and disadvantages of cloud storages and 25%
Infrastructure 1
cloud-based software over their traditional versions

Level II
Explain the process of obtaining network and internet connectivity
for corporates and individuals and identify factors affecting such 2
decision making
Identify the key factors that must be considered when selecting a
1
database
Describe types of information systems available in organisations
and explain necessary organisational requirements that must be in 2
Information place to ensure successful implementation and use of the system
Systems in 30%
Organisations Assess how organisations are using business intelligence
and business analysis to capitalize on the vast amount of data 3
becoming available
Identify different social media & social networks available for use
Ethical, Social 2
today and explain their impact
and Legal
Environment Explain several major security threats associated with information
2 20%
systems
for
Information Identify different legal regulations related to information entered,
Systems stored and transmitted through information system in Sri Lanka 2
and describe implications on organisations and individuals
Identify the driving forces of the 4th industrial revolution and 2
explain their technological foundation
Technology
Identify examples of innovations attributed to disruptive technologies 2
Trend introduced into the Sri Lankan market and explain their impact
Impacting on 15%
Information Describe the potential impact of Financial Technologies on 2
organisations
Systems
Describe how today’s organisations and individuals can gain 2
competitive advantage by adopting the emerging technologies

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 48 Association of Accounting Technicians of Sri Lanka

202 DETAILED CONTENT - INFORMATION SYSTEMS IN DIGITAL ENVIRONMENT

Unit Detailed Content
Concepts of Information Systems and Impact of Information Systems -10 %
1.1 Data, Information and Knowledge
1.2 Difference between data and information
1.3 Characteristics of quality information
1.4 Elements of Information Systems
1.5 The relationship between Information Technology (IT) and Information Systems (IS)
1.6 Business Process Re - engineering using IT
1.7 Impact of IS and IT on Finance
01
1.8 Impact of IS and IT on other organisational sectors
1.9 Competitive Advantages of business processes
How ICT support data analysis, decision making and use of ICT tools for analysing data and
1.10
information
1.11 Information Systems in society
Using and managing personal information (Contracts Management, Calendar Management,
1.12 Reminder and Notes, Location Tracking, Expense Management and Health and Wellbeing
Information)
Information Technology Infrastructure – 25%
2.1 IT Infrastructure
2.2 Mobile Computing devices
2.3 Software applications
Level II

2.4 Database Systems

02
2.5 Internet connectivity options in Sri Lanka
2.6 Choosing internet connectivity - Factors to be considered
2.7 Network Services
2.8 Data Centres and Cloud Computing
Information Systems in Organizations – 30%
3.1 Evolution of Information Systems in Organisations
3.2 Classification of Information Systems in Organisations
3.3 Electronic and Mobile Commerce
3.4 Functional Systems and Enterprise Systems
03
3.5 Data Analysis and Business Intelligence
3.6 Business Process Outsourcing
3.7 Information Systems Security
3.8 Investment Appraisal for selecting IT infrastructure and Information systems

Detailed Content
Association of Accounting Technicians of Sri Lanka 49

Unit Detailed Content

Ethical, Social and Legal Environment for Information Systems – 20%
4.1 Social networks and Social media
4.2 Services available for personal use and their features
4.3 Services available for professional use and their features
4.4 Positive impacts of social media and networks on individual and society
Negative impacts of social media and networks on individual and society (Including fake news,
4.5
Privacy issues, Identity theft)
4.6 Green Computing
4.7 E Waste and its impact on the environment

04 4.8 Best practices to reduce impact on environment

4.9 Information Security and Privacy (including Cyber Security and data protection)
4.10 Basic understanding of Legal Regulations in Sri Lanka related to IT and IS
- Information and Communication Technology Act No 27 of 2003
- Payment and Settlement Systems Act No 28 of 2005
- Electronic Transactions Act No 19 of 2006
- Payment Devices Fraud Act No 30 of 2006
- Computer Crimes Act No 24 of 2007
- Electronic Transactions (Amendment) Act No 25 of 2017
Technology Trends Impacting on Information Systems – 15%
5.1 4th Industrial Revolution and Disruptive Technologies

Level II
5.2 Basic understanding of Financial Technologies
- Crowd Funding
- Block Chain and Crypto Currencies
- Payment Platforms
05 - Mobile and micro payments
5.3 Internet of Thing and Internet of Everything
5.4 Big Data and Data Visualisation
5.5 Artificial Intelligence (AI) and decision making
5.6 Manufacturing and Automation trends – Robotics to 3D printing
5.7 E Learning, M learning and MOOCS

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 50 Association of Accounting Technicians of Sri Lanka

203 - BUSINESS LAW (BLA)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Introduction Identify the constitution and its role 1
to the Explain the different branches of law and Legal System 2
Law and
Describe the court system and its functions. 2 5%
Regulatory
Framework of Identify and Explain the functions of the regulatory bodies with
Sri Lanka 2
particular emphasis on accounting and business
Explain the requisites of a valid contract 2
Explain terms of a contract (conditions, warranties, exemption
clauses) and the effect of exemption clauses and the Unfair 2
Contract Terms Act No 26 of 1997)
Explain mistake, misrepresentation, duress and undue influence 2
Explain the effect of illegality and its consequences. 2
Law of
Explain the principle of unjust enrichment 2 15%
Contracts
Explain the principle of privacy contract 2
Discuss remedies for breach of contract 4
Discuss the methods of termination of a contract. 4
Identify the periods of prescription for different types of contracts 1
Explain the principle of privacy of contract 2
Define the contract of Sale of Goods 2
Discuss the difference between sale of goods contracts and other
4
Level II

types of contracts
Law of Sale of
Explain the implied conditions & warranties 2 15%
Goods
Discuss the time at which there is a passing of risk and a transfer
4
of title
Explain the remedies available to a buyer and seller 2
Explain the circumstances under which a relationship of Principal-
2
Agent would be recognized
Explain the authority of an agent (actual authority and ostensible
2
authority)

Law of Explain the duties and right between principal and agent 2
10%
Agency Explain the methods of termination of agency (including act of
2
parties and by operation of law)
State liabilities of agent (including when acting within actual
1
authority, within ostensible authority and without authority)
Explain the liability of the state for acts done by its agents 2
Identify and explain terms and concepts pertaining to Company Law 2
Identify and explain terms and concepts pertaining to
2
Partnership Law
Corporate Recognize the registration requirements of a partnership 2
Law and
State the relationship between partners and third parties 1 10%
Partnership
Law Explain the formalities contained in the prevention of Frauds
2
Ordinance with regard to creation of a partnership
Explain the manner in which a partnership could be dissolved. 2
Explain the delictual ability of partners 2

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Association of Accounting Technicians of Sri Lanka 51

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Explain Cheques, Bills of Exchange and Promissory Notes 2
Identify differences between cheques and bills of exchange 1
Law Explain the functions of cheques, bills of exchange and promissory
2
Applicable to notes in the business context
8%
Negotiable
Explain the applicable principles, laws and their commercial
Instruments 2
significance under cheques, and bills of exchange
Explain holder in due course and presentment with reference to a
2
bill of exchange
Differentiate an employee and an independent contractor 4
Identify the main differences between EPF and ETF 1
State instances where employee can withdraw EPF & ETF 1
Explain employees covered, benefits available, and authorized
deductions under the Shop & Office Employee Act (Including 2
hours of employment, holidays, maternity benefits)
Labor Explain the procedure for termination of employees under the
2
Law and Termination of Employment Workmen (Special Provisions) Act
Alternative 10%
Identify scheduled employment 1
Dispute
Resolutions Identify the computation of compensation payable on termination. 1
Assess the entitlement of gratuity 3
Explain the steps available for the violation of fundamental rights
2
including the role of the Human Right Commission
Explain the process of Mediation and role of Mediation Board and

Level II
2
Mediation Centre of Sri Lanka
Explain Arbitration Process and Role of Arbitral Tribunal 2
Explain the difference between a contract of insurance, contract
2
of assurance and a wagering contract
Explain the principles regarding the formation of a contract of insurance 2
Explain the insurance principles (uberrimae fidei, insurable
2
interest and indemnity)
Law of
Insurance, Explain the concept of hire - purchase with principles and obligations 2
Leasing, List obligations of hirer & owner and lessee & lessor 1 10%
Hire-Purchase
Explain concepts of leasing and loan 2
and Loans
Explain available remedies for lessor 2
Explain the recovery of possession 2
Explain mortgages, guarantors and collaterals 2
Explain Ex-parte execution by institutions 2
Explain the process of international sale of goods with reference to
International 2
finance and letter of credit, transportation, insurance and bill of lading 5%
Trade Law
Explain the process of international commercial dispute resolution 2
Define fraud, theft, money laundering, bribery, negligence and
2
Offences explain the main offences
Relating to Explain the relevant Acts 2
the Business
State briefly on Financial Intelligence Unit (FIU) and reporting 12%
Environment 1
requirements to FIU
and New
Regulations Identify Commission to investigate Allegations of Bribery or Corruption 1
Identify MOUs with other Countries 1

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 52 Association of Accounting Technicians of Sri Lanka

203 DETAILED CONTENT – BUSINESS LAW (BLA)

Unit Detailed Content
Introduction to the Law and Regulatory Framework of Sri Lanka – 5%
1.1 Constitution of Sri Lanka and the different branches of law
1.2 Legal System of Sri Lanka
1.3 Court System of Sri Lanka with power and functions
01
Functions of Regulatory Institutions (The Institute of Chartered Accountant of Sri Lanka, Sri Lanka
Accounting Standards Monitoring Board, Securities and Exchange Commission, Colombo Stock
1.4
Exchange, Registrar of Companies, Department of Customs, Board of Investment, Central Bank of
Sri Lanka- Exchange control aspect and Credit Information Bureau)
Law of Contracts – 15%
2.1 Main elements of a contract
2.2 Terms of a contract
2.3 Mistakes, misrepresentation and undue influence & their consequences.
2.4 Legality of objects (illegality and consequences)
02 2.5 Principles of unjust enrichment
2.6 Termination of a contract
2.7 Common law and Equitable remedies for breach of a contract
Other concepts of contract law (including periods of prescription for different types of
2.8
contracts, principles of privacy of contract)
Law of Sale of Goods – 15%
3.1 Form and subject matter of the sale of goods contract
Level II

Difference between a sale of contract and a contract for work and material and the classification
3.2
of said goods
03 3.3 Conditions and warranties
Transfer of the property between seller and buyer including unascertained goods, reservation of
3.4
title, installment deliveries, sales by auction, sale by person who is not the owner
3.5 Remedies available to buyer and seller including rights of an unpaid seller
Law of Agency – 10%
4.1 Creation of Agency and different types of agents
4.2 Authority of Agent
4.3 Rights and duties between principal and agent
04
4.4 Termination of Agency
4.5 Liabilities of Agent
4.6 Liability of the state for acts done by its agent
Corporate Law and Partnership Law – 10%
5.1 Incorporation procedures of company
5.2 The concept of organizational personality (including legal consequences, relevant cases, veil of
incorporation, lifting of veil of incorporation)
5.3 Creation of a partnership and Registration requirement for a partnership
05 5.4 Laws applicable to a partnership
5.5 Relationship between partners and third party
5.6 Liability of partner in contract and delict
5.7 Dissolving of a partnership

Detailed Content
Association of Accounting Technicians of Sri Lanka 53

Unit Detailed Content

Law Applicable to Negotiable Instruments – 8%
6.1 Features and functions of cheques, Bills of exchange and promissory notes
Legal principles and commercial significance of cheques (including endorsement, crossing,
06 6.2
dishonor and banker’s liability)
6.3 Holder in due course and presentment of bills of exchange & a holder’s right
Labour Law and Alternative Dispute Resolutions– 10%
7.1 Differences between an employee and an independent contractor
7.2 Employees’ Provident Fund (EPF) and Employees’ Trust Fund (ETF)
7.3 Instances where an employee can withdraw his/her contribution of ETFand ETF
7.4 Gratuity
7.5 Shop and Office Employee Act
7.6 Termination of an Employee
07
7.7 Scheduled Employment
7.8 Steps available for the violation of Fundamental rights to employment
7.9 Human Right Commission
7.10 The process of mediation
7.11 The role of Mediation Board and Mediation Centre of Sri Lanka
7.12 Arbitration process and role of Arbitral Tribunal
Law of Insurance, Leasing ,Hire- Purchase and Loans - 10%
8.1 Concepts, principles and characteristics relating to Insurance, Leasing, Hire- Purchase and Loans
08

Level II
8.2 Legal aspects of Insurance, Leasing, Hire- Purchase and Loans
International Trade Law – 5%
9.1 Differences between CIF contract and FOB contract
09 9.2 Financing International trade
9.3 The process of international commercial dispute resolution
Offences Relating to the Business Environment and New Regulations– 12%
10.1 Main offences in business environment
New regulations in business environment (Prevention of Money Laundering Act, Consumer Affairs
10.2 Authority, Right to Information Act, Financial Transactions Reporting Act and Intellectual Property
Act)
10 10.3 Punishments for Money Laundering
10.4 Financial Intelligence Unit (FIU) of Sri Lanka with reporting requirements to FIU
10.5 Commission to investigate Allegations of Bribery or Corruption
10.6 Memorandum of Understandings with other Countries

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 54 Association of Accounting Technicians of Sri Lanka

204 BUSINESS MANAGEMENT (BMA)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Explain the basic concepts of management 2
Identify the fundamental purpose of a business 1
Explain the role of efficiency, effectiveness and productivity in
Introduction 2
business operations and their relationship
to
Management Explain types of managers, managerial roles and skills at different
2
and Different levels 10%
Perspectives Identify management process 1
of
Management Explain the competencies required for finance professional with
2
new technology
Explain challenges faced by managers in today’s context 2
Assess features of different perspectives of management 3
Identify the role of decision making in management 1
Discuss the types of decisions and the rational decision-making
4
process
Discuss the importance of information in decision making 4
Explain barriers of rational decision making 2
Explain the process and the importance of planning 2
Discuss the types of plans of a business 4
Explain barriers of planning and ways of overcoming those
2
barriers
Level II

Explain the importance of organizational structure and its

2
elements
Explain the relationship between organizational structure and
2
strategy
Explain business process Re- engineering 2
Explain leading process (Leadership, Motivation and
2
Functions of Communication)
Management 35%
Differentiate a leader from a manager 4
Process
Identify the required characteristics and behaviors to be an effective
1
leader
Explain leadership theories 2
Explain the relationship between motivation and human needs 2
Explain theories of motivation 2
Discuss the manager’s role in motivating members of an
4
organization
Explain communication as a vital function in the modern business
2
organization
Discuss the steps of effective communication process and related
4
elements
Identify the barriers for effective communication 1
Explain the steps, process, methods and techniques of controlling 2
Identify the factors that should be considered in controlling 1
Analyze the behavioral implications of controlling 4

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Association of Accounting Technicians of Sri Lanka 55

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Explain the functions and importance of operation management 2
Operation
State the steps of the production process in brief 1 10%
Management
Identify the impact of new technology on operations of a business 1
Discuss concepts & importance of marketing and the marketing
4
mix
Marketing Explain branding and its importance 2 15%
Management
Identify the use of digital marketing 1
Identify the ethical aspect of marketing 1
Discuss the importance of HRM 4
Human
Identify the responsibility of HRM 1
Resource 15%
Management Discuss the HRM functions and their contribution to achieve
4
organizational objectives

Change Explain the types of organizational change 2

5%
Management Discuss the sources of resistance to change 4

Introduction Demonstrate conceptual understanding of the different strategies

3
to Strategic in an organization 10%
Management Explain the role of strategy for an organization 2

Level II

Curriculum 2020
 56 Association of Accounting Technicians of Sri Lanka

204 DETAILED CONTENT - BUSINESS MANAGEMENT (BMA)

Unit Detailed Content
Introduction to Management and Different Perspectives of Management - 10%
1.1 Meaning of Management
1.2 Resources vs Assets
1.3 Multiple Objectives of a Business
1.4 Efficiency Vs Effectiveness: The Art of Balancing
1.5 Productivity: Combined effect of Efficiency & Effectiveness
1.6 Types of Productivity and how to enhance productivity
01 1.7 Management process and need of management
1.8 Types of Managers at different levels of organization
1.9 Managerial role and skills at different levels
1.10 Challenges faced by managers in today’s context
1.11 Competencies required for finance professionals in new technology
1.12 Evolution of Management Thinking
1.13 Features of different perspectives of management
Functions of Management Process– 35%
2.1 Concepts of Decision Making
2.2 Importance of Decision Making in Management
2.3 Process of Rational Decision Making
2.4 Different Decision Making Approaches
Level II

2.5 Role of Information in Decision Making

2.6 Barriers of Rational decision making
2.7 Concepts and principles related to Planning
2.8 Process of Planning
2.9 Types of Plans in a Business
2.10 Importance of Planning
2.11 Barriers for Planning and ways of overcoming those barriers
2.12 Meaning and concepts of Organizing (Authority, responsibility, power and delegation of authority)
02
2.13 Steps of Organizing and importance of Organizing
2.14 Type of Organizational Structures and its Elements
2.15 Barriers for delegation of Authority
2.16 Dynamic Organizational Structures
2.17 Business Process Re- Engineering

2.18 Organizational Structure and Strategy

2.19 Process of leading (Leadership, Motivation and Communication)

2.20 Importance of leadership

2.21 Characteristics and functions of a Leader

2.22 Differences between a Leader and a Manager

2.23 Leadership theories

Detailed Content
Association of Accounting Technicians of Sri Lanka 57

Unit Detailed Content

2.24 Motivational theories
2.25 Importance of motivation
2.26 Signs of motivation and demotivation
2.27 Meaning and process of Communication
2.28 Communication as a vital function in management process in a modern-day organization
2.29 Characteristics of Effective Communication

2.30 Communication skills required by a manager

2.31 Barriers to Effective Communication and ways of overcoming them
2.32 Different communication techniques
2.33 Importance and concepts of controlling
2.34 Steps of Controlling Process
2.35 Classification of Controlling Techniques
2.36 Factors that should be considered in controlling of a Business
2.37 Behavioral implications in Controlling

Operation Management – 10%

3.1 Meaning of Operation Management
3.2 Designing the Production Process
3.3 Functions and importance of Operation Management
03
- Supply Chain Management - Scheduling of work - Forecasting Demand
- Quality Management - Capacity Planning - Facility Layout Designing

Level II
3.4 Impact of new technology in operations of a business
Marketing Management – 15%
4.1 Meaning of Marketing Management
4.2 Concepts and importance of Marketing
4.3 Different marketing philosophies
4.4 Marketing Mix
04
4.5 Segmentation, Targeting and Positioning
4.6 Basic concepts and importance in branding
4.7 Digital Marketing
4.8 Ethical Aspects of Marketing
Human Resource Management (HRM) – 15%
5.1 Meaning of HRM and Importance of HRM
5.2 HRM as a Dual Responsibility
05 5.3 Functions of HRM and their contribution to organizational effectiveness
How knowledge on organizational behavior can be used to enhance the performance of
5.4
individuals and organizations
Change Management – 5%
6.1 Meaning of Change Management
06 6.2 Types of change
6.3 Resistance to change and overcoming resistance to change

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 58 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Introduction to Strategic Management – 10%
7.1 Nature of strategies
7.2 Types of strategies
07 7.3 Characteristics of strategies
7.4 External and internal factors that may influence the strategy of an organization
7.5 Strategic planning process
Level II

Detailed Content
Association of Accounting Technicians of Sri Lanka 59

LEVEL - III
301 FINANCIAL REPORTING (FAR)
Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Identify the organizational context and the need of
1
Governance accounting
Structure, Explain the Governance Structure of Organizations and
2
Importance of non-financial data and information in the Annual Report
Ethics in Accounting 10%
Explain the importance of ethics in Accounting and
and Conceptual 2
Business
Framework of
Financial Reporting Assess how the finance functions interact with other functions 3
Discuss the Conceptual Framework of Financial Reporting 4
Recognize the regulatory requirements applicable to
Regulatory
the submission of Financial Statements of Public Listed 2
Requirements,
Companies
and Application &
Disclosure Discuss the need for Sri Lanka Accounting Standards 4
Requirements of Apply the accounting treatments and disclosure 30%
Sri Lanka Accounting requirements prescribed in the Sri Lanka Accounting 3
Standards in Standards
preparing Financial
Statements Apply SLFRS for SMEs 3

Financial Statements Prepare and Communicate Financial Statements for

for a Limited Liability publication purpose (General Purpose Financial Statements) 4
in accordance with the Sri Lanka Accounting Standards 30%
Company for
Publication Purpose Prepare Statement of Cash flows for a single entity 3 Level III
Analyze and interpret Financial Statements using
4
financial ratios
Interpretation of Assess the performance of an organization through
Financial and Non- 3
financial ratios 15%
Financial Data and
Information Identify and explain the limitations of financial ratios 2
Prepare a report that includes non-financial data and
3
information
Explain the concepts of Consolidated Financial Statements 2
Prepare Consolidated Income Statement for a group of
Consolidated 3
companies in accordance with Sri Lanka Accounting Standards 15%
Financial Statements
Prepare Consolidated Statement of Financial Position
for a group of companies in accordance with Sri Lanka 3
Accounting Standards

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 60 Association of Accounting Technicians of Sri Lanka

301 DETAILED CONTENT - FINANCIAL REPORTING (FAR)

Unit Detailed Content
Governance Structure, Importance of Ethics in Accounting and Conceptual Framework of Financial
Reporting – 10%
1.1 Context of an organization
1.2 Stewardship Theory
1.3 Governance Structure of an organization and new development of Accounting Profession
1.4 Importance of Ethics in Accounting and business
1.5 Reports that include non-financial data and information in the Annual report
1.6 Integrated Reporting and Sustainability Reporting
01 How finance function interacts with other functions of the organization (Operations, Sales &
1.7
Marketing, Human Resources, IT etc.)
1.8 Objectives of General-Purpose Financial Statements
1.9 Qualitative Characteristics of Financial Information and the Underlying Assumption of Financial Reporting
1.10 Reporting Entity and Financial Statements
1.11 Recognition and Measurement of Elements of Financial Statements
1.12 Concept of Capital and Capital Maintenance
Regulatory Requirements, and Application & Disclosure Requirements of Sri Lanka Accounting
Standards in preparing Financial Statements – 30%
2.1 Preparation and presentation of financial statements as per Companies Act No. 7 of 2007
Requirements for submission of financial statements for Specified Business Enterprises (SBEs) as
2.2
per Sri Lanka Accounting and Auditing Standards Act No.15 of 1995
Regulatory requirements of Securities and Exchange Commission (SEC) and Colombo Stock
2.3
Exchange (CSE), in connection with Financial Statements of Public Listed Companies (PLCs)
2.4 The need of Accounting Standards
2.5 LKAS 1 Presentation of Financial Statements
2.6 LKAS 8 - Accounting Policies, Changes in Accounting Estimates and Errors
2.7 LKAS 10 - Events Occurring after the Reporting Period
2.8 LKAS 12 - Income Tax
02 2.9 LKAS 16 - Property, Plant and Equipment
2.10 SLFRS 15 - Revenue from Contracts with Customers
2.11 SLFRS 16 - Leases
2.12 LKAS 19 - Employees Benefits
Level III

2.13 LKAS 23 Borrowing Costs

2.14 LKAS 36 Impairment of Assets
2.15 LKAS 37 Provisions, Contingent Assets and Liabilities
2.16 LKAS 38 Intangible assets
2.17 Basic understanding of Financial Instruments
2.18 SLFRS for SMEs

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Association of Accounting Technicians of Sri Lanka 61

Unit Detailed Content

Financial Statements for a Limited Liability Company – 30%
Preparation and presentation of Financial Statements (Statement of Profit or Loss and Other
Comprehensive Income, Statement of Financial Position and Changes in Equity Statement)
3.1
03 for publication purpose (General Purpose Financial Statements) NOTE: the relevant disclosure
requirements of the accounting standards included within the syllabus will be tested
3.2 Preparation of cash flows statement as per LKAS 07
Interpretation of Financial and Non-financial Data and Information -15%
4.1 Reasons for analyzing financial performance and tools for analyzing financial performance
Calculation of accounting ratios (including; Profitability ratios, Investment ratios, Liquidity ratios,
4.2
Efficiency ratios and Gearing ratios)
04 Preparation of a summary report to the management incorporating, the financial position,
4.3 performance and operating efficiency of an entity using ratios and non-financial data and
information
4.4 Limitations of financial ratios
Consolidated Financial Statements – 15%
5.1 Consolidated Income Statement and Consolidated Statement of Financial Position involving only
one subsidiary in accordance with SLFRS/LKAS
(NOTE: piecemeal acquisitions are not tested) with the following adjustments
• Elimination of intercompany transactions
• Unrealized profits
05
• Fair value of purchase consideration and identifiable assets & liabilities
5.2 Pre-and post- acquisition profits
5.3 Goodwill or Gain on Bargain Purchase and impairment of Goodwill
5.4 Initial and subsequent measurement of non-controlling interest

Level III

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 62 Association of Accounting Technicians of Sri Lanka

302 MANAGEMENT ACCOUNTING AND FINANCE (MAF)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level

Explain the differences between Financial Accounting

2
and Management Accounting

Introduction to Explain the Importance of Management Accounting 2

Management Assess relevant cost under different circumstances 3
Accounting, Relevant
Prepare Financial Statements under Absorption and
Cost in Decision 3 25%
Marginal Costing Methods
Making and Decisions
under Risk and Apply Cost Volume Profit (CVP) Analysis 3
Uncertainty Assess short term decisions 3
Assess different methods of making decisions under risk
3
and uncertainty

Process Costing and Assess Process Costing 3

15%
Digital Costing List Features of Digital Costing 1
Discuss objectives of Budgeting and Budgetary Process
4
of an organization
Discuss solutions for cash surplus & deficits and
Different Types 4
disadvantages of budgeting
of Budgets
and Planning & Explain different approaches to budgeting 2 15%
Controlling Vs Prepare functional budgets and cash budget 3
Budgeting
Prepare budgetary control statements and discuss
4
control and behavioral issues
Assess performance 3

Apply Standard Costing 3

Standard Costing and Calculate basic, mix, yield, planning and operating
4 15%
Variance Analysis variances and discuss their importance
Prepare the operating statement and discuss reasons for
4
variances

Sources of Capital Discuss long term capital sources 4

10%
and Cost of Capital Calculate Cost of Equity, Debt and WACC 3
Identify capital budgeting stages 1
Capital Investments Assess investment using DCF and non-DCF methods 3 15%
Appraisal
Level III

Assess the application of tax and inflation on investment

3
appraisal using NPV technique

Working Capital Identify and explain the Working Capital Management 2

5%
Management Calculate the Working Capital Cycle 3

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Association of Accounting Technicians of Sri Lanka 63

302 DETAILED CONTENT – MANAGEMENT ACCOUNTING & FINANCE (MAF)

Unit Detailed Content
Introduction to Management Accounting, Relevant Cost and Decision Making under Risk and
Uncertainties – 25%
1.1 What is Management Accounting
1.2 Difference between Management Accounting and Financial Accounting
1.3 Importance of Management Accounting
1.4 Financial Statements under Absorption and Marginal Costing Methods
1.5 Profit reconciliation between Marginal Costing and Absorption Costing
1.6 Concepts of relevant costing
01 1.7 Relevant Cost identification
1.8 Cost-Volume-Profit (CVP) analysis
1.9 Short term decision making
1.10 Single limiting factor decision making using contribution analysis
1.11 Multiple limiting factor decision making using graphical linear programming
1.12 Risk Vs Uncertainty
1.13 Decision making under expected value, decision tree, pay off table and sensitivity analysis
Process Costing and Digital Costing – 15%
2.1 Characteristics of Process Costing
2.2 Statement of Equivalent units and costs
2.3 Process Costing under Weightage Average
02
2.4 By Products and Joint Products
2.5 Further Process decisions
2.6 Features of Digital Costing
Different Types of Budgets and Planning & Controlling Vs Budgeting – 15%
3.1 Objectives of Budgeting and Budgetary Process of an organization
3.2 Different approaches in budgeting
3.3 Solutions for cash surplus and deficit
3.4 Disadvantages of budgeting
3.5 Functional Budgets

03 3.6 Cash budget Level III

Budgetary Control Statements (Feedback & Feed Forward controls and Operating Statement/
3.7
Flexible Budget)
3.8 Budgeting Planning approaches under uncertainty (What If Analysis and Three Tier Approach)
3.9 Technology available for budgeting
Evaluating the performance of a product or business segment (Balance Scorecard and
3.10
Comparative Analysis)

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 64 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Standard costing and Variance Analysis – 15%
4.1 Standard Costing and its purposes
4.2 Standard Costing vs Budgeting
4.3 Types of standards
4.4 Possible issues in implementing standard costing in modern organizations
04
Basic Variances for direct materials, direct labor, variable production overheads, fixed production
4.5
overheads and sales
4.6 Advanced Variances for sales, direct materials and direct labour
4.7 Operating Statement using variances to reconcile budgeted contribution with actual contribution
Sources of Capital and Cost of Capital – 10%
5.1 Long term sources of capital
5.2 Cost of Equity
05
5.3 Cost of Debt
5.4 WACC using book or market value
Capital Investments Appraisal - 15%
6.1 Capital budgeting Process and purpose of investment appraisal
06 6.2 Viability of projects using DCF methods and Non DCF methods
6.3 NPV under inflation and tax
Working Capital Management - 5%
7.1 Woxrking Capital and Working Capital Management
07
7.2 Working Capital Cycle and Strategies adopted to improve the working capital management
Level III

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Association of Accounting Technicians of Sri Lanka 65

303 FINANCIAL CONTROLS AND AUDIT (FCA)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level

Identify the types of business organization and their objectives 1

Demonstrate the elements of external environment affecting
Business 3
business organizations
Environment
Explain Agency Theory and Stewardship Theory 2 5%
and Governance
Framework Identify key components of Organization’s Governance
Framework and Discuss the importance of Corporate 4
Governance in achieving objectives of an organization
Define risk that affects the achievement of the objectives of an
2
organization
Identify techniques used in mitigating risk 1
Risk Management
Apply ICT to support the identification, reporting and 5%
Framework 3
management of risk in an organization
Assess an organization’s risks and opportunities using a Risk
3
Management Framework
Define the system of internal controls and explain elements of
2
internal controls
Discuss the components of internal control Framework and
the importance of internal controls with inherent limitations of 4
Internal Control
the internal controls
System and
25%
Business Identify the key business processes in business organizations
1
Processes with activities and documents used in each process
Discuss each business process in business organizations 2
Analyze the adequacy of processes and controls in information
4
technology and recommend improvements
Explain the concept of assurance and the difference between
2
Assurance Reasonable Assurance and Limited Assurance
Engagements Explain the key elements of assurance engagement and relate
2 5%
and Related the elements
Services Explain acceptance process and managing assurance
2
engagement
Identify the laws applicable to conduct the audit 1
Explain overall objectives of Independent Auditor and conduct
2
the audit in accordance with SLAuSs Level III
Explain planning the audit and audit documentation 2
Define audit risk and Explain the Financial Statement
2
assertions
Risk Assessment
and Audit Define risk assessment procedures and explain the 20%
2
Process procedures used in risk assessment
Explain test of controls and substantive procedures 2
Define fraud risk and Explain auditors responsibility for
preventing and detecting frauds in an audit of financial 2
statements
Evaluate and Communicate misstatements identified during
4
the audit

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 66 Association of Accounting Technicians of Sri Lanka

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Define audit evidence, and explain the sufficiency and
2
appropriateness of Audit evidence
Discuss the procedures used in obtaining Audit evidence 4

Audit Evidences Explain the methods used in selecting items for testing 2 15%

Assess the risks associated with related party transactions 3

Discuss the use of Going Concern Assumption in an audit of
4
Financial Statements
Explain the elements of an unmodified audit report 2
Assess modifications to the Opinion in the Independent
Audit Reporting 3 10%
Auditor’s Report
Explain the use of Emphasis of Matter paragraph 2

Explain the fundamental principles of Professional Ethics 2

Assess matters to be considered in accepting new client and
3
engagement
Ethical Identify threats to compliance with the fundamental principles
3 10%
Requirements and evaluate the significance of the threats identified
Apply safeguards to eliminate/reduce the threats to an
3
acceptable level
Explain the concept of auditor’s independence 2

Requirements Recognize elements of a system of quality controls and

4
for an Audit discuss the importance of quality control review
5%
of Financial Explain quality control requirements applicable for an audit of
Statements 2
financial statements
Level III

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Association of Accounting Technicians of Sri Lanka 67

303 - DETAILED CONTENT – FINANCIAL CONTROLS AND AUDIT (FCA)

Unit Detailed Content

Business Environment and Governance Framework – 5%

1.1 Different types of business organizations

1.2 External environment factors that affect the organizations
1.3 Agency Theory and Stewardship Theory
01 1.4 Key components of Organization’s Governance Framework
1.5 Principles of Corporate Governance
1.6 Role of Board of Directors and Functions of Audit Committee
1.7 The importance of Corporate Governance
Risk Management Framework – 5%
2.1 External and Internal risks of Organizations
2.2 Risk Management Framework
2.3 Techniques used in mitigating risks
02
Identification, reporting and management of risk in an organization using Information Technology
2.4
and the adequacy of processes and controls in information technology
2.5 An organization’s risks and opportunities using a risk management framework
Internal Control System and Business Processes -25%
3.1 Internal Control System of the organization
3.2 Types of Internal Controls
3.3 Components of Internal Control System
3.4 Importance and Inherent Limitations of Internal Controls
03 Key Business Processes (Procurement Process, Payroll Process, Cash Management Process,
3.5
Inventory Management Process, Property, Plant & Equipment Process)
The adequacy of processes and controls in information technology (With IT General Control and
3.6
Application Control)
3.7 Deficiencies of internal control in business processes
Assurance Engagements and Related Services – 5%
4.1 Assurance Engagements
4.2 Elements of Assurance Engagements
04 4.3 Difference between reasonable assurance and limited assurance engagement
4.4 Key aspects and requirements when accepting and managing assurance engagements Level III
4.5 Other related services

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 68 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Risk Assessment and Audit Process -20%
5.1 Laws applicable to conduct of the audit
Overall Objectives of the Independent Auditor and the conduct of Audit in accordance with Sri
5.2
Lanka Auditing Standards (SLAuS 200)
5.3 Agreeing with the Terms of Audit Engagement (SLAuS 210)
5.4 Planning an audit of Financial Statements (SLAuS 300)
5.5 Understanding the entity and its environment (SLAuS 315 revised)
05 5.6 Audit Materiality (SLAuS 320)
5.7 Audit Documentation (SLAuS 230)
5.8 The Auditor’s responsibilities relating to Audit of Financial Statements (SLAuS240)
5.9 Communication including deficiencies of internal control with those charged with the
Governance (SLAus 260 and 265)
5.10 The Auditor’s responses to assessed risks (SLAuS 330)
5.11 Evaluation of misstatements identified during the audit (SLAuS 450)
Audit Evidence - 15%
6.1 Audit Evidence – SLAuS 500
6.2 External Confirmation – SLAuS 510
6.3 Analytical Procedures – SLAuS 520
6.4 Audit Sampling – SLAuS 530
06
6.5 Related Parties – SLAuS 550
6.6 Subsequent Events – SLAuS 560
6.7 Going Concern – SLAuS 570
6.8 Written Representation – SLAuS 580
Audit Reporting – 10%
7.1 Forming an opinion and the elements of an unmodified audit report (SLAuS 700) (Auditor’s
Report on Specified Business Enterprises will not be tested)

07 7.2 Communicating Key Audit Matters (SLAuS 701)

7.3 Modifications to the Opinion (SLAuS 705)
7.4 Emphasis of Matter paragraph and Other matters paragraph (SLAuS 706)
Ethical Requirements – 10%
8.1 Fundamental Principles of Professional Ethics
Level III

8.2 Matters to be considered when accepting an engagement

08 8.3 Auditor’s independence
8.4 Threats to compliance with the fundamental principles
8.5 Safeguards to eliminate/reduce the threats to an acceptable level
Quality Requirements for an Audit of Financial Statements – 5% (SLAuS 220)
9.1 Objectives of system of quality control
9.2 Elements of a system of quality controls and the importance of quality control review
09
9.3 Quality control requirements applicable for an audit of Financial Statements
9.4 Acceptance and continuance of client relationships and audit engagement

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Association of Accounting Technicians of Sri Lanka 69

304 CORPORATE AND PERSONAL TAXATION (CPT)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
State the principles applicable to taxation 1
Identify Direct & Indirect taxes 1
Recognize the main tax authorities that operate in Sri Lanka
2
and explain functions of those
Introduction to
Explain the Legal Framework of different taxes that operate in
Taxation of Sri 2 5%
Sri Lanka
Lanka
Recognize the imposition of income tax (charging section) 2
Apply the residence rule in relation to taxation 3
Identify the difference among tax planning, tax evasion and
1
tax avoidance

Sources of Identify the Sources of Income 1

30%
Income Assess sources of income from various sources of income 3
Assess the Assessable income (AI) and taxable income of a
3
resident individual and a company
Assess qualifying payments relevant to a resident individual
3
Taxation of and a company
Individuals & Assess gross income tax liability of individuals & companies 3 20%
Companies
(Resident) Identify the tax credits & deductions available 1
Identify exempt income and final WHT payments 1
Explain the concept of arm’s length price and documents
2
requirements under the transfer pricing
Calculate Withholding Tax of a Partnership 3
Taxation of
Assess Tax liability of partners 3
Miscellaneous 10%
Undertakings Assess Taxation of Non-Governmental organizations (NGO),
3
Trusts, Unit Trusts and Charitable Institutions
Recognize the self-assessment scheme and due dates of
2
Income tax payments
Explain the obligation of filing tax returns on due dates and validity 2
Explain the assessment, time bar and requirements of issuing
2
Obligations and a valid assessment
10%
Procedures
Explain the appeal process 2
Level III
Explain tax in default and recovery actions 2
Explain the possibility of a tax refund 2
Explain the penal provisions 2
Assess applicable withholding income taxes and Final Taxes 3
Explain obligations of an employer under PAYE 2
Withholding Discuss Investment assets and realization of assets and
Tax (WHT) and 4
liabilities
Capital Gain
Assess tax on gain or loss from realization of assets and 10%
Tax and Case 3
liabilities (capital gain)
Laws Relating to
Taxation Explain furnishing of capital gain tax return and payments 2
Identify exemptions from WHT 1
Explain important Case Laws of taxation 2

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 70 Association of Accounting Technicians of Sri Lanka

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level
Assess the applicability of different business (sales) taxes 3
Explain the imposition, registration, computation and different
2
obligations of VAT
Explain the basics of the S-VAT scheme 2
Other Business
Identify VAT on Financial Institutions 1 15%
Taxes
Analyze VAT issues in a business environment 4
Assess tax liability of Economic Service Charge (ESC), Nations
3
Building Tax (NBT) and Stamp Duty
Discuss provisions of Acts regarding ESC, NBT and Stamp Duty 4
Level III

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Association of Accounting Technicians of Sri Lanka 71

304 DETAILED CONTENT - CORPORATE AND PERSONAL TAXATION (CPT)

Unit Detailed Content

Introduction to Taxation - 5%

1.1 Principles of Taxation

1.2 Direct and Indirect taxes
1.3 Tax Authorities in Sri Lanka
01 1.4 Legal Framework in Sri Lanka (Acts, Gazettes, Ruling and case laws)
1.5 Imposition of Income Tax – Charging Section
1.6 Residence rule
1.7 Tax planning, tax avoidance and tax evasion
Sources of Income – 30%
Income from Employment (Definition, gains & profits from employment, value of benefits,
2.1 amount excluded from employment income, retirement benefit, exemptions from employment,
PAYE scheme and computation of employment income)
Income from Business (Definitions, gains & profits from business, deductions, realization of
02 2.2
business assets & liabilities and computation of business income)
Income from Investment Income (Definitions, dividend, interest, royalty, rent, exemptions,
2.3
realization of investment assets and computation of investment income)
2.4 Income from Other Sources of Income (Gifts and winning from lotteries, betting or gambling)
Taxation of Individuals & Companies (Resident) – 20%
3.1 Assessable Income and Taxable Income of an individual
3.2 Assessable Income and Taxable Income of a Company
3.3 Qualifying payments relevant to a resident individual and a company
3.4 Rates of Income Tax applicable to individuals and Companies
3.5 Gross Income Liability of an individual and a Company
03
3.6 Tax Credits available for an individual and a Company
3.7 Balance Tax Payable
3.8 Exempt Income and Final WHT
3.9 Transitional provision
3.10 Concept of arm’s length transactions and documents requirements under the transfer pricing
Taxation of Miscellaneous Undertakings – 10%
4.1 Withholding Tax of a Partnership Level III
4.2 Taxation of partners
04 4.3 Taxation of Charitable Institutions and NGOs
4.4 Taxation of Trusts
4.5 Taxation of Unit Trusts

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 72 Association of Accounting Technicians of Sri Lanka

Unit Detailed Content

Obligations and Procedures – 10%
5.1 Payment of Income Tax (Self-Assessment Scheme and due dates)
5.2 Obligation of filing tax returns and due dates
5.3 Authorized Representatives for tax purpose
Assessments (Self-assessment, default assessment, advance assessment and amended
5.4
assessment)
05 5.5 Time bar for assessment and finality of assessment
Right of Appeals, Administrative Review, Appeal to Administrative Review and Appeal to Tax
5.6
Appeal Commission
5.7 Tax in Default and recovery of Taxes
5.8 Refunds
5.9 Penal Provisions
WHT, Capital Gain Tax and Case Laws – 10%
6.1 Withholding Tax (WHT) and final Tax
6.2 Obligations of an employee under PAYE
6.3 Exemptions from WHT
6.4 Identification of an investment asset
06 6.5 Investment assets excluded from capital gain tax
6.6 Tax on gain/loss of realization of assets and liabilities (Capital Gain) and Tax Treatments
6.7 Capital Gain Tax return and payment of tax
Case Laws (Sutherlands Vs CIT, Crib Vs CIT, A. A Davoodbhoy Vs CGIR, D. S Mahawitharana Vs CIR,
6.8
Ram Iswera Vs CIT, Heyleys Company Vs CIR)
Other Business Taxes - 15%
7.1 Imposition, registration, obligations and computation of Value Added Tax (VAT)
7.2 Zero rated, exempted and excluded supplies from VAT
7.3 Calculation of VAT liability
7.4 S VAT Scheme
7.5 Tourist VAT Refund Scheme
07
7.6 VAT issues in business environment
7.7 Imposition, registration, obligations and computation of Economic Service Charge (ESC)
7.8 Imposition, registration, obligations and computation of Nations Building Tax (NBT)
Level III

7.9 Imposition, registration, obligations and computation of Stamp Duty

7.10 Excluded turnover from ESC, NBT and Stamp duty

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Association of Accounting Technicians of Sri Lanka 73

310 BUSINESS COMMUNICATION (BC)

Competency
Key Topics Intended Learning Outcomes (ILOs) Weightage
Level

Demonstrate confidence in the use of language in varied

3
situations in the real life and work environment
Conversational Interpret printed texts, diagrams, tables and charts using
2 20%
Skills appropriate vocabulary and structures
Discuss potential situations in business and arriving at
4
conclusions through process of argument
Recognize lexical and contextual meanings of vocabulary in a
2
given text
Identify discourse markers and linking words that maintain
1
cohesion and coherence of a printed text
Reading Skills Interpret diagrams, tables and charts with facts and figures 2 20%
Draw diagrams, tables, and charts to transfer information from
1
printed texts
Prepare Summarized printed texts at different levels for easy
3
comprehension
Prepare business documents with clarity and accuracy using
3
modern formats
Apply the new knowledge gained in an actual work
3
environment in real life situations
Business Writing Explain given situations using the language economically and
2 20%
Skills effectively in the written form
Recognize specific information in a given situation by reading
2
through a discourse
Assess and Reproduce information in a logical manner while
3
maintaining the originality of the text
Apply the language efficiently and effectively in given
3
Functional situations
15%
Grammar Demonstrate high degree of confidence in using the
3
structures of the language in varied settings
Demonstrate confidence in the use of language in given
Business situations with clarity, relevance, and objectivity for better 3
Presentation understanding 15%
Skills Explain accounting facts and figures using precise language
2
and vocabulary
Level III

Prepare professional CVs and attractive covering letters for job

3
Job Interview applications
10%
Skills Prepare written answers to open and close ended questions
3
more effectively

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 74 Association of Accounting Technicians of Sri Lanka

310 DETAILED CONTENT - BUSINESS COMMUNICATION (BC)

Unit Detailed Content
Conversational Skills – 20%
1.1 Functioning confidently in the use of language in formal and informal dialogues
1.2 Deriving detailed and specific information on situations, people and things
1.3 Giving instructions and directions to personnel for a given situation
01
1.4 Comparing and contrasting of facts, figures, and statistics
1.5 Expressing opinions on situations, trends, states and experience
1.6 Agreeing & disagreeing on matters of academic and professional/ business interest
Reading Skills – 20%
2.1 Understanding the basic terminology in accounting and business
Understanding cohesion & coherence of a paragraph on matters of accounting and business-related
2.2
information
02 2.3 Interpreting graphs, tables, diagrams on matters of business interest
2.4 Reading printed texts and extracting specific information
2.5 Reading printed texts and extracting general information
Business Writing Skills – 20%
Writing short instructions/personal notes/ notices for accounting and business purposes to practice
3.1
specific terminologies
3.2 Drafting descriptive and narrative paragraphs on accounting and business matters for specific audience
03 3.3 Writing business memos, messages, and instructional materials for administrative purposes
3.4 Writing fax messages and e mails for a given situation to external clients and stakeholders
3.5 Writing business letters of different types using modern formats and formal language forms
Functional Grammar – 15%
Identifying elements of sentence construction and synthesis of sentences while maintaining
4.1
cohesion and coherence
4.2 Writing descriptive and narrative paragraphs understanding tense and aspects for a given scenario
4.3 Describing explaining and justifying situations using specific adjectives and adverbs
4.4 Effective use of prepositions and prepositional phrases to ensure accuracy in meaning in a given situation
04
4.5 Describing processes and procedures in a given situation using forms of passive voice
4.6 Recording and reporting facts, figures and situations stated by a third party using indirect speech
Discussing possibilities and probabilities of intended business and accounting concepts using
4.7
Level III

conditional clauses
4.8 Describing people, situations and trends for further information using relative clauses
Business Presentation Skills - 15%
5.1 Identifying elements of business presentation and presentation plan
5.2 Using effective language in presentations at different levels and in different focus groups

05 5.3 Designing informative and persuasive presentations for different types of audience
5.4 Delivering presentations using multimedia, pointers, flip charts and videos
5.5 Handling questions and answering techniques in presentations
Job Interview Skills – 10%
6.1 Writing professional curriculum vitae and covering letters

06 6.2 Requirements for facing interviews

6.3 Identifying basic etiquette in job interviews

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Association of Accounting Technicians of Sri Lanka 75

20. Detailed Content of

Professional Training

Main Areas
Public Practice Non- Public Practice
Experience Category Weightage Expected / Min.Req Weightage Expected / Min.Req
% (Days) % (Days)

Level I
A Financial Accounting 23 50 40 45 100 100
B Audit & Assurance 45 100 80 22 50 -
C Taxation 5 10 10 5 10 10
D Management Accounting
9 20 10 14 30 20
& Financial Management
E Information Technology 9 20 20 9 20 20
F General Management and
9 20 - 5 10 10
Secretarial Practices
Total Days 100 220 100 220

Level II
Key Notes
I. The days attxining organization will be considered as working days.
II. Minimum of 25% of total requirement in Taxation should be in Income Tax as indicated under 3.1. & 3.2
categories. (3.2 category should be at least 2.5 days per year)
III. Any trainee who fails to obtain the specified minimum number of days in Information Technology or Taxation
will be required to undergo training in courses that are conducted by the AATSL.
IV. A working day comprises a minimum of 7 and maximum of 8 working hours.
V. Working hours gathered during week-ends or on part time basis assignments will not be considered as
equivalent to a working day.
VI. In the absence of an Internal Audit Division or when there is no rotation to the Internal Audit Division, the Level III
experience on Management Accounting & Financial Management category should be increased to 40 days
per year.

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 76 Association of Accounting Technicians of Sri Lanka

Knowledge
Intended Learning Outcomes (ILOs)
Component
A. Financial Accounting
1.1 Apply knowledge of accounting, accounting process and systems in carrying out
professional duties.
1.2 Apply relevant Sri Lanka Accounting Standards, provisions of the Companies Act
and any other applicable rules and regulations.
Financial 1.3 Analyze and interprete financial information for decision making
Accounting
1.4 Apply basic ethical principles in carrying out professional duties.
1.5 Relate accounting works to other business functions and activities.
Level I

1.6 Apply the knowledge and understanding of organization, how business works
and professional work relationships.
B. Audit & Assurance
2.1 Evaluate the client’s business and Identify risks involved with the business
processes.
2.2 Apply appropriate techniques of gathering audit evidence and perform test of
controls and substantive procedures.
2.3 Evaluate compliance with the Companies Act and other regulatory requirements
2.4 Design/evaluate internal controls of the business, recognize the areas to be
improved and implementation of new systems and procedures
Audit & Assurance
2.5 Communicate with relevant parties and assisting in drafting the audit report
2.6 Apply relevant Auditing Standards and related standards in performing the
professional duties.
2.7 Apply ethical principles governing audit of financial statements
Level II

2.8 Analyze declaration of solvency and accountant’s report on prospectus

2.9 Others (Specify your records)
C. Taxation
3.1 Analyze income, expenditure and other relevant information for the computation
of income tax and other indirect tax liabilities
3.2 Calculate personal, partnership and corporate tax liabilities.
Taxation 3.3 Prepare returns of VAT, WHT, NBT, ESC, PAYE and other taxes and levies and
administration
3.4 Tax planning, reviews and communication with tax authorities
3.5 Others (Specify your records)
D. Management Accounting & Financial Management
Level III

4.1.1 Calculate the cost of a product or service and prepare relevant reports.
4.1.2 Identify direct costs and allocate costs among products, divisions and Strategic
Business Units
Management
Accounting 4.1.3 Design budgets and plans. allocate resources and identify variances to measure
performance
4.1.4 Apply the knowledge and understanding of organization, how business works
and professional work relationship

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Association of Accounting Technicians of Sri Lanka 77

4.1.1 Evaluate financial instruments, funds requirements & different sources of funds
available for an organization/ business unit.
4.2.2 Prepare or evaluate the cash flow (actual) forecast for an entity/business unit.
4.2.3 Analyze and evaluate the organization’s investment policy and investment
decisions.
Financial
Management 4.2.4 Calculate and analyse organization’s/business unit’s current working capital
requirements
4.2.5 Calculate and analyze the dividend policy of the organization /business units
4.2.6 Evaluating foreign currency transactions. Eg.foreign currency transactions,
conversions , preparation of financial statements for foreign subsidiaries , trade
services and derivatives etc.

Level I
E. Information Technology
5.1 Apply customized or standard accounting packages, ERP and Data Analytics
5.2 Develop and maintain data bases, spread sheets, word processing systems and
presentation software
Information
5.3 Identify information security systems including disaster and contingency
Technology
planning
5.4 Apply the internet effectively as a source of relevant and reliable information.
5.5 Apply emerging technologies in industry.
F. General Management and Secretarial Practices
6.1.1 Identify and analyze HR Management Practices.
6.1.2 Analyze Marketing strategies/functions of the business.
6.1.3 Apply the knowledge and understanding of organization, how business works
General
and professional work relationships

Level II
Management
Practice 6.1.4 Analyze on organization’s strengths, weaknesses, economic and other
environmental changes which may impact on the organizational performance
6.1.5 Study procurement, negotiations with suppliers, evaluation and drafting supply
contracts
6.2.1 Identify required or frequently used relevant forms for the client/company and
Regulatory familiarize with the contents and due dates for submission.
Practices 6.2.2 Identify the Companies Act requirements relating to forms to be submitted to
Registrar of Companies.

Level III

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 78 Association of Accounting Technicians of Sri Lanka

21. Transitional Provisions

Based on Subjects
Curriculum 2015 Curriculum 2020

AA11 Financial Accounting Basics (FAB) 101 Financial Accounting (FAC)

Level I

AA12 Quantitative Methods for Business (QMB) 102 Business Mathematics & Statistics (BMS)
AA13 Economics for Business & Accounting (EBA) 103 Economics (ECN)
AA15 Business Operations & Management (BOM) 104 Business Environment (BEN)
AA21 Advanced Financial Accounting (AFA) 201 Advanced Financial Accounting & Costing
(AFC)XX
AA22 Cost Accounting & Reporting (CAR)
AA25 Business Law & Ethics (BLE) 203 Business Law (BLA)
AA26 Business Management & Strategy (BMS) 204 Business Management (BMA)
AA31 Financial Accounting & Reporting (FAR) 301 Financial Reporting (FAR)
AA32 Management Accounting & Finance (MAF) 302 Management Accounting & Finance (MAF)
AA33 Processes, Control & Audit (PCA) 303 Financial Controls & Audit (FCA)
AA35 Corporate & Personal Taxation (CPT) 304 Corporate & Personal Taxation (CPT)
SS1 Effective Communication Skills (ECS) 310 Business Communication (BC)
Level II

SS2 Information Technology Skills (ITS) 202 Information Systems in Digital Environment
(ISD)

xx Students who sat AA21 and AA22 and completed only AA21, will be exempted from 201 Advanced Financial
Accounting & Costing (AFC) Course.

Based on Levels
2015 Curriculum 2020 Curriculum

Students who completed all courses of AA1 Level They will be exempted from all courses of Level I
Level III

Students who competed all courses of AA1 level and They will be exempted from all courses of Level I and
AA2 level II
Students who completed all AA1, AA2 and AA3 levels They will be exempted from 12 courses of Level
without Effective communication Skills (ECS) I, II, and III and they should sit only the Business
Communication (BC) course

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22. Awarding Process

of Qualification

01 Completing all the levels with Business Communication

=
Diploma in Accounting & Business (Passed Finalist)

02 Diploma in Accounting & Business + 1-year Professional

Training + PLS Workshop
=
Member of AAT (MAAT)

03 MAAT + Five years (05) of Executive Level Experience in one

or more core areas after obtaining MAAT Title.
=
Senior Accounting Technicians (SAT)

04 SAT + Five years (05) of Managerial Experience in one or

more core areas after obtaining SAT Title
=
Fellow Member of AAT (FMAAT)

CPD - 120 CPD credits are to be earned by an AAT member in every three (03) years rolling period

Curriculum 2020