Accruals And Prepayments Flashcards
1
Q
Accrual of expenses
A
Liability in a SFP
2
Q
Prepayment of expenses
A
Asset in SFP
3
Q
Accrual of income
A
Asset in SFP
4
Q
Prepayment of income
A
Liability in SFP
5
Q
Opening inventory
A
Debit - SPL
6
Q
Closing inventory
A
Credit - SPL
7
Q
Closing inventory will be shown on the Statement of _________ (DR) and will be _________ inventory in next years statement of profit or loss.
A
Closing inventory will be shown on the Statement of financial position (DR) and will be opening inventory in next years statement profit loss.
