Lesson Note on Subsidiary Books: Meaning, Purchases Day Book and Sales Day Book for SSS 2

Class: Senior Secondary School 2 (SS2 / SSS2)
Term: First Term
Week: 5
Age: 16 years
Duration: 45 minutes
Subject: Store Management
Curriculum Theme: Accounting and Record Keeping
Previous Lesson: Source Documents: Meaning, Types and Importance.
Topic: Subsidiary books
Subject Matter: Meaning of subsidiary books (books of original entry used to record transactions), purchases day book (nature, uses, illustration), return outwards book (nature, uses, illustration), sales day book (nature, uses, illustration).

Specific Objectives

By the end of the lesson, pupils should be able to:

Cognitive Domain:

• Define subsidiary books.
• Explain the nature and uses of the purchases day book.
• Explain the nature and uses of the sales day book.
• Explain the nature and uses of the returns outwards book.

Affective Domain:

• Appreciate the importance of subsidiary books in business operations.
• Develop an interest in accurate record-keeping for store management.

Psychomotor Domain:

• Rule the formats for the purchases day book, sales day book, and returns outwards book.
• Record sample transactions accurately in the appropriate subsidiary books.

Social Domain:

• Participate actively in class discussions and exercises related to subsidiary books.

Reference Materials

The following resources were used in planning this lesson:

• Senior Secondary Schools Education Curriculum
• State Unified Scheme of Work
• Any relevant Store Management or Principles of Accounts textbook for Senior Secondary Schools.

Instructional Materials

The teacher will teach this lesson with the aid of:

• Chart showing sales day book ruling
• Chart showing purchases day book ruling
• Invoice samples
• Credit note samples
• Whiteboard and markers or chalkboard and chalk

Rationale for the Lesson

This lesson helps pupils understand the initial stages of recording business transactions. Knowledge of subsidiary books enables pupils to properly manage and record daily store activities, which is important for accurate financial reporting and control.

Prerequisite/Previous Knowledge

Pupils are expected to have a basic understanding of business transactions, source documents like invoices, and the need for record-keeping in a business.

Lesson Content/Board Summary

Subsidiary Books (Books of Original Entry)

Meaning of Subsidiary Books

Subsidiary books, also known as books of original entry or day books, are primary accounting records used to record transactions as they occur, before they are posted to the ledger. They group similar transactions together, making the ledger less bulky and easier to manage.

Purchases Day Book

The purchases day book is used to record all credit purchases of goods meant for resale. It is prepared from the information contained in the supplier’s invoices.

Nature: Records only credit purchases. Cash purchases are recorded in the cash book.

Uses:

• Provides a summary of all credit purchases for a period.
• Helps in checking the accuracy of individual supplier accounts in the ledger.
• Facilitates easy reference for purchase details.

Illustration of Ruling:

Sales Day Book

The sales day book is used to record all credit sales of goods. It is prepared from the sales invoices issued by the business to its customers.

Nature: Records only credit sales. Cash sales are recorded in the cash book.

Uses:

• Provides a summary of all credit sales for a period.
• Helps in checking the accuracy of individual customer accounts in the ledger.
• Facilitates easy reference for sales details.

Illustration of Ruling:

Returns Outwards Book (Purchases Returns Day Book)

The returns outwards book records goods returned by the business to its suppliers due to defects, wrong items, or excess delivery. It is prepared from credit notes received from suppliers.

Nature: Records goods returned to suppliers.

Uses:

• Provides a record of all goods returned to suppliers.
• Helps to adjust the amount owed to suppliers.
• Facilitates easy reference for returns details.

Illustration of Ruling:

Teaching Methods/Instructional Techniques

Discussion, Lecture, Demonstration, Question and Answer, Visual Aids

Instructional Procedures

Step 1: Introduction

Time: 5 minutes
Teaching Skill: Set Induction
Teacher’s Activity: The teacher greets the pupils, reviews the previous lesson briefly, and introduces the topic of subsidiary books by asking how businesses record daily transactions.
Pupils’ Activity: Pupils respond to greetings, recall previous knowledge, and listen attentively to the introduction.
Learning Point: Pupils connect the new topic to prior knowledge of business transactions.

Step 2: Meaning of Subsidiary Books

Time: 7 minutes
Teaching Skill: Explanation/Discussion
Teacher’s Activity: The teacher discusses the meaning of subsidiary books, explaining why they are used as books of original entry and their importance in managing numerous transactions.
Pupils’ Activity: Pupils listen, take notes, and ask questions for clarification.
Learning Point: Pupils understand the definition and purpose of subsidiary books.

Step 3: Purchases Day Book

Time: 8 minutes
Teaching Skill: Explanation/Demonstration
Teacher’s Activity: The teacher explains the nature and uses of the purchases day book, then demonstrates its ruling using a chart and explains how entries are made from invoices.
Pupils’ Activity: Pupils observe the chart, copy the ruling format, and ask questions about specific entries.
Learning Point: Pupils grasp the concept, format, and application of the purchases day book.

Step 4: Sales Day Book

Time: 8 minutes
Teaching Skill: Explanation/Demonstration
Teacher’s Activity: The teacher explains the nature and uses of the sales day book, then demonstrates its ruling using a chart and explains how entries are made from sales invoices.
Pupils’ Activity: Pupils observe the chart, copy the ruling format, and participate in discussion about sales transactions.
Learning Point: Pupils understand the sales day book and its structure for recording credit sales.

Step 5: Returns Outwards Book

Time: 7 minutes
Teaching Skill: Explanation/Illustration
Teacher’s Activity: The teacher explains the nature and uses of the returns outwards book and illustrates how entries are made using credit notes received from suppliers.
Pupils’ Activity: Pupils copy the ruling format and observe how sample entries are recorded.
Learning Point: Pupils learn about the recording of goods returned to suppliers.

Step 6: Class Activity/Practice

Time: 5 minutes
Teaching Skill: Practical Application
Teacher’s Activity: The teacher provides simple sample transactions and guides pupils to record them in the appropriate subsidiary book rulings copied in their notes.
Pupils’ Activity: Pupils practice entering the sample transactions into the correct subsidiary book formats.
Learning Point: Pupils apply the learned concepts to practical recording exercises.

Step 7: Evaluation/Review

Time: 5 minutes
Teaching Skill: Questioning/Assessment
Teacher’s Activity: The teacher evaluates the learning by asking the following questions:

1. What are subsidiary books?
2. State two uses of the purchases day book.
3. Distinguish between the sales day book and the purchases day book.
4. Which source document is used for entries in the returns outwards book?

Pupils’ Activity: Pupils answer orally and in writing.
Learning Point: Pupils demonstrate understanding of the lesson.

Step 8: Conclusion

Time: 2 minutes
Teaching Skill: Summarization
Teacher’s Activity: The teacher summarizes the main points of the lesson, emphasizing the importance of accurate record-keeping using subsidiary books, and gives homework.
Pupils’ Activity: Pupils listen to the summary and copy the assigned homework.
Learning Point: Pupils reinforce their understanding and note down assignments.

Lesson Keywords

• Subsidiary books – Books of original entry where transactions are first recorded.
• Purchases day book – Records all credit purchases of goods for resale.
• Sales day book – Records all credit sales of goods.
• Returns outwards book – Records goods returned to suppliers.
• Invoice – A document issued by a seller to a buyer, listing goods or services sold.
• Credit note – A document issued by a seller to a buyer, reducing the amount owed.

Differentiation

For pupils who are struggling, the teacher will provide additional simpler examples and one-on-one guidance in ruling and entering transactions. For advanced learners, the teacher will challenge them with more complex scenarios involving multiple transactions or asking them to identify which subsidiary book to use for various transaction types.

Note for teachers using this lesson plan

Encourage pupils to understand the practical aspects of using subsidiary books in a real business setting. Emphasize the connection between source documents (invoices, credit notes) and the entries in the day books. Use visual aids like large charts for ruling clearly, and provide ample practice exercises to solidify their understanding.