AAT L2 Study Guide 2026
Everything you need to pass the AAT L2 exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.
📋 AAT L2 Exam Format at a Glance
📚 AAT L2 Topics to Study (41)
✍️ Sample AAT L2 Questions & Answers
1. Under the UK Money Laundering Regulations, what is a 'suspicious activity report' (SAR)?
A SAR must be submitted to the National Crime Agency (NCA) when a person knows or suspects money laundering activity.
2. When setting up a new supplier in accounting software, which of the following details is essential?
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.
3. Unfair dismissal protection under UK employment law generally requires the employee to have:
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).
4. If a finance professional suspects money laundering, they must:
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.
5. Which of the following is classified as an administrative overhead?
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.
6. Professional scepticism in accounting means:
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.