General tips Flashcards
1
Q
VAT is always…
A
Rounded down
2
Q
When posting the L, what ledger does the vertical column go to?
A
The subsidiary ledgers
3
Q
When posting the L, what ledger does the horizontal row go to?
A
The general ledger
4
Q
What are some examples of control accounts in the general ledger?
A
Cash a/c
Bank a/c
PLCA (Purchase ledger control account)
SLCA (Sales ledger control account)
5
Q
The order of discounts applied is always…
A
Firstly bulk, then trade discounts
6
Q
The cash a/c can never be…
A
Overdrawn
7
Q
The accounting equation….
A
Assets - Liabilities = Capital
Or
Assets = Liabilities + Capital
