Diploma of Business Subject Units

Diploma of Business - Part 1

MCD1010 Accounting for Business


Accounting is the process of recording, reporting, analysing and interpreting financial data and accounting information which can be communicated to a variety of users. It plays an integral role in the successful operation and management of any business. In this unit students will focus on the financial accounting and financial issues for single activity service and trading businesses, using double entry recording, with financial reports prepared under the accrual basis. Students will use financial and non-financial information to assist management in the decision making process. Accounting information from financial reports will be analysed and interpreted. Students will study both theoretical and practical aspects of accounting and where appropriate the unit will incorporate the application of accounting principles and the qualitative characteristics of accounting information. This is a core unit in the Monash College Diploma of Business, Part 1.



Learning Outcomes

When you have completed this unit, you are expected to be able to:

1. Define accounting elements and explain some of generally accepted
    accounting principles and qualitative characteristics of financial information
2. Using double entry rules, to record accounting transactions for both a service
    business and a trading business in the general journal and post to general
3. Prepare the adjusting entries at the end of the accounting period (accruals,
    prepayments, depreciation and inventory loss)
4. Record closing entries for temporary accounts
5. Prepare classified financial statements - income statement, cash flow
    statement and the balance sheet
6. Analyze and interpret financial information using profitability, liquidity and
    solvency ratios
7. Prepare budgeted financial statements and complete cash variance reports

Assessment Task


Within semester assessment




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MCD1380 Introductory Law
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MCD2140 Introductory Mathematics of Business (Business Stream)
MCD1750 Intermediate Mathematics (Commerce Stream)