Principles of Accounts Syllabus

Objectives — candidates should be able to:

• ✓differentiate between Book Keeping and Accounting
• ✓understand the historical background of Book Keeping and Accounting
• ✓apply the right principles, concepts and conventions to solving Accounting problems
• ✓understand the role of Accounting information in decision making
• ✓identify the types/branches of Accounting such as Cost Accounting, Management Accounting, Auditing, Financial Accounting, Forensic Accounting, Social and Environmental Accounting, Government Accounting and Taxation
• ✓identify the different career opportunities in Book Keeping and Accounting

Objectives — candidates should be able to:

• ✓identify various source documents and their uses
• ✓relate source documents to the various books of original entry
• ✓determine the effect of changes in elements of Accounting equation
• ✓understand the role of double entry principles in treating financial transactions
• ✓extract a trial balance from ledger accounts
• ✓identify various types of errors and their corrections
• ✓correct errors using suspense account

Objectives — candidates should be able to:

• ✓understand the ethics required in preparing and presenting Accounting information
• ✓understand qualities of an Accountant such as honesty, integrity, transparency, accountability and fairness
• ✓understand the purpose and functions of Accounting professional bodies in Nigeria
• ✓understand the purpose and functions of Accounting regulatory bodies in Nigeria e.g. Financial Reporting Council of Nigeria (FRCN), Corporate Affairs Commission (CAC) and International Accounting Standard Board (IASB)

Objectives — candidates should be able to:

• ✓determine the cash float
• ✓differentiate between two and three columnar cash books and how transactions are recorded in them
• ✓differentiate between trade and cash discounts
• ✓examine the effects of trade and cash discounts in the books of accounts
• ✓identify various petty cash expenses

Objectives — candidates should be able to:

• ✓identify various instruments of bank transactions such as cheques, pay-in-slips, credit cards, debit cards, internet banking and their uses
• ✓assess the impact of automated credit system, credit transfers, interbank transfers and direct debit on cash balances
• ✓identify factors that cause discrepancies between cash book balance and bank statement
• ✓determine adjusted cash book balance

Objectives — candidates should be able to:

• ✓determine the cost of sales, gross profit and net profit of a sole trader
• ✓identify non-current assets, current assets, long-term liabilities, current liabilities and proprietor’s capital
• ✓compute adjustable items on the related expenditure and income in the statement of profit or loss
• ✓differentiate between bad debts and provision for bad and doubtful debts

Objectives — candidates should be able to:

• ✓determine the value of materials issued to production department using FIFO, LIFO and simple average
• ✓calculate the closing stock of materials or finished goods using FIFO, LIFO and simple average
• ✓compare the advantages and disadvantages of each method of stock valuation
• ✓determine the effects of stock valuation on elements of income statement

Objectives — candidates should be able to:

• ✓understand the meaning of control accounts
• ✓identify the uses of control accounts in a business enterprise
• ✓differentiate between sales ledger control account and purchases ledger control account
• ✓identify the entries in control accounts

Objectives — candidates should be able to:

• ✓understand and differentiate between incomplete records and single entry
• ✓determine proprietor’s capital using statement of affairs
• ✓determine the amount of sales, purchases, cash balances, debtors, creditors and expenses by converting single entry to double entry
• ✓use accounting equations, gross and net profit percentages to determine cost of sales, gross and net profits

Objectives — candidates should be able to:

• ✓identify the reason for preparing manufacturing account
• ✓calculate prime cost, overhead cost, production cost and total cost
• ✓determine the basis of cost apportionment among production, administration, selling and distribution

Objectives — candidates should be able to:

• ✓distinguish between profit oriented and Not-For-Profit-Making Organizations
• ✓determine annual subscription, subscription in arrears and in advance
• ✓compute the cash balances, accumulated funds, surplus or deficit for the period

Objectives — candidates should be able to:

• ✓identify the reasons for preparing departmental accounts
• ✓determine the expenses and incomes attributable to departments
• ✓compute departmental profit or loss
• ✓understand the Accounting treatment of inter-departmental transfer

Objectives — candidates should be able to:

• ✓understand the reasons for preparing branch accounts
• ✓differentiate between types of branches
• ✓calculate profit or loss from branches
• ✓reconcile the difference between branch and head office accounts

Objectives — candidates should be able to:

• ✓identify the objectives and features of joint venture
• ✓identify the forms of joint venture
• ✓identify the Accounting procedures of joint venture
• ✓determine the profit or loss of joint venture

Objectives — candidates should be able to:

• ✓understand the procedures for the formation of partnership
• ✓identify the accounts maintained for partnership business
• ✓determine the effects of admission and retirement of a partner
• ✓determine profit or loss on revaluation of assets
• ✓determine the partners’ share of profit or loss on dissolution

Objectives — candidates should be able to:

• ✓differentiate between types of companies
• ✓identify the procedures of treating the issue of shares and debentures
• ✓compute the elements of final accounts of companies
• ✓compute and interpret Accounting ratios such as current, acid test and stock turnover

Objectives — candidates should be able to:

• ✓differentiate between public and private sector accounting
• ✓identify the sources of government revenue
• ✓differentiate between capital and recurrent expenditure
• ✓calculate consolidated revenue fund and determine the values of assets and liabilities
• ✓identify the duties of the Accountant General, Auditor General, Minister of Finance and Treasurer of Local Government
• ✓distinguish between elements of control in government accounting procedures e.g. warrant, votes, budget and due process certificate
• ✓understand current trends in public sector Accounting

Objectives — candidates should be able to:

• ✓differentiate between manual and computerized Accounting processing system
• ✓identify the procedures involved in data processing
• ✓identify the digital technologies use in Accounting processing system
• ✓understand the benefits of block chain technology in Accounting system
• ✓identify the services provided by virtual accountants such as book keeping, payroll processing, tax preparation, banks, credit and loan accounts reconciliation, financial statement preparation etc.
• ✓identify the advantages and disadvantages of computerized Accounting processing system