WAEC Syllabus For Book Keeping
The Book Keeping syllabus is designed to assess the candidates’ basic knowledge of business activities and understanding of financial system for the purpose of establishing a business and laying a good foundation for further studies.
- AIM AND OBJECTIVES
The aim of this paper is to test candidates’:
- knowledge of basic skills required to start a business;
(ii) ability to appreciate the rules and functions of book keeping;
(iii) ability to apply the basic knowledge and skills in Book Keeping to modern business activities.
- SCHEME OF THE EXAMINATION
There will be two papers, Papers 1 and 2, both of which will be a composite paper to be taken at one sitting.
PAPER 1: Will consist of forty multiple choice questions all of which must be answered in 50 minutes for 40 marks.
PAPER 2: Will consist of two sections, Sections A and B as follows:
Section A: Will cover Theory of Book-Keeping and contain four questions. Candidates will be required to answer two for 20 marks.
Section B: Will cover Practice of Book-Keeping and contain five questions. Candidates will be required to answer three for 60 marks. The paper will last 2 hours.
|1.1 Meaning of Book Keeping
– definition, history, nature, importance and functions of Book Keeping;
– career opportunities and beneficiaries of book keeping;
– qualities and values of book keepers.
1.2 Assets and Liabilities:
– definition, differences, classification and examples of Assets and Liabilities.
1.3 Business Transactions:
– meaning and types of business transactions;
– parties involved in business transactions.
1.4 Classification of Accounts:
– personal accounts (debtors and creditors);
– Impersonal accounts (real and nominal).
1.5 Source Documents:
– definition, identification, types and uses of source documents.
|2.||Concepts and Conventions||Definition, identification and the differences between concepts and conventions.|
|3.||Books of Original Entry||Definition, purpose, types, format, uses and preparation of Books of Original entry|
|4||Ledger and Principles of Double Entry||4.1 Ledger:
– definition, classification, format, uses and preparation of ledgers.
4.2 Principles of Double Entry:
– meaning, history, rules and making double entries.
|5.||Cash Book||5.1 Meaning, purpose, description, differences and preparation of:
– single column;
– double column;
– three column;
– petty cash book.
|6.||Bank Reconciliation Statement|| – meaning and purpose
– terminologies and banking documents
– causes of differences between cash book and bank statement balance
|7.||Trial Balance and Errors
| – meaning and functions of trial balance;
– rules and preparation of trial balance;
– meaning, types, classification of errors;
– correction of errors and preparation of Suspense Account.
|8.||Financial Statements of Sole Proprietorship||8.1 Trading Account:
– definition, purpose, format and preparation of simple Trading Account;
– methods of valuing stock (FIFO and LIFO).
8.2 Profit and Loss Account:
– definition, purpose, format and preparation of Profit and Loss Account;
8.3 Balance Sheet:
– meaning, content, format and preparation of a simple balance sheet.
|9.||Adjustments to Financial Statements
|9.1 Adjustment for prepayments, accruals, depreciation, bad and doubtful debts;
9.2 Meaning and methods of depreciation (straight line and reducing balance).
|10.||Control Accounts||Meaning and preparation of Sales Ledger and Purchases Ledger Control Accounts.|
|11.||Single Entry and Incomplete Records||Meaning, limitations and preparation of final accounts from incomplete records|
|12.||Accounts of Not-For-Profit Making organizations||Purpose, content and preparation of Receipts and Payments Accounts, Income and Expenditure Account.|
|13.||Manufacturing Accounts|| – meaning, purpose and terminologies;
– preparation of Manufacturing, Trading, Profit and Loss Accounts.
|14.||Partnership Accounts|| – meaning and terms:
– partnership deed, drawings, interest on capital, interest on drawings;
– preparation of Capital and Current Accounts, Profit and Loss and Appropriation Account and Balance Sheet;
– admission of new partners and Goodwill Account.
|15.||Joint Venture Accounts|| – meaning and purpose;
– differences between joint venture and partnership.
|16.||Departmental and Branch Accounts|| – importance and differences;
– preparation of Departmental and simple Branch Accounts.
|17.||Introduction to Company Accounts|| – formation and terminologies;
– preparation of simple financial statements.
|18.||Interpretation of Accounts|| – Purpose and computation of ratios:
– net profit margin;
– stock turnover;
– quick ratio;
– acid test ratio;
– gross profit margin;
– return on capital employed.
|19.||Purchase of Business||Reasons, terminologies and preparation of accounts related to purchase and sale of business.|
|20.||Consignment Accounts||Terminologies and preparation of simple Consignment Accounts.|
|21.||Hire Purchase||Meaning and preparation of accounts in the seller’s and hirer’s books.|
|22||Contract Accounts|| – meaning, purpose and terminologies;
– preparation of Contract Accounts.
|23.||Cooperative Accounts||Meaning and objectives of cooperative societies.|
NOTE: Emphasis should be on application
SUGGESTED READING LIST
- Business Accounting Vol.1 and 2 F. Wood
- Book-keeping and Accounts (ELBS) Spicer & Peggler
- Inroduction to Accouting for Business Studies F.P. Langley
- Accounting I ad II Jennings
- Essential Financial Accounting for Senior Secondary School O.A Longe and R.A. Kezeem