Lesson Plan for Senior Secondary 2 - Financial Accounting - Manufacturing Account I

### Lesson Plan: Financial Accounting for Senior Secondary 2 #### Topic: Manufacturing Account #### Duration: - 90 minutes --- ### Objectives: By the end of the lesson, students should be able to: 1. Understand the purpose and components of a manufacturing account. 2. Differentiate between manufacturing and trading accounts. 3. Identify and classify various costs involved in the manufacturing process. 4. Prepare a basic manufacturing account from given data. --- ### Materials Needed: - Whiteboard and markers - Projector and laptop for presentation (optional) - Handouts with sample data and blank manufacturing account forms - Calculators - Notebook and pens for students --- ### Lesson Outline: #### Introduction (10 minutes) 1. **Welcome and Attendance Check** (2 minutes) 2. **Introduction to Topic:** - Engage students with a brief discussion on manufacturing businesses versus trading businesses. - Explain how manufacturing businesses need additional accounting records like the manufacturing account. #### Lesson Development (40 minutes) 1. **Concept Explanation** (15 minutes) - Define a manufacturing account and its purpose. - Differentiate between manufacturing and trading accounts. - Highlight the importance of the manufacturing account in showing the cost of production. 2. **Components of a Manufacturing Account** (15 minutes) - Direct Materials: Raw materials used in production. - Direct Labor: Wages for workers directly involved in production. - Direct Expenses: Costs directly tied to manufacturing. - Prime Cost: Sum of direct materials, labor, and expenses. - Factory Overheads: Indirect costs such as utilities and maintenance. - Work in Progress: Partially completed goods. - Cost of Production: Prime cost plus factory overheads, adjusted for opening and closing work in progress. 3. **Example Workthrough** (10 minutes) - Use a sample dataset to illustrate the preparation of a manufacturing account. - Write down the steps on the whiteboard. - Ensure students understand each entry and calculations involved. #### Guided Practice (20 minutes) 1. **Hands-On Activity:** - Distribute handouts with sample data for a small manufacturing firm. - Guide the class step-by-step to prepare the manufacturing account. - Encourage students to ask questions and clarify any doubts while filling out their forms. - Circulate the room to provide one-on-one assistance if needed. #### Summary and Assessment (15 minutes) 1. **Recap of Key Points:** - Summarize the main elements of a manufacturing account. - Reinforce the differences between manufacturing and trading accounts. 2. **Q&A Session:** - Open the floor for any questions or discussions. 3. **Short Quiz/Worksheet:** - Conduct a quick assessment through a short quiz or worksheet. - Questions should include classification of costs, the structure of a manufacturing account, and preparation from given data. #### Conclusion (5 minutes) 1. **Review and Closing Remarks:** - Highlight the importance of accuracy and understanding in preparing financial statements. - Give a brief overview of the next topic to be covered in the subsequent class. 2. **Homework Assignment:** - Assign a case study where students need to prepare a manufacturing account from a more complex dataset. - Encourage students to review their class notes and textbook readings. #### Reflection (Optional for Instructor): 1. Consider aspects that worked well and areas for improvement. 2. Note student engagement and understanding throughout the lesson. --- ### Additional Notes: - Always be ready to adapt or extend the lesson based on the pace of the students. - Ensure a supportive and inclusive environment for all students to participate and engage. --- By following this structured lesson plan, students should gain a comprehensive understanding of manufacturing accounts and their role in financial accounting.