Glossary

ACCA Glossary of Key Terms

By The Exam Atlas Editorial Team · Verified 2026-05-29

Plain-English definitions of the terms for ACCA study. Simplified for learning; ACCA’s materials are authoritative.

TermDefinition
ACCAAssociation of Chartered Certified Accountants.
Applied KnowledgeThe foundation level of the ACCA exams.
Applied SkillsThe core technical level.
Strategic ProfessionalThe advanced level (Essentials + Options).
ExemptionSkipping an exam based on prior qualifications.
PERPractical Experience Requirement — 36 months of work.
Ethics moduleThe required Ethics and Professional Skills module.
IFRSInternational Financial Reporting Standards.
Accrual accountingRecognising items when earned/incurred, not when paid.
Financial reportingPreparing financial statements for stakeholders.
Audit and assuranceIndependent examination giving confidence in information.
Management accountingInformation used internally for decisions.
Performance managementUsing information to plan and control performance.
TaxationRules for calculating and paying tax.
Financial managementManaging an organisation’s funding and investment.
Corporate and business lawThe legal framework around business.
SBLStrategic Business Leader exam.
SBRStrategic Business Reporting exam.
ConsolidationCombining group company accounts.
Working capitalCurrent assets minus current liabilities.

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