Aat Isys Project

Internal Controls and Accounting Systems Study and assessment guide
2013 AAT Accounting Qualification Version date: April 2013


Internal Controls and Accounting Systems (ICAS)
Please note that this document is subject to annual review and revision to ensure that it accurately reflects the assessment criteria. This guide is written for Internal Control and Accounting Systems (ISYS), which is based upon a review of an accounting system looking at internal controls and the risk of fraud, weaknesses in the accounting system, professional ethics and sustainability issues within an organisation. The student is required to review and analyse an accounting system, identifying weaknesses and making recommendations for improvement; and to present their findings in a formal written report. This is a Level 4 unit in the qualification. It draws learning from throughout the qualification at all three levels including generic units at Level 2 Working Effectively in Accounting Systems (WKAF) and Level 3 Professional Ethics (PETH); it also draws upon knowledge gained in the accounting units of all three levels. Please read this document in conjunction with the standards for the units.

The purpose of the unit
The purpose of this unit is to ensure that students know and understand the role of accounting in an organisation, and why internal controls should be in place. They should also be able to recognise systemic weaknesses where errors or fraud may occur. Students should be able to make a considered evaluation of an accounting system, or part of a system, (either based on a real situation or on a given scenario), with particular reference to internal controls, ethical considerations and the prevention of fraud; identifying where there are, or could be a risk of, breaches in professional ethics. They should also take into account issues of sustainability when reviewing the system. They should be able to make judgements about the analysis, identifying...