The double entry bookkeeping system

Processing Bookkeeping Transactions (PBKT)

• SESSION 1
• LEARNING OBJECTIVES
• L01 Understand the principles of processing financial transactions
• Explain the purpose and content of the books of prime entry (1.2)
• L02 Understand the double entry bookkeeping system
• Explain the accounting equation and how it relates to a double entry bookkeeping system.(2.1)
• Outline how the books of prime entry integrate with the double entry bookkeeping system. (2.2)
• Describe the processing of financial transactions from the books of prime entry into the double entry bookkeeping system (2.4)
• Define capital income and capital expenditure (2.5)
• Define revenue income and revenue expenditure (2.6)
• References:
• AAT Level 2 Standards: ow.ly/RfqUT
• PBKT AAT Study and Assessment Guide: ow.ly/RflwJ
• To achieve these learning objectives you will:
• scan relevant sources to research topic questions
• critically assess presentation techniques and prepare a group presentation to explain research findings.
• select appropriate note making techniques to prepare individual revision aids.
• Give and receive feedback from peers to check understanding

1. Scan relevant sources to research topic questions

• 1. Watch the video on this page which gives a brief introduction and timeline of the double entry bookkeeping system.
• 2. In your teams, scan the resources in the following link to answer one set of the questions below. http://accessyoutube.org.uk/double+entry+bookkeeping
• Q 1 - What is double-entry bookkeeping?
• Explain the purpose of a double entry accounting system.
• Give a definition for a double entry in accounting.
• Describe the differences between double entry bookkeeping and single entry bookkeeping.
• Q 2 - What is an account?
• Explain the purpose of accounts.
• Give definitions for the five different categories of accounts.
• Describe the differences between capital accounts and revenue accounts.
• Q 3 - How is accounting information recorded?
• List the processes used to record financial transactions.
• Give definitions for a book of prime entry and a ledger.
• Describe the purposes of contents of the books of prime entry.
• Q 4 - What is the accounting equation?
• State the accounting equation.
• Give definitions for debit (entries) and credit (entries).
• Describe how debit and credit entries affect different categories of accounts.
• Extension
• "Luca Pacioli did invent the double entry bookkeeping system." Consider the arguments for and against this statement
• https://youtu.be/W5AdCsjXFkQ (Incorporar)
• Legenda: Luca Pacioli - the Father of accounting https://youtu.be/W5AdCsjXFkQ

2.Prepare a group presentation 3.Prepare individual revision aids. 4.Give and receive feedback

• 2. Critically assess presentation techniques and prepare a group presentation to explain research findings.
• Each member of your team should create a different GoConqr activity for your question.
• As a team choose the one activity which you think would be the best revision aid for your topic.
• Present the chosen activity to the whole group. Explain why you think this activity was the best choice.
• 3. Select appropriate note making techniques to prepare individual revision aids.
• Create personalised notes ensuring that they include the learning outcomes (Screen 1). You may want to create new notes or adapt others.
• Share your resource(s) with the group.
• 4. Give and receive feedback from peers to check understanding
• Critically evaluate at least 3 activities and give constructive feedback.
• Review any comments made on your resource(s)