UNIT

BSBFIA303AProcess accounts payable and receivable

Release 1Superseded

Modification History

Not applicable.

Unit Descriptor

Unit descriptor

This unit describes the performance outcomes, skills and knowledge required to maintain accounts payable and accounts receivable records, including processing payments to creditors and handling overdue accounts receivable.

No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.

Application of the Unit

Application of the unit

This unit applies to individuals employed in a range of work environments supporting the accounting functions and aspects of an enterprise. They may provide administrative support within an enterprise, or may be members of staff who have been delegated accounting responsibilities.

Licensing/Regulatory Information

Not applicable.

Pre-Requisites

Prerequisite units

Employability Skills Information

Employability skills

This unit contains employability skills.

Elements and Performance Criteria Pre-Content

Elements describe the essential outcomes of a unit of competency.

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide.

Evidence Guide

EVIDENCE GUIDE

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

Evidence of the following is essential:

maintaining journals and subsidiary ledger systems

accurately entering data into journal and subsidiary ledger system

reconciling subsidiary ledger system with journal or general ledger data.

Context of and specific resources for assessment

Assessment must ensure:

access to an actual workplace or simulated environment

access to office equipment and resources, such as:

calculator

computer equipment and relevant software

access to examples of cash journals, credit journals, accounts payable and accounts receivable subsidiary legers

access to workplace reference materials such procedural manuals and company policy.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

analysis of responses to case studies and scenarios

demonstration of techniques

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate

review of authenticated documents from the workplace or training environment

oral or written questioning to assess knowledge of accounting procedures and techniques.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

other financial administration units.

Range Statement

RANGE STATEMENT

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Source documents may include:

adjustment notes issued

adjustment notes received

cheque butts

credit notes issued

credit notes received

invoices issued

invoices received

receipts

tax invoices issued

tax invoices received

Transactions may include:

capital contributions in cash by owner

cash purchases

cash sales

commission

credit purchases

credit sales

day-to-day expenses

electronic funds transfer

interest charges and bank fees

interest revenue

payments received from debtors

payments to creditors

petty cash transactions

purchases paid by cheque

returns

withdrawal of cash by owner

Journal system may include:

cash payments journal

cash receipts journal

purchases journal

purchases returns journal

sales journal

sales returns journal

Systems may include:

computerised

manual

Relevant legislation and compliance requirements may include:

consumer:

codes of practice

Australian Consumer Credit Code

privacy laws

secrecy laws

competition:

Australian Competition and Consumer Commission (ACCC), National Competition Policy

prudential:

commonwealth Bills of Exchange Act 1909

commonwealth Cheques and Payment Orders Act 1986

commonwealth Financial Transaction Reports Act 1988

commonwealth Land Tax Assessment Act 2002

commercial tenancies laws

corporate law

Credit Reference Association of Australia (CRAA)

Electronic Funds Transfer (EFT) Code of Conduct

Financial Institutions (FI) Code

payroll tax assessment laws and regulations

prescribed payments laws and regulations

stamp duties laws

taxation assessment laws

Discrepancies may include:

bank charges

direct deposits

direct payments

dishonoured cheques

interest

Accounts payable and accounts receivable systems may include:

accounts payable schedule

accounts payable subsidiary ledger

accounts receivable schedule

accounts receivable subsidiary ledger

Journal data may include:

accounts payable data from cash payments journal

accounts receivable data from cash receipts journal

purchases journal total

purchases returns journal total

sales journal total

sales returns journal total

Checking payment documentation may include:

attachment of supporting invoices, statements

calculation of discount

cheque data

remittance advice data

Accounts receivable statements may include:

any payments received allocated on an invoice by invoice basis

computerised system

discount policy

final balance with overdue details if appropriate

information about any sales, sales returns, credit, forward orders and payments, which have occurred throughout the month

manual system

month to which statement is applicable

name and address of client or accounts receivable

name and address of supplier

opening balance if applicable

Credit terms may include:

arrangements for settlement

cancellation of agreed credit arrangements

cash on delivery

Unit Sector(s)

Unit sector

<SYS_DESCRIPTION>

Competency field

Finance - Financial Administration

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