Financial Statements

Depreciation of any asset is charged to income statement till the actual date of disposal of asset and after that date depreciation is not charged to income statement.

If the company started out with negative Retained Earnings, the ending balance would be less than their Net Income.

Or, if the company paid out a large amount in Dividends.

Straigt line depreciation = (total cost of asset - salvage value)/ useful life of asset.

Creditors are the people which gives products on credit to business for payment in future, as it is liability of business so it is shown under current liability at liability side of balance sheet .

Accrued expense refers to an expense that has been incurred but not yet paid. Examples of accrued expense items might be interest that has accrued on an outstanding note that has not been paid, and taxes that have accrued but not yet been paid.

no

Not exactly. Cash flow simply refers to the flow of cash into and out of a business over a period of time. Watching the cash inflows and outflows is one of the major management tasks of an owner. The outflow of cash is measured by those checks you will write every month to pay salaries, suppliers, and creditors. The inflows are the cash you receive from customers, lenders, and investors. You can have positive cash flow (cash "in" to the business exceeds cash "out" of the business) or negative cash flow (cash "out" of the business exceeds cash "in" to the business). Positive cash flow is good; the only real worry is what to do with the excess cash. Negative cash flow is usually not good and can signal that the business is in trouble. There are three components of a cash flow statement: 1. Operating cash flow (or "working capital"--generated by sales of your product or service of your business--since it is generated internally it is under your control, which is good), 2. Investing cash flow (generated from investments in plant and equipment or other fixed assets, or other uses of cash outside normal operations), and 3. Financing cash flow (cash to and from external sources such as lenders). Profit, on the other hand, is Revenues less Expenses, and to truly identify how profitable a business is over a specific time period, you must first identify ALL revenues and expenses for period in question, usually one year. I could go on, but this answer is already too long. I recommend you Goggle for "Profit" and "Cash Flow" on the 'Net, or pick up a business book in your local library. Good luck!

Too put this in simple terms:

If cashflow(sales) are advertised as $1 million, and expenses (not including owners(your) wages are 900K, the business makes 100K net per year. You'd probably draw a salary of 60K-80K and be left with corperate profit of 20K-40K

having knowledge about financial and economical sectors and fundamentals in the field of banking related sectors.

can u prepare the use case diagram for simple payroll system?

How large? Amazon, Overstock.com, Bed, Bath and Beyond all sell Pyrex and you may find what you need on their web site. Or you could Google Pyrex (made by Corning) for other retailers. Pyrex is a special tempered glass that can withstand a lot of heat, so it is used for cooking. Pyrex brand also makes measuring cups, etc out of glass and some of them are tempered and some are not. But, a mixing bowl like you are talking about does not need to withstand the heat of the oven or stovetop so any brand will be just as good as Pyrex for mixing in. Try E-bay. Also, type in Pyrex. I noticed Craig's list sells them too.

debit accounts receivable
credit bank

Dr Investment

Cr Provision for contingent consideration

The ledger

Advance rental receipts

Service Revenue

False

Journal entry is required for depreciation in quickbooks as well as FAS for peachtree also can be used to automatically record depreciation entries

The role of debit and credit is about dual effect, which its requirement is debit side equal credit side for each transaction.

Bad debt expense account is the actual expense account for bad debts while allowance for doubtful account is the provision for account in case of any bad debts occurs in future.

Fixed asset register record all information regarding purchases of fixed assets as well as depreciation and replacement information

before we find gross profit ,after we got net profit

cash book contains on one side receipt and other side payments of specific date. for example if a cashier receives 10000/- in cash book on receipt side and paid 2000/- towards stationery, 6000/- towards entertainment and 2000/- towards utility bills. He will enter these amounts in payment side of cash book and make a total in the end by 10000/- and make sure that receipts and payments are equal. Cash Book
Receipts Payments
dated Particulars Amount Dated Particulars Amount
10-10-2009 revd vide chq no. 10000/- 10-10-09 paid for stationery 6000/-
123 dated 10-10-09 items
'''' paid for entnment 2000/-
''' paid for utility bills 2000/-
total receipts Rs. 10000/- Total Paid 10000/-
Ledger contains different accounts heads, cashier handed over payment vouchers of above payments to the accountant of that firm and the accountant then post the above payment to their respective ledger each.


Printing & Stationery--Ledger


dated Particulars debit credit balance
10-10-2009 Paid for printing
papers for office use 6000/- 6000/-

Assets increase over liabilities

Balance Sheet