Help pls,

[nasco]

hI,
I am a new ACCA student,and am facing some problem with

-double entry
-Bank reconciliation
-How to fill receivables/Payables legers
-incomplete records
-Disposal of fixed assets

I will be grateful if someone could give me a hand in the abobe mentiaoned part of this course.

Many thanks
Nasco

[Acid]

Hi there,

The above mentioned will require much text to understand . I would suggest you buy Studytexts to understand the topics.

Regards

[Ash123]

well i cnt explain u d whole thing.. but here is a format hope it helps!

Step 1:
Calculate the adjusted Cash book balance!
Taking account of all the addition errors/adjustments given!

Step 2:
Prepare BRS
BANK RECONCILIATION STATEMENT

Balance as per adjusted cashbook X
ADD: Unpresented Cheques X
LESS: Uncredited Cheques (X)
Balance as per bank statement X [Answer]

This should match with the one given in ur Question!
or
Balance as per Bank statement X
ADD: Uncredited Cheques X
LESS: Unpresented Cheques (X)
Balance as per adjusted cashbook X [Answer]

Theory:
due to Timing difference or errors the amount in ur cashbook and ur bank statement might differ... as a result both will show a separate figure...
The BRS provides a check b/w the CB balance and the BS balance.

ADJUSTED CASH BOOK BALANCE:
this is the cash balance after taking account of all those transactions that were taken into account by the bank inthe BS but not in the CB and errors cast by the accountant.. such as Bank charges, Overdraft balances, undercast/overcast errors.

UNPRESENTED CHEQUES:
Cheques taken into account by business CB but not the bank. These are the cheques payment made by the business and entered inthe cashbook but not yet presented to the bank.. in other words... not cleared and as a result do not appear on the BS.
In short the unpresented cheques represent cheques payment made by the entity.
Also knw as Outstanding cheques

UNCREDITED CHEQUES:
Chequs received, entered in the cash book and paid into the bank, but which have not yet been cleared and entered in the account by the bank, do not yet appear on the bank statement.
In short Uncredited cheques are cheques received by the entity.
Also knw as Outstanding lodgements
Hope this helps!

Regards Ash

[Ash123]

Every financial transaction gives rise to two accounting entries,
one debit and the other credit.

Debit is the left side of the T account
Credit is the right side of the T account

Debit = To own/have or Whn ever smething comes into ur business
Credit = To owe or Whn smethng leaves ur business

Main Principles

DEBIT = An increase in Asset
An increase in Expense
A decrease in Liability
A decrease in Income
A decrease in capital

CREDIT = A decrease in Asset
A decrease in Expense
An increase in liability
An increase in income
An increase in capital

Regards
Ash