INTRODUCTION TO FINANCIAL ACCOUNTING (ACCT 111)

Introduction to the class
Business transactions and documentation

1. Describe the business transactions (CK1)
2. Outline the purpose and content of a range of business documents (CK1)

Assets, liabilities, and the accounting equation

1. Apply the accounting equation (CK1)
2. Explain how the accounting equation relates to the double-entry bookkeeping system (CK1)

Assets, liabilities, and the accounting equation (Cont.)

1. Define the elements of financial statements (CK1, CC1)
2. Identify the content of a statement of financial position and statement of comprehensive income (CK1, CC1)

Recording, summarising, and posting transactions

1. Outline the purpose of the book of prime entry (CC1)
2. Explain how transactions are entered in the books of prime entry (CC1)

Recording, summarising, and posting transactions (Cont.)

1. Record applicable transactions within the cashbook (CC1)
2. Prepare the total, balance, and cross-cast the cash book (CC1)

Ledger accounts and double-entry

1. Process financial transactions from the book of prime entry into the double-entry bookkeeping system (CC1)

Ledger accounts and double entry (Cont.)

1. Balance and close off the ledger account (CC1)
2. Record the transactions and the impact on the sale tax ledger account (CC1)

Lecture
Discussion
Spreadsheet
Reading: Chapter 4

Completing ledger accounts and financial statements

1. Prepare ledger balances, clearly showing the balances carried down and brought down as appropriate (CC1)

Completing ledger accounts and financial statements (Cont.)

1. Extract an initial trial balance (CCIT1)

Manual and computerized systems

1. Outline the tools and techniques used to process accounting transactions and period-end routines and consider how errors are identified and dealt with (CC2)
2. Describe the accounting documents and management reports produced by computerised accounting systems (CK1)

Correction of errors

1. Prepare the journal entries directly from transactions, books of prime entry as applicable or to correct errors (CC1)
2. Record journal entries in the ledger accounts (CC1)

Correction of errors (Cont.)

1. Identify the types of error in a bookkeeping system (CC2)
2. Identify when a suspense account is required and clear the suspense account using a journal (CC2)

Receiving and checking money

1. Describe a range of business transactions including receipts (CK1)
2. Prepare receivables control account or receivable ledgers (CC2)

Banking monies received

1. Describe how bank clearing system works (CC1)
2. Outline the processing and security procedures relating to the use of cash,cheques, credit cards, debit cards for receipts and payments (CC1

Recording monies received

1. Process financial transactions from the book of prime entry into the double-entry bookkeeping system (CC1)

Recording monies received

1. Outline the processing and security procedures relating to the use of cash, cheques, and credit cards, debit cards for receipts and payments (CC1)

Lecture
Discussion
Kahoot
Reading: Chapter 10

Authorisation and making payments

1. Describe a range of business transactions including payments (CC1)
2. Identify the different forms of payment (CC1)

Recoding payments

1. Prepare payables control account or payable ledger by accounting for payments to suppliers  (CC2)

Maintaining petty cash records

1. Balance off the petty cash book using imprest and non-imprest systems (CC1)
2. Prepare and account for petty cash reimbursement (CC1)

Bank reconciliations

1. Identify the cash book discrepancies (CC2)

Bank reconciliations (Cont.)

1. Reconcile a bank statement with the cash book (CC2)

Sales and sale returns day books

1. Return sales transactions and account for various types of discount including the sale tax effect (CC1)
2. Prepare the financial documents to be sent to credit customers (CC1)

The receivables ledger

1. Describe the purpose of aged receivable analysis (CC1)
2. Prepare the financial documents to be sent to credit customers (CC1)

Purchases and purchase returns day books

1. Record purchase transactions taking into account the impact on the sale tax ledger (CC1)
2. Enter supplier invoice and credit notes into applicable books of prime entry. (CC1)

The payables ledger

1. Produce statements of accounts to be sent to credit customers (CC1)
2. Prepare payables control account or payable ledger by accounting for payments to suppliers (CC2)

Control accounts

1. Describe the purpose of control accounts (CC2)
2. Explain why it is important to reconcile the control accounts regularly (CC2)

Control accounts (Cont.)

1. Reconcile the balance on the control accounts with the list of balances (CC2)

Recording payroll transactions

1. Prepare the journal entries in the general ledger to process the payroll transactions (CC1)
2. Identify the different payment methods in a payroll system (CC1)