ABM 1

Fundamentals of Accounting, Business and

Management 1
 ABM 1

What do you expect:

from the subject?
from the teacher?
from your classmates?

 TOPICS

UNIT 1 UNIT 2

Accounting Cycle of a
Accounting Concepts,
Service and
Principles and Equation
Merchandising Business
 Unit 1
Unit 1 introduces the students to the nature, meaning, and
purpose of accounting in business. It also deals with the
introduction of different accounting concepts and
principles and how it helps the users of financial
information in their decision-making. The accounting
equation and the major accounts will also be introduced
in this unit.
 Unit 1

1. Introduction to Accounting - Nature, and

Functions
2. Accounting Concepts and Principles
3. 5 Major Types of Accounts
4. Accounting Equation - Basic and Expanded
(Rules of Debits and Credits)
 Unit 2
Unit 2 deals with the accounting cycle of a service business
which will include journalizing entries, posting ledger
entries, and preparing an unadjusted trial balance. This unit
also discusses the different books of the account used by
the business in their recordings and the different source
documents during the recording phase in the cycle. This
unit also discusses the types of adjusting entries and
inventory systems.
 Unit 2

1. Journalizing
2. Posting
3. Preparation of a Trial Balance
4. Adjusting Entries
5. Preparation of Adjusted Trial Balance
 At the end of this term,
you should be able to:

define accounting
describe the nature of accounting
narrate the history/origin of accounting
explain the varied accounting concepts and
principles
solve exercises on accounting principles as applied
in various cases
 At the end of this term,
you should be able to:

illustrate the accounting equation

perform operations involving simple cases with the
use of the accounting equation
discuss the five major accounts
cite examples of each type of account
prepare a chart of accounts
 At the end of this term,
you should be able to:

describe the nature of business transactions and give

examples
identify the different types of business documents
analyze common business transactions using the rules of
debit and credit
solve simple problems and exercises in the analysis of
business transactions
describe the nature of transactions in a service business
 At the end of this term,
you should be able to:

record transactions of a service business in the

general journal
post transactions in the ledger
prepare a trial balance
describe the nature of transactions in a
merchandising business
 At the end of this term,
you should be able to:

record transactions of a merchandising business in

the general journal
posts transactions in the ledger
prepare a trial balance
 Grade 2 PTs/GRASPS -
Components 30%
2 Independent Tasks
- 20%
Midterm Test - 25%
Term Test - 25%