Introduction

The key term “final accounts” refers to the financial statements prepared by a business at the end of an accounting period that shows all stakeholders the company’s financial situation.

 

One of the statements is called a “profit and loss” or “income” statement. It shows the income and expenses that came through the company during a selected period.

 

Another final account statement is called the “Balance Sheet”. It shows the assets and debts in a company which is used to estimate the net worth of a business at the time the statement was prepared.

Course curriculum

  • 1

    Course Information & Support

    • Please Check Now That Your Phone Is In Your Bag. Please Stay For 40 Minutes Of Learning & Sign Out For The Bathrrom During The Last 5 Minutes of Class.

    • Fact Sheet Packet Of Class Policies- Please Scroll Through And Review Again

    • How Well Are You Demonstrating The IB Learner Characteristics? Which Is Your Super Power & Which Presents The Greatest Challenge?

    • Welcome IB Business Management Student

    • Chapter Work Cycle = This Is What We Are Doing In Class & For Homework Every Day

    • Finished Early? Don't Pack Up! Do This ...

    • Please Don't Disrupt Our 40 Minute Work Cycle. Leave For The Bathroom During The LAST 5 MINUTES Of Class.

    • Your Quarter Grade

  • 2

    Your Notebook Is Your Most Important Weekly Grade & Prepares You For The May Exams

    • New Textbook 3.4 Chapter = 21 Headings

    • Your Notebook Assignment Helps You Build Attention To Detail

    • Read The Rules For Your Notebook Before Every Grading Day. This Paper Must Be Stapled Onto The Inside Cover Of Each Composition Notebook

    • Video: Watch A Spider Map Being Created (Best Study Tool)

    • How To Draw A Spider Map

    • LOOK: Page-By-Page Visual Instructions For Earning a 100% On Every Notebook Chapter. (Updated For 2025)

    • Notebook Checklist & Reflection Sheet- Print, Complete, And Staple Onto The Last Page Of Your Chapter Notes BEFORE Scoring Day. It's Best To Pick Up This Blue Color Checklist In Class After We Finish The Chapter Review.

    • Scan & Upload Your Completed Chapter Notebook Pages As One Single PDF file In TEAMS

  • 3

    "RESOURCE BANK" = Topic Lessons (91) Begin Below this Point:

    • What is the Resource Bank?

    • RB = 9 Sections & 90 Posts (= 5 RB Days + HW)

    • What You Should be Able to Do By the End of this Chapter

  • 4

    Introduction To Accounting

    • Video: Accounting Begins Before Bookkeeping...

    • *Accounting Humor-Don't Take Notes On This*

    • Video: Accounting Is A Good Subject To Study

    • Handout: Accounting Stakeholders

    • Study Guide: How Final Accounts Help Internal and External Stakeholders

    • What's The Difference Between An Accountant & A Bookkeeper

  • 5

    Key Terms

    • Video: You Should Know How Planned and Perceived Obsolescence Impact Your Life

    • Video: A Simple Explanation Of The 3 Different Types Of Costs

    • List Of Key Terms With Definitions

    • Video: What's The Difference Between Revenue and Profit?

    • Cartoon: Gross vs. Net

    • Video: The Tumbler Way To Understand Net Profit

    • Video: The Different Types Of Profit

    • Video: Definition And How To Calculate The "Cost Of Goods"

    • Video: What Is A Financial Statement?

  • 6

    The Principles & Ethics Of Accounting Practice

    • Video: Review of the ACCA's Code of Ethics and Conduct

  • 7

    The Purpose Of Final Accounts

    • Image: The Final Accounts / Final Statements Napkin

    • Video: What Are "Final Accounts"?

    • Video: The Three Most Important Financial Statements Are...

    • Handout: The Three Most Important Financial Statements From The Accountant

    • Infographic: The Financial Statement Consists Of Three Pieces: Balance Sheet, Profit & Loss, and Cash-Flow

    • Handout: What Is The Purpose Of Creating Final Accounts?

    • Video: The Key To Understanding Financial Statements

  • 8

    The Profit & Loss Account ("Income Statement")

    • Image: The Profit & Loss Napkin

    • Video: Definition Of An Income Statement (Profit & Loss Statement)

    • Video: Two Minute Explanation Of The Income Statement

    • Key Terms: Sales, Revenue, Profit

    • Video: Introduction To The Income Statement / Profit & Loss Statement

    • Video: How To READ A Profit & Loss / An Income Statement

    • Video: The Full Story of The Profit & Loss / Income Statement

    • Handout: The Profit & Loss Statement Actually Consists Of 3 Parts

    • Video: Where Is The COGS Calculation On The Income Statement / Profit & Loss?

    • Video: Mr. Burton Explains The 3 Pieces Of The Income Statement

    • Video: How To Use The Income Statement To Calculate Profit

    • Handout: What's The Difference Between The Trading Account And The Profit & Loss Account?

    • Handout: How Is The Trading Account Connected To The Profit & Loss Account?

    • Video: Example Of A Trading Account (Advanced Lesson)

    • Handout: What Is The "Appropriation Account"? (With Memory Tip)

    • Video: You Must Understand What Dividends Are Because They Show Up On The Appropriation Account

    • Video: Take A Look At How The Appropriation Account In The Income Statement Shows How To Divide The Profits Among Partners

    • "Interest Charges" Are Not The Same As "Interest Paid"

    • Video: Full Example Of "Retained Profits" (Shown On The Appropriation Section On The Profit & Loss Statement)

    • Exam Tip: You Must Tell The IB Examiners About The LIMITATIONS/PROBLEMS With The P&L Account Info

    • Variable Costing Vs. Absorption Costing

    • The Operating Income On Income Statements Is Affected By The Type Of Contribution Tool Used (Absorption vs. Variable)

  • 9

    The Balance Sheet

    • Image: Balance Sheet Napkin

    • Video: Intro To The Balance Sheet

    • Handout: Balance Sheet Key Terms

    • Video: What Is A Balance Sheet And Why Does It Matter?

    • Video: Introduction To The Balance Sheet

    • Video: Balance Sheet vs. Profit & Loss Statement

    • Video: Simple Explanation Of The Difference Between A Balance Sheet And A Profit And Loss Statement

    • Handout: What Is The Difference Between the Balance Sheet and the Profit & Loss Account ("Income Statement")?

    • Video: What Are Current Assets and Long-term Assets?

    • Video: What Does A Debit Do To Your Account and What Does A Credit Do To Your Account? (Think Dogs and Cats)

    • What Are Liabilities On A Balance Sheet?

    • Video: Balance Sheet Assets & Liabilities (Bank Example)

    • Video: The Definition Of Equity & How It Is Calculated

    • Video: What Does Equity Mean On A Balance Sheet?

    • Video: Net Assets Rap

    • Video: Dividends and Retained Profits Definitions

    • Exam Tip: Retained Profit ≠ Liquid Cash

    • Video: How To Read A Balance Sheet

    • Video: The Full Story of the Balance Sheet

    • Handout: The IB BM Balance Sheet Format Explained (EXAM TIP)

    • Video: Mr. Hoang Explains How To Create A Balance Sheet On The May Exam

    • Video: Write Down The Limitations Of A Balance Sheet As Explained In This Video

    • EXAM TIP: Sample Of An IB Balance Sheet (This is the exact one included at the end of the official IB BM Guide)

    • Test Yourself With This Marc Brothers Case

    • Examiner Notes/ Markscheme for the Marc Brothers Ltd Case (Correct Your Answers With Color Ink. What Did You Learn From This Practice?)

    • Video: You Should Know That Amortization Is The Depreciation Of Non-Physical Assets

  • 10

    Intangible Assets

    • Video: How To Determine The Value Of A Business

    • Video: Definition And Examples Of Intangible Assets

    • Key Term: Intangible Assets

    • Video: What Is Goodwill? (It's not the place where you can buy used clothing!)

    • Video: Goodwill Is An Intangible Asset

    • Financial Accounting Report For Goodwill & Intangibles. Just Copy The Titles Of The Main Headings (1-4 & A-F) From the Table Of Contents & Skim Through The Subtopics. Notice How This One Topic Can Be Broken Down.

    • Video: What's The Difference Between A Copyright, Trademark, And Patent?

  • 11

    Depreciation

    • Key Terms For Depreciation

    • Handout: Main Points About Depreciation

    • Video: Introduction to "Depreciation"

    • Video: How A Non-Profit Organization Uses Depreciation

    • Key Term: Book Value

    • Video: Book Value Depreciation

    • Video: Calculating Depreciation Using The "Straight Line" Method

    • Pros And Cons Of Straight-Line Depreciation With A Worked Out Calculation

    • Video: Calculating Depreciation Using The "Reducing Balance" Method

    • Video: How To Calculate Both Methods Of Depreciation

    • Pros And Cons Of Reducing-Balance Depreciation With A Worked Out Calculation

    • Video: How Depreciation Affects Profit and Cash Flow (Advanced)

    • Video: Mr. Burton Explains Depreciation (19 min)

    • NEW "Units Of Production" Depreciation Method (For May 2024 Exams)

  • 12

    Final Accounts & The CCES Concepts (Creativity-Change-Ethics-Sustainability)

    • Cash Flow Strategy. Look At The Cash Flow Using An Income Statement & A Balance Sheet

    • Read These CCES Definitions. If You Write Them On Your May Exams You Get Credit For Clear Evidence of "Synthesis & Evaluation"

    • CCES Assignment: Write 4 CCES Impact Statements For This Chapter Following The Given Model

    • Finished Early? Don't Pack Up! Do This ...

  • 13

    Let's Do Some Case Studies

    • Visual Of Case Study Day 1 Process

    • Day 1 Participation Requirements During Sharing

    • Instructions for Analyzing Case Studies

    • New Command Terms Definitions List (2024+) Exams = Rules for Answering Test Questions

    • Old Command Terms List = Rules for Answering Test Questions

    • New 3.4 Case Studies (We Need 4 Days In Total)

    • Look At All The Companies Nestlé Owns. Which Of Their Products Do You Buy Or Consume?

    • Show Your Teacher Your Completed Case Studies Then ...

    • Visual Of Case Study Day 2 Process (Show & Tell Your Presentation- Don't Pass It Around- Give Command Term Definitions)

    • PRESENT Your Tables By Explaining How To Draw, Label & Fill In The NUmbers.

    • Finished Early? Don't Pack Up! Work On The 12 Chapter Review Tasks! Including 45 Multiple Choice Questions Due On Review Day.

  • 14

    Review Activities

    • WATCH 3.4 Chapter Review

    • Handout: Formula Sheet For Final Accounts

    • Handout: The IB Guide's P&L Statement And Balance Sheet Formats - Read

    • Video: Income Statement And Balance Sheet Exam Review

    • EXAM TIP!

    • Instruction Sheet for Review Assignment

    • What Should You Do If You Get Stuck On A Question? Don't Skip It! Do This...

    • New 3.4 Review Worksheets With 12 Tasks & 2 Sets Of M/C 1-20 & 1-25 (Title The Top Of A New Page. Then Label The Tasks And Write The Answers In Your Composition Notebook)

    • Put Away Your Pen & Pencil On Review Day- Only Have A Color Pen On Your Desk

    • 3.4 Quizlet

    • Have You Achieved the Key Learning Outcomes?

    • You Are Almost Finished!

    • Don't Forget The Last Piece!

    • Finished Early? Don't Pack Up! Do This ...

    • Memorize & Review The 3.4 Exam Formulas

  • 15

    Exam Practice: Do These Practice Questions Before Your May Exams (Don't Look At The Markscheme Until You Have Written A Complete Answer)

    • Exam Practice: Profit & Loss Accounts

    • Exam Practice: Balance Sheet

    • Exam Practice: Straight Line Depreciation

  • 16

    3.4 Quiz

    • Visual: Quiz Day Schedule Of Activities

    • Come Here On Quiz Day If You Are In The Classroom - Makeups Are On The Day You Return

    • After The Quiz, Do The Assigned "Beyond The Tank" Work. If You Have An Excused Absence For Today, You Are Also Excused From This Assignment (Write "ABSENT" With The Date On The Notebook Page)

  • 17

    District Resiliency Videos

    • Link To All Mental Health & Resiliency Videos