1

Introduction to

1.1 Meaning of Book Keeping

Book Keeping

-

definition, history, nature, importance and functions

of Book Keeping;

-

career opportunities and beneficiaries of book

keeping;

- qualities and values of book keepers.

1.2

Assets and Liabilities:

-   definition, differences, classification and examples

of Assets and Liabilities.

1.3

Business Transactions:

-  meaning and types of business transactions;

-  parties involved in business transactions.

1.4

Classification of Accounts:

-  personal accounts (debtors and creditors);

-  Impersonal accounts (real and nominal).

1.5

Source Documents:

- definition, identification, types and uses of source

documents.

2.

Concepts and

Definition, identification and the differences between

Conventions

concepts and conventions.

3.

Books of Original Entry

Definition, purpose, types, format, uses and preparation of

Books of Original entry

4

Ledger and Principles of

4.1

Ledger:

Double Entry

- definition, classification, format, uses and preparation

of  ledgers.

4.2  Principles of Double Entry:

-  meaning, history, rules and making double entries.

5.

Cash Book

5.1

Meaning, purpose, description, differences and

preparation of:

-  single column;

- double column;

-  three column;

-  petty cash book.

6.

Bank Reconciliation

- meaning and purpose

Statement

- terminologies and banking documents

- causes of differences between cash book and bank

statement balance

7.

Trial Balance and Errors

- meaning and functions of trial balance;

- rules and preparation of trial balance;

-  meaning, types, classification of errors;

- correction of errors and preparation of Suspense

Account.

8.

Financial Statements of

8.1 Trading Account:

Sole Proprietorship

- definition, purpose, format and preparation of simple

Trading Account;

- methods of valuing stock (FIFO and LIFO).

8.2  Profit and Loss Account:

- definition, purpose, format and preparation of Profit

and Loss Account;

8.3  Balance Sheet:

- meaning, content, format and preparation of a simple

balance sheet.

9.

Adjustments to

9.1  Adjustment for prepayments, accruals, depreciation,

Financial Statements

bad and doubtful debts;

9.2 Meaning and methods of depreciation (straight line and

reducing balance).

10.

Control Accounts

Meaning and preparation of Sales Ledger and Purchases

Ledger Control Accounts.

11.

Single Entry and

Meaning, limitations and preparation of final accounts from

Incomplete Records

incomplete records

12.

Accounts of Not-For-

Purpose, content and preparation of Receipts and

Profit Making

Payments Accounts, Income and Expenditure Account.

organizations

13.

Manufacturing

- meaning, purpose and terminologies;

Accounts

- preparation of Manufacturing, Trading, Profit and Loss

Accounts.

14.

Partnership Accounts

- meaning and terms:

- partnership deed, drawings, interest on capital, interest

on drawings;

- preparation of Capital and Current Accounts, Profit and

Loss and Appropriation Account and Balance Sheet;

- admission of new partners and Goodwill Account.

15.

Joint Venture Accounts

- meaning and purpose;

- differences between joint venture and partnership.

16.

Departmental and

- importance and differences;

Branch Accounts

- preparation of Departmental and simple Branch

Accounts.

17.

Introduction to

- formation and terminologies;

Company Accounts

- preparation of simple financial statements.

18.

Interpretation of

-  Purpose and computation of ratios:

Accounts

- net profit margin;

- stock turnover;

-

quick ratio;

-

acid test ratio;

-

gross profit margin;

- return on capital employed.

19.

Purchase of Business

Reasons, terminologies and preparation of accounts related

to purchase and sale of business.

20.

Consignment Accounts

Terminologies and preparation of simple Consignment

Accounts.

21.

Hire Purchase

Meaning and preparation of accounts in the seller’s and

hirer’s books.

22

Contract Accounts

- meaning, purpose and terminologies;

- preparation of Contract Accounts.

23.

Cooperative Accounts

Meaning and objectives of cooperative societies.

NOTE: Emphasis should be on application

SUGGESTED READING LIST

1.

Business Accounting Vol.1 and 2

F. Wood

2.

Book-keeping and Accounts (ELBS)

Spicer & Peggler

3.

Inroduction to Accouting for Business Studies

F.P. Langley

4.

Accounting I ad II

Jennings

5.

Essential Financial Accounting for Senior Secondary School

O.A Longe and R.A. Kezeem