Accounting, I need HELP URGENT.. :S --__--

[AngelofDeath]

Hey, I've got a cخuple of question about the 2010 Accounting specimen.
How do I solve (Q2f), and (Q3c).. Thanks in advance..

 

[Kokeeto]

Ok, so for (Q2f), you should be familiar that only items related to THIS PARTICULAR YEAR ONLY should be added to the Income Statement. We have these items:
-Opening Accrued Balance from LAST MONTH: 70
-Amount Paid: 80
-Closing Accrued Balance for THIS MONTH: 90
Therefore, if we calculate the amount paid related to this month, and not for the past month, we subtract 80 - 70, which is 10.
And then we need to add 90 to the 10 as the 90 represents accrued for this year, and accryued needs to be added to the Income statement (EVEN IF IT IS NOT PAID) to apply the principle of prudence and matching.
Regarding (Q3c), this just needs thinking of all factors affecting the balance on the cash book, or the bank statement, and finding a solution to the errors. If you have a problem understanding them, learn the answers. Who knows, they may come!
Good Luck, and if you need anything, ask me

 

[AngelofDeath]

Sir, I LOVE YOU... <3 <3 <3 <3... You might've just saved me man.. I thank you from deepest of my heart.. Good luck to you too..

 

[Kokeeto]

Aww, no problem dude.. Thanks