Lesson Notes By Weeks and Term - Senior Secondary 1

Control account

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Term: 3rd Term

Week: 5

Class: Senior Secondary School 1

Age: 15 years

Duration: 40 minutes of 2 periods each

Date:       

Subject:      Financial accounting

Topic:-       Control account

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

  1. Define control account
  2. State the features of control account
  3. State the uses of control account
  4. List types of control account

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

INSTRUCTIONAL MATERIALS: Videos, loud speaker, textbook, pictures

INSTRUCTIONAL PROCEDURES

PERIOD 1-2

PRESENTATION

TEACHER’S ACTIVITY

STUDENT’S ACTIVITY

STEP 1

INTRODUCTION

The teacher reviews the previous lesson on exercises on balance sheet

Students pay attention

STEP 2

EXPLANATION

She defines control account and states its features

 

Students pay attention and participates

STEP 3

DEMONSTRATION

She further outlines the types and uses of control account

Students pay attention and participate

STEP 4

NOTE TAKING

The teacher writes a summarized note on the board

The students copy the note in their books

 

NOTE

CONTROL ACCOUNT

Control account is an account which contains the debit and credit totals of other accounts, and is used to prepare financial statements. It is also known as Total or controlling account.

 

USES OF CONTROL ACCOUNT

  1. Control account can be used to determine value of credit sales.
  2. Control account can be used to determine value of credit purchases.
  3. Control account can be used to determine debtors balance.
  4. Control account can be used to ascertain creditors balance.
  5. Control account can be used to detect missing figures.

 

TYPES OF CONTROL ACCOUNT

There are two common types of control account;

  1. Sales ledger or Debtors Ledger Control Account.
  2. Purchases Ledger or Creditors Ledger Control Account.

 

SALES LEDGER OR DEBTORS LEDGER CONTROL ACCOUNT

Debtors ledger control account shows the total amount owed by all the individual debtors of a business.

 

FORMAT OF DEBTORS LEDGER CONTROL ACCOUNT

 

#

 

#

Opening debtors/Balance b/f

x

Cheque from debtors/ customers

x

Sales day book/ credit sales

x

Cash from debtors/customers

x

Dishonoured cheque

x

Sales returns/ Returns inwards

x

Discount disallowed

x

Discount allowed

x

Interest overcharge/ overdue

x

Bad debt written off

x

Refund to customers

x

Bills receivable

x

Carriage outwards

x

Contra entry/ control settlement

x

Debit note issued

x

Promissory note

x

Bad debt recovered

x

Credit note issued

x

 

 

 

Closing debtors/ Balance c/d

x

 

xx

 

xx

 

 

 

 

 

 

 

 

ILLUSTRATION:

The following information were extracted from the ledgers of Musa Shehu ltd. for the month of January,1986

 

Prepare for the month of January 1986:

 

SOLUTION

MUSA SHEHU LTD

Debtors Ledger Control Account.

 

EVALUATION : 1. What is control account?

  1. State 3 features of control account.
  2. State 4 uses of control account.
  3. List two types of control account
  1. List four items and the source from which they are transferred into each of the following accounts;

                             (a)Sales Ledger Control Account.

                             (b)Purchases Ledger Control Account.

CLASSWORK: As in evaluation

CONCLUSION: The teacher commends the students positively