INTRODUCTION TO ACCOUNTING?
The nature and purpose of accounting
Objectives of accounting
Users of accounting information and their respective needs
The accounting equation
Regulatory framework of accounting (regulatory bodies such as ICPAK, IFAC,
IASB, IPSASB, IAESB)
Accounting standards (IASs/IFRSs) (importance and limitations)
Professional ethics
Accounting concepts/principles
Qualities of useful accounting information
Users of accounting information and their respective needs
The accounting equation
Regulatory framework of accounting (regulatory bodies such as ICPAK, IFAC, IASB, IPSASB, IAESB)
Accounting standards (IASs/IFRSs) (importance and limitations)
Professional ethics
Accounting concepts/principles
Qualities of useful accounting information
RECORDING TRANSACTIONS?
Source documents: quotations, purchase orders, statement of account,
remittance advice, receipts, petty cash vouchers, sales and purchase invoice,
credit notes and debit notes, bank statements
Books of original entry: sales journal, purchases journal, returns inwards journal,
returns outward journal, cash book, petty cash book and general journal
Double entry and the ledger; use of T- accounts and double entry aspects (debit
and credit), sales ledger and purchases ledger
The trial balance
Computerised accounting systems - role of computers, application and
accounting softwares in the accounting process, benefits and challenges of
operating computerised accounting systems
Source documents: quotations, purchase orders, statement of account, remittance advice, receipts, petty cash vouchers, sales and purchase invoice, credit notes and debit notes, bank statements
Books of original entry: sales journal, purchases journal, returns inwards journal, returns outward journal, cash book, petty cash book and general journal
Double entry and the ledger; use of T- accounts and double entry aspects (debit and credit), sales ledger and purchases ledger
The trial balance
Computerised accounting systems – role of computers, application and accounting softwares in the accounting process, benefits and challenges of operating computerised accounting systems
ACCOUNTING FOR ASSETS AND LIABILITIES?
Assets
Property, plant and equipment – recognition, capital and revenue
expenditure, measurement (depreciation and revaluation), disposal and
disclosures, property, plant and equipment schedule
Intangible assets – recognition, measurement (amortisation, impairment
and revaluation), disposals and disclosures
Financial assets – examples and risks only
Inventory – recognition, measurement and valuation using specific cost
method, FIFO and weighted average cost only
Trade receivables – bad debts and allowance for doubtful debts and
receivables control accounts
Accrued income and prepaid expenses
Cash at bank – cash book and bank reconciliation statement
Cash in hand – cash book and petty cash books
Liabilities
Bank overdraft – cash book and bank reconciliation statement
Trade payables – control accounts
Loans – accounting treatment of repayment of principal and interest
Prepaid incomes and accrued expenses
Property, plant and equipment – recognition, capital and revenue expenditure, measurement (depreciation and revaluation), disposal and disclosures, property, plant and equipment schedule
Intangible assets – recognition, measurement (amortisation, impairment and revaluation), disposals and disclosures
Financial assets – examples and risks only
Inventory – recognition, measurement and valuation using specific cost method, FIFO and weighted average cost only
Trade receivables – bad debts and allowance for doubtful debts and receivables control accounts
Accrued income and prepaid expenses
Cash at bank – cash book and bank reconciliation statement
Cash in hand – cash book and petty cash books
Bank overdraft – cash book and bank reconciliation statement
Trade payables – control accounts
Loans – accounting treatment of repayment of principal and interest
Prepaid incomes and accrued expenses
CORRECTION OF ERRORS AND SUSPENSE ACCOUNT
Correction of Errors and Suspense account
FINANCIAL STATEMENTS OF A SOLE TRADER?
Income statement
Statement of financial position
Income statement
Statement of financial position
FINANCIAL STATEMENTS OF A PARTNERSHIP?
Partnership agreement
Introduction to partnership accounts
Distinction between current and fixed capital
Income statement
Statement of financial position
Changes in partnership – admission of a new partner, retirement, death and
change in profit sharing ratio
Partnership agreement
Introduction to partnership accounts
Distinction between current and fixed capital
Income statement
Statement of financial position
Changes in partnership – admission of a new partner, retirement, death and change in profit sharing ratio
FINANCIAL STATEMENTS OF A COMPANY?
Types of share capital – ordinary shares and preference shares
Issue of shares (exclude issue by instalment and forfeiture)
Types of reserves – share premium, revaluation reserve, general reserves and
retained profits
Income tax - accounting treatment and presentation (exclude computation)
Financial statements – income statement and statement of financial position
Published financial statements (describe a complete set of published financial
statements but not preparation)
Types of share capital – ordinary shares and preference shares
Issue of shares (exclude issue by instalment and forfeiture)
Types of reserves – share premium, revaluation reserve, general reserves and retained profits
Income tax – accounting treatment and presentation (exclude computation)
Financial statements – income statement and statement of financial position
Published financial statements (describe a complete set of published financial statements but not preparation)
FINANCIAL STATEMENTS OF A MANUFACTURING ENTITY?
Features of a manufacturing entity
Classification and apportioning costs between manufacturing, selling and
administration
Financial statements – manufacturing account, income statement and statement
of financial position
Features of a manufacturing entity
Classification and apportioning costs between manufacturing, selling and administration
Financial statements – manufacturing account, income statement and statement of financial position
ACCOUNTS FROM INCOMPLETE RECORDS?
Features
Types of incomplete records(pure single entry, simple single entry, quasi single
entry)
Ascertainment of profit by capital comparison
Preparation of statement of affairs and profit determination
Techniques of obtaining complete accounting information
Features
Types of incomplete records(pure single entry, simple single entry, quasi single entry)
Ascertainment of profit by capital comparison
Preparation of statement of affairs and profit determination
Techniques of obtaining complete accounting information
FINANCIAL STATEMENTS OF A NOT FOR PROFIT ORGANISATION?
Distinction between not for profit making organisation and profit making organisation
Nature of receipts and payments account
Accounting treatment of some special items
Income and expenditure account
Statement of financial position
Distinction between not for profit making organisation and profit making organisation
Nature of receipts and payments account
Accounting treatment of some special items
Income and expenditure account
Statement of financial position
ANALYSING FINANCIAL STATEMENTS?
Statement of cash flows (categories of cash, methods of preparing statement of
cash flows and the importance)
Financial ratios – definition, categories, analysis and interpretation, application and limitations
Statement of cash flows (categories of cash, methods of preparing statement of cash flows and the importance)
Financial ratios – definition, categories, analysis and interpretation, application and limitations
INTRODUCTION TO PUBLIC SECTOR ACCOUNTING?
Features of public sector entities (as compared to private sector)
Structure of the public sector (National and county governments, state
corporations and other agencies)
Regulatory structures and oversight [IPSASB, PSASB (establishment, mandate
and functions), Director of Accounting Services, National Treasury, Parliamentary
Committees, Accounting Officers at national and county levels]
Objectives of public sector financial statements
Objectives of IPSAS
Accounting techniques in public sector (budgeting, cash, accrual, commitment
and fund) (Preparation of financial statements excluded)
Features of public sector entities (as compared to private sector)
Structure of the public sector (National and county governments, state corporations and other agencies)
Regulatory structures and oversight [IPSASB, PSASB (establishment, mandate and functions), Director of Accounting Services, National Treasury, Parliamentary Committees, Accounting Officers at national and county levels]
Objectives of public sector financial statements
Objectives of IPSAS
Accounting techniques in public sector (budgeting, cash, accrual, commitment and fund) (Preparation of financial statements excluded)
EMERGING ISSUES AND TRENDS