Unit of competency Outline

Date retreived
22/07/2026 12:06 PM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Analyse financial reports and budgets

Analyse financial reports and budgets

Unit of competency
National Code
BSBGOV403A
State Code
D0730
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
10/03/2009
View on TGA
State Implementation and Classification
Approved Date
29/07/2014
Field of Education
081199 - Banking, Finance And Related Fields, N.e.c.
Original Release Date
29/07/2014
Nominal Hours
50
Description
This unit describes the performance outcomes, skills and knowledge required to analyse financial reports and budgets as a member of a Board of governance of an organisation.Some aspects of governance activities may be subject to legislation, rules, regulations and/or codes of practice relevant to different job roles and jurisdictions.
Notes
Elements and Performance Criteria
1. Review financial reports and budgets
  • 1.1. Obtain revenue/expenditure/requests/predictions from appropriate person
  • 1.2. Consider and assess future organisational operations, with reference to all available plans
  • 1.3. Consider previous financial statements to provide baseline information
  • 1.4. Review budgets and cash flows using all available information
2. Monitor revenue and expenditure against budget
  • 2.1. Discuss and agree upon appropriate monitoring and reporting systems, and establish procedures
  • 2.2. Compare income and expenditure to budget and previous periods, and identify and investigate discrepancies
  • 2.3. Identify and examine achievement and variances to the budget, in liaison with appropriate person
  • 2.4. Document recommendations for action on variances
  • 2.5. Request regular reports of operations to indicate fluctuations
  • 2.6. Provide financial statements and accompanying report of operations to appropriate person for discussion
3. Finalise budget
  • 3.1. Ensure expenditure commitments are brought into line with final income figures
  • 3.2. Finalise, document and approve final budget in line with operational program
  • 3.3. Present the final budget to appropriate person and stakeholders
  • 3.4. Ensure reporting requirements of relevant corporate authority and funding bodies are met
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Appropriate person may include:
auditor/s
chief executive officer
deputy executive officer
finance manager/officer
section manager/s
Plans may include:
building/equipment/maintenance plan
business plan
cash flow
event/activity/program/section budget
financial management plan
human resources management plan
strategic plan
Reporting systems may include:
balance sheet
cash flow
profit and loss statement
written report
Financial statements may include:
balance sheet
cash flow
general ledger report
profit and loss statement
Expenditure may include:
administration
capital requirements
consultants
contracts for goods/services
repair and maintenance
salaries
vehicle costs
Stakeholders may include:
community groups and organisations
consumers
members
shareholders
staff
trusts held by the organisation
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
monitoring income and expenditure against designated budgets
ensuring the budget considers existing and planned activities of the organisation
ensuring appropriate monitoring systems are in place to provide an accurate picture of each event/activity/program/service of the organisation's operations
documenting recommendations for action on any variances to the budget in order to keep it within acceptable budgeting limits
knowledge of key provisions of relevant legislation.
Context of and specific resources for assessment
Assessment must ensure:
participation on an actual or simulated Board
access to office equipment and resources
examples of budgets, cash flows and other financial data and statements
examples of relevant documents.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
review of comparison of income and expenditure to budget and previous periods, and identification and investigation of discrepancies
analysis of responses to case studies and scenarios
demonstration of techniques
observation of presentations
oral or written questioning to assess knowledge of financial requirements of organisations
observation of performance in role plays
assessment of final budget documentation.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
other governance units.
Replaced By
State Code National Code Title Type
AUK48 BSBGOV403 Analyse financial reports and budgets Unit of competency