Overview and Background: Unit: Accurate Accounting

Pam Allender : Cheney USD 268

Vocational/Technical Arts. : Accounting : Accounting

Cheney : Grades 11 - 11 : Aug. - Jun.

Title:	Accurate Accounting
Topics:	Accounting
Time Frame:
Start Date:	-
Status:	Draft
Date Revised:

Other Designers:

Summary:
Introduce the students to basic accounting principles for a sole proprietorship.

Print Materials Needed:
Monopoly Game
General Journal
General Ledger Sheets
Work Sheet
Financial Statement Sheets
Textbook: Glencoe Accounting Real-World Applications and Connections

Resources:

Resource Attachments:

Internet Resource Links:

Notes:

Stage 1: Identify Desired Results

State:	National Standard
Title:
Standard(s):	NBEA: 1.A.1 - Define accounting and explain the purpose of the accounting system. 1.A.3 - Demonstrate and understanding of the fundamental accounting equation. 1.A.4 - Classify items as assets, liabilities or owner equity. 1.A.5 - Describe the purposes of the revenue, expense and drawing accounts and illustrate the effects on owner's equity. 1.A.6 - Describe and prepare a variety of source documents. 1.A.7 - Analyze business transactions using source documents and describe the effect on the accounting equation. 1.A.8 - Explain the double-entry system of accounting and apply debit and credit rules when analyzing business transactions. 1.A.9 - Journalize business transactions using various journal formats. 1.A.10 - Explain the purpose of a journal and its relationship to the ledger. 1.A.11 - Explain the purpose of a ledger account and post information from the journal to the ledger. 1.A.12 - Prepare a trial balance and explain its uses and limitations. 1.A.15 - Explain the purposes of the closing process, journalize and post closing entries, and prepare a post-closing trial balance. 1.A.16 - Use spreadsheet and accounting software to maintain accounting records and describe the differences between manual and computerized accounting systems. II.A.2 - Define cash, prepare bank reconciliations, establish and maintain petty cash and charge accounts, identify cash control techniques, explain the benefits of electronic funds transfers, ATM transactions, and uses of a debit card. II.C.1 - Explain the purpose of the capital and drawing accounts for a sole proprietorship and partnership. III.B.1 - Apply the revenue realization and matching principles in the preparation of income statements for service and merchandising businesses.

Understandings:
user	All business transactions affect the financial records of a business. Maintaining accurate financial records are important for a business. Good books are good business.

Essential Questions:
User	Why accounts are used in keeping business records? Why is it important to journalize transactions? How do the financial statements help the business owner? How do accounts receivable and payable affect the business owner?

Knowledge and Skills:

K
*the different forms of business organizations.
*the role of profit and loss in a free enterprise system.
*the basic assumptions underlying an accounting system

S
*analyze typical transactions for a sole-proprietorship.
*record transactions in a double-entry accounting system.
*complete an entire accounting cycle.
*identify and use the internal and external controls that businesses use to protect cash.

Stage 2: Determine Acceptable Evidence

Assessment Summary:
Students will be a sole proprietor and demonstrate the use of the accounting cycle while playing the game of Monopoly. They will keep track of all financial transactions by using all of the rules and regulations in accounting.

Key Criteria:
The students will journalize all moves in Monopoly using a standard General Journal. They will then post to standard General Ledger sheets, six-column Worksheet, do an income statement, statement of changes in owner's equity, balance sheet and Prove Cash at the end of the game.

Task/Prompt: Monopoly

Type:Performance Task

Topics: Accounting

Summary:
Students will be a sole proprietor and demonstrate the use of the accounting cycle while playing the game of Monopoly. They will keep track of all financial transactions by using all of the rules and regulations in accounting.

Print Materials Needed:

Resources:

Resource Attachments:

Internet Resource Links:
Link 1: http://
Link 2: http://
Link 3: http://
Link 4: http://
Link 5: http://

State:	KS
Title:
Standard(s):

Notes:

Student Directions:
You are the sole proprietor of a development company. You will use a regular Monopoly game, playing according to the regular instructions for the game. The only difference for you, as sole proprietor, is that you need to keep track of all of the financial decisions that you make. Remember that you are in the business of creating a profit for your business.

To start the game each player receives the specified amount of money from the bank. To start keeping records for your business, you would then need to journalize the receipt of money in the general journal. (Debit - Cash, Credit - Your Name, Capital) As the four players move around the board, each will journalize transactions -purchasing property, paying expenses, recording revenue, etc.

Journalize all moves in Monopoly using a standard General Journal. At the end of the game, post to standard General Ledger sheets, six-column Worksheet, do an income statement, statement of changes in owner's equity, balance sheet and Prove Cash.

Good luck with your business and have fun.

Other assessment evidence to be collected:

Stage 3: Plan Learning Experiences and Instruction

Learning Activities:

1. Hook: Ask students why Enron got into trouble?
2. Discussion: How can we use the accounting cycle to learn more about financial management? How will we know if the accounting cycle is done correctly?
3. Give student Essential Questions.
4. The students complete the activities (chapters 1-11) in the accounting textbook, including learning to journalize, post, complete a worksheet, do financial statements, and prove cash. As they complete each component, they should review the Essential Questions and analyze the impact each element would have on a business.
5. Students should complete the Monopoly Performance Assessment. The Accounting Monopoly Packet must be completed and turned in. The packet will be graded on a score sheet, and students will complete an audit test using their packet and other information acquired while playing the game.
6. Students should reflect on:
Why the amount of cash they had at the end of the game does not equal the amount of cash shown in the Cash Account.
Where might they have made mistakes in journalizing entries?
How does the game of Monopoly reinforce the idea of good accounting knowledge?