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help in accounting paper 3 plz

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7ooD:
Plz answer those questions 1 day is left for accounting 


my first questionn it is a fast one on nov 2005 question 5 b)3) ebor's current a/c showed a credit balance of 10000 it was agreed that he should transfer half of this to his capital a/c in the mark scheme they debited the current account and credited the capital but on may june 2008 question 3) 4) the partners decided that the debit balance of 2200 on amina's current account should be transferred to her capital account. this had not been recorded in the mark scheme they debited the capital a/c and credited the current a/c for the correction of error of this entry i dnt understand this how can they be opposite while they look the same in the two papers

 

 

Bani:
For the first question, if you think of it, Bank balance can either be a debit (representing the amount of money left in the bank) or a credit balance (representing bank overdraft<more money withdrawn than allowed>). Ok, now, to find out the bank balance upto this year, you would add to the previous year's bank balance the receipts (the money you have earned) and take away the payments (the money going out of the business) to get whats now remaining in the bank. Lets say if 2005's bank balance was a credit balance, then you would simply put it as a negative figure in brackets in ur calculator. SO, (-3150)+(receipts)-(payments) to get the final bank balance.
Then, about the second part, Assets-Liabilities represents how much would've left with after the business pays its debts. Its basically like the working capital of a trading organisation I think, representing the available funds for day-to-day expenses, after debts have been cleared.
I hope this made any sense. I'll move onto ur second question and try to work it out. :)

Bani:
For the second question, Im assuming you asked about the Sales Ledger CONTROL ACCOUNT :) instead of the Sales Ledger. Ok, so, the Sales Ledger Control Account (a.k.a Debtors Ledger Control Account) always starts off with a debit balance (as the people you sell goods to are the debtors). The format goes like this:
               Balances (Total of Debtors' balances)              A debit balance
               Balances (Debtors with credit balances)           A credit balance
               Credit Sales                                                A debit balance
               Sales Returns                                              A credit balance
               Cheques recieved from Debtors                       A credit balance
               Dishonoured cheques                                    A debit balance
               Overpayments refunded                                 A debit balance
               Discounts Allowed                                         A credit balance
               Bad Debts written off                                    A credit balance
               Interest Charged to Debtors on overdue Accounts  A debit balance (because this would INCREASE the amount the debtors owe)
               Transfers (set offs)                                      A credit balance

      I hope you understand these transactions; any confusion, ask. I'll move onto your third question. :)

Monica:
hahahahaha!! Bani ur answering him here and i am answering him in the other thread!! hahaha!! 7ood!!

Bani:

--- Quote from: Monica on May 30, 2009, 08:05:30 pm ---hahahahaha!! Bani ur answering him here and i am answering him in the other thread!! hahaha!! 7ood!!

--- End quote ---

Haahahaha!!! 7ood,which thread do you want us to answer ur queries?  :D ;D :)

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