DETAILED LESSON PLAN

SCHOOL/ DIVISION MALAY NHS/ AKLAN GRADE LEVEL 11

LEARNING AREA FABM1
TEACHER RACHEL C. CASIDSID QUARTER 4
Principal JAKE S. SULLANO

I. OBJECTIVES
Content standard The learners demonstrate an understanding of the
accounting cycle of a service business

Performance Standard The learners shall able to identify business and

nonbusiness transactions, enumerate the types of
business documents, recite the rules of debit and
credit, and apply these to simple cases.

The learners:
Learning Competency  4. prepares a trial balance
ABM_FABM11- IVa-d -32

II. CONTENT Topic: The Accounting Cycle

LM: FABM1 by Benedick Manalaysay pp. 45-47

https://www.investopedia.com/terms/t/trial_balance.asp

III. MATERIALS
Meta cards, laptop, chalk and board

IV. Procedure Greetings!

A. Preparation Checking of Attendance
Review of the previous lesson

Motivation/Priming The teacher shows a video about an action song

entitled “balance on one foot”. Students then, follow
the movements in the action song/dance song.

The teacher asks the students afterwards on how

difficult to balance on one foot but if the two foots
stay together, then it is easier to balance. The
teacher also asks about the importance of balancing
life.

The teacher discusses about a Trial Balance

A trial balance is a list and total of all the debit and

credit accounts for an entity for a given period to
check the accuracy of the company’s accounting
 records.

STEPS in the preparation of a Trial Balance

1. Write the Company Name, name of the statement
and the date reporting period.
2. The accounts are arranged in the following order:
assets, liabilities, equity, income and expenses.
3. Post the asset, withdrawals and expense account
balances on the debit column.
4. Post the liability, capital and income account
balances on the credit column.
5. Total the amounts of debit and credit column.

Activity Activity 1. The class is divided into two (2)

On the board, student representatives identify the
normal balances of each account and post it on debit
or credit column based on the following total
account balances from the general ledger below:

Account Names Total Balances

Cash ₱ 150,000
Accounts Receivable ₱ 8,000
Supplies ₱ 6,000
Accounts Payable ₱ 20,000
Capital ₱ 70,000
Drawings ₱ 10,000
Service Income ₱ 60,000
Rent Expense ₱ 5,000
Advertising Expense ₱ 5,000
Transportation ₱ 4,000

Account Names Debit Credit

B. ANALYSIS
Guide Questions:

1. What have you noticed about your answers? Is

there any difference between the two groups?
2. What are the normal balance of each account?
3. How about if you total all the balances of debit
and credit column, are they balance or not?
4. If the total debit unequal total credits, what will
happen? Explain your insights.
C. Abstraction Preparing a trial balance is sometimes known as
"proving the ledger” to test the accuracy of account
balances in the ledger.

Preparing a trial balance for a company serves to

detect any mathematical errors that have occurred in
the double-entry accounting system.

If the total debits equal the total credits, the trial

balance is considered to be balanced, and there
should be no mathematical errors in the ledgers.
However, this does not mean there are no errors in a
company's accounting system.

If the accounts do not add up or unequal, there is an

error in the journal, the posting process, or in the
preparing of the trial balance.

Thus, the purpose of the trial balance is to test the

arithmetical accuracy, find errors, and help making
adjustments and preparing the financial statement.

D. Application Problem:
Below are the balances of each account of Prado
Computer Tech, Inc. of Cabulihan, Malay, Aklan from
its general ledger:
Account Titles Account
Balances
Buildings P128,800
Owner’s Capital 115,000
Accounts Receivable 14,520
Cash 18,040
Accumulated Depreciation— 42,600
Buildings
Insurance Expense 780
Prepaid Insurance 4,680
Accounts Payable 12,300
Notes Payable 97,780
Service Revenue 17,180
Equipment 62,400
Land 67,000
Accumulated Depreciation— 18,720
Equipment
Depreciation Expense 7,360
 Required:

1. Prepare a trial balance for the month of

January 31, 2016, following the steps
discussed earlier.

E. Evaluation In a 1 whole sheet yellow pad, prepare a trial balance

of Gray Electronic Services for December 31, 2016
based on the T- account balances shown in the slide
deck.

Cash Accounts Receivable

Dr. Cr. Dr. Cr.
₱250,000
50,000 ₱ 4,000
20,000
100,000 4,000
5,000
100,000 _________
5,000 ₱ 0
20,000
4,000
25,000
50,000
_________
₱ 189,000

Computer Supplies Computer Equipment

Dr. Cr. Dr. Cr.
₱ 50,000 ₱ 100,000

3,000

_________ _________
₱ 47,000 ₱ 100,000

Accounts Payable Loans Payable

Dr. Cr. Dr. Cr.
₱100,000 ₱100,000

100,000

_________ _________
0 ₱100,000
 Santos, Capital Santos, Drawings
Dr. Cr. Dr. Cr.

₱250,000 ₱ 25,000
50,000

_________ ________
₱300,000 ₱ 25,000

Internet Service Income Printing Service Income

Dr. Cr. Dr. Cr.
₱ 5,000 ₱ 4,000

_________ _________
₱ 5,000 ₱ 4,000

Salaries & Wages Expense Rent Expense

Dr. Cr. Dr. Cr.
₱ 20,000 ₱ 5,000

_________ ________
₱ 20,000 ₱ 5,000

Computer Supplies Expense Taxes & Licenses

Dr. Cr. Dr. Cr.

₱ 3,000 ₱ 20,000

___________ _________
₱ 3,000 ₱ 20,000

VI. Reflection

Prepared by: Checked by:

RACHEL C. CASIDSID DANILO H. CLAROS

SHS Teacher I Senior High School Coordinator