Year End Procedures Flashcards
1
Q
What principles require a business to do Year End Procedures or Adjustments?
A
- GAAP
- IFRS
2
Q
Name all these adjustments.
A
- Depretiation
- Accrued Income (Income Receivable)
- Deferred Income (Income revieved in advance)
- Accrued Expense (Expense Payable)
- Prepaid Expense
- Trading Stock Deficit / Surplus
- Consumable Stores on Hand
3
Q
Explain + Principle + Types
Depretiation
A
- Wear and tear of assets causing the decrease of the assets’ value
- Fixed Instalment / Straight Line Method
- Diminishing Balance / Carrying Value Method
4
Q
Accrued Income
A
5
Q
Deferred Income
A
6
Q
Accrued Expense
A
7
Q
PrePaid Expense
A
8
Q
Explain +
Trading Stock Deficit / Surplus
A
Doing a physical stock take to ensure that the stock recored in the accounts matches up with the physical stock.
Defecit - Books have more recorded
Surplus - Books have less recorded
9
Q
Consumable Stores on Hand
A
