Day: January 21, 2022

Research methods PRELIMINARIES Proposal and thesis writing are areas of research that have caused a lot of challenges to scholars and rise archers. These challenges are at times caused by the researcher’s inability to clearly define what is expected in Read More …

When non-current assets are depreciated, a new account for each type of asset is opened; this account is called a provision for depreciation whereby the following entries will be made: Debit – P&L a/c Credit – Provision for depreciation a/c Read More …

These are the methods developed to assist in estimating the amount of depreciation to be charged in the profit and loss account as an expense. The methods chosen by a firm should be in accordance with the agreed accounting practice, Read More …

It is the loss of value of a non-current asset throughout its period of use by the firm. IAS 16 on property, plant and equipment defines depreciation as the allocation of a depreciable amount of a non-current asset over its Read More …

RESEARCH METHODS FOREWORD Proposal and thesis writing are areas of research that have provided challenges to many students and scholars. However, the ability to identify, define and research an issue or problem impacting on education, business or society is a Read More …

Capital Expenditure: This is the amount spent on the acquisition of a non-current asset or adding value to a non-current asset. Examples of expenses incurred in acquisition: Purchase price/cost of the asset. Delivery/carriage inwards costs (e.g. shipping charges or import Read More …

This is a simple report that shows the assets and liabilities of the business and the capital of the owner as at a certain point in time. The format is at shown below: Name Statement of financial position as at Read More …

It shows the net profit or net loss that the business has made from all the activities during a financial period. The net profit (or loss) is determined by deducting all the expenses from all the incomes of the same Read More …

Trading Account The trading account summarises the trading activities (sale and purchase of goods/stocks) of the business and tries to determine the gross profit for the relevant financial period. The gross profit is then taken up in the profit and Read More …

1. To update the cashbook with some of the items appearing in the bank statement e.g. bank charges, interest charges and dishonored cheques and make adjustments for any errors reflected in the cashbook. 2. To detect and prevent errors or Read More …