Usefull

Question 1

Assets equation

Answer 1

Assets = Liabilities + equity

Question 2

Fundamental qual characteristic s

Answer 2

Relevance fathful rep

Question 3

Fundamental principles

Answer 3

Integrity
Obj
Pro comp
Confident
Pro behaviour

Question 4

Source docs

Answer 4

Invoice (sales/purchase)

Question 5

Gross pay calc

Answer 5

Net pay + deductions (PAYE NI pension

Question 6

Total payroll cost

Answer 6

Net pay + PAYE+ employee/employer NI+ pension

Question 7

Customer pays later than expected

Answer 7

Dr cash (full amount)
Cr receivables expected
Cr income diff

Question 8

Double entry for refund

Answer 8

After payment if goods returned
Dr sales returns
Cr trade rec

Then refund cash

Dr trade Rec
Cr cash

Question 9

How to correct bank statements

Answer 9

Add outstanding lodgements/ transfers

Minus I presented cheques

Question 10

Double entry for purchasing inv

Answer 10

Dr purchases
Cr TP/cash

Question 11

NRV

Answer 11

Selling price - selling cost/ dist exp

Question 12

Entry for writing off inv

Answer 12

Dr other exp
Cr purchases

Insurance pay
Dr cash/receivables
Cr other income

Question 13

Entry for owner taking stock

Answer 13

Dr drawings (cost)
Cr purchases

Question 14

Increase irrec debt allow

Answer 14

Dr irrec exp
Cr allowance for rec

Question 15

Rec not expected to be paid

Answer 15

Dr irrec exp
Cr TR

Question 16

Irrec debt now paid

Answer 16

Dr cash
Cr irrec exp

Question 17

Accrual/ prepay double entry

Answer 17

Dr exp
CR accrual

Dr prepay
Cr exp

Question 18

Accrued inc/ differed inc double entry

Answer 18

Dr accrued inc
Cr rev/ other inc

Dr Rev/othe inc
Fr deffered inc

Question 19

Double entry for depreciation

Answer 19

Dr dep exp
Cr accum dep

Question 20

Accounting for NCA disposal

Answer 20

S1 remove cost of disp
Dr disp acc
Cr nca cost acc

S2
Dr accum dep
Cr disp acc

S3
Dr cash
Fr disp acc

Question 21

Double entry for equity / irred pref shares during and before period

Answer 21

During
Dr RE
Cr Cash

Before
Dr RE
Cr Accruals

Question 22

Entry for redeemable pref share
Divi during and before period

Answer 22

During
Dr financ charge
Cr cash

Before
Finance charge
Accruals

Question 23

Accounting for share issue

Answer 23

Dr cash proceeds
Cr sc
Cr sp

Question 24

Accounting for bonus issue

Answer 24

Dr SP
Cr SC

Question 25

Entry to increase a provision

Answer 25

Dr expense
Cr provision

Question 26

Entry if the expenditure is larger than the provision

Answer 26

Dr provision
Dr provision
Cr cash

Question 27

Entry to create a provision

Answer 27

Dr exp
Cr prov

Question 28

Closing capital calc

Answer 28

= opening cap + cap introduced +/- prof/loss - drawings