Level 6 – Page 5 – Accountants Institute
Exam Unit: Project Accounting (3.4)

Learning Outcome

To demonstrate an in-depth understanding of the accounting skills required to successfully account for projects. To gain an appreciation of the principles and assumptions fundamental to building up financial statements so as to enable the correct interpretations to be made within a project environment and to develop a keen understanding of project impacts within the organisation and beyond. The Learner should also be able to demonstrate an understanding of how to analyse projects and be proficient in all aspects of project finance.

International Project Accounting:
1. Interest-time relationships
2. Investment appraisal methods
3. Discounted cash flow yields
4. Valuation of assets and optional replacement age
5. Incremental analysis
6. Inflation
7. Sensitivity and risk analysisProject Finance:
1. What is project finance
2. The project finance markets
3. Project development and management
4. Working with lenders
5. Project contracts
6. Commercial risks
7. Macroeconomic risks
8. Political risks
9. Political risk guarantees, insurance, and finance
10. Financial modelling and evaluation
11. Financial structuring and documentation
Quantitative Method in Project Management:
1. Project value
2. Probability and statistics for projects
3. Organizing and estimating the work
4. Making quantitative decisions
5. Risk-adjusted financial management
6. Expense accounting and earned value
7. Quantitative time management
8. Special topics in quantitative management
9. Quantitative methods in project contracts