Financial Accounting Waec Syllabus

1. Introduction to Financial Accounting
   • History, nature and functions of Accounting.
   • Users of Accounting information.
   • Stages in the Accounting process.
   • Characteristics of Accounting information.
2. The Accounting Equation and  Double Entry Principles
   • Accounting Equation.
   • Purpose and functions of source documents.
   • Subsidiary books.
   • The ledger: classification of Accounts.
   • Cash Book: analytical cash book, including petty cash book.
   • Preparation of Trial Balance.
   • Bank Reconciliation Statements.
   • Correction of errors and Suspense Account.
3. Accounting Concepts
   • Meaning.
   • Types.
   • Significance.
   • Limitations.
4. The Final Accounts of a Sole Trader/proprietorship
   • Trading, profit and loss accounts/Income statement.
   • Balance sheet/statement of financial position.
   • Adjustments to final accounts.
5. Provisions and Reserves
   • Provision for doubtful debts/Allowance for doubtful debts.
   • Provision for discounts.
   • Depreciation – concepts, reasons for recording and methods:
     • straight line
     • reducing balance
     • sum of the years digits
     • revaluation.
   • Accounting for depreciation.
   • Reserves – revenue and capital reserves.
6. Manufacturing Accounts
   • Purpose of Manufacturing Accounts.
   • Cost classification in Manufacturing Accounts.
   • Preparation of final Accounts of Manufacturing concern.
7. Control Accounts and Self-balancing Ledgers
   • Meaning and uses of control accounts
   • Types:
     • sales ledger control
     • purchases ledger control
   • Preparation of Control Accounts
   • Reconciliation of Control Accounts
8. Single Entry and Incomplete Records
   • Meaning and limitations
   • Computation of profit or loss from opening and closing balance sheets.
   • Conversion of singe entry to double entry.
   • Preparation of final accounts from a set of incomplete records.
   • Mark up and Margin
9. Accounts of Not-for-Profit Making Organizations
   • Meaning and terminologies.
   • Receipts and payments accounts.
   • Subscriptions Account
   • Income and expenditure accounts.
   • Accumulated fund.
   • Balance sheet.
   • Profit or loss from income generating activities.
10. Partnership Accounts
    • Nature and formation of partnership.
    • Partnership agreements/Deed.
    • Profit and loss appropriation accounts.
    • Partners capital account and balance sheet
    • Admission of a new partner.
    • Treatment of goodwill and revaluation of assets
    • Dissolution of partnership (Questions will not be set on Garner V. Murray and piecemeal realization)
11. Company Accounts
    • Nature and formation of a company.
    • Types of companies and shares.
    • Issue of shares.
    • Loan capital, debentures/loan notes and mortgages.
    • Final accounts of company for internal use only.
    • Interpretation of accounts using simple ratios.
    • Purchase of business account.
    • *Statement of Cash Flow (using direct and indirect methods).

    NOTE:  Separate questions may be set to meet statutory requirements of individual countries.  Candidates’ answers must meet statutory requirements of individual countries.

12. *Accounting for Value Added Tax
    • Purpose of VAT.
    • Characteristics of VAT.
    • Bases of computing input/output VAT.
    • Preparation of VAT returns.
    • Exempt goods and services.
13. Departmental and Branch Accounts
    • Meaning and importance
    • Differences between a department and branch.
    • Preparation of departmental account.
    • Preparation of Branch Account excluding foreign branches.
    • Inter branch transactions.
14. Public Sector Accounting
    • Meaning and difference between Public Sector and Private Sector Accounts.
    • Sources of public revenue.
    • Capital and recurrent expenditures.
    • Preparation of simple government accounts.
15. *Information Technology in Accounting
    • Manual and computerized Accounting Processing Systems.
    • Processes involved in data processing.
    • Computer Hardware and Software.
    • Merits and demerits of manual and computerized accounting processing systems.
16. **Miscellaneous Accounts
    • Meaning, introduction, terminologies and preparation of simple:
    • Joint Venture Accounts
    • Consignment Accounts
    • Contract Accounts
    • Hire Purchase Accounts
17. **Financial system
    • Meaning and components.
    • Meaning, functions and features of:
      • money market;capital market;insurance market.
    • Methods of raising funds from the capital market:
      • offer for sale;
      • offer for subscription;
      • rights issue;
      • private placement;
    • Requirements for accessing the capital market
    • Benefits of the capital market to:
      • investors;
      • government;
      • economy;
      • individual company;
    • Types, features and reasons for regulation.

RECOMMENDED TEXT BOOKS

1.  Business Accounting volume 1   -    West African Edition by Frank Wood and Omunya.
2. Business Accounting Volume 2  -  Frank Wood.
3. Accounting and Finance  -     Frank Wood.
4. Foundation Accounting    -      A. H. Millchamp.
5. Basic Accounting  -      J. D.  Magee.
6. Accounting for Senior Secondary School    -     S. C. Malhorta, P. K. Botchweyand, P. A. Amankwah.
7. Accounting in Business    -      R. J. Bull.
8. Company Accounts    -      J. N. Amorin.
9. Principles of Accounting     -      K. B. Appiah Mensah
10. Incorporated private Partnership Act 1962, Act 152.