# Lesson Plan: Partnership Accounts I (Partnership Formation)
## Subject: Financial Accounting
## Grade Level: Senior Secondary 2
## Duration: 80 minutes
### Lesson Objectives:
By the end of this lesson, students will be able to:
1. Understand what a partnership is and how it is formed.
2. Recognize the key features and types of partnerships.
3. Comprehend the procedure and accounting entries for forming a partnership.
4. Define and explain partnership agreements.
### Materials Needed:
- Whiteboard and markers
- Projector and computer for slides (Optional)
- Handouts with exercises and partnership formation scenarios
- Textbooks
- Calculators
### Lesson Structure:
#### 1. Introduction (10 minutes)
- Greet the students and take attendance.
- Briefly review the previous lesson.
- Introduce the day's topic: Partnership Accounts I with a focus on Partnership Formation.
- Motivate students by discussing the importance of understanding partnerships in accounting and business.
#### 2. Direct Instruction (20 minutes)
- **Definition and Characteristics of Partnerships:**
- Define a partnership.
- Characteristics of partnerships: mutual agency, ease of formation, unlimited liability, profit-sharing, etc.
- **Types of Partnerships:**
- General Partnership
- Limited Partnership
- **Formation of Partnership:**
- Elaborate on the necessary steps to form a partnership.
- Discuss the importance of a partnership agreement.
- **Partnership Agreement:**
- Elements of a partnership agreement: capital contributions, profit and loss sharing, salaries, interest on capital, drawings, etc.
- Use visual aids (slides/projector) to illustrate key points.
#### 3. Guided Practice (20 minutes)
- Distribute handouts with examples of partnership formation scenarios.
- Work through a sample problem together, demonstrating how to create journal entries for:
- Contribution of capital by partners.
- Initial setup of partnership books.
- Walk around to provide assistance and clarification.
#### 4. Independent Practice (20 minutes)
- Assign students a different partnership formation scenario to work on individually or in small groups.
- Instruct them to prepare necessary journal entries and set up initial financial statements.
- Ensure students understand each step and correct any mistakes they might make.
#### 5. Group Discussion and Q&A (10 minutes)
- Invite students to discuss their findings and share their solutions with the class.
- Provide feedback and address any misunderstandings.
- Answer any questions the students may have regarding the lesson.
#### 6. Conclusion (10 minutes)
- Summarize the key points covered in today's lesson.
- Emphasize the significance of understanding partnership agreements and accurate journal entries.
- Provide a brief overview of the next lesson: Partnership Accounts II (Profit and Loss Appropriation).
### Homework Assignment:
- Ask students to read the next chapter on Partnership Accounts in their textbooks.
- Provide a worksheet with additional partnership formation exercises for practice.
- Encourage them to think of potential questions or points of confusion to discuss in the next class.
### Assessment:
- Evaluate students based on their participation in guided and independent practice.
- Collect and review the homework assignment to assess their understanding and progress.
### Additional Notes:
- Encourage students to form study groups to discuss partnership accounting concepts.
- Recommend additional resources such as online tutorials or accounting forums for further reading.
By following this lesson plan, students will gain foundational knowledge about the formation and accounting of partnerships, setting them up for future lessons on profit and loss appropriation and other relevant topics.