Lesson Notes By Weeks and Term - Senior Secondary 1

Term: 1^st Term

Week: 7

Class: Senior Secondary School 1

Age: 15 years

Duration: 40 minutes of 2 periods each

Date:       

Subject:      Financial accounting

Topic:-       Source documents and subsidiary books

SPECIFIC OBJECTIVES: At the end of the lesson, pupils should be able to

1. Mention the two books of account
2. Mention and explain source documents

INSTRUCTIONAL TECHNIQUES: Identification, explanation, questions and answers, demonstration, videos from source

INSTRUCTIONAL MATERIALS: Videos, loud speaker, textbook, pictures

INSTRUCTIONAL PROCEDURES

PERIOD 1-2

NOTE

SOURCE DOCUMENTS AND SUBSIDIARY BOOKS

There are two books of accounts:

1. Principal books.
2. Subsidiary books

It should be noted that the two books are very necessary in the in the

recording of financial transactions. All transactions must pass through the

books of account. The principal book will be explained later but the

subsidiary book will be explained below.

SOURCE DOCUMENTS

All entries in the book must be supported by documentary evidence.

Therefore, the source documents provide detail information for the

preparation of the books.

The documents are:

1. Invoice
2. Credit note
3. Debit note
4. Petty cash voucher
5. Statement of account
6. Receipts

1) INVOICE The invoice set out the full details of goods sent by the

suppliers to the buyer stating the quantity, price, discount given and terms

of payment.

2) CREDIT NOTE This is the document sent by the seller to the consumer

for reduction in the amount owed by him. It arises because some goods are

damaged and are not supplied as ordered. There has been an over charge

on some goods returned. To avoid confusion it must be printed in red. It

can be viewed from two perspectives:

a. Credit note received from suppliers if the credit note relate to goods

returned to the suppliers, it will be entered in the return outwards book and

then be debited to the suppliers account.

b. Credit note issued to customers This will be posted to the

returns inwards book and then credited to the customer’s account.

3) DEBIT NOTE This is the document sent by the seller to the buyer to

correct an under charge when the goods are not charge on the invoice. The

buyer can also use it to claim an over charge or for an item return to a

seller. Debit note is sent to customer to increase their indebtedness.

4) PETTY CASH VOUCHER(S) This covers payment credited to the petty

cash book.

5) STATEMENT OF ACCOUNTS This is a document sent by the seller to

the buyer at regular intervals, usually showing credit and debit to the

account and the balance due.

EVALUATION:    1. Mention the two books of account

2. Mention and explain four source documents

CLASSWORK: As in evaluation

CONCLUSION: The teacher commends the students positively