Postgraduate Diploma in Accounting

Purpose

The purpose of the Postgraduate Diploma in Accounting is to develop the intellectual skills of learners in the analysis, interpretation and application of financial accounting; management accounting and financial management; auditing, governance and control and taxation principles and their ability to apply these intellectual skills in the workplace.

The qualification will equip learners to solve real-world business-related problems in the workplace and reflect on

• The application of accounting,
• Management accounting and financial management,
• Auditing,
• Governance and control,
• Taxation principles.

Furthermore, the inclusion of professional ethics in the curriculum contributes to the delivery of learners who will be ethical business professionals.

Rationale

Previously learners who met the admission requirements for the Bachelor of Accounting Honours (BAccHons) qualification as it was deemed the preferred qualification for learners articulating from a Bachelor of Accounting. However, it has become clear that not all learners are interested in the research component of the BAccHons qualification. Thus, the development of the Postgraduate Diploma in Accounting (PGDip (Accounting)) complies with all the SAICA requirements and does not include the research component.

The objectives of the PGDip (Accounting) qualification enables learners in specific Accountancy-related fields qualify as Chartered Accountants (CA). Successful completion of the qualification is an admission requirement to professional examinations of SAICA. This professional designation is ideally suited for a financial and leadership role in among other things, commerce, industry, mining and the financial sector. After further specialisation, a CA (SA) can also register as a Registered Auditor with the Independent Regulatory Board for Auditors. Registered Auditors are the only persons who may act as external auditors of South African companies.

South Africa currently experiences a shortage of qualified accountants. This qualification contributes to the alleviation of this shortage.

The qualification lays the foundation for further studies in accounting; management accounting and financial management; auditing, governance and control; and taxation principles as a science.

Recognition of Prior Learning (RPL)

In tandem with the Regulation for the Recognition of Prior Learning (RPL) and Credit Accumulation and Transfer (CAT) of the University the process for RPL in the faculty is as follows:

• RPL considerations are mainly at the Postgraduate level.
• A learner applies for admission as if under "normal" application procedures.
• At the same time, the learner also applies for RPL in writing to the relevant departmental chair.
• The departmental chair discusses the merits of the application with lecturers where applicable, or with the qualification coordinator, depending on the nature of the application. If no faculty decision is required, the departmental chair communicates with the learner in this respect.
• If there seems to be potential for success and a faculty decision is required, the application is referred by the relevant department to the RPL faculty committee. The process followed is communicated to the learner. If the potential success of the application appears to be unacceptable, the faculty secretary communicates this in writing to the learner.
• The RPL committee might request additional information from and/or a personal interview with the learner where applicable.
• The RPL committee provides the learner with guidelines to compile an RPL portfolio, if applicable.
• The RPL committee considers and assesses the evidence, consults with staff or other stakeholders if needed and makes a recommendation in writing to the faculty committee. The relevant departmental chair and qualification chair is informed about the recommendation.
• The faculty committee considers the recommendation of the RPL committee and either refer it back for further consideration or recommends it to the Faculty Board for approval.
• The faculty secretary informs the learner of the decision of the Faculty Board.
• Both the learner and the department/qualification committee are entitled to appeal to the chair of the RPL committee should they consider the decision of the Faculty Board or the process unreasonable.

The qualification is geared towards the education of future CAs(SA). Therefore the qualification has to meet SAICA's qualification requirements. In its Accreditation and monitoring framework for academic and professional programmes which satisfy the requirements for the qualification of chartered accountants, SAICA states that formal competency based academic education, acquired through SAICA accredited academic programmes delivered by public universities and private providers (specifically a three-year undergraduate degree followed by a one-year postgraduate programme) is required as part of the qualification process of a CA(SA).

Consequently RPL for informal and non-formal learning is not allowed by SAICA for admission to the qualification.

Entry Requirements

The minimum entry requirement for this qualification is

• Bachelor of Accounting, NQF Level 7.

Or

• BAccLLB, NQF Level 7.

This qualification consists of the following compulsory modules at National Qualifications Framework Level 8 totalling 120 Credits.

Compulsory Modules, Level 8, 120 Credits

• Financial Accounting, 40 Credits.
• Management Accounting and Finance, 32 Credits.
• Auditing, Governance and Information Systems, 24 Credits.
• Taxation, 24 Credits.

1. Demonstrate a solid knowledge base in the core disciplines of accountancy, namely, financial accounting, management accounting, taxation and auditing.
2. Identify and solve problems, specifically in the field of Financial Accounting, Management Accounting, Auditing and Taxation, but also in the related fields of business, commerce and management studies.
3. Correctly interpret the fundamental principles of Governance and control and to apply these principles and requirements to make ethical judgments concerning practical situations.
4. Demonstrate detailed knowledge and understanding of the Income Tax Act, the Value Added Tax Act, the relevant SARS practice notes and all other taxation regulations. Calculate taxable income and provide detailed explanations of the principles when advising individuals, companies and organisations on their tax liabilities.

Associated Assessment Criteria for Exit Level Outcome 1

• Evaluate an entity's governance structures and its governance roles, identify contraventions of governance principles and make recommendations for improvement.
• Explain the principles of an external audit and apply relevant legislation to evaluate compliance.
• Perform the different steps in the planning phase of the audit, including materiality calculation, assessing risks of material misstatement and determining the nature, timing and extent of the audit procedures required in response to assessed risks of material misstatement.
• Formulate appropriate audit procedures, including risk assessment procedures, tests of controls, substantive procedures and computer-assisted audit techniques following prevailing auditing standards.
• Assess the sufficiency and appropriateness of audit evidence, evaluate audit differences and draft appropriate audit reports.
• Determine the appropriate Financial Reporting Framework (full IFRS, IFRS for SMEs or Generally Recognised Accounting Practice (GRAP)) used by an entity based on regulatory requirements as well as the needs of identified stakeholders.
• Discuss (while showing calculations) the appropriate accounting treatment (classification, recognition, measurement and disclosure) of both routine and non-routine transactions following IFRS.
• Journalise routine and non-routine transactions per IFRS.
• Prepare annual financial statements using IFRS.
• Prepare and evaluate annual financial statements' note disclosure following IFRS.
• Evaluate an entity's strategies and risk management policies and make recommendations for improvement.
• Evaluate the overall financial goals of an entity by interpreting its financial objectives, legal form and structure and identify ways in which ownership can change.
• Analyse and determine the value of a business by considering its current financial situation and factors that may impact its future outlook.
• Plan and monitor an entity's financing, cash flow, working capital, sources of funds, distribution of profits, cost of capital and capital structures and identify or advise a financially troubled business.
• Develop and evaluate risk management policies related to financial risk and evaluate the use of derivatives.
• Evaluate and analyse an entity's budgeting process, control system, internal cost allocation and transfer pricing options.
• Analyse financial and other data to provide information for decision-making.
• Develop and improve appropriate costing systems in order to meet the information requirements of an entity's control and decision-making processes.

Associated Assessment Criteria for Exit Level Outcome 2

• Design appropriate systems of internal control (in both manual and computerised environments) and evaluate existing systems of internal control to identify weaknesses and make recommendations for improvement.
• Assess and explain significant threats to compliance with ethical requirements, professional standards and legislation resulting from undertaking an engagement and describe the necessary actions and safeguards to be implemented to mitigate threats.
• Formulate appropriate audit procedures, including risk assessment procedures, tests of controls, substantive procedures and computer-assisted audit techniques per prevailing auditing standards.
• Assess the sufficiency and appropriateness of audit evidence. Evaluate audit differences and draft appropriate audit reports.
• Determine the appropriate financial reporting framework (full IFRS, IFRS for SMEs or generally recognised accounting practice (GRAP)) used by an entity based on regulatory requirements as well as the needs of identified stakeholders.
• Discuss (while showing calculations) the appropriate accounting treatment (classification, recognition, measurement and disclosure) of both routine and non-routine transactions per IFRS.
• Evaluate an entity's strategies and risk management policies and make recommendations for improvement.
• Evaluate the overall financial goals of an entity by interpreting its financial objectives, legal form and structure and identify ways in which ownership can change.
• Analyse and determine the value of a business by considering its current financial situation and factors that may impact its future outlook.
• Appraise capital investment opportunities by evaluating investment decisions, asset-specific financing and considering relevant structural and governance issues.
• Analyse factors influencing the financial performance of an entity.
• Evaluate and analyse an entity's budgeting process, control system, internal cost allocation and transfer pricing options.
• Analyse financial and other data to provide information for decision-making.

Associated Assessment Criteria for Exit Level Outcome 3

• Apply relevant sections of the Companies Act to identify applicable requirements and non-compliance.
• Apply the procedures required by legislation and professional pronouncements to decide whether to accept engagements and draft appropriate engagement letters.

Associated Assessment Criteria for Exit Level Outcome 4

• Analyse the taxpayer's tax profile and identify general tax issues.
• Calculate normal tax, Value-Added Tax (VAT), wealth taxes and other taxes in terms of the Income Tax Act.
• Discuss specific tax planning opportunities for taxpayers.
• Discuss the tax consequences associated with certain corporate transactions.
• Apply anti-avoidance legislation.
• Apply and interpret tax legislation by applying relevant decisions of the courts.
• Describe standard administrative and filing requirements.

Integrated Assessment

All modules will be assessed through a combination of

• 3 class tests (46.5% of final mark).
• Online assessments (2.5% of mark).
• A written examination (50% of final mark).

All outcomes are assessed in assessments, although different accounting pronouncements form the underlying subject matter for the various assessments.

All assessments are case study based.