AS accounts doubt plzz help!!!!!!!

[immortal]

Plz explain, Q20 frm O/N 2004 P1

[***exam***]

acid ratio = ca-stock
                   cl

so here an increase in the creditors is the only way the  denominator decreases that leads to a decrease in ratio

[immortal]

acid ratio = ca-stock
                   cl

so here an increase in the creditors is the only way the  denominator decreases that leads to a decrease in ratio

Thanks

[RTB]

balance as per bank statement        (10136)
(-)unpresented cheque                   (4998)
(+)uncredited cheque                     5896
balance as per cash book                 (9238)

therefore answer is B $9238 overdrawn

hope itz clear

[immortal]

balance as per bank statement        (10136)
(-)unpresented cheque                   (4998)
(+)uncredited cheque                     5896
balance as per cash book                 (9238)

therefore answer is B $9238 overdrawn

hope itz clear

Yes,Thanks
but wat abt bank interest charged

[pastyear]

interest charged already in the bank statement so no need to do adjustment as you begin with bank statement
Hope u understand