This paper covers the preparation of books of accounts, using these to create financial statements in compliance with IFRS and applicable reporting framework in Pakistan and then analysing the information contained in the financial reports (such as the Directors’ report and the notes to the financial statements). It also includes preparing the direct and indirect tax account and tax related policies and disclosure notes to the financial statements.

In this paper the students will be able to:

  1. Explain accounting terminology, conventions and standard accounting practice.
  2. Describe the different types of entities and prepare financial statements for each.
  3. Understand tax accounting entries and prepare the tax account and disclosure notes for inclusion in financial statements.
  4. Perform an expert interpretation and analysis of information from the financial reports.