mixed questions Flashcards
what is the ledger called where all transactions of a business are recorded and from which the trail balance is recorded
general ledger
the subsidiary ledger that contains all the individual trade payable/ supplier accounts
purchase/ purchase ledger
the subsidiary ledger that contains all the individual trade receivable customer account. (credit customers)
sales/receivables ledger
what is the dual effect
for every DR there’s a CR
what book lists and analyzes the credit sales invoices raised to our trade receivables?
sales daybook
what books lists and analyzes credit notes raised to our trade receivables
sales returns daybook
difference between cash and credit
cash is paid for there and then even if a credit card is used this is still cash. credit means something that is paid for in the future. this is a trade receivable
what does imprest mean
its another word for topping the petty cash money up.
what is a trade receivable
customers that owe the business money. credit customers. DEBTORS
what is a trade payable
suppliers that we have brought goods or services from on credit. there knows as creditors
what is a liability
are amounts owed by the business
what is an asset
are items owned by a business and are available for us within the business.
what is VAT inclusive and how to work it out
total amount after VAT: (total/120%) x 20%= VAT
what is VAT Exclusive and how to work it out
total amount before VAT : Total x 20% = VAT
