Lesson Plan

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Lesson Plan
Grade: Date: 17/01/2026
Subject: Business
Lesson Topic: the role of depreciation in the accounts
Learning Objective/s:
  • Describe what depreciation is and why it is recorded.
  • Explain how depreciation affects the income statement and balance sheet.
  • Compare straight‑line, reducing balance and units‑of‑production methods.
  • Calculate annual depreciation using the straight‑line formula.
  • Apply a consistent depreciation method to ensure comparability of financial reports.
Materials Needed:
  • Projector and screen
  • Whiteboard and markers
  • Printed worksheet with depreciation tables
  • Calculator or spreadsheet software
  • Sample asset data handout
 Introduction:
Begin with the question, “If a company buys a machine, how does its value appear on the financial statements over time?” Review the matching principle and recall prior learning about assets. State that today’s success criteria are to identify depreciation’s role and correctly compute depreciation using at least one method.
Lesson Structure:
  1. Do‑now (5') – Students write answers to the opening question on sticky notes and share briefly.
  2. Mini‑lecture (10') – Define depreciation, its purpose, and illustrate its impact on the income statement and balance sheet.
  3. Method showcase (15') – Demonstrate straight‑line, reducing balance, and units‑of‑production calculations; students compute a straight‑line example.
  4. Guided practice (10') – Small groups complete a worksheet calculating depreciation and net book value for a sample asset.
  5. Check for understanding (5') – Quick quiz (Kahoot or show of hands) on key concepts.
  6. Summary & reflection (5') – Revisit success criteria; each student notes one new insight.
Conclusion:
Recap that depreciation allocates an asset’s cost, reduces profit, and adjusts net book value on the balance sheet. For the exit ticket, students write which depreciation method they would choose for a computer and why. Homework: complete a worksheet applying a different method to a new asset.