YEAR 11ACCOUNTING
UNIT:ES2 – Accounting for cash
UNIT OVERVIEW:Students will be able to record transactions in columnar cash journals, post to a ledger, extract a trial balance, complete the bank reconciliation process including both business and bank errors and prepare a simple cash flow statement.
ASSESSMENT:Written and practical exam, supervised conditions, 120 minutes assessing KPP (Knowledge and Procedural Practices)
UNIT DETAILS:
(I Know I’ve got it when I can …)
1 / Explain the functions of specialised journals. / List the five functions of journals.
2 / Define the cash journals. / Name the two cash journals and explain which transactions are entered into each journal.
3 / Explain how the details column usage differs between the cash journals. / Write a paragraph clearly explaining how to use the details column.
4 / Identify the source documents used for preparing cash journals. / List at least 2 source documents for each of the two cash journals.
5 / Record transactions into columnar cash journals. / From a list of cash transactions, independently and accurately prepare the cash receipts and payments journals.
6 / Post columnar cash journals to the ledger and prepare a trial balance. / Independently prepare the ledger and trial balance from two cash journals.
7 / Explain the bank reconciliation process. / Write three paragraphs explaining the purpose of bank reconciliation, the differences in the recording information from different points of view and outline the procedure required to complete the bank reconciliation process.
8 / Explain reasons why the bank’s records and business’s records may differ but still be in agreement. / Explain 6 reasons why the business and bank records vary but are both correct.
9 / Prepare a bank reconciliation including both a bank and business error. / Independently and accurately prepare bank reconciliation statements with increasing degrees of difficulty.
10 / Define a cash flow statement, explain its main purpose and the benefits of preparing this report. / Write a paragraph explaining the cash flow statement, its purpose and benefits.
11 / Classify cash transactions as either inflows or outflows and categorise into operating, investing for financing activities. / Prepare a table of cash transactions, identify inflows and outflows, and sort into activity type.
12 / Prepare a simple cash flow statement from a listing of cash transactions. / Independently and accurately complete a cash flow statement from a ledger account.