Chapter 6:
Preparation of Financial Statements

Chapter Learning Objectives

The learning objectives of the chapter are:

• Describing to participants on objectives of financial statements.
• Guide participants on how to Prepare Income statement accounts, Balance Sheet and Cash flow Statement.

Learning Outcome

At the end of chapter the participants will be able to prepare Income Statement account, Balance sheet and Cash flow statement.

Learning Activities

Individual Activities

An assignment will be given, requiring the participant to produce the Income statement account and Balance sheet.

Group Activities

• Participants will be required to prepare in groups a Cash flow statement.
• Participants will be required to source various financial statements for different forms of business then discuss major differences on contents and format.

Sessions and Time Allocated

9. Income statement Accountants: 2 hours
10. Preparation of Balance sheet: 1 hour
11. Preparation of Cash flow statements: 1 hour