Financial Statements

Nothing.

no it's not

Accounts receivable are those money which is receivable in future from debtors and it is current assets of business and shown in balance sheet at assets side.

VAT payable is liability for business and shown in liability side of balance sheet of business.

following is the formula for measuring net income or loss:

Net income (loss) = total revenue - total expenses.

Pliz do your interview in your own country and read your text book

Regards

Prasad!

It is basically deducting the allowance for doubtful accounts from the total accounts receivable.

cash discount

Jake derbyshire.

Net Worth = Total Assets - Total Liabilities

capital lease is part of cash flow from investing activities and payment in this regard is shown in this section of statement.

assets must have decreased by 7000

acid test / quick ration = quick assets / quick liablities

quick assets = current assets - stock- prepaid expenses

quick liablities = current liablities - bank overdraft

Insolvent

Fixed assets are also tangible assets with the following characteristics:

(1) for the production of goods, provide services, for rental or administrative purposes;

(2) to a term of over one year;

(3) high unit price.

Classified by economic use of fixed assets, fixed assets can be divided into production and business class business class of all fixed assets of .1 non-production, production and operation class of fixed assets, is the direct service of production, business process various types of fixed assets. Such as the production and management with houses, buildings, machinery, equipment, utensils, tools. 2, non-production business with the fixed assets is not directly serving production and business processes of various fixed assets. Such as dormitories, dining hall, bathrooms, hairdressing room and so the use of housing, equipment and other fixed assets, etc..

Hug the use classification of fixed assets can be divided into fixed assets in use, no use of fixed assets and fixed assets not required.

Classification of the ownership of fixed assets can be divided into fixed assets owned fixed assets and rental income. Leased fixed assets are divided into operating lease of fixed assets and fixed assets financed by leasing.

The economic use of fixed assets and use of comprehensive classification: 1, production and operation of fixed assets. 2, with fixed assets of non-production operations. 3, leased fixed assets. Means the lease under operating lease of fixed assets to other units. 4, No need for fixed assets. 5, no use of fixed assets. 6, the land. That in the past has accounted for the land alone. Paid for land acquisition compensation fee, should be included in land-related housing, the value of the building, 7, fixed assets financed by leasing.

Details of fixed assets subject to classification according to the set, also can directly write the name of the specific device. The use of accounting software have now fixed detailed title.

Subjects use a lot, as long as the related fixed assets accounting are required.

dont know..i cant find and answer my self//////

no.

Operating revenue is that revenue which is earned by basic operating activity of business while non operating profit is earned from other activities like purchases of marketable securities etc.

9

Surplus on revaluation of assets means that on the even of revaluation, more assets has appreciate in their value then depreciate.

Cash is the main transaction in an accounting , it will affect from period to period in financial statement

The agreement of the two sides of the trail balances, though of prima facie test of arithmetical accuracy, is not a conclusive or absolute proof of the accuracy of the entries in the books of original entry and their postings to the ledger. In other words, the trial balance may agree without disclosing certain errors. The following classes of errors are not disclosed by the trial balance:

1. Errors of omission: When a transaction is not recorded at all or partially recorded in the book of original entry, both its debit and credit aspects would be omitted. The trail balance, therefore, is not affected. Similar results follow when one or more transactions are recorded twice in the subsidiary books.

2. Errors in the book(s) of original entry: The trial balance would not be affected it an entry is in a wrong book of original entry or entered in the proper subsidiary book but with a wrong amount. In both these cases, the debit and credit accounts are affected equally and thus will not disturb the agreement of the trail balance.

Examples: (a) An item of credit sales wrongly entered in the purchases book. The item will have wrong debit and a corresponding wrong credit. (b) An items of credit purchases for Rs. 115 wrongly entered in the purchases book as Rs. 151. In this case both the purchases account and the account of the supplier are affected to the same extent.

3. Errors of commissions: Such errors consist of entries of the transactions in a wrong account of the same class. It means the posting of an item is made to the correct side (debit or credit) but of wrong account. e.g., debiting or crediting R.N. Tiwari's Account instead of A.N. Tiwari's Account.

4. Errors of Principle: An item of nominal account entered into a real account or vice versa. In such a case the amount received or spent is wrongly recorded in a wrong class of account. For example a sum of Rs.50 paid on the repairs of furniture is debited to furniture account and not repairs account The errors of principle do not affect the agreement of the trial balance because they are correctly recorded so far as the debit or credit of the wrong class of account is concerned. It would be noticed that such an error arises. Through lack of knowledge of principle of accountancy.

5. Compensatory errors: These errors, also called self-balancing or equalizing errors, do not affect the agreement of the trail balance because errors on one side of the ledger account are compensated by errors of the same amounts on the other side e.g., Praveen's account debited with Rs. 150 instead of Rs. 120 and Bindiya's account with Rs. 200 instead of Rs. 230.

Compensating errors also arise when under-postings on one side are counter balanced by over-postings on the same side. e.g. Amitab's account credited with Rs. 500 instead of Rs. 600; Sanjeev's account credited with Rs. 60 instead of Rs.100 and Nirmal's account credited with Rs. 150 instead of Rs.110. Here the first error of under-credit of Rs. 100 is covered by second and third errors of over-credit of Rs. 60 and Rs. 40 respectively.

Provisional entries are made to account for future expenses or foreseen future losses. we will record these provisional entry by, initially debiting Expence account and crediting provision account. when provision is released, we debit the provision account and credit the Expenses account.

Equity account or increase or decrease in equity account is shown in cash flow from financing activities.