Financial Accounting Scheme of Work for SS1 Second Term
SCHEME OF WORK
Week One: Revision
Week Two: Discounts
Week Three: Three Column Cash Book
Week Four: Petty Cash Book
Week Five: Posting Subsidiary books into ledgers
Week Six: Trial Balance
Week Seven: Trading Account
Week Eight: Profit and Loss Account
Week Nine: Balance Sheet
Week Ten: Bank Reconciliation Statement
Week Eleven: Revision
Week Twelve: Examination
Below are the 2022 complete SS1 Financial Accounting Second Term Lesson Note
Financial Accounting Lesson Note SS1 Second Term
Week One: Revision
This week, we would be doing a revision of all that we learned in the previous term.
Week Two: Discounts
INTRODUCTION:
Discounts are allowances or concessions in price. Discounts can also be seen as deductions from the face amount of invoices which are typically made in advance of the actual payments. The opposite of discount is premium, and it is given to customers with the intention of inducing or luring them to place orders and pay later. Please bear in mind that discounts can refer to deductions in price. The seller deducts the discount from the gross or total price, and the buyer is supposed to pay the net amount.
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Week Three: Three Column Cash Book
INTRODUCTION:
A Three Column Cash Book is one in which there are three columns on each side (i.e., debit and credit side). The first column is used for recording cash transactions, the second is for recording bank transactions and third is used to record discount received and paid. When a trader keeps a bank account it becomes necessary to record the amounts deposited into bank and withdrawals from it. Fir this purpose one additional column is added on each side of the cash book. One of the main advantages of the Three Column Cash Book is that it is very helpful to businessmen and women since it reveals the cash and bank deposits at a glance. To learn more, click here.
Week Four: Petty Cash Book
INTRODUCTION:
A petty cash book is used for recording and tracking small purchases such as parking meter fees that aren’t suitable for check or credit card payments. It is a ledger kept with the petty cash fund to record amounts that are added to or subtracted from its balance. Petty cash should be part of an overall business accounting system that documents how your business moves funds between one account and another and how it spends its money. To learn more, click here.
Week Five: Posting Subsidiary books into ledgers
INTRODUCTION:
After journal entries are made, the next step in the accounting cycle is to post the journal entries into the ledger. Posting refers to the process of transferring entries in the journal into the accounts in the ledger. And posting to the ledger is the classifying phase of accounting. An Accounting Ledger refers to a book that consists of all accounts used by the company, the debits and credits under each account, and the resulting balances. Note that while the journal is referred to as Books of Original Entry, the ledger is known as Books of Final Entry. To learn more, click here.
Week Six: Trial Balance
INTRODUCTION:
Trial Balance is a list of closing balances of ledger accounts on a certain date and is the first step towards the preparation of financial statements. It is usually prepared at the end of an accounting period to assist in the drafting of financial statements. Ledger balances are segregated into debit balances and credit balances. Asset and expense accounts appear on the debit side of the trial balance whereas liabilities, capital and income accounts appear on the credit side. If all accounting entries are recorded correctly and all the ledger balances are accurately extracted, the total of all debit balances appearing in the trial balance must equal to the sum of all credit balances.To learn more, click here.
Week Seven: Trading Account
INTRODUCTION:
Trading account is one of the financial account prepared to show the gross profit for the period under review, since it contains the result of business over a period of time. It examines the difference between the sales and the cost of goods sold,it is a revelation account which follows the principle of double entry.
On the debit side of a trading account,stocks at the beginning of trading is added with goods purchased and less return outward and then deduct closing stock of goods,the cost of goods sold will be arrived at.i.e opening stock+purchases-return outward-closing stock=cost of goods sold. To learn more, click here.
Week Eight: Profit and Loss Account
INTRODUCTION:
The profit and loss account is the account that shows the net profit or net loss of an organization. Income or gains are credited while expenses are debited . The profit or loss will be taken to the capital account. It can also be defined as a financial statement that summarizes the revenues, costs and expenses incurred during a specific period of time, usually a fiscal quarter or year. These records provide information about a company’s ability – or lack thereof – to generate profit by increasing revenue, reducing costs, or both. The P&L statement is also referred to as “statement of profit and loss”, “income statement,” “statement of operations,” “statement of financial results,” and “income and expense statement.” To learn more, click here.
Week Nine: Balance Sheet
INTRODUCTION:
What is a Balance Sheet?
A Balance sheet is a statement drawn up at the end of the each financial year, which sets forth the various liabilities and capital of an organization in a arranged form. Balance sheet is not part of the entry; therefore, there is no debit or credit side.
Nature of the Balance Sheet
It is drawn on a certain date and is not an account, it is divided into two part showing on the left liabilities and on the right side is current and fixed asset, it is headed balance sheet as at 31st December 2000. To learn more, click here.
Week Ten: Bank Reconciliation Statement
Week Eleven: Revision
This week, we would be doing a revision of all that we learned during the term.
Week Twelve: Examination
Afterwards, we would write an examination, which would test our knowledge of what has been taught so far.
