Accounting

A ccounting is offered on the Higher and Standard Grades in Option 6. The course covers the basics in the first two terms of Grade 10 and moves on to generation of financial statements, with adjustments in the third term. Grade 11 sees the introduction of more advanced accounting concepts and the analysis and interpretation of financial statements. In late Grade 11/12 we work through forms of ownership such as partnerships, companies and close corporations, as well as studying non-profit organisations. Throughout, the pupils are taught to analyse and interpret the financial statements they produce. The course finishes with a module of cash budgeting.

School Accounting is aimed at two groups of pupils: those who are going to continue studying the subject in tertiary studies and those who are not. Those who are going on to BComm, B Bus Sci, B Econ or to business/marketing courses at technikon would be well advised to do the subject at school.

Although many institutions claim that it is not necessary to study Accounting at school, in practice this is most unwise. A study conducted by Mr Trevor Hall, the Natal Education Dept’s chief examiner, showed a much higher success rate at university amongst those who had done Accounting on Higher Grade at school. It also makes good sense to be on familiar ground for at least one subject in a typical first year BComm scenario which includes Economics, Commercial Law and Statistics.

For the pupil who is not going on to do a business degree or diploma, financial literacy is equally important. Financial literacy is required in every professional career, and most forecasters are adamant that our children will end up in small businesses in as yet unmapped fields, where a knowledge of the subject is vital.