AQA A Level Accounting specification (7127)
Understanding the exam specification is key to doing well in your AQA A Level Accounting exam. It lays out exactly what you need to learn, how you'll be assessed, and what skills the examiners seek. Whether you're working through the course for the first time or revising for your final exams, the specification helps you stay focused and confident in your preparation.
We've included helpful revision tools to support you in putting the specification into practice. Wherever you're starting from, you'll find everything you need to feel prepared, from the official specification to high-quality resources designed to help you succeed.
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In the next section, you'll find a simplified summary of the official AQA A Level Accounting specification, along with a breakdown of key topics, assessment structure, and useful study resources. We've also included links to topic-level guides and revision tools to help you put the specification into practice.
Contents
Disclaimer
This page includes a summary of the official AQA A Level Accounting (7127) specification, provided to support your revision. While we've made every effort to ensure accuracy, Save My Exams is not affiliated with the awarding body.
For the most complete and up-to-date information, we strongly recommend consulting the official AQA specification PDF.
Specification overview
The A Level Accounting course enables students to develop a robust understanding of both financial and management accounting. It equips learners with the skills to analyse and evaluate accounting data, use accounting principles to prepare financial statements, and understand how accountants support effective business decision making. The course encourages problem solving, ethical awareness, and effective communication of financial information. Through this, students gain insight into the responsibilities of accountants and the impact of accounting on businesses, individuals, society, and the environment.Subject content breakdown
3.1 An introduction to the role of the accountant in business
- Distinction between financial and management accounting
- Responsibilities in developing accounting systems and providing reliable financial information
- Oversight of bookkeeping and ledger processes
3.2 Types of business organisation
- Ownership structures: sole trader, partnership, Ltd, plc
- Related benefits, risks and finance sources
3.3 The double entry model
- Source documents, books of prime entry, ledger accounts
- Trial balances and preparation of income statements and statements of financial position
- Adjustments for accruals, prepayments, depreciation, irrecoverable debts
3.4 Verification of accounting records
- Trial balance, control accounts, bank reconciliations
- Correction of errors using journals and suspense accounts
3.5 Accounting concepts used in preparation
- Concepts: going concern, accruals, prudence, etc.
- Applied to statements, depreciation, valuations
3.6 Preparation of financial statements of sole traders
- Income statement and statement of financial position
- Adjustments and application of accounting principles
3.7 Limited company accounts
- Internal use of income statements, changes in equity, and financial position
- Profit calculations and share-related entries
3.8 Analysis and evaluation of financial information
- Calculation of profitability, liquidity, efficiency and capital structure ratios
- Uses and limitations of ratio analysis
3.9 Budgeting
- Cash, sales, production, labour and financial budgets
- Use of variance analysis for planning and control
3.10 Marginal costing
- Contribution analysis, break-even, decision-making applications
3.11 Standard costing and variance analysis
- Calculation of material, labour and sales variances
- Reconciliation of actual and budgeted results
3.12 Absorption and activity based costing
- Overhead allocation and comparison with marginal costing
3.13 Capital investment appraisal
- Use of payback and net present value
- Financial and non-financial evaluation
3.14 Accounting for organisations with incomplete records
- Reconstruction using ratios, cash accounts, control accounts
3.15 Partnership accounts
- Appropriation accounts, capital/current accounts, changes in partnership
3.16 Accounting for limited companies
- Drafting financial statements, cash flow, revaluation
- Share and bonus issues, regulatory standards
3.17 Interpretation, analysis and communication of accounting information
- Use of investors’ ratios (e.g. EPS, dividend yield)
- Effective communication to stakeholders
3.18 The impact of ethical considerations
- Principles: integrity, objectivity, confidentiality, etc.
- Regulatory frameworks, professional bodies, ethical actions
Assessment structure
Paper 1
- 3 hours, 120 marks (50% of A Level)
- Covers: Sections 1–8, 14–18
- Section A: 10 multiple choice + short answer (30 marks)
- Section B: 2 structured questions (20 marks each)
- Section C: 2 extended response questions (25 marks each)
Paper 2
- 3 hours, 120 marks (50% of A Level)
- Covers: Sections 1–3, 8–13, 17–18
- Same format as Paper 1
Assessment objectives
- AO1: Knowledge & understanding (24–26%)
- AO2: Application (33–35%)
- AO3: Analysis & evaluation (40–42%)
Overall grading
- Final grade from total of 240 scaled marks
- No coursework; 100% exam-based
- Grade scale: A* to E
Key tips for success
Doing well in your AQA A Level Accounting isn't just about how much you study, but how you study. Here are a few proven tips to help you stay on track
- Start with a clear plan: Break the subject into topics and create a revision schedule that allows enough time for each. Start early to avoid last-minute stress.
- Focus on understanding, not memorising: Use our revision notes to build a strong foundation in each topic, making sure you actually understand the material.
- Practise regularly: Attempt past papers to familiarise yourself with the exam format and timing. Mark your answers to see how close you are to full marks.
- Be strategic with your revision: Use exam questions by topic to focus on weaker areas, and flashcards to reinforce important facts and terminology.
- Learn from mistakes: Whether it's from mock exams or practice questions, spend time reviewing what went wrong and why. This helps prevent repeat mistakes in the real exam.
- Stay balanced: Don't forget to take regular breaks, eat well, and get enough sleep, a healthy routine makes revision much more effective.
With the right approach and consistent practice, you'll build confidence and improve your chances of exam success.
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