Core Subjects of ACCA Course and Exam Levels Explained

Introduction

The Association of Chartered Certified Accountants (ACCA) is a globally recognized qualification in the finance and accounting industry. With over 200,000 members and 500,000 students worldwide, ACCA stands for high standards and professionalism.

The subjects of the ACCA course equip professionals with technical and practical skills, covering areas like financial reporting, taxation, and audit, making them valuable assets to organizations worldwide.

To prepare for the exams, prospective ACCA students and professionals should familiarize themselves with the ACCA subjects’ syllabus. This comprehensive ACCA subject list can help them prepare for the exams and enhance their chances of success.

ACCA Exam Levels in Detail

One of the main prerequisites for becoming an ACCA affiliate is finishing all 13 papers (with or without an exemption). The way the ACCA subjects and syllabus have been seamlessly integrated across the three broad ACCA levels, with a strong emphasis on the blending of conceptual understanding and application to real-life circumstances is one of the key differentiators of the ACCA course.

1. Applied Knowledge Level

A student’s primary goal in advancing through different subjects within this level is to gain conceptual comprehension. For a student to study and clear the level, they must take all three subjects. However, in accordance with the ACCA guidelines, this is subject to ACCA exemptions for which a student may be eligible for.

2. Applied Skills Level

A student at this stage starts to apply the knowledge they have learned to actual circumstances and further deepen their conceptual understanding. In order to clear this level, students would need to have knowledge of all six disciplines. As per the ACCA guidelines, students may be eligible for some exemptions based on their previous qualification and academic record.

3. Strategic Professional Level

Students typically have a good understanding of their subject interests, career options, and job profiles by the time they clear the ACCA applied skill-level subjects. They are thus in a better position to decide which of the optional subjects they choose to pursue. Professionally speaking, ACCA encourages students to specialize in areas that interest them. Two of the six disciplines offered at the professional level are mandated: SBL and SBR. A student must select any two out of the remaining four optional subjects (AFM, AAA, ATX, and APM).

After understanding all 3 levels of the ACCA exam, we can also evaluate the Difficulty level of ACCA based on the skills and knowledge required for the examination.

ACCA Course Subject Details

Let’s get into some of the more specific details of each of the subjects within the overall ACCA certification (15 papers), which are divided into 3 levels. The detailed information on each of the ACCA subjects at each level would help students understand the depth of the program and prepare accordingly.

The table below is a brief overview of the subjects of ACCA course.

Applied Knowledge Level (3)	Applied Skills Level (6)	Strategic Professional Level (6)
Business & Technology (BT)	Corporate and Business Law (LW)	Strategic Business Leader (SBL)
Financial Accounting (FA)	Financial Reporting (FR)	Strategic Business Reporting (SBR)
Management Accounting (MA)	Performance Management (PM)	Advanced Performance Management (APM)
	Financial Management (FM)	Advanced Financial Management (AFM)
	Audit & Assurance (AA)	Advanced Audit & Assurance (AAA)
	Taxation (TX)	Advanced Taxation (ATX)

Now, you will read detailed information on each of the ACCA subjects list to enlighten you about the various topics covered in the subjects of ACCA course, exam pattern and passing marks.

1. ACCA Applied Knowledge Subjects

A student’s starting point is the ACCA knowledge level. The there are three subjects at this level which are as follows:

Business and Technology (BT)

A significant portion of the topics covered in the ACCA subject’s syllabus are practical and application-focused. Business & technology integrates elements of economics, business studies and many more concepts relating to organization and its business. Students get an overview of the many internal and external environment variables that an organization operates in. Among the many fascinating topics that students get to study as part of this subject include internal and external environment, competition, pricing and marketing strategies, people, leadership, performance management, training & development, inclusion, and diversity.

Paper pattern: There are two portions to the paper.

(a) Section A (76 marks) – 46 objective-type questions (OTQs)
(b) Section B (24 marks) – 6 objective-type questions (OTQs)

Passing marks: To pass the exam, students must receive at least 50% of the possible points.

Financial Accounting (FA)

It is misleading if you believe that the knowledge you acquired in classes 11 and 12 and in school would be obsolete. The ACCA’s financial accounting course starts with the fundamentals of accounting and expands upon them. It serves as the foundation for papers written at both the Applied Skills level (Financial Reporting) and Strategic Professional Level (Strategic Business Reporting). This course allows us to comprehend accounting fundamentals, including rules, assumptions, and concepts, and to realistically apply the knowledge we learn.

Paper pattern: The document is split into the following two sections:

(a) Section A (70 marks) – 35 objective-type questions (OTQs) of 2 marks each
(b) Section B (30 marks) – 2 objective-type questions (OTQs) of 15 marks each

Passing marks: To pass the exam, students must receive at least 50% of the total score of 100.

Management Accounting (MA)

The management accountant is an organization’s primary advisor when it comes to internal analysis of financial and non-financial data relating to the past, present, and future of the organization. This subject will lay the groundwork for you to fulfill your dream of working as a management accountant in the future. Additionally, the subject serves as the foundation for both performance management at the applied skills level and advanced performance management at the strategic professional level.

Paper pattern: The document is split into the following two sections:

(a) Section A (70 marks) – 35 objective-type questions (OTQs) of 2 marks each
(b) Section B (30 marks) – 3 objective type questions (OTQs) (5 sub-questions each) of 10 marks each

Passing marks: To pass the exam, students must receive at least 50% of the possible points.

2. ACCA Skill Level Subjects

The ACCA subjects list in skill level is 6 and a high level curriculum of each of the subjects is as detailed below –

Corporate and Business Law (LW)

Students would benefit as they gain an understanding of the general legal system along with its impact on the company. Students get a fundamental knowledge of the UK legal system throughout the curriculum, which covers corporate organization creation, employment law, company regulation, and the legal ramifications of insolvency law, among others.

Paper pattern: The paper is divided into 2 sections with a total of 52 objective-type questions (OTQs) as under-

(a) Section A (70 marks) – 45 questions
(b) Section B (30 marks) – 5 questions

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Performance Management (PM)

Your next goal should be to study new ideas and put them into practice. The performance management course is an expansion of the knowledge you gained in the applied knowledge level of management accounting. It offers insights into the kind of tasks performed by management accountants in organizations, including using learning curves and linear programming for short-term decision-making.

Paper pattern: The paper is divided into 3 sections as under –

(a) Section A (30 marks) – 15 objective-type questions (OTQs) of 2 Marks each
(b) Section B (30 marks) – 3 Case Studies with 5 objective type questions (OTQs) in each case study of
2 Marks each
(c) Section C (40 marks) – 2 Descriptive Questions of 20 Marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Taxation (TX)

At the Applied Skills Level, students learn about UK and International Taxation, starting with basic concepts like taxation, levies, tax collectors, and tax planning. The syllabus of the subject allows students to explore direct taxation for individuals, including employment, property, savings, investment, and business income. The students also get to learn about corporate taxation, Indirect taxes VAT and its application, administration aspects, and reliefs for certain businesses. So, basically, Taxation is an interesting and practical subject that covers various aspects of income, tax planning, and administration.

Paper pattern: The paper is divided into 3 sections as under –

(a) Section A (30 marks) – 15 objective-type questions (OTQs) of 2 Marks each
(b) Section B (30 marks) – 3 Case Studies with 5 objective type questions (OTQs) in each case study of
2 marks each
(c) Section C (40 marks) – 3 Descriptive Questions. 1 question of 10 marks and 2 questions of 20 Marks
each respectively

Passing Marks: Students need to secure a minimum of 50% marks to clear the exam

Financial Reporting (FR)

This subject is the starting point for the transition to International Financial Reporting Standards (IFRS). You will learn about many IFRSs and how to apply them to situations in real life, adopted and implemented by 140 nations worldwide at present.

Paper pattern: The paper is divided into 3 sections as under –

Passing marks: Students need to secure a minimum of 50% marks to clear the exam.

Audit and Assurance (AA)

Audit is a crucial subject for organizations, requiring knowledge of the process of assurance engagement and its application within the professional regulatory framework. The subject is theoretical, but the exam aims to balance technical knowledge with practical application. It covers aspects like nature, purpose, scope, corporate governance, and code of ethics. The curriculum then focuses on planning, risk assessment, internal controls evaluation, audit evidence review, financial statements review, and the form and content of an independent auditor’s report.

Paper pattern: The paper is divided into 3 sections as under –

(a) Section A (30 marks) – 15 objective-type questions (OTQs) of 2 Marks each
(b) Section B (70 marks) – 3 questions of which 2 are for 20 marks each and 1 is for 30 marks.

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Financial Management (FM)

Financial Management (FM) is an application-oriented subject that introduces students to the finance field. It focuses on understanding an organization’s objectives and linking them to three major finance decisions: Investing, Financing, and Dividend decisions. Students learn about Investment Appraisal techniques for long-term decision-making, working capital management, sources of finance, capital structure, cost of capital, valuing businesses, and managing risks.

Paper pattern: The paper is divided into 3 sections as under –

(a) Section A (30 marks) – 15 objective-type questions (OTQs) of 2 Marks each
(b) Section B (30 marks) – 3 Case Studies with 5 objective type questions (OTQs) in each case study of
2 Marks each.
(c) Section C (40 marks) – 2 Descriptive Questions of 20 Marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

3. ACCA Professional Level Papers

There are two required and four elective subjects at the professional level. The students must pass four subjects of ACCA course in Level 3 to advance further.

Strategic Business Reporting (SBR)

It’s time to improve your accounting knowledge to the advanced level of specialty after you have gained a solid understanding of the various accounting subjects of the ACCA course through your financial accounting and financial reporting courses. One of the required papers for strategic professionals is strategic business reporting (SBR), which teaches us how to apply IFRS to challenging business environment scenarios. The impact of accounting treatment on financial statements is thoroughly understood by students. The topic combines the ethical issues of accounting.

Paper pattern: The paper consists of 2 sections as under –

(a) Section A consists of two scenario-based questions of 50 marks. The first question will be based on
the financial statements of group entities (including financial reporting issues) of 30 marks. The 2nd
question would be 20 marks on reporting and ethical implications.
(b) Section B consists of 2 questions of 25 marks each which would be scenario, case study-based or
essay- based elements (including appraisal of financial and/or non-financial information from a
stakeholder’s perspective)

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Strategic Business Leader (SBL)

Strategic Business Leadership (SBL) is a mandatory subject at the strategic professional level of the ACCA journey, providing in-depth insights into strategy-making, decision-making, problem-solving, and storytelling. It is a mini-MBA that covers end-to-end corporate elements and relevant concepts from the current times. Topics covered include product portfolio and market analysis, pricing decisions, entry strategy, decoding the external environment, integrated reporting, change management, risk management, and internal controls. SBL also sets the right foundation for students to pursue other optional subjects later in their corporate journey.

Paper pattern: The revised paper pattern (starting September 2023 attempt) consists of 3 tasks/questions with 2-3 sub-questions per task based on the pre-seen case study and additional information provided during the exam
Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Advanced Financial Management (AFM)

AFM is one of the four optional subjects at the ACCA strategic professional level, requiring students to apply knowledge, skills, and judgment in decision-making and recommendations. It focuses on professional skills like communication, analysis, skepticism, and commercial acumen. The curriculum covers investment and financing decisions, mergers and acquisitions, corporate reorganizations, risk identification, and management within the organization’s business context.

Paper pattern: The paper consists of 2 sections as under –

(a) Section A consists of one question of 50 marks
(b) Section B consists of 2 questions of 25 marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Advanced Performance Management (APM)

Advanced Performance Management is a professional-level exam that requires candidates to apply knowledge and skills to evaluate an organization’s performance and help management develop strategies for business growth. Topics covered include strategic planning, risk impact, information system role, and corporate failure. Students who have passed the Strategic Business Leader exam can already understand some elements of this subject and build on them further. This exam is designed for professionals who want to exercise professional judgment and contribute to organizational success.

Paper pattern: The paper consists of 2 sections as under –

(a) Section A consists of one question of 50 marks
(b) Section B consists of 2 questions of 25 marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Advanced Taxation (ATX)

The subject enhances students’ understanding of Corporation tax principles, including computation, administration, and tax treatment of losses. It covers group treatment, overseas aspects of Corporation tax, capital gain and inheritance tax, trust taxation, ethics, personal tax administration, and income tax computation for various incomes. Emphasis is placed on tax planning, making the subject practical and application-oriented. Students also learn about the treatment of groups for taxation purposes, overseas aspects of Corporation tax, trust taxation, ethics, and personal tax administration.

Paper pattern: The paper consists of 2 sections as under –

(a) Section A consists of one question of 50 marks
(b) Section B consists of 2 questions of 25 marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam

Advanced Audit and Assurance (AAA)

The AAA exam is an advanced version of the AA exam, requiring students to apply knowledge, and skills, and exercise professional judgment as auditors. It tests students on communication, analysis, evaluation, skepticism, and commercial acumen. The exam covers financial reporting regulation, money laundering, group audits, professional liability, specific assignments, and the Code of Ethics and Reporting aspects of audit. Students are expected to analyze, demonstrate, and conclude assurance engagements.

Paper pattern: The paper consists of 2 sections as under –

(a) Section A consists of one question of 50 marks
(b) Section B consists of 2 questions of 25 marks each

Passing marks: Students need to secure a minimum of 50% marks to clear the exam.

Additional Benefits Of Joining ACCA With edZeb?

ACCA has certified edZeb as a Silver Learning Partner. Our faculty members have mentored multiple rank holders in addition to holding various positions in the accounting and finance fields (both in India and abroad).

Our faculty members’ extensive and varied backgrounds in business and education support our belief in the value of experiential learning. Thousands of students at all ACCA levels have already benefited from their coaching, and thousands more are presently receiving it (even those who enrolled in ACCA after their class Xth examinations). Students from the Middle East, India, Ireland, UK and Hong Kong are among our student body.

Our unique value proposition for students includes

Live Offline & Online Classes

edZeb provides flexible learning options to align with your schedule and preferences. You can attend our offline live classes at our campus (Suite 10A, Gobind Mansion, H Block, Connaught Place, New Delhi) whereas online interactive sessions can be attended from almost every nook and corner across the globe.

Comprehensive course coverage

All the ACCA subjects syllabus is thoroughly taught covering detailed lessons and study material important from an examination point of view. Students gain a deep understanding of each subject which not only prepares them for exams but also for professional practice.

Study material – Presentations & videos

The comprehensive study material is structured and organized in a way that aids students in their personalized study plans to prepare their ACCA subjects and syllabus. Guest lectures from top industry professionals, LMS , and incorporating current market trends & exclusive industry insights while teaching are a few of our USPs.

Career Guidance

edZeb not only focuses on finishing the ACCA subjects syllabus but also provides 100% placement services (PAP) and professional networking opportunities. This helps students transition smoothly from their studies to successful careers in finance and accounting as soon as they become ACCA-certified professionals.

Placement assistance

Our placement team works with a network of 250+ companies in PAN India with a strong placement conversion ratio (90%+). Our placement assistance team will assist you with the comprehensive scope of ACCA in India and abroad. We also provide employment opportunities through our web of corporate alumni both inside and outside India.

Resume Building

Assisting students in building their resumes is also one of our career support features followed by interview preparations to boost their level of confidence.

Mock Interviews

edZeb provides mock interview sessions to prepare students for real-world job interviews. Personalized feedback from these interviews helps students improve their communication skills, build confidence, and present their knowledge and experience effectively in front of their future employers.

Conclusion

ACCA qualification is a globally respected standard in finance and accounting. It offers specialization through the ACCA subjects list in the Applied Knowledge, Applied Skills, and Professional levels which provides you with a competitive edge in today’s job market. With support from accredited learning providers like edZeb, offering flexible learning options and comprehensive study materials, ACCA candidates are well-prepared to succeed in their career in ACCA and contribute effectively to the industry worldwide.