Page 56 - Accountancy for Advanced Secondary Schools Teachers Guide Form Five

examples from similar companies to support their analysis
and recommendations.

Chapter teaching guide
FOR ONLINE READING ONLY
Here are the primary points to consider on this chapter:

1. Basic concepts and definitions

(a) Branch vs. division: Clarify the difference between a branch
(a part of the company located separately but not legally
distinct) and a division (which may be legally distinct).

(b) Types of branches: Discuss different types of branches,
including domestic and international branches, and their
unique accounting needs.

2. Objectives of branch accounting

(a) Performance evaluation: Explain the purpose of branch
accounting in evaluating the financial performance of each
branch.

(b) Control and monitoring: Discuss how branch accounting
helps in monitoring operations, controlling inventory, and
managing expenses at the branch level.

3. Accounting Methods

(a) Debtors system (Direct method): Teach how branches
maintain their own set of books and send periodic statements
to the head office.

(b) Stock and debtors system: Explain the system where the
head office maintains detailed records of inventory and
debtors for the branch.

Teacher’s Guide Form Five
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23/06/2024 17:45
ACCOUNTANCY_TG_2024_FINAL DUMMY.indd 42
ACCOUNTANCY_TG_2024_FINAL DUMMY.indd 42 23/06/2024 17:45