Help needed in accounting Asap please ?
Jim Yule runs a retail outlet and usually prepares the annual accounts himself on 31 July each year. He’s discovered you are studying accounting and has the following questions for you “A new customer is asking me for 60 days credit on a large purchase order. This means that the account won’t be due for settlement until August, after the end of the current financial year. How do I account for this – and what are the dangers of extending credit in this way?â€
Other - Business & Finance - 1 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
Presumably, this order was meant to be delivered before 31 July. The entry: Dr Accounts receivable xxx Cr Sales xxx Dangers of extending credit - the customer doesn't pay up, and the debt becomes a bad debt. Since the customer is new, Yule needs to conduct a thorough background check on this new customer. Check with debt agencies, accounts (if available), visit his business premises - note the volume of business going on, etc. If in doubt, ask for full or partial deposit upfront but note that doing this might mean losing the customer. Or instead of giving credit, ask for payment to be by letter of credit with a bank. That might mitigate the risks of incurring a bad debt.
Read more other entries :
Sunday, October 28, 2012
Sunday, October 14, 2012
What accounts can have either a debit or credit balance in the trial balance?
What accounts can have either a debit or credit balance in the trial balance?
Its an Accounting question, i need an answer?
Other - Business & Finance - 3 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
Your Income & Expenses Accounts
Answer 2 :
401 k ira
Answer 3 :
Are you serious? Every single account in the ledger is listed in the trial balance and they will all have either a debit or credit balance!
Read more other entries :
Its an Accounting question, i need an answer?
Other - Business & Finance - 3 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
Your Income & Expenses Accounts
Answer 2 :
401 k ira
Answer 3 :
Are you serious? Every single account in the ledger is listed in the trial balance and they will all have either a debit or credit balance!
Read more other entries :
Sunday, October 7, 2012
If was to study AAT level 2 Certificate in Accounting....?
If was to study AAT level 2 Certificate in Accounting....?
If i study AAT Level 2 Certificate in Accounting from ICS learning where will this lead my career...??? I can use MAAT after my name but what kind of vacanies can i apply for??? I really hope you can help. Many Thanks
Standards & Testing - 1 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
u cant use the MAAT after ur name until u have completed level 4 technician. then it can lead to a better job or further qualifications such as cima or acca. do u get the aat magazine, in there it shows jobs avaliable on each level of aat
Read more other entries :
If i study AAT Level 2 Certificate in Accounting from ICS learning where will this lead my career...??? I can use MAAT after my name but what kind of vacanies can i apply for??? I really hope you can help. Many Thanks
Standards & Testing - 1 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
u cant use the MAAT after ur name until u have completed level 4 technician. then it can lead to a better job or further qualifications such as cima or acca. do u get the aat magazine, in there it shows jobs avaliable on each level of aat
Read more other entries :
Monday, October 1, 2012
Accounting Software, Prepares 'P&L a/c' and 'Balance Sheet'?
Accounting Software, Prepares 'P&L a/c' and 'Balance Sheet'?
Does such a thing exist? I cant get my accounts to balance exactly in an exam question. Thanks
Other - Business & Finance - 1 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
hi bti, i understood your problem. i had also great problem like as you in my school life.but when i started those practical activities comparing with guides books on my owns as well as teacher view i got easy of solving those problems. P/L account is prepared after the preparation of trading account. it shows the total net profit or loss of business. then after preparation of P/L account BALANCE SHEET is prepared which is prepare in the last month of fiscal year. it is final accounting system.
Read more other entries :
Does such a thing exist? I cant get my accounts to balance exactly in an exam question. Thanks
Other - Business & Finance - 1 Answers
People Answers, Critics, Comments, Opinions :
Answer 1 :
hi bti, i understood your problem. i had also great problem like as you in my school life.but when i started those practical activities comparing with guides books on my owns as well as teacher view i got easy of solving those problems. P/L account is prepared after the preparation of trading account. it shows the total net profit or loss of business. then after preparation of P/L account BALANCE SHEET is prepared which is prepare in the last month of fiscal year. it is final accounting system.
Read more other entries :
Subscribe to:
Comments (Atom)