SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Introduction and Cash Receipts

By the end of the lesson, the learner should be able to:
Define source documents; Explain importance of source documents; Describe features of cash receipts; Distinguish between cash and cheque payments

Q/A on business transactions; Discussion on documentary evidence; Examination of cash receipt samples; Practical exercise filling cash receipts

Sample receipts, cash register examples, receipt books

KLB Secondary Business Studies Form 4, Pages 1-3

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Invoice
Debit Note and Credit Note
Payment Voucher and Introduction to Books of Original Entry
Sales Journal

By the end of the lesson, the learner should be able to:
Outline details of an invoice; Identify all components of an invoice; Explain terms like E&OE, trade discount, cash discount; Calculate discount amounts

Detailed examination of sample invoice; Analysis of invoice components; Practical calculation of trade and cash discounts; Group discussion on invoice terms

Sample invoices, calculators, discount calculation worksheets
Sample debit notes, credit notes (red colored), comparison charts
Payment vouchers, petty cash vouchers, chart of all books of original entry
Sales invoices, sales journal format, sample credit sales transactions

KLB Secondary Business Studies Form 4, Pages 3-4

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Posting from Sales Journal
Sales Returns Journal and Posting
Purchases Journal
Posting from Purchases Journal

By the end of the lesson, the learner should be able to:
Transfer entries from sales journal to ledgers; Post individual amounts to debtors accounts; Post total to sales account; Use proper folio references

Demonstration of complete posting process; Practical exercise posting to sales ledger and general ledger; Discussion on double entry completion

Sales journal, sales ledger accounts, general ledger format, posting examples
Credit notes issued, sales returns journal format, ledger accounts
Purchase invoices, purchases journal format, sample credit purchase transactions
Purchases journal, purchases ledger, general ledger accounts

KLB Secondary Business Studies Form 4, Pages 8-12

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Purchases Returns Journal and Posting
Cash Receipts Journal

By the end of the lesson, the learner should be able to:
Prepare purchases returns journal; Record goods returned to suppliers; Post to creditors accounts and returns outwards account; Use credit notes received

Examination of credit notes received; Preparation of purchases returns journal; Complete posting exercise; Discussion on returns outwards concept

Credit notes received, purchases returns journal format, ledger accounts
Cash receipts journal format, sample receipts, cash sales data

KLB Secondary Business Studies Form 4, Pages 16-19

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Posting from Cash Receipts Journal
Cash Payments Journal and Posting

By the end of the lesson, the learner should be able to:
Post totals to cash book and bank account; Post individual amounts to relevant accounts; Post discount totals to general ledger; Complete double entry

Demonstration of posting procedure; Practical exercise posting to cash book and ledgers; Discussion on relationship with cash book

Cash receipts journal, cash book format, general ledger accounts
Cash payments journal format, payment vouchers, receipts, ledger accounts

KLB Secondary Business Studies Form 4, Pages 19-22

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

The Petty Cash Book - Imprest System
Petty Cash Book Preparation and Analysis

By the end of the lesson, the learner should be able to:
Explain petty cash concept; Define and apply imprest system; Identify features of petty cash book; Understand petty cashier responsibilities

Discussion on petty cash concept; Introduction to imprest system; Examination of petty cash book format; Explanation of reimbursement process

Petty cash book format, sample petty cash vouchers, imprest system examples
Petty cash transactions, analysis cash book format, calculator, petty cash vouchers

KLB Secondary Business Studies Form 4, Page 25

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

Posting from Petty Cash Book
Analysis Cash Book

By the end of the lesson, the learner should be able to:
Post analysis column totals to general ledger; Post creditor payments to purchases ledger; Understand petty cash book as both ledger and journal

Demonstration of posting from analysis columns; Practical posting exercise; Discussion on dual nature of petty cash book; Review of all posting procedures

Petty cash book, general ledger accounts, purchases ledger
Analysis cash book format, sample transactions for club/society, ledger accounts

KLB Secondary Business Studies Form 4, Pages 30-31

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

General Journal - Introduction and Fixed Assets
General Journal - Opening Entries

By the end of the lesson, the learner should be able to:
Define general journal; Identify transactions for journal proper; Record purchase and sale of fixed assets on credit; Write appropriate narrations

Introduction to general journal concept; Recording fixed asset transactions; Practical exercises on asset purchases and sales; Discussion on narration writing

General journal format, fixed asset transaction examples, calculator for gains/losses
Opening balance data, general journal format, calculator

KLB Secondary Business Studies Form 4, Pages 35-37

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY

General Journal - Closing Entries and Error Corrections

By the end of the lesson, the learner should be able to:
Record closing entries and transfers; Correct errors through journal entries; Record miscellaneous transactions; Understand when to use general journal

Practice with closing entries; Error correction exercises; Discussion on transfer entries; Review of general journal applications

Sample closing entries, error correction scenarios, transfer examples

KLB Secondary Business Studies Form 4, Pages 39-40

SOURCE DOCUMENTS & BOOKS OF ORIGINAL ENTRY
FINANCIAL STATEMENTS
FINANCIAL STATEMENTS
FINANCIAL STATEMENTS

Importance of Journals
Introduction and Trading Period Concept
Determination of Profit or Loss
Cost of Goods Sold Calculations

By the end of the lesson, the learner should be able to:
State reasons for maintaining journals; Explain benefits to business operations; Understand fraud prevention aspects; Analyze efficiency improvements

Group discussion on journal importance; Analysis of business benefits; Case study on fraud prevention; Debate on manual vs computerized systems

Discussion prompts, case study materials, summary charts
Charts showing different accounting periods, sample financial statements
Calculators, simple profit calculation worksheets, examples from textbook
Calculators, cost of goods sold worksheets, stock calculation examples

KLB Secondary Business Studies Form 4, Page 40

FINANCIAL STATEMENTS

Complex Profit and Loss Calculations
Introduction to Trading Account
Trading Account Preparation - Basic
Trading Account with Adjustments

By the end of the lesson, the learner should be able to:
Handle complex scenarios with all adjustments; Calculate gross profit with returns and carriage; Apply net sales calculations; Work with realistic business examples

Advanced calculations using Karanja's example; Practical exercises with multiple adjustments; Group work on complex scenarios; Error detection exercises

Advanced calculation worksheets, complex business scenarios, group work materials
Trading account format sheets, demonstration materials, simple examples
Trading account formats, practical examples, balancing demonstrations
Comprehensive trading account formats, advanced examples, adjustment worksheets

KLB Secondary Business Studies Form 4, Pages 54-56

FINANCIAL STATEMENTS

Importance and Applications of Trading Account
Net Profit and Net Loss Concepts
Revenue and Expense Classification

By the end of the lesson, the learner should be able to:
Explain importance of trading account; Identify management uses; Compare business performance; Analyze gross profit trends

Discussion on trading account benefits; Case studies on business decision making; Analysis of gross profit variations; Group presentations on importance

Case study materials, performance comparison charts, presentation guidelines
Net profit calculation sheets, revenue and expense examples, comparison charts
Classification worksheets, trial balance examples, group exercise materials

KLB Secondary Business Studies Form 4, Pages 58-60

FINANCIAL STATEMENTS

Profit and Loss Account Preparation
Profit and Loss Account from Trial Balance

By the end of the lesson, the learner should be able to:
Prepare profit and loss accounts; Transfer gross profit correctly; Include all revenues and expenses; Balance the account properly

Step-by-step preparation using Tabitha Akinyi's data; Demonstration of proper format; Practice with Salim's example; Individual preparation exercises

Profit and loss account formats, demonstration materials, practice examples
Trial balance examples, extraction worksheets, complex scenarios

KLB Secondary Business Studies Form 4, Pages 62-63

FINANCIAL STATEMENTS

Combined Trading and Profit & Loss Account
Importance of Profit and Loss Account

By the end of the lesson, the learner should be able to:
Prepare combined trading, profit and loss account; Use Kipande Traders comprehensive example; Handle complete final accounts; Apply proper formatting

Comprehensive preparation using Kipande Traders; Step-by-step combined account preparation; Practice with complete examples; Individual and group work

Complete final account formats, comprehensive examples, practice materials
Stakeholder analysis sheets, case study materials, role-play guidelines

KLB Secondary Business Studies Form 4, Pages 64-66

FINANCIAL STATEMENTS

Balance Sheet Introduction
Balance Sheet Preparation

By the end of the lesson, the learner should be able to:
Define balance sheet; Understand balance sheet purpose; Identify assets, capital and liabilities; Explain accounting equation

Introduction to balance sheet concept; Explanation of accounting equation; Discussion on financial position; Basic balance sheet structure

Balance sheet formats, accounting equation demonstrations, basic examples
Balance sheet preparation sheets, adjustment examples, balancing demonstrations

KLB Secondary Business Studies Form 4, Pages 66-67

FINANCIAL STATEMENTS

Types of Capital
Capital Calculations and Applications

By the end of the lesson, the learner should be able to:
Define different types of capital; Distinguish between owned and borrowed capital; Calculate working capital; Understand capital employed concept

Detailed explanation of capital types; Calculations using Upinde Traders example; Practical exercises on capital calculations; Group work on capital concepts

Capital calculation worksheets, Upinde Traders example, calculation exercises
Advanced calculation sheets, multiple scenarios, problem-solving materials

KLB Secondary Business Studies Form 4, Pages 67-69

FINANCIAL STATEMENTS

Introduction to Financial Ratios

By the end of the lesson, the learner should be able to:
Define financial ratios; Explain importance of ratios; Introduce mark-up concept; Calculate basic mark-up

Introduction to ratio analysis; Explanation of mark-up concept; Basic mark-up calculations; Discussion on pricing strategies

Ratio calculation sheets, mark-up examples, pricing strategy materials

KLB Secondary Business Studies Form 4, Pages 69-71

FINANCIAL STATEMENTS

Mark-up Calculations and Applications
Margin Concept and Calculations

By the end of the lesson, the learner should be able to:
Calculate mark-up using various methods; Apply mark-up to determine selling prices; Use mark-up in trading account preparation; Solve practical problems

Advanced mark-up calculations; Using Kiambu Traders example; Practical applications in pricing; Problem-solving exercises

Mark-up calculation worksheets, Kiambu Traders example, pricing problems
Margin calculation sheets, comparison charts, Waithera's example

KLB Secondary Business Studies Form 4, Pages 69-72

FINANCIAL STATEMENTS

Relationship Between Mark-up and Margin
Trading Account Preparation Using Ratios

By the end of the lesson, the learner should be able to:
Understand mathematical relationship; Convert between mark-up and margin; Apply conversion formulas; Solve complex problems

Detailed explanation of relationship; Mathematical conversion methods; Practice with conversion exercises; Problem-solving applications

Conversion formula sheets, mathematical examples, complex problems
Trading account formats, incomplete record examples, complex scenarios

KLB Secondary Business Studies Form 4, Pages 74-75

FINANCIAL STATEMENTS

Current Ratio and Working Capital Ratio
Rate of Stock Turnover

By the end of the lesson, the learner should be able to:
Define current ratio; Calculate working capital ratio; Interpret ratio results; Understand liquidity implications

Introduction to liquidity ratios; Practical calculations using Busia Traders; Interpretation of results; Discussion on business implications

Ratio calculation sheets, Busia Traders example, interpretation guides
Stock turnover worksheets, Upendo Traders example, practical applications

KLB Secondary Business Studies Form 4, Pages 75-76

FINANCIAL STATEMENTS

Stock Turnover Applications
Return on Capital

By the end of the lesson, the learner should be able to:
Use stock turnover in trading accounts; Handle incomplete records scenarios; Apply Maendeleo Traders example; Solve complex problems

Advanced applications using Maendeleo Traders; Incomplete records problem-solving; Complex scenario analysis; Individual practice

Advanced application sheets, Maendeleo Traders example, complex scenarios
Return calculation sheets, Mr Odiek's example, comparison materials

KLB Secondary Business Studies Form 4, Pages 76-78

FINANCIAL STATEMENTS
ECONOMIC DEVELOPMENT AND PLANNING

Acid Test and Quick Ratio
Importance of Financial Ratios
Economic Growth and Development Concepts

By the end of the lesson, the learner should be able to:
Define acid test ratio; Calculate quick ratio; Distinguish from current ratio; Interpret liquidity position

Explanation of acid test concept; Calculations using Nakura Stores; Comparison with current ratio; Liquidity analysis

Quick ratio worksheets, Nakura Stores example, liquidity analysis materials
Stakeholder analysis sheets, case study materials, presentation guidelines
Statistical data on economic indicators, charts comparing developed vs developing countries, newspaper economic reports

KLB Secondary Business Studies Form 4, Pages 79-80

ECONOMIC DEVELOPMENT AND PLANNING

Characteristics of Under-development
Factors Hindering Development
Political, Social and Economic Institutional Factors

By the end of the lesson, the learner should be able to:
Identify comprehensive characteristics of under-development. Explain high poverty levels and income disparity issues. Analyze unemployment problems and subsistence sector dominance. Discuss dependence on developed countries and infrastructure challenges.

Brainstorming session on development indicators; Detailed exposition of under-development characteristics; Group discussions on poverty and unemployment statistics; Visual analysis of infrastructure differences.

Statistical data on poverty and unemployment, photos showing infrastructure gaps, case study materials on developing countries
Case studies on development barriers, charts showing technology gaps, brain drain statistics
Governance case studies, cultural practice examples, charts showing institutional frameworks

KLB Secondary Business Studies Form 4, Pages 197-199

ECONOMIC DEVELOPMENT AND PLANNING

Development Planning Process and Objectives
Need for Development Planning and Benefits
Problems in Development Planning Implementation

By the end of the lesson, the learner should be able to:
Define development planning concept and importance. Explain planning process including objective establishment. State government policy objectives for long-term development. Analyze resource identification and allocation in planning.

Guided discussion on planning necessity; Exposition of systematic planning process; Group work on identifying realistic planning objectives; Analysis of Kenya's development planning experience.

Kenya's development plan documents, planning process flowcharts, resource allocation examples
Planning success case studies, foreign aid effectiveness reports, project evaluation examples
Case studies on planning challenges, disaster impact reports, examples of successful and failed development projects

KLB Secondary Business Studies Form 4, Pages 202-204