AAT ITBK case studies

AAT ITBK · Put your knowledge to work in context.

The AAT Level 2 Certificate in Bookkeeping - often referenced by its unit name, Introduction to Bookkeeping (ITBK) - is one of three short bookkeeping qualifications offered by AAT, the Association of Accounting Technicians. AAT describes it as the qualification for students who want "skills and essential knowledge up to trial balance standard", which places it between the entry-level Level 1 Award and the experienced-practitioner Level 3 Certificate. The AAT ITBK case studies are 5 cases and about 3,169 words.

Priya's Florist: When a Correct Double Entry Goes to the Wrong Account

Priya runs a florist as a sole trader. Her bookkeeper treated three May transactions as sundry expenses in the general expenses account: flowers costing £340 (normal selling price £620) taken for her sister's wedding; a £210 home insurance premium paid from the business bank account; and a delivery van, already owned by Priya and worth £7,500, that she brought into the business - for this the bookkeeper debited sundry expenses £7,500 and credited capital.

462 words, about 2 min 2

Marina's Post Tray: Which Documents Enter the Books of Prime Entry

Marina is purchase ledger clerk at a garden supplies wholesaler. On 30 June her post tray holds: invoice GS-4471 for £1,180 for compost, with terms of 2% discount if paid within 14 days; credit note GSC-112 for £236 for a short delivery on GS-4471; a second copy of invoice GS-4468 for £472, which was already entered on 24 June; and a pro-forma invoice for £900 from a new supplier who insists on payment before dispatch.

662 words, about 3 min 3

Nadia's Bank Reconciliation: Cash Book or Statement?

At 31 May Nadia's cash book shows a debit balance of £3,400, while the bank statement shows a credit balance of £3,102. The following are not yet reflected in both records: cheques issued to suppliers of £780 and £145 have not been presented; a lodgement of £520 does not appear on the statement; the bank has charged £38 in fees and paid a £260 insurance standing order, neither of which is in the cash book; a customer's cheque for £310 that Nadia paid in has been dishonoured; and the bank has mistakenly debited Nadia's account with £95 that belongs to another customer.

696 words, about 3 min 4

Harlow Joinery: Which Errors a Suspense Account Can Fix

At 31 March the trial balance of Harlow Joinery shows debits of £61,340 and credits of £61,465. The £125 difference was placed in a suspense account.

691 words, about 3 min 5

Lee's Bakery: Reconciling Capital per Statement of Affairs with Capital per Records

Lee runs a bakery and has never kept a full double-entry set of books. His accountant prepared a statement of affairs at 31 March: van £9,000, equipment £4,500, inventory £3,240, trade receivables £2,180, bank £1,650, trade payables £4,110, VAT payable £620 and a bank loan £6,000.

658 words, about 3 min