Institute of Commercial Management | Qualification Subject


ICM Professional Diploma Unit

Introduction to Accounting

  • What is accounting?Business organisations and sources of finance
  • Introducing financial statements: the profit and loss account and the balance sheet
  • The role of the accountant and the accounts office

Supply Information for Management Control

  • The purpose of management information
  • The use of cost centres and coding of costs
  • Providing comparisons on costs and income
  • A brief introduction to wages
  • Control accounts: sales and purchase ledger control

The Construction of Financial Statements

  • Financial statements: the calculation of profits
  • Adjustments: accruals, prepayments and drawings
  • Adjustments: bad debts and provisions for debtors
  • Depreciation of fixed assets
  • Partnership accounts
  • Company accounts
  • Accounts of clubs and societies
  • The extended trial balance

Using Accounting Information

  • Accounting ratios and preparing reports
  • Accounting standards: Statements of Standard Accounting Practice and Financial Reporting Statements (SSAPs and FRSs)
  • Accounting for stocks
  • Manufacturing accounts
  • Marginal costing
  • Budgeting

Example Candidate Response Booklet

Example Candidate Response (ECR) Booklets are a source of crucial information for Centres and Candidates as they use real candidate responses. We ask Senior Examiners to comment on five or more responses in terms of why the mark was awarded with commentary about how to improve the answer (if necessary).

Recommended Reading

Main Text:

Finance & Accounting – R Giles (ICM) – Chapters 1-4, 17-21, 22-27, 29-30, 31-33, 35-37 and 40

Indicative Text:

Frank Wood’s Business Accounting 1 – Wood & Sangster (Pitman)

Alternative Text and Further Reading: