California's official school accounting procedures, amended in 1984 to clarify definitions and improve program cost accounting, are presented. Following an introduction that discusses general characteristics of school accounting, the manual explains the following areas of accounting practice: (1) financial reporting; (2) income; (3) expenditures; (4) supplies and capital outlay, including equipment, sites and improvement of sites, building fixtures, and service systems; (5) stores system procedures, controls, and accounting; (6) general and subsidiary ledger accounting; (7) accounting terminology; and (8) data processing terminology. The explanatory text is supplemented, where appropriate, with sample forms, reference charts, and lists of accounts. (MCG)