Materials
For this lesson students are required to have
text (Principles of accounts for the Caribbean by Frank Wood and Sheila Robinson)
tablet
exercise book
Objectives
At the end of the lesson the students should be able to:
1. understand the reason for using a suspense account
2. create a suspense account in order to balance the trial balance
3. correct errors using a suspense account
Review
Take a couple of minutes and answer the following recap question and we will discuss the answers.
Introduction
Discussion on the when a suspense account is used and when it is used after viewing the video.
Development
Examine the errors that affects the trial balance agreement in the text.(page 327 - 330) studying the examples given and noting key points
Errors that affect the trial balance agreement
1. incorrect addition in any account
2. making an entry on only one side of the accounts
3. entering a different amount on the debit side from the amount on the credit side
Practice
Exercise 30.1 page 337 in text
students will volunteer to write answers on the board
Summary
Questions and answer discussion
In the comments section below each student should write their response to these questions
When is the suspense account used?
What type of errors are corrected with the suspense account?
How are errors that affect the trial balance corrected?
Homework
Exercises 30.3 and 30.5
