BUSINESS STUDIES

TOPIC: OFFICE PROCEDURE

JS 3
 TOPIC: OFFICE PROCEDURE
Meaning of Office
Procedure
An office procedure is
defined as the sequence in
which certain operations are
carried out in respect of
what is done.
 TOPIC: OFFICE PROCEDURE
Importance of Office
Procedure
1. It reduces general cost of
operations.
2. It allows for effective
training of new staff.
 TOPIC: OFFICE PROCEDURE
3. It enhances performances
of old staff.
4. It facilitates better flow of
work in the office and
between departments.
5. It bring about better
coordination
 TOPIC: OFFICE PROCEDURE
Ways of preparing bills,
invoices and receipts
(i)Bills: A bill is a document
issued in respect of services
rendered to customers. e.g.
IBEDC bill etc
 TOPIC: OFFICE PROCEDURE
Organizations that issue out bills to their customers
are schools, Power Holding Company of Nigeria
(PHCN), Nigeria Telecommunication (NITEL).
Typical bill contains the following:
i) Name and address of the customer
ii) Description of the service provided
iii) The billing period
iv) Rate of charges per term of service
v) Total charges for the billing period
vi) Value Added Tax (VAT)
vii) Total payment due now
viii) Name and signature of payee
ix) Date of payment
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INVOICES: Invoices are
documents written in respect
of goods bought and sold.
The seller usually raises an
invoice which he sends to the
buyer of his goods.
 TOPIC: OFFICE PROCEDURE
The invoice contains the following
information:
i) Description of the goods
ii) The quantity and the price of each item
iii) the total amount to be paid
iv) Rate of discount allowed
v) The rate of VAT (value added tax)
vi) Terms of payment
vii) Name and signature of the receiver
with date.
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RECEIPTS: A receipt is a
document written when full
amount of money is
received for goods sold or
services rendered. It is
issued by the seller to the
buyer.
 TOPIC: OFFICE PROCEDURE
The receipt contains the
following information:
i) Name of the buyer
ii) Amount of the goods
purchased
iii) Quantity of goods bought
 TOPIC: OFFICE PROCEDURE
Procedures for making payment
1. Payments by cash: It is the use
of coins and bank notes to buy
goods and services.
2. Payments by bank draft: It is
issued by a commercial bank in
favour of payer for making
payments or settle debts.
 TOPIC: OFFICE PROCEDURE
3. Payments by credit card: It is an
electronic card issued by a bank to its
customer to buy goods and services
on credit.
4. Payments by cheque: A cheque is a
written order to a bank to pay on
demand, a stated amount of money
to the person whose name is written
on it.
 TOPIC: OFFICE PROCEDURE
5. Payment by traveler’s cheque: a form
of cheque denominated in major
international currency depending on the
where the traveler is going.
6. Payment through NIPOST: There are
two major methods of paying through
NIPOST, they are postal order and money
order.
 TOPIC: OFFICE PROCEDURE
7. E- Banking payment: It
is the payment for goods
electronically without
holding cash or going to the
bank.
 TOPIC: OFFICE PROCEDURE
E-Banking Methods:
i) Automatic Teller Machine
(ATM): ATM allows the holder of
debit card and
personal identification number
(PIN) to withdraw money (cash)
from his account.
 TOPIC: OFFICE PROCEDURE
ii) Autopay: It is used to make regular
payment like pension contribution,
insurance premiums, payment of salaries
etc. It can be divided into two; direct
debit and direct credit
iii) Value card: It is an electronic purse
that holds an electronic equivalent of
cash for payment of goods and services.
e.g. e-naira, etc
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Meaning of a store
A store can be
defined as a place
where goods are kept
for future use.
 TOPIC: OFFICE PROCEDURE
A store house is also
known as warehouse.
It is a place that must be
easy to reach and good
for safekeeping of items.
 TOPIC: OFFICE PROCEDURE
The items kept in the store
house are: raw materials,
semi finished goods,
finished goods, spare parts
that may be used from time
to time for the performance
of their activities.
 TOPIC: OFFICE PROCEDURE
Store Record: A store
record is a detailed account
of all items of goods, raw
materials, semi finished
goods, finished goods, spare
part etc kept in the store.
 TOPIC: OFFICE PROCEDURE
Types of store record
1. The stock record card:
contains detailed information
about the quantity of goods
received in the store room
with dates.
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2. Stock requisition form: is an interval
document for controlling and
regulating the use of stock items in the
organisation.
It contains the following:
1. Name of department or individual
requesting for the goods
2. Quantity of goods required and date
requested
TOPIC: OFFICE PROCEDURE