DETAILED LESSON PLAN IN ACCOUNTING,

BUSINESS AND MANAGEMENT 1

Lesson Title Time Frame Prepared by:

Introduction to Week 1
Accounting June 20 & 22, 2016
180 minutes

I. Objectives
At the end of the lesson, the students should be able to:

1. Define what is accounting

2. Describe the nature of accounting
3. Narrate the history and origin of accounting
4. Appreciate the basic function of accounting in business

II. Content

Topic References Materials

Fundamentals of
The definition, nature, Accountancy, Business and PowerPoint
functions, and history of Management 1 for Grade 11 Presentatio
accounting textbook by Flocer Lao Ong. n

Ashish K. Bhattacharyya
(2004), Financial
Accounting for Business
Managers, Prentice Hall of
India Pvt. Ltd., New Delhi.

III. Procedure

A. Preparation

Teacher's Activity Student's Activity

Good Morning Class... Good Morning Sir!

Let us pray first, anyone who (One student will lead the prayer)
wants to lead the prayer?
(Checking of Attendance) (present... present... present...
Please say present... absent... present)

So hows your day? Is it good so So far, so good sir!

far?

Okay thats good, so are you ready Yes Sir!

to start our lesson?

B. Motivation

Teacher's Activity Student's Activity

Bring out sheet of paper. We Yes Sir
will have a short activity.

So, I want you to list all the

things you want to buy if ever you
have Php 1,000.00

Please pass your paper forward,

Thank you!

What act or process you can (students response)

associate with our activity?
Particularly the act of listing the
things you want to buy.

(pick 3 students to answer)

(if the students cant get the exact

term, give a clue or hint)

Starts with letter B

BUDGETING!
Yes Budgeting! (if the students
cant get the exact term, provide
the other letters of the term or
word)
 C. Lesson Proper

Teacher's Activity Student's Activity

Meaning of Accounting
(student answer)
Essential Question: Accounting is the systematic process
What is Accounting? of measuring and reporting relevant
information about the activities of an
economic organization or unit.
Accounting is the systematic
process of measuring and reporting
relevant information about the
activities of an economic
organization or unit. Its underlying
purpose is to provide financial
information. It is expressed in
monetary terms.

in addition to that, the American

Institute of Certified Public
Accountants (AICPA) defines
accounting as the art of recording,
classifying, and summarizing in a
significant manner and in terms of
money, transaction, and events,
which are in part at least of a
financial character, and interpreting
the result thereof.

The Philippine Institute of Certified

Public Accountants (PICPA) defines
accounting as a service activity. Its
function is to provide quantitative
information, primarily financial in
nature, about economic entities,
that is intended to be useful in
making economic decisions.

Nature of Accounting

First, Accounting is a systematic

process
Anyone who wants to elaborate
this statement?
Second, Accounting is an art
Anyone who wants to elaborate
this statement?
Third, Accounting is a service
activity
Anyone who wants to elaborate
this statement?
Four aspects of Accounting
There are 4 aspects of Accounting,
what are those?
(student answer)
Process is a series of actions that
produces something or that lead to a
particular result. As such, the
performance of the four aspects of
accounting, which are recording,
classifying, summarizing, and
interpreting, leads to communicating
to its users the relevant financial
information needed by the parties
interested.
(student answer)
Art is a skill acquired by experience,
study, or observation. It is also
defined as an occupation requiring
knowledge or skill. The four aspects
of accounting require both knowledge
and skill through experience, study,
or observation as a means to produce
the key end products which are the
financial reports.
(student answer)
Service is the occupation or function
of serving. Activity is something that
is done as work or for a particular
purpose. Combining the meaning of
the two words, accounting is a work
or occupation for serving a particular
purpose. Hence, since its purpose is
to provide financial information, the
date that it will process in terms of
the four aspects of accounting should
be expressed in monetary terms. In
short, it is interested in activities that
can be measured and expressed in
terms of the value of money.
(student answer)
Recording, Classifying, Summarizing
Yes! You are correct!
The 4 aspects of Accounting are:
Recording, Classifying,
Summarizing and Interpreting

Anyone who wants to explain one

aspect? You can choose or select
what aspect you want to discuss or
explain.

(pick 4 students that will discuss or

explain one of the aspects of
accounting)

Basic Function of Accounting in

Business

Who wants to explain the basic

function of accounting in business?

and Interpreting
Very good student 1 and 2!
History of Accounting
It is believed that the very origins
of writing itself may have developed
out of early marks used to keep
account of goods at ancient
warehouse more than 5,300 years
ago. The notion that pre-numerical
counting systems pre-dated even
written language didnt come as a
surprise to many historians and
archaeologists who have long since
recognized that the history of
human civilization is largely
indistinguishable from the history of
commerce.
Lets discuss the history and origin
of accounting by period.
Who wants to discuss the ancient
accounting in Egypt?
(student answer)
Student 1 recording is the act of
writing down of business transactions
chronologically in the books of
account as they transpire
(student answer)
Student 2 classifying is the act of
sorting similar and related business
transactions into the three categories
of assets, liabilities, and owners
equity.
(student answer)
Student 3 summarizing is the act of
preparing the financial statements
from the transactions recorded in the
books of account that are designed to
meet the information needs of its
users.
(student answer)
Student 4 interpreting is the act of
representing the qualitative financial
information about the business
transactions in a language
comprehensible to the users of
financial statements.
(student answer)
Student 1 the aspects of accounting
can be summed up to one basic
function which is the generation of
relevant and timely financial
information for interested parties.
(student answer)
 Student 2 the data provided by
accountants can assist investors,
government agencies, creditors, and
management in making sound
decisions.

in Mesopotamia?

in Greece?

in Rome? (student answer)

Sir... the history of accounting dates
back to ancient times. The abacus
which functioned as a calculator in the
ancient times, was developed by the
Sumerians in 5,000 BCE followed by
the papyrus which was developed by
ancient Egyptians in 4,000 BCE, it
was used in recording commercial
transactions. In Egypt, Dr. Gunter
Dreyer unearthed clay tablets
considered to be among the oldest
written tax accounting records. In the
tomb of King Scorpion I in Egypt, he
discovered old stone labels believed
to date back to 3,000 BCE or around
5,300 years ago. These old stone
How about in 14th century? labels were complete with marks
representing accounts of oil and
linens which were believed to be paid
to the king as taxes.

(student answer)
Sir...In Mesopotamia, clay tokens
and clay tablets are intended to
record their loans, herds, crops, and
system of trade.

How about in 19th century? (student answer)

Sir...The Greeks also made
significant contributions to the
development of accounting. In 600
BCE, they introduced money in the
form of coins. Moreover, they adopted
the Phoenicians writing system and
invented a Greek alphabet which they
used to facilitate record-keeping. As
early as those times, bankers in
Greece offered credit and helped
people transfer funds to banks in
other cities as evidenced by the
bankers book of account.

(student answer)
It was the same in Rome where
accounting helped establish their
finance and legal system.
How about in 20th century?
In England, William the Conqueror
took possession of all properties in
the name of the king upon his
invasion in 1086, the Domesday Book
contained all the real estate surveyed
by William and the taxes due to them.
The Pipe Roll or the Great Roll of the
Exchequer is the most ancient
surviving accounting record in the
English language.

(student answer)

How about in modern times?
How about in 21st century?
Generalization
So, recap for the topics we have
discussed for today
Accounting is the systematic
process of measuring and reporting
relevant information about the
activities of an economic
organization or unit.
During the 14th century, Luca Pacioli
of Italy, the Father of Accounting
wrote Summa de Arithmatica,
Geometria, Proportioni at
Proportionalita (Everything About
Arithmetic, Geometry and
Proportion). One section of this book
is composed of 36 short chapters that
describe bookkeeping.
(student answer)
In England, the Industrial Revolution
which replaced hand tools with
machine or power tools, otherwise
known as the factory system,
transformed accounting into an actual
profession. Businesses continued to
expand requiring the expertise of
accountants to gain corporate control
of their flourishing business.
In Scotland, Queen Victoria granted
a royal charter to the Institute of
Accountants in Glasgow on July 6,
1854, thereby creating the profession
of chartered accountant (CA). Thus,
accounting became a formal
profession.
(student answer)
The American Institute of Certified
Public Accountants (AICPA), the first
national professional association for
Certified Public Accountants (CPA),
was formed in the young but
prosperous nation of the United
States. The Securities and Exchange
Commission was formed. Periodic
reports vouched by certified public
accountants were filed by all publicly-
traded companies who had to register
with the SEC before selling their
securities to the public. Year 1973
FASB was formed or the Financial
 Accounting Standards Board. The
Accounting is systematic process FASB is the result of the demand for
more reliable and comparable
Accounting is an art financial reporting by the Congress
and SEC.
Accounting is a service activity
(student answer)
There are four aspects of The information age, otherwise
accounting namely: Recording, known as the computer age, digital
Classifying, Summarizing and age, or new media age, has brought
Interpreting about a significant change in the work
load of accountants. Manual, tedious
It is believed that the very origins and time-consuming tasks were
of writing itself may have developed replaced by faster and more accurate
out of early marks used to keep computer methods.
account of goods at ancient
warehouse more than 5,300 years (student answer)
ago. The notion that pre-numerical The 21st century International
counting systems pre-dated even Accounting Standards Committee
written language didnt come as a (IASC) by the International
surprise to many historians and Accounting Standards Boards (IASB)
archaeologists who have long since in year 2001. In the same year, the
recognized that the history of Enron Scandal, the greatest corporate
human civilization is largely fraud case recorded in American
indistinguishable from the history of history, caused Arthur Andersen, one
commerce. of the top audit firms in the United
States to close business. In order to
Ancient Accounting in Egypt, protect investors from corporate
Mesopotamia, Greece, and Rome misinformation, the Sarbanes Oxley
Act was passed by the US Congress in
Accounting in 14th Century the 2002. This imposed tougher
birth of Double-Entry Bookkeeping restrictions on accountants
conducting consultancy services.
Accounting in 19th Century The
Dawn of Modern Accounting in
Europe and America

Accounting in 20th Century the

evolution of modern accounting
standards

Accounting in Computer age or

digital age or new media age
Accounting in 21st Century
Accounting in the Modern times

I guess you are ready for a short

quiz

IV. Evaluation

Answer the following questions:

1. Define accounting. (5 points)
2. What are the 4 aspects of accounting? Explain each. (15 points)
3. Who is Father of Accounting and what is his major contribution
in the field of Accounting? (2 point)
4. What is the basic function of accounting in business? (3 points)

Suggested answers:
1. Accounting is the systematic process of measuring and reporting
relevant information about the activities of an economic
organization or unit.

2.
Recording is the act of writing down of business
transactions chronologically in the books of account as
they transpire

Classifying is the act of sorting similar and related business

transactions into the three categories of assets, liabilities,
and owners equity.

Summarizing is the act of preparing the financial

statements from the transactions recorded in the books of
account that are designed to meet the information needs
of its users.

Interpreting is the act of representing the qualitative

financial information about the business transactions in a
language

3. Luca Pacioli or Friar Luca dal Bargo. He published the first known
description of double entry book.
 4. The aspects of accounting can be summed up to one basic
function which is the generation of relevant and timely financial
information for interested parties. The data provided by
accountants can assist investors, government agencies,
creditors, and management in making sound decisions.

V. Assignment
Enumerate the different branches and areas of accounting. Briefly
explain each branch. (20 points)