Principles of
Accounts
Principles of accounts - The Subject
Accounting is an information system based on generally accepted accounting principles. It involves the recording and processing of business transactions, and communicating the information to stakeholders.The accounting information is used to evaluate business performance and facilitate decision-making. What sets the accountancy profession apart is the responsibility to act in the public’s interest.
Principles of Accounts is designed to teach age-appropriate and relevant accounting knowledge, skills and values. In addition, students will understand how businesses use accounting and non-accounting information to make decisions. Through the subject, they will acquire transferrable skills that they can apply in their daily lives.
This subject forms part of a broad-based education to equip students with strong fundamentals for future learning. It is offered as an elective subject at Secondary Three and examinable at the Singapore-Cambridge General Certificate of Education (GCE) both at Normal and Ordinary Level.
Values and attitudes
The syllabus intends for students to develop the values and attitudes of:
- integrity and objectivity
- social responsibility, through the context of accounting and how it can affect users of accounting information
- being logical, methodical, consistent and accurate.
Ace The Subject - Principles of accounting
POA is among the easiest subjects to score for at O Level, as such a low-hanging A1 that a student can easily attain. Doing well in the subject requires understanding, application, conceptual clarity, regular practice and effective time management. There is little subjectivity involved (remember an accountant practises objectivity) and very few simple equations to be memorised.
POA is a full humanities subject that can count towards L1R5 or ELR2B2, just like most other subjects available. Apart from the compulsory subjects needed as part of your subject combination, POA can replace any other pure electives. Scoring well for this subject would improve the chances of getting into JC or any tertiary education institution.
Having a strong foundation around POA will benefit a student in many aspects of their life whether or not he/she decides to pursues further studies or a career in this field in the future.
How to excel in the subject
Success in accounting is not just about memorising information but understanding the underlying principles and applying them to real-world scenarios. Regular practice, conceptual clarity, and effective time management are key to excelling in Principles of Accounting at O level.
1 Understand the Basics:
Develop a strong foundation by thoroughly understanding the basic accounting principles, concepts, and terminology. This includes grasping the fundamental equation of accounting (Assets = Liabilities + Equity) and comprehending the nature of different accounts (assets, liabilities, equity, revenue, and expenses).
2 Practise Regularly:
Accounting is a subject that requires consistent practice. Regularly solve accounting problems, work through exercises, and attempt sample questions. This will help reinforce your understanding of concepts and improve your problem-solving skills.
3 Master the Journal Entries:
Journal entries are the building blocks of accounting. Ensure you can confidently make correct journal entries for various transactions. Understand the rules for debits and credits, and how different transactions affect different accounts. Practise creating journal entries for common business transactions.
4 Financial Statements Understanding:
Be proficient in preparing and interpreting financial statements. Understand how transactions impact these statements and how to analyze financial information. This skill is crucial for making informed business decisions.
5 Time Management in Exams:
During exams, manage your time effectively. Read questions carefully, allocate time wisely, and attempt all questions. If you’re unsure about an answer, move on to the next question and come back to it later if time permits. Practise time-bound mock exams to improve your speed and accuracy.
Private coaching can provide students with the necessary support and guidance to excel in the subject, build a strong foundation, and develop essential skills to master the subject.