90980 Interpret accounting information for sole proprietors
This course covers the things you'll need to know and be able to do for achievement standard 90980.
The information in this course also supports achievement standard 90943.
In it you'll find answers to questions like:
- What calculations would we use to analyse profitability?
- How do we work with:
- Mark-up percentage, Gross profit percentage, Profit percentage
- Expenses percentage
- Percentage changes
- Explaining the meaning of profitability analysis.
- What are the reasons for trends in profitability?
- How could we make a recommendation(s) to improve profitability?
- What analysis calculations are required to determine:
- Equity ratio
- Working capital
- Current ratio
- Liquid ratio
- How do we explain the meanings of financial statements and liquidity analysis results?
- How do we explain the reasons for trends?
- How could we make a recommendation/s to improve financial stability and/or liquidity?
How you'll learn
There are a variety of ways you can learn and interact with the materials in this course.
Self-paced learning – the material is set up so you can learn at your own pace. Although there are 'suggested' times for each page, they're just a guideline - plan your learning to suit you.
Practice activities – throughout this course there are short activities. These activities are for you, not for someone to mark them. These activities give you a great chance to practice what you've learned and compare your answer to the model feedback. Look at the feedback carefully to see if you have missed out any aspects from your answer.
Submitting photos – sometimes people find it easier to scribble down a diagram or show their working with pen and paper. No problem! You can still store all your working and diagrams with the activity. That way you'll be able to refer back to your answers when you're revising. Simply take a photo of your work and upload it with the relevant activity.