AAT Advanced Diploma in Accounting (Level 3)

What is AAT?

The AAT diploma is the leading professional qualification for those with experience in the accounting industry. You can find general details about AAT on this page, and information about AAT Level 3 below…

AAT Level 3 Advanced Diploma

The AAT Level 3 Advanced Diploma in Accounting is the mid-level AAT qualification. This level is perfect for those working in accounting, with experience, and looking to further develop their skills. This will give you real life technical accounting skills that you can use on the job.

AAT Level 3 Syllabus (AQ2016)

The AAT Level 3 Advanced Diploma in Accounting has a Total Qualification Time (TQT) value of 520 hours.This is a measure of how long it takes to complete the course, and this number includes the Guided Learning Hours as well as unsupervised learning spent independently.

The AAT Level 3 Advanced Diploma in Accounting covers the following areas of knowledge:

Advanced Bookkeeping

  • Apply the principles of advanced double-entry bookkeeping
  • Implement procedures for the acquisition and disposal of non-current assets
  • Prepare and record depreciation calculations
  • Record period end adjustments
  • Produce and extend the trial balance

Final Accounts Preparation

  • Distinguish between the financial recording and reporting requirements of different types of organisation
  • Explain the need for final accounts and the accounting and ethical principles underlying their preparation
  • Prepare accounting records from incomplete information
  • Produce accounts for sole traders
  • Produce accounts for partnerships
  • Recognise the key differences between preparing accounts for a limited company and a sole trader

Management Accounting: Costing

  • Understand the purpose and use of management accounting within an organisation
  • Apply techniques required for dealing with costs
  • Apportion costs according to organisational requirements
  • Analyse and review deviations from budget and report these to management
  • Apply management accounting techniques to support decision making

Indirect Tax

  • Understand and apply VAT legislation requirements
  • Accurately complete VAT returns and submit them in a timely manner
  • Understand the implications for the business of errors, omissions and late filing and payment
  • Report VAT-related information within the organisation in accordance with regulatory and organisational requirements

Ethics for Accountants

  • Understand the need to act ethically
  • Understand the relevance to the accountant’s work of the ethical code for professional accountants
  • Recognise how to act ethically in an accounting role
  • Identify action to take in relation to unethical behaviour or illegal acts

Spreadsheets for Accounting

  • Design and structure appropriate spreadsheets to meet customer needs
  • Use spreadsheet software to record, format and organise data
  • Use relevant tools to manipulate and analyse data
  • Use software tools to verify accuracy and protect data
  • Use tools and techniques to prepare and report accounting information

Who Should Study AAT Level 3?

This level of AAT is perfect for those who have already gained a Foundation Certificate in Accounting qualification, but also relevant for those who have reasonable experience in an accounting role. It is essential to have good numeracy skills and attention to detail at this level.

Not sure which course is right for you? Complete the AAT Skillcheck. It’s a short online test with a series of multiple-choice questions that takes 30 minutes to complete, and it’ll suggest the level that would best suit you.

Once you complete the Advanced Diploma, you could continue to study the AAT Professional Diploma in Accounting.