Region XII

Department of Education
K TO 12 Regional Mass Training
Dolores Tropicana Resort, General Santos City
May 26, 2017

LESSON PLAN
(ABM_FABM11)

Content Standard: Accounting concepts and Principles

Performance Standard: Identify generally accepted Accounting Principle

Code: ABM_FABM11-IIIb-15

I. Learning Competencies/Objectives
a. Understand the Generally Accepted Accounting concepts and principles
b. Appreciate the importance of Accounting concepts and principles.
c. Identify Generally Accepted Accounting concepts and principles.

II. Subject Matter

Topic: Accounting Concepts and Principles
References: Basic Accounting for Non-Accountants, Basic Accounting:
Concepts, Principles, Procedure and Application.
Author: Rafael M. Lopez, Jr., Edwin G. Valencia and Gregorio F.
Roxas
Materials: Laptops, Projectors, pictures, puzzle, meta cards, books,
whiteboard marker, whiteboard, pentel pen, cartolina
No. of Hours 1
Grade: 11

III. Instructional Procedure

 Prayer
 Greetings
 Roll Call
 Review
 Motivation - Cross Word Puzzle (good for 2minutes)
Instruction:
The student will find any words in the Puzzle

A. Activity
By the use of meta cards the students are instructed to choose the correct answer
given the different scenarios or cases.
Instruction:
1. The class will be divided into five groups
 2. The group will be given a meta cards
3. The group will select a representative who will post the correct answer
written in the meta card and post on the board.
Scenario
a. The owner’s property should not be included in the premises
account of the business
b. The business will continue in operational existence for the
foreseeable future
c. All transactions of the business are recorded in terms of money
d. If a company adopts straight line method and should not be
changed to adopt reducing balance method in other period.
e. Revenues are recognized when they are earned, but not when cash
is received.

B. Analysis
Let us analyze what happened in your activity
1. In your own idea why is it that, the owner’s property should not be included in
the premises account of the business?
2. Why should the business will continue in operational existence for the
foreseeable future
3. What do you mean by Revenues are recognized when they are earned, but not
when cash is received.

C. Abstraction
1. What is Generally accepted
accounting Principle?
2. What do you mean by generally
accepted?
3. What are the accounting concepts
and principles
a. Accounting Entity
b. Going Concern
c. Money Measurement
d. Accrual
e. Time Period
f. Consistency

D. Application.
Applying the concept the students will give the correct answer to the given
scenarios/scene.
1. The owner’s property should not be included in the premises account of the
business.
2. The business will continue in operational existence for the foreseeable future.
3. All transactions of the business are recorded in terms of money
4. If a company adopts straight line method and should not be changed to adopt
reducing balance method in other period.
 5. Revenues are recognized when they are earned, but not when cash is received.

IV. Evaluation (The Gigabites Quiz)

Instruction: Students will be given an 8 item multiple choice quiz about
Accounting principle and concepts. Read each question carefully and choose the
correct answer.
1. The personal assets of the owner of a company will not appear on the company's
balance sheet because of which principle/guideline?
a. Cost b. Economic Entity c. Monetary Unit

2. Which principle/guideline directs a company to show all the expenses related to its
revenues of a specified period even if the expenses were not paid in that period?
a. Cost b. Accrual/Matching c. Monetary Unit

3. Accountants might recognize losses but not gains in certain situations. For example,
the company might write-down the cost of inventory, but will not write-up the cost of
inventory. Which principle/guideline is associated with this action?
a. Conservatism b. Materiality c. Monetary Unit

4. Which principle/guideline requires the company's financial statements to have

footnotes containing information that is important to users of the financial statements?
a. Conservatism b. Economic Entity c. Full Disclosure

5. Accrual accounting is based on this principle/guideline.

a. Cost b. Full Disclosure c. Matching

6. A retailer wishes to report its merchandise inventory on its balance sheet at its retail
value. This would violate which accounting principle/guideline?
a. Cost b. Full Disclosure c. Matching

7. Which principle/guideline justifies a company violating an accounting principle

because the amounts are immaterial?
a. Conservatism b. Full Disclosure c. Materiality

8. Which principle/guideline is associated with the assumption that the company will
continue on long enough to carry out its objectives and commitments?
a. Economic Entity b. Going Concern c. Time Period
V. Assignment
Interview an Accounting Staff or Finance staff of any business establishment
within your locality and list down the different accounting principles they are using.
(30 points)
Prepared by:
Observed by:
________________________ ________________________
________________________ ________________________
________________________ ________________________
ERMI DAVE A. PARAGOSO
Demonstrator
Noted by:
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