THE CASH BOOK

Introduction, meaning and purpose of cash book
Types of cash books and single-column cash book

By the end of the lesson, the learner should be able to:
- Define a cash book
-Explain the purpose of keeping a cash book
-Distinguish between cash and credit transactions
-Identify the two-sided nature of cash book
-Explain the uses of cash book in business
-Describe the debit and credit sides of cash book

Introduction to cash book concept; Group discussion on cash transactions; Demonstration of cash book structure; Practical identification of cash vs credit transactions; Analysis of cash book importance

Textbook, Sample cash books, Transaction examples, Chart showing cash book structure
Textbook, Cash book formats, Practice worksheets, Rulers, Calculator

Trendy Business Studies Form 3 Student's Book Pg 160-161

THE CASH BOOK

The two-column cash book
Bank overdraft and advanced two-column cash book
The three-column cash book and discount columns
Double-entry and ledger posting from cash book

By the end of the lesson, the learner should be able to:
- Explain the two-column cash book structure
-Identify cash and bank columns
-Record transactions in two-column cash book
-Understand contra entries and their recording
-Balance cash and bank columns separately
-Show proper use of folio references
- Explain the three-column cash book structure
-Distinguish between discount allowed and discount received
-Record transactions in three-column cash book
-Handle discount calculations correctly
-Balance three-column cash book properly
-Show proper treatment of discount columns

Two-column format demonstration; Contra entries explanation; Practical recording exercises; Balancing procedures for both columns; Group problem solving; Step-by-step construction activities
Three-column format demonstration; Discount concepts explanation; Discount calculation exercises; Practical recording activities; Balancing procedures for all columns; Group work on discount scenarios

Textbook, Two-column cash book formats, Transaction sets, Calculator, Contra entry examples
Textbook, Calculator, Complex transaction examples, Overdraft scenarios, Business case studies
Textbook, Three-column cash book formats, Calculator, Discount calculation worksheets, Practice sets
Textbook, Ledger books, Posting examples, Dishonoured cheque scenarios, Practice worksheets

Trendy Business Studies Form 3 Student's Book Pg 163-165
Trendy Business Studies Form 3 Student's Book Pg 167-168

THE CASH BOOK

Pertinent issues and comprehensive practice

By the end of the lesson, the learner should be able to:
- Discuss honesty and transparency in cash book keeping
-Explain conformity to accounting principles
-Analyze importance of proper cash book maintenance
-Evaluate ethical considerations in cash recording
-Apply all cash book concepts to comprehensive problems
-Demonstrate mastery of cash book preparation and balancing

Group discussions on business ethics; Comprehensive cash book preparation; Complex problem solving; Ethical scenario analysis; Peer review activities; Individual consultations

Textbook, Comprehensive problem sets, Ethical scenario cards, Case study materials, Assessment worksheets

Trendy Business Studies Form 3 Student's Book Pg 168-169

THE LEDGER

Meaning, purpose and format of ledger accounts
Rules of recording and double entry concept

By the end of the lesson, the learner should be able to:
- Define a ledger and ledger account
-Explain the purpose of keeping a ledger
-Identify features of a ledger account
-Draw the correct format of a ledger account
-Explain the four columns and T-shape format
-Distinguish between debit and credit sides

Introduction to ledger concept; Demonstration of T-format; Group discussion on ledger importance; Drawing ledger account format; Practical identification exercises; Format construction activities

Textbook, Ledger books, Rulers, Chart paper, T-format templates
Textbook, Ledger books, Rules summary charts, Double-entry worksheets, Calculator

Trendy Business Studies Form 3 Student's Book Pg 127-129

THE LEDGER

Recording business transactions and opening accounts

By the end of the lesson, the learner should be able to:
- Record simple transactions in ledger accounts
-Apply double-entry rules correctly
-Open ledger accounts from balance sheet information
-Record opening balances correctly
-Demonstrate proper posting procedures
-Show cross-referencing between accounts

Guided posting exercises; Transaction recording practice; Opening balance exercises; Balance sheet to ledger conversion; Cross-referencing demonstrations; Step-by-step posting guidance

Textbook, Ledger books, Transaction examples, Balance sheet examples, Practice sets

Trendy Business Studies Form 3 Student's Book Pg 131-135

THE LEDGER

Recording purchases, sales and returns
Recording expenses, revenues and drawings

By the end of the lesson, the learner should be able to:
- Record purchases of goods for resale
-Distinguish between cash and credit purchases
-Record purchase returns (returns outwards)
-Record sales returns (returns inwards)
-Post purchase and sales transactions to relevant accounts
-Apply double-entry rules to returns

Purchase transaction recording; Returns transaction analysis; Cash vs credit analysis; Practical recording exercises; Comparison activities; Group problem solving

Textbook, Ledger books, Purchase scenarios, Returns scenarios, Transaction cards
Textbook, Ledger books, Expense/revenue examples, Drawings scenarios, Classification worksheets

Trendy Business Studies Form 3 Student's Book Pg 135-137

THE LEDGER

Balancing ledger accounts
Uses of ledger and trial balance preparation
Trial balance limitations and errors
Classification of accounts and types of ledgers

By the end of the lesson, the learner should be able to:
- Explain the procedure for balancing accounts
-Calculate account balances correctly
-Demonstrate balance carried down and brought down
-Balance accounts with only one entry
-Identify and handle closed accounts
-Show treatment of various balancing scenarios
- Identify limitations of trial balance
-Explain errors that do not affect trial balance agreement
-Discuss hidden errors in trial balance
-Analyze errors that cause trial balance disagreement
-Demonstrate error detection techniques
-Show correction procedures for common errors

Balancing demonstrations; Step-by-step calculations; Single entry balancing; Closed account identification; Practical balancing exercises; Comparative analysis
Error analysis sessions; Limitation discussions; Error detection exercises; Hidden error identification; Correction demonstrations; Group problem solving

Textbook, Ledger books, Calculator, Balancing worksheets, Special scenario worksheets
Textbook, Ledger books, Trial balance formats, Calculator, Extraction worksheets
Textbook, Error example worksheets, Analysis charts, Correction materials, Error detection aids
Textbook, Classification charts, Ledger type examples, Comparison worksheets, Business scenario materials

Trendy Business Studies Form 3 Student's Book Pg 139-141
Trendy Business Studies Form 3 Student's Book Pg 142-143

FINANCIAL STATEMENTS

Profit and Loss Account Preparation

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

KLB Secondary Business Studies Form 4, Pages 62-63

FINANCIAL STATEMENTS

Profit and Loss Account from Trial Balance

By the end of the lesson, the learner should be able to:
Prepare profit and loss account from trial balance; Identify relevant items from trial balance; Calculate net profit or loss; Handle complex trial balances

Using Maneno's trial balance example; Step-by-step extraction of relevant items; Practice with complex trial balances; Error detection exercises

Trial balance examples, extraction worksheets, complex scenarios

KLB Secondary Business Studies Form 4, Pages 63-64

FINANCIAL STATEMENTS

Combined Trading and Profit & 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

KLB Secondary Business Studies Form 4, Pages 64-66

FINANCIAL STATEMENTS

Importance of Profit and Loss Account

By the end of the lesson, the learner should be able to:
Explain importance to various stakeholders; Understand management uses; Identify creditor and investor interests; Analyze decision-making applications

Discussion on stakeholder needs; Case studies on business decisions; Role-play exercise with different stakeholders; Analysis of real business scenarios

Stakeholder analysis sheets, case study materials, role-play guidelines

KLB Secondary Business Studies Form 4, Pages 61-62

FINANCIAL STATEMENTS

Balance Sheet Introduction

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

KLB Secondary Business Studies Form 4, Pages 66-67

FINANCIAL STATEMENTS

Balance Sheet Preparation
Types of Capital

By the end of the lesson, the learner should be able to:
Prepare balance sheet from trial balance; Make adjustments for net profit and drawings; Apply proper balance sheet format; Ensure balancing totals
Define different types of capital; Distinguish between owned and borrowed capital; Calculate working capital; Understand capital employed concept

Practical preparation using Kipande Traders; Step-by-step balance sheet construction; Adjustments for profit and drawings; Balancing exercises
Detailed explanation of capital types; Calculations using Upinde Traders example; Practical exercises on capital calculations; Group work on capital concepts

Balance sheet preparation sheets, adjustment examples, balancing demonstrations
Capital calculation worksheets, Upinde Traders example, calculation exercises

KLB Secondary Business Studies Form 4, Pages 66-67
KLB Secondary Business Studies Form 4, Pages 67-69

FINANCIAL STATEMENTS

Capital Calculations and Applications

By the end of the lesson, the learner should be able to:
Calculate working capital and capital employed; Apply different calculation methods; Understand relationships between capital types; Practice with complex examples

Advanced capital calculations; Multiple calculation methods; Practice with various business scenarios; Problem-solving 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
Define margin; Distinguish between mark-up and margin; Calculate margin using different methods; Apply margin in business decisions

Advanced mark-up calculations; Using Kiambu Traders example; Practical applications in pricing; Problem-solving exercises
Introduction to margin concept; Comparison with mark-up; Practical calculations; Using Waithera's example for margin applications

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
KLB Secondary Business Studies Form 4, Pages 71-74

FINANCIAL STATEMENTS

Relationship Between Mark-up and Margin

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

KLB Secondary Business Studies Form 4, Pages 74-75

FINANCIAL STATEMENTS

Trading Account Preparation Using Ratios

By the end of the lesson, the learner should be able to:
Use mark-up to prepare trading accounts; Apply margin in account preparation; Handle incomplete records; Solve complex scenarios

Practical preparation using mark-up and margin; Incomplete records scenarios; Advanced problem-solving; Individual and group exercises

Trading account formats, incomplete record examples, complex scenarios

KLB Secondary Business Studies Form 4, Pages 72-74

FINANCIAL STATEMENTS

Current Ratio and Working Capital Ratio

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

KLB Secondary Business Studies Form 4, Pages 75-76

FINANCIAL STATEMENTS

Rate of Stock Turnover

By the end of the lesson, the learner should be able to:
Define stock turnover; Calculate rate of stock turnover; Interpret turnover results; Apply in trading account preparation

Explanation of stock turnover concept; Calculations using Upendo Traders; Practical applications; Using turnover for incomplete records

Stock turnover worksheets, Upendo Traders example, practical applications

KLB Secondary Business Studies Form 4, Pages 76-78

FINANCIAL STATEMENTS

Stock Turnover Applications

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

KLB Secondary Business Studies Form 4, Pages 76-78

FINANCIAL STATEMENTS

Return on Capital
Acid Test and Quick Ratio

By the end of the lesson, the learner should be able to:
Define return on capital; Calculate return on capital; Interpret results for decision making; Compare business performance
Define acid test ratio; Calculate quick ratio; Distinguish from current ratio; Interpret liquidity position

Introduction to profitability ratios; Calculations using Mr Odiek's example; Performance comparison methods; Investment decision applications
Explanation of acid test concept; Calculations using Nakura Stores; Comparison with current ratio; Liquidity analysis

Return calculation sheets, Mr Odiek's example, comparison materials
Quick ratio worksheets, Nakura Stores example, liquidity analysis materials

KLB Secondary Business Studies Form 4, Pages 78-79
KLB Secondary Business Studies Form 4, Pages 79-80

FINANCIAL STATEMENTS

Importance of Financial Ratios

By the end of the lesson, the learner should be able to:
Explain importance of each ratio type; Identify stakeholder uses; Understand decision-making applications; Analyze business implications

Comprehensive discussion on ratio importance; Stakeholder analysis; Case studies on ratio applications; Group presentations

Stakeholder analysis sheets, case study materials, presentation guidelines

KLB Secondary Business Studies Form 4, Page 80