AAT L2 Study Guide 2026

Essential supplier setup information includes the business name, address, contact details, payment terms, default nominal code (to categorise purchases), and VAT registration status. This ensures transactions are recorded correctly and the supplier can be paid.

Generally, employees need at least two years of continuous service to claim ordinary unfair dismissal. However, some dismissals are automatically unfair from day one (e.g., dismissal related to pregnancy, whistleblowing, or asserting a statutory right).

Under the Proceeds of Crime Act 2002 and Money Laundering Regulations, finance professionals must report suspicions to their organisation's MLRO or directly to the NCA. Failing to report (or tipping off the suspect) is itself a criminal offence.

The finance team's salary is an administrative overhead — it supports the general running of the business rather than production or selling activities. Factory depreciation is a production overhead, and delivery wages are a distribution cost.

Professional scepticism involves maintaining a questioning approach, being alert to inconsistencies, and critically assessing evidence. It does not mean being suspicious of everything, but rather being appropriately cautious and thorough in professional work.

Accounting professionals have a duty to act in the public interest, meaning their responsibilities extend beyond satisfying the needs of individual employers or clients to benefiting society more broadly.