Week 4 and 5 – Jss 3 First Term Business Studies Lesson Notes

WEEK 4
TOPIC: CONSUMER PROTECTION AND AWARENESS

 CONSUMER PROTECTION
A Consumer – is an individual who makes final use of goods and services
Protection – is covering
Consumer protection – is defined as various ways and methods adopted by the government and private organisation to ensure that consumers are not cheated by producers and middlemen and that consumers enjoy maximum satisfaction from goods paid for.
In other words, consumer protection are ways and methods put in place by government and private organisations to ensure that consumers are not cheated but derive maximum satisfaction in what they buy.
Reasons for consumer protection

Rights of consumers

Agencies/organisations of consumer protection
1. Standard organisation of Nigeria (SON)
2. National Agency for Food and Drug Administration and Control (NAFDAC)
3. Price Control Board
4. Manufacturing Association of Nigeria (MAN)
5. Environmental Protection Agency
6. Rent Tribunal
 Exercise: Explain the following:
(i) Rights to seek redness
(ii) Rights to be heard

 
 WEEK FIVE
TOPIC: DOUBLE ENTRY BOOK KEEPING

 Double entry is a system of book keeping in which transactions are recorded in both debit and credit sides of account.
The principle of double entry system says “for every debit entry, there must be a corresponding credit entry”. It is the foundation of book keeping.
Credit the giver (cr) and debit the receiver (dr)
            Dr                            Cr
                        N                N

 Treatment of Asset and Liabilities
1. Assets: Assets are the properties of the business e.g. equipment, land, furniture and fittings, machine etc.
2. Liability: is the amount that the business wed the outsider.
3. Capital: is the amount used in starting a business or amount involved into a business.
Worked Example
1. On January 5, 2010, Ade started a business with N5000 cash

             Capital Account
                        Jan. 5        cash    5000

             Cash Account
        Jan. 2    Capital        5000

 2. On Jan.3^rd, bought machine N2000 cash

                     Machine Account    
        Jan. 3    Cash        2000

 
                     Cash Account
                        Jan. 3     Machine    2000

 
 3. Jan 4^th paid A. Ngozi N500 by cash

1. Ngozi                            Cash Account

Jan 4    Cash    500                            Jan 4    A. Ngozi    500
4. Janlo sold books for cash N10,000
                                                        Cash Account                            Sales Account            
Jan 10    Sales    10,000                             Jan 10    Cash    10,000

 
 Expenses – are those items that have been paid for in the business in order to yield revenue e.g. electricity, wages, insurance, salary etc.
Exercise:

 Papaluwe Transport Company has a cash balance of N15,000 at Feb. 2009. From the following truncations, open all the necessary ledger account:
Feb. 1        Paid wages by cash             3000
Feb. 4        Paid electricity by cash        1000
Feb. 5        Received cash from Felele        5,000
Feb. 10        Paid rent by cash             500