Date Particulars Jan 1, 2020 Cash balance – 15,600, Bank Balance – OMR 13,800 Cash sales – OMR 4,800 Deposited in to Bank - OMR 7,000 Purchased Goods from Mr.Waleed – OMR 4,200 2 5 7 Drew from Bank for office use OMR 1,200 Paid cheque to Mr.Waleed OMR 4,000 and received discount OMR 200 Sold goods to Mr. Sharooq –OMR 12000 Paid sundry expenses – OMR 120 Received cheque from Mr.Sharooq OMR 11,800 and discount allowed -OMR 200 10 14 16 18 Purchased stationary – OMR 3,500 Cash sales paid in to Bank OMR 4,500 Withdraw from Bank for Personal use – OMR 1,600 Bought goods for Cash – OMR 1,800 Mr.Sharooq cheque paid in to Bank Purchased fumiture by cheque – OMR 1,500 Mr.Sharooq cheque was dishonoured by the bank Loan received from bank OMR 2,500 19 20 23 24 25 26 29 30 Required: From the above information prepare triple column cash book with Discount, Cash and Bank Column.
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
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