Skills for Work: Business Finance
Business Finance is an Agored Cymru Skills for Work unit in which learners learn how businesses and other organisations are funded, why investment, raising money and cost savings matter, and how to apply this in their own setting or an enterprise scenario. It is one 20 hour unit, offered at Entry 1, Entry 2, Entry 3, Level 1 and Level 2, that learners combine with others into an Agored Cymru Skills for Work, or Skills for Life and Work, Award, Certificate or Diploma, assessed internally through a centre-devised task. Digital demand is medium. At Level 2, 3 of the 9 assessment criteria require a profit and loss account, profit margins and a cash flow forecast built in a digital spreadsheet, and every level requires access to spreadsheet software, but the rest of the unit is written knowledge of finance terms, funding and cost saving, and the Level 1 and Entry criteria do not name a spreadsheet.
- Awarding body
- Agored Cymru
- Level
- Entry Level 1 to Level 2
- Guided learning hours
- 20
- First taught
- September 2027
- Amount of digital work
- Medium
- Specification
- Open the specification
How this unit is assessed
- Level 2 (Unit ID CDS034, Unit Code AA42CY004): Four learning outcomes with 9 assessment criteria: define net profit, gross profit, loss, income, expenditure and cash flow; describe at least three reasons businesses need finance and at least three funding options, with an advantage and disadvantage of each; describe the role of investment and at least two cost-saving and two strategic financial planning strategies; then, in a scenario, produce a profit and loss account, calculate profit margins and produce a cash flow forecast, each using a digital spreadsheet, and explain a cost savings measure with a summary of financial effectiveness and suggestions for improvement. There are no prescribed assessment methods. Internally assessed by the centre through one centre-devised summative task that follows Agored Cymru's Summative Assessment Package, moderated by Agored Cymru. 20 GLH, 2 credits. Graded Pass or Fail.
- Level 1 (Unit ID CDS035, Unit Code AA41CY001): Four learning outcomes with 8 assessment criteria: define the same six finance terms; identify at least two funding sources and state at least two purposes of raising money; outline at least two ways to reduce costs and how cost-savings help a business stay successful; then, in a scenario, produce a basic profit and loss account, calculate profit margins and produce a basic cash flow forecast. The criteria do not name a spreadsheet, but learners must have access to spreadsheet software. There are no prescribed assessment methods. Internally assessed by the centre under the Summative Assessment Package and moderated by Agored Cymru. 20 GLH, 2 credits. Graded Pass or Fail.
- Entry Level (Entry 3 CDS036, AA4E3CY001; Entry 2 CDS037, AA4E2CY001; Entry 1 CDS038, AA4E1CY001): Entry 3 has 8 assessment criteria: outline profit, loss, income and expenditure, identify funding sources, name reasons a business needs money, list and outline ways to save money, then participate in producing a basic profit and loss account and in calculating profit. Entry 2 (4 criteria) and Entry 1 (3 criteria) identify ways businesses get money, give examples of ways to save money and participate in a budgeting activity, with Entry 2 also giving a reason a business needs money. There are no prescribed assessment methods, and learners must have access to spreadsheet software at every level. Internally assessed by the centre under the Summative Assessment Package and moderated by Agored Cymru. 20 GLH, 2 credits at each level. Graded Pass or Fail.
Skills that use Data and information literacy
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Building a profit and loss account in a spreadsheet
Level 2 learners produce a profit and loss account using a digital spreadsheet in a scenario, Level 1 learners produce a basic profit and loss account, and Entry 3 learners participate in producing one. The digital spreadsheet is required by the Level 2 criterion, so this is assessed. Learners enter income and expenditure, and use formulae for gross profit and net profit.
DCF: Data and information literacy, Problem-solving and modelling
Getting pupils ready
- Year 7
- Pupils enter the takings and costs of a class bake sale into a spreadsheet and use SUM to total each column.
- Year 8
- Pupils set up a spreadsheet for a school tuck shop with sales, cost of stock and other costs, and use formulae to work out gross profit and net profit.
- Year 9
- Pupils build a profit and loss account for a small business from a case study, label each line correctly and check that the formulae update when a cost changes.
Show the specification wording and the DCF statements
Where it is in the specification: Level 2, AC 4.1, page 82; Level 1, AC 4.1, page 85; Entry 3, AC 4.1, page 87; Assessor and Resource Requirements, page 83
“Produce a profit and loss account, using a digital spreadsheet.”
Progression step 3
I can construct, refine and interrogate data sets within tables, charts, spreadsheets and databases to test or support an investigation.
I can use a range of spreadsheet formulae, e.g. + - / x, sum, average, max, min.
Progression step 4
I can create a data capture form, capture data, search data and create a database and spreadsheet with appropriate data input method.
I can create a simple model or self-contained algorithm.
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Calculating profit margins with spreadsheet formulae
Level 2 learners calculate profit margins using a digital spreadsheet, and Level 1 learners calculate profit margins. Learners write formulae that divide profit by sales and format the result as a percentage. The spreadsheet is required by the Level 2 criterion.
DCF: Data and information literacy, Problem-solving and modelling
Getting pupils ready
- Year 7
- Pupils use a spreadsheet formula to subtract the cost of a cake from its selling price for five different cakes.
- Year 8
- Pupils write a formula that divides profit by sales for each product in a tuck shop spreadsheet and format the answers as percentages.
- Year 9
- Pupils compare the profit margins of three products in a spreadsheet, sort them from highest to lowest and say which product the business should promote.
Show the specification wording and the DCF statements
Where it is in the specification: Level 2, AC 4.2, page 82; Level 1, AC 4.2, page 85
“Calculate profit margins, using a digital spreadsheet.”
Progression step 3
I can use a range of spreadsheet formulae, e.g. + - / x, sum, average, max, min.
I can construct, refine and interrogate data sets within tables, charts, spreadsheets and databases to test or support an investigation.
Progression step 4
I can perform analysis on simple data sets including grouping data as appropriate.
I can create a simple model or self-contained algorithm.
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Producing a cash flow forecast in a spreadsheet
Level 2 learners produce a cash flow forecast using a digital spreadsheet, and Level 1 learners produce a basic cash flow forecast. A forecast needs month by month cash in, cash out, net cash flow and opening and closing balances, which suits a spreadsheet model. The spreadsheet is required by the Level 2 criterion.
DCF: Data and information literacy, Problem-solving and modelling
Getting pupils ready
- Year 7
- Pupils fill in a ready-made spreadsheet with money in and money out for four weeks of pocket money and read the balance at the end of each week.
- Year 8
- Pupils build a three month cash flow table for a school stall with formulae for net cash flow and closing balance, where each closing balance becomes the next opening balance.
- Year 9
- Pupils model a six month cash flow forecast for a small business, change one month's sales to test what happens, and identify the month when the business would run short of cash.
Show the specification wording and the DCF statements
Where it is in the specification: Level 2, AC 4.3, page 82; Level 1, AC 4.3, page 85
“Produce a cash flow forecast, using a digital spreadsheet.”
Progression step 3
I can construct, refine and interrogate data sets within tables, charts, spreadsheets and databases to test or support an investigation.
I can use a range of spreadsheet formulae, e.g. + - / x, sum, average, max, min.
Progression step 4
I can create a simple model or self-contained algorithm.
I can create a data capture form, capture data, search data and create a database and spreadsheet with appropriate data input method.
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Using spreadsheet software in an Entry Level budgeting activity
Entry 3 learners participate in producing a basic profit and loss account and in calculating profit, and Entry 2 and Entry 1 learners participate in a budgeting activity. Learners at every level must have access to spreadsheet software, but the Entry Level criteria do not say the activity has to be digital, so spreadsheet use here is taught, not assessed.
DCF: Data and information literacy, Sourcing, searching and planning digital content
Getting pupils ready
- Year 7
- Pupils type a price list for a class party into a spreadsheet table and check the total against a £20 budget.
- Year 8
- Pupils plan a budget for a school club in a spreadsheet, deciding on the columns first, then entering items, costs and the money left.
- Year 9
- Pupils plan and build a budget template in a spreadsheet for a class enterprise that others in the group can fill in.
Show the specification wording and the DCF statements
Where it is in the specification: Entry 3, AC 4.1 and 4.2, page 87; Entry 2, AC 3.1, page 88; Entry 1, AC 3.1, page 90; Assessor and Resource Requirements, pages 87, 89 and 91
“Learners must have access to computer software that enables them to complete a digital spreadsheet”
Progression step 3
I can construct, refine and interrogate data sets within tables, charts, spreadsheets and databases to test or support an investigation.
I can independently create and plan work before beginning a digital task.
Progression step 4
I can create a data capture form, capture data, search data and create a database and spreadsheet with appropriate data input method.
I can select and effectively use a variety of planning techniques.
Good to know
- Spreadsheet software is a required resource at every level: "Learners must have access to computer software that enables them to complete a digital spreadsheet" (Assessor and Resource Requirements, pages 83, 85, 87, 89 and 91).
- Only the Level 2 criteria name the spreadsheet, for example "Produce a cash flow forecast, using a digital spreadsheet." (Level 2, AC 4.3, page 82). The Level 1 criterion is only "Produce a basic cash flow forecast." (Level 1, AC 4.3, page 85).
- The practical criteria are set in a scenario, not a real enterprise: "Learners should use a scenario that enables them to show these assessment criteria." (Level 2 and Level 1 amplification, pages 82 and 85).
- There is no set evidence format: "There are no prescribed assessment methods for this unit." (Prescribed Assessment Methods, page 83).
- The assessment is short: "20 GLH incorporates assessment time of no more than 60 minutes." (Appendix A, page 106). At Level 2 the three spreadsheets and the written criteria all have to fit inside that hour, although learners may use more than one sitting.
- AI is banned in the summative task: "AI tools must not be used at all." (Appendix A, page 106).
- The task is done once, under supervision, with no redrafting: "All assessment production must be completed under direct supervision" and "Drafting and redrafting are not permitted in this summative task." (Appendix A, page 106).
- Learners prepare their own notes: "Learners must produce their own reference materials, in preparation for completing their summative assessment." (Appendix A, page 106).
- Digital submission is allowed: permitted evidence includes "Digital (or written) documents" and "E-portfolio, through online submission" (Appendix A, page 106).
- Agored Cymru has an exemplar for this unit, and the exemplars "are constructed using Microsoft Word" (Section Five, page 98).
- There are no second chances on a submission: "There are no resubmission opportunities available for these qualifications." (Section Five, page 99).
- Only one level counts: "multiple levels of the same unit title are not permitted" when aggregating units (Section Two, page 9).
Links with other qualifications
The WJEC Skills for Work unit Business Finance is also 20 hours but requires a real enterprise activity, centres on budgets and records of income and costs, and leaves spreadsheets, cash flow and break-even to guidance rather than the criteria. The Pearson unit is 10 hours and centres on income, costs, budgets and a simple financial plan, with no spreadsheet requirement. The Agored Cymru unit uses a scenario instead of an enterprise activity, goes further on funding, investment and strategic financial planning, and is the only one of the three whose criteria name a digital spreadsheet, for the Level 2 profit and loss account, profit margins and cash flow forecast. Agored Cymru's own mapping lists Digital Competence as a cross curricular skill for the unit, through "the use of digital tools for practical or project activity" and responsible use of online platforms for finance (page 92). The spreadsheet work links to the Agored Cymru Skills for Work unit Using IT in the Workplace and to GCSE Digital Technology, and the finance content to the Skills for Work units Enterprise Venture and Sustainable Economic Development, the Skills for Life unit Financial Literacy, and GCSE Business. None of these other Agored Cymru units is printed in this specification.
Source: Agored Cymru The Skills Suite: Skills for Life and Work Specification, version 1.0, October 2026, Business Finance.