Required skills

negotiating skills in relation to budgetary planning

Required knowledge

context and typical processes for the budget development process within a given industry context

accounting principles and practices which impact on budget preparation

budget preparation techniques including

information required for budget preparation

components of a budget

techniques for making budget estimates

type of supporting information required

presentation techniquesformats for budgets

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

The following evidence is critical to the judgement of competence in this unit

understanding of the technical budget preparation process and accounting procedures that must be followed

sound analysis of the factors that impact on the budget development process

preparation of a realistic and accurate budget within the relevant workplace context

Context of and specific resources for assessment

The assessment context must provide for

project or work activities that allow for the development of a budget for a specific workplace context

involvement of others in the budget development process

use of industrycurrent technology for the budget preparation process

Method of assessment

Assessment may incorporate a range of methods to assess performance and the application of essential underpinning knowledge and might include

evaluation of budgets prepared by the candidate including comparison with actual budgetary performance

evaluation of reports prepared by the candidate detailing the processes undertaken to develop a budget

case studies and problem solving to assess application of principles of budget development to different workplace contexts

review of portfolios of evidence and third party workplace reports of onthejob performance by the candidate

Assessment methods should closely reflect workplace demands and the needs of particular groups eg people with disabilities and people who may have literacy or numeracy difficulties such as speakers of languages other than English remote communities and those with interrupted schooling

Guidance information for assessment

Assessment of this unit requires access to

industrycurrent technology for budget development

sources of information on expenditure and income

Budgets may include:

Relevant personnel involved in budget development may include:

Data required for budget preparation may include:

Internal or external issues that could impact on budget development may include: