IGCSE Accounting

[xandernz]

How do you do Capital Accounts?
DR drawings,
CR Capital Introduced, Net Profit,
What else??
Thanks Xander

 

[panoramafolks]

closing capital + drawings - fresh capital - opening capital = net profit

 

[SALYM]

Dear Sir,Madam

I have an issues that need clarification:
In Accounting (7110/22 Paper 2 October/November 2011) Q4 part (d)
it says "Obtain a long term loan, $10 000." would increase WORKING CAPITAL by 10 000.
is it correct? if so please give some explanation.

 

[SalmanPakRocks]

Dear Sir,Madam

I have an issues that need clarification:
In Accounting (7110/22 Paper 2 October/November 2011) Q4 part (d)
it says "Obtain a long term loan, $10 000." would increase WORKING CAPITAL by 10 000.
is it correct? if so please give some explanation.

Ofcourse it will! Because working capital is the captial you use for day to day transactions.

 

[SALYM]

Ofcourse it will! Because working capital is the captial you use for day to day transactions.

but it says LONG term loan . it is not a current liability.
WC= current - current liability
isn't it?
Pls clarify

 

[SalmanPakRocks]

You were talking about long term loan??
Then it would have no effect.

 

[SALYM]

You were talking about long term loan??
Then it would have no effect.

it is given in CIE paper ( Accounting (7110/22 Paper 2 ,October/November 2011) Q4 part (d))
as an example, it says it will INCREASE.
Now i'am confused.
could you please go through this question and let me know the correct answer. this paper is available in this site.

 

[SalmanPakRocks]

Ok lemme go trhough it!
Actually its my paper! I appeared for it and got an A

 

[SALYM]

Ok lemme go trhough it!
Actually its my paper! I appeared for it and got an A

Alhamdh lillah.

 

[mao123]

ANY ONE KNOW THE QUESTION ALWAYS COME ON PAPER 2 M/J!!PLEASE

 

[SRKfan]

it is given in CIE paper ( Accounting (7110/22 Paper 2 ,October/November 2011) Q4 part (d))
as an example, it says it will INCREASE.
Now i'am confused.
could you please go through this question and let me know the correct answer. this paper is available in this site.

working capital will increase as current assets will increase because of the finance obtained by the long term loan...

 

[Lostsoul]

it is given in CIE paper ( Accounting (7110/22 Paper 2 ,October/November 2011) Q4 part (d))
as an example, it says it will INCREASE.
Now i'am confused.
could you please go through this question and let me know the correct answer. this paper is available in this site.

Maybe the loan is paid into the bank, therefore the working capital will increase

 

[Amina N]

what questions are most likely going to come up?
thanks

 

[Adham-amr]

what questions are most likely going to come up?
thanks

A big clubs and society question, most probably a depreciation and disposal question, limited co., partnership won't come for sure, maybe bank reconcillation.

 

[Abdallah.Memon]

mAgin and markup .??

 

[Adham-amr]

mAgin and markup .??

Do you consider these important topics?

 

[lololo]

http://www.xtremepapers.com/papers/CIE/Cambridge IGCSE/Accounting (0452)/0452_s11_qp_23.pdf
Q-4 How is disposal 1600 ?
reply asap thankksss

 

[Abdallah.Memon]

Do you consider these important topics?

ahaan but i wanted anyone to explain these ......
it was nowhere related to your comment above mine

 

[fishcook]

A big clubs and society question, most probably a depreciation and disposal question, limited co., partnership won't come for sure, maybe bank reconcillation.

why wont partnership come? :S

 

[SRKfan]

http://www.xtremepapers.com/papers/CIE/Cambridge IGCSE/Accounting (0452)/0452_s11_qp_23.pdf
Q-4 How is disposal 1600 ?
reply asap thankksss

disposal is 1600 in the prov. for dep. acc cuz the eqp. was with him since 2008 so dat makes it 2 yrs (2008 to 2010) so u take da cost of the eqp $4000 x 20%= 800 and dubble it 4 2yrs of dep