Financial Accounting Scheme of Work for SS2 Second Term
SCHEME OF WORK
Week One: Revision
Week Two: Partnership Accounts
Week Three: Dissolution of partnership
Week Four: Accounting Ratio
Week Five: Single Entry/Incomplete Records I
Week Six: Single Entry/Incomplete Records II
Week Seven: Accounts of Non-profit making organization
Week Eight: Receipts and Payment Account
Week Nine: Treatment of Subscription Account
Week Ten: Preparation of Income and Expenditure Accounts
Week Eleven: Revision
Week Twelve: Examination
Below are the 2022 complete SS2 Financial Accounting Second Term Lesson Note
Financial Accounting Lesson Note SS2 Second Term
Week One: Revision
This week, we would be doing a revision of all that we learned in the previous term.
Week Two: Partnership Accounts
INTRODUCTION:
A Partnership Account is an account at a brokerage that is typically held by two or more people in which each person is equally liable. The account holders may or may not have a written agreement on the rights and obligations each one has in the partnership account. This is therefore similar to a joint account but is used mainly for business partnerships rather than for married couples who are investing. To learn more, click here.
Week Three: Dissolution of partnership
INTRODUCTION:
Dissolution of Partnership can be defined as the process of putting an end to the partnership business. It can also be referred to as the “winding up” of business or “cessation” of business. It is important to emphasize that the dissolution of partnership results in the complete closure of the business. In other words, the winding up process entails that the book of account will be closed and assets of the business sold while the proceeds from the sales of the asset is distributed to members after all the creditors had been settled. To learn more, click here.
Week Four: Accounting Ratio
INTRODUCTION:
Accounting ratios are part of financial statement analysis which relates one financial statement amount to another. Take for instance- the inventory turnover ratio divides a company’s cost of goods sold for a recent year by the cost of its inventory on hand during that year. For a company with current assets of N300,000 and current liabilities of N150,000, its current ratio will be between N300,000 to N150,000; or 2 to 1, or 2:1. This ratio of 2:1 can then be compared to other companies in its industry regardless of size or it can be compared to the company’s ratio from an earlier year. To learn more, click here.
Week Five: Single Entry/Incomplete Records I
INTRODUCTION:
Single Entry is an incomplete form of recording financial transactions. It is the system which does not record two aspects or accounts of all the financial transactions. The Single Entry or Incomplete Records has no fixed set of rules for recording the financial transactions of the business. Single Entry system records only one aspect of transaction.
As a result, the Single Entry system is not a proper system of recording financial transactions, which fails to present complete information required by the management. The single entry system mainly maintains the cash book and personal accounts of debtors and creditors. Single entry system ignores nominal account and real account except cash account. Hence, it is incomplete form of double entry system, which fails to disclose true profit or loss and financial position of a business organization. To learn more, click here.
Week Six: Single Entry/Incomplete Records II
INTRODUCTION:
When companies keep detailed financial records with a single entry system, the final records are an incomplete accounting. When this occurs, the statement of affairs method can be used to determine profit and loss. In order to complete the statement of affairs method, a statement of affairs for the beginning of the period and a statement of affairs for the end of the period are required. To learn more, click here.
Week Seven: Accounts of Non-profit making organization
INTRODUCTION:
Definition No-profit Organizations
People Join together for a number of reasons in voluntary organization: for mutual entertainment, for protection, or for professional reasons. There are sports clubs, trade unions, consumer societies, political associations, and many more. The degree of richness of any society lies partly in the variety of the voluntary organization it promotes.
Receipts and Payments Account
A receipt and payment account is a summarized cash book (cash and bank) for a given period”. or “This is simply a summary of the cash transactions as in the cash book, analyzed and classified under suitable headings, including the opening and closing balances. To learn more, click here.
Week Eight: Receipts and Payment Account
INTRODUCTION:
Definition of Receipt and Payment Account
Receipt and Payment account is a summary of cash receipts and payments during a specific accounting period; usually a year. It records all cash receipts and cash payments, including capital receipts and revenue receipts irrespective of accounting period. All cash receipts are recorded on debit side or receipts side and all cash payments are recorded on credit or payments side of receipts and payments account. To learn more, click here.
Week Nine: Treatment of Subscription Account
INTRODUCTION:
Introduction to Treatment of Subscription
Subscription is a membership fee paid by the member on annual basis. This is the main source of income of such organizations. Subscription paid by the members is shown as receipt in the Receipt and Payment Account and as income in the Income and Expenditure Account. It may be noted that Receipt and Payment Account shows the total amount of subscription actually received during the year while the amount shown in Income and Expenditure Account is confined to the figure related to the current period only irrespective of the fact whether it has been received or not. To learn more, click here.
Week Ten: Preparation of Income and Expenditure Accounts
INTRODUCTION:
The necessary information needful for preparing an Income and Expenditure Account are mainly found in the cash book entries which are summarized into the Receipts and Payment Account. A scrutiny of the receipts side will show what items are of revenue nature and also relate to the present period. These will appear on the credit side of the Income and Expenditure Account. The items should be increased by outstanding amounts. The outstanding amounts will also appear in the Balance Sheet. To learn more, click here.
Week Eleven: Revision
This week, we would be doing a revision of all that we learned during the term.
Week Twelve: Examination
Afterward, we would write an examination, which would test our knowledge of what has been taught so far.
