The question stated that when a Trial Balance balances‚ it means the accounts are free of errors. I disagree with the statement. There may still be errors even if the trial balance is balances. There are six types of errors. The first type of error is the “error of omission” and the word omission mean left out. Its mean that a transaction is not recorded in the books of original entry‚ which mean both the debit and credit effects of the transaction are not shown in the Trial Balance. For example
Premium Bookkeeping Double-entry bookkeeping system Arithmetic mean
used by the government is also subject to changes and improvement to serve its purpose better. One recent change in the New Government Accounting System (NGAS) will be discussed in this paper; hence‚ the topic of this research‚ “Changes in Chart of Accounts of the New Government Accounting System.” This subject matter was chosen by the researchers believing that‚ being accounting students; they are bound to acquire as much knowledge as they can in this field and responsible for keeping themselves updated
Premium Balance sheet Asset Expense
a Dematerialized (or "Demat") account‚ instead of the investor taking physical possession of certificates. A Dematerialized account is opened by the investor while registering with an investment broker (or sub-broker). The Dematerialized account number is quoted for all transactions to enable electronic settlements of trades to take place. Every shareholder will have a Dematerialized account for the purpose of transacting shares. Process for opening a DEMAT account in any bank. Q2 What are
Premium Finance Investment Banking
Job Description ----Account Payable---- General Purpose Perform accounting and clerical tasks related to the efficient maintenance and processing of accounts payable transactions. Main Job Tasks and Responsibilities ▪ review invoices and check requests ▪ sort and match invoices and check requests ▪ set invoices up for payment ▪ process check requests ▪ prepare and process accounts payable checks‚ wire transfers and ACH payments ▪ reconciliation of payments
Premium Accounts payable Invoice Accounts receivable
LCCI International Qualifications Book Keeping & Accounts Level 2 Model Answers Series 3 2010 (2007) For further information contact us: Tel. +44 (0) 8707 202909 Email. enquiries@ediplc.com www.lcci.org.uk Book Keeping & Accounts Level 2 Series 3 2010 How to use this booklet Model Answers have been developed by EDI to offer additional information and guidance to Centres‚ teachers and candidates as they prepare for LCCI International Qualifications. The contents of this
Premium Generally Accepted Accounting Principles Balance sheet Accounts receivable
Goals of Receivable Management The basic goal of credit management is to maximize the value of the firm by achieving a trade off between the liquidity (risk and profitability). The purpose of credit management is not to maximize sales‚ nor to minimize the risk of bad debt. If the objective were to maximize sales‚ then the firm would sell on credit to all. On the contrary‚ if minimization of bad debt risk were the aim‚ then the firm would not sell on credit to anyone. In fact‚ the firm should manage
Premium Finance Investment Interest
system Account Information System of their students. The information are stored and compiled in some sort of filing cabinets and may take a long time to retrieve the data and information especially when the account is for old students of the school. In all it can take minutes finding the relevant account information of the students. Students Account Information System manages student records and account information. A SAIS may handle student’s information system‚ payments information‚ accounts and
Premium Bookkeeping Student Computer software
Requirement: Compute the amount of allowance for uncollectible accounts to be reported in the balance sheet of V company: Estimated Uncollected Accounts Details Total Amount ($) Percentage Considered Uncollectible (%) Allowance for Doubtful Debts Accounts ($) A B C D 0 – 30 Days Past Due 60‚000 5% 3‚000 31 – 60 Days Past Due 4‚000 10% 400 Over 60 Days Past 2‚000 70% 1‚400 Total 66‚000 4‚800 Therefore‚ the amount of allowance for uncollectible accounts to be reported in the balance sheet of V Company is $4
Premium Generally Accepted Accounting Principles Balance sheet Revenue
demand deposit accounts. Held for Trading Securities – Temporary investments of excess cash which are primarily held for short term gain. Loans and Receivables – include trade receivables and non trade receivables. Trade Receivables are claims against others which arise in the ordinary course of doing business. Examples are: Trade accounts receivable- these are claims against customers arising from the provision of services or delivery of goods on credit. Trade Notes Receivable – A note receivables
Premium Accounts receivable Generally Accepted Accounting Principles Money
|Less Operating expenses | | |=Net Income | • New Accounts on the Income Statement o SALES – revenues collected from the sale of merchandise o COST OF MERCHANDISE SOLD – the purchase price plus incidentals of merchandise available for resale o GROSS PROFIT – Sales
Premium Generally Accepted Accounting Principles Accounts receivable Revenue