OpenTuition.com Free resources for accountancy students
Free ACCA lectures and course notes | ACCA AAT FIA resources and forums | ACCA Global Community
View ACCA F3 / FIA FFA lectures | Download F3 notes
March 8, 2016 at 11:38 am
Hi Mr John,
Your lectures are very helpful, easy to understand. I do have a question thought. Was trying to do other exercises but I got confused in the followings:
Receivables at 1 January 20×3 10,000 $
Receivables at 31 December 20×3 9,000$
Total Receipts during 20×3 (including sales of 5,000$) 85,000$
What are Sales on credit during 20×3?
I think it is 81, 000$ BUT wright answer is 79, 000$, which I am confused…. Could you please explain it?
John Moffat says
March 8, 2016 at 11:56 am
In future you must ask questions like this in the Ask the Tutor Forum, and not as a comment on a lecture.
The cash received from credit sales = 85,000 – 5,000 = 80,000.
10,000 of this cash will be from receivables owing at the start of the year. That leaves 70,000 cash from this years sales.
At the end of the year we are still owed 9,000, therefore the total credit sales for the year must be 79,000.
March 11, 2016 at 11:10 am
ohh sorry! I will do it next time, I apologize for it.
I understand it now! Thank you for your response.
March 11, 2016 at 12:40 pm
You are welcome 🙂
December 2, 2015 at 6:01 pm
a quick question an expense account has the following transactions recorded in it: Opening debit balance of £100, Debit transaction of £500, Credit transaction of £150. What is the correct closing balance?
December 3, 2015 at 7:02 am
Debit balance of 450
Khoula Khan says
November 25, 2015 at 1:20 am
Amazing lecture. 🙂
I just wanted to ask that what you did in ”tidying up the owner” is it important? I did not understand it and if its important what’s the use of it?
November 25, 2015 at 7:01 am
It is not important for the exam.
It is important in ‘real life’ because we want to start the next year with the net figure for the amount owing to the owner.
November 25, 2015 at 12:01 pm
November 25, 2015 at 4:02 pm
November 9, 2015 at 6:02 pm
Thanks a lot
November 3, 2015 at 5:09 am
Thank you very much for ironing out the ruffles, John.
November 3, 2015 at 7:10 am
October 31, 2015 at 4:40 pm
the withdrawals in the A/C was $500. why is it a $100 in the SOFS? though, it balances correctly. have i missed something? :S
October 31, 2015 at 4:41 pm
Yes you have – look at comments further down this page 🙂
October 31, 2015 at 4:48 pm
sorry, i forgot what i saw yesterday. btw, thanks for the lectures and also for a quick reply. 😀
October 31, 2015 at 5:11 pm
November 3, 2015 at 4:45 am
I was thinking the same, but debit (DR) 500 and withdrawals 100, which leaves us with 400 as profit.
November 3, 2015 at 5:03 am
Oh, sorry, yes. The withdrawals was previously 100, then he explained of the mistakes that can be made. This is when 100 was changed to 500, for simple e.g
October 10, 2015 at 9:40 pm
What is the purpose of Nominal ledger and General Ledger? what types of transactions are recorded in both and what is the difference between both? Both have T account but what is the difference?
October 10, 2015 at 10:59 pm
The nominal ledger and the general ledger are different names for the same thing. There is no ‘official’ name, but in the exam it is called one of these two names.
October 11, 2015 at 10:09 am
thank you so much
September 17, 2015 at 9:47 am
First of all thanks for your great illuatration! Here I have a small question on the last task. See when you tidy up the capital account for owner, you got a balance 5300 $ on the debt side, why you wrote the balnce again on the credit side? I just want to confirm if this credit balance 5300$ is necessary to write down or not? If yes, why?
September 17, 2015 at 10:41 am
The missing figure is on the debt side, but we always carry it forward to the opposite side.
So we end up with a credit balance (the net effect of the entries in the account is a net credit), which makes sense because it is money owing to the owner.
September 17, 2015 at 1:27 pm
Ok, clear. thank you very much! !
August 19, 2015 at 10:51 am
Where did you get $500 for withdrawals?? Is it not $100?
August 19, 2015 at 10:53 am
You were not listening carefully enough. The drawings were 100 and when I changed it to 500 I was simply explaining the sorts of mistakes that the bookkeeper could make. 🙂
July 23, 2015 at 7:45 pm
Thank you so much for your fantastic lecture. It’s clear and very easy to understand!
I just have some small questions for you, sir. In the text book, it uses the word “SOPOL” instead of “balance”, so what does “SOPOL” stand for? And in the exam, is there any rule about using “SOPOL” instead of “balance” or vice versa?
July 23, 2015 at 9:18 pm
SOPOL means Statement of profit or loss. It does not mean balance (and is the new name for the Income Statement).
June 23, 2015 at 1:49 pm
Hey John, where can I get exercises for Chapters 1 – 3? And when can I take the mock exams?
June 23, 2015 at 3:17 pm
There are a few test questions at the end of most of the chapters in the lecture notes.
However you must buy a Revision Kit from one of the approved publishers because they contain lots of exam standard questions, and practice is vital.
You can take our mock exam (online) any time you want to. However it makes sense to wait until you have worked through all of the chapters in the lectures notes (and the lectures that go with them).
The test examines the whole syllabus (just as the real exam will), and because the program selects questions at random from a bank of questions, every time you attempt it you are likely to see different questions in Section A.
June 23, 2015 at 7:29 pm
June 18, 2015 at 2:54 pm
Would office supplies be considered current assets or expenses?
June 18, 2015 at 3:01 pm
The office supplies used are an expense.
Any still in inventory at the end of the period are a current asset.
June 17, 2015 at 1:13 am
Drawings were $100 in example but I think by mistake you put $500 in Withdrawal ledger . Because you carried down $100 in SOFP and Capital account that made me confused. I’ll be grateful for your assistance. Thanks
June 17, 2015 at 6:45 am
You were not listening carefully enough. The drawings were 100 and when I changed it to 500 I was simply explaining the sorts of mistakes that the bookkeeper could make.
June 17, 2015 at 8:16 am
Thanks for your assistance.
May 17, 2015 at 9:22 pm
how else could we name the Income statement account when closing off the T accounts?
May 18, 2015 at 9:26 am
Why do you want to name it something else?
When we present the actual financial statement we call it the “Statement of profit or loss”
May 14, 2015 at 2:51 pm
Thank u soooo much sir.
Where s the tougher quistions to practice this chapter ?
May 14, 2015 at 4:44 pm
First, there will be very few questions (if any) in the exam that test basic double entry – it is not a double entry exam (computers can do that these days 🙂 ) – although it is essential to understand double entry.
It is impossible to ask ‘tough’ questions until the later chapters.
Second, although we do have a few test questions after each chapter (and also a full mock exam), you must buy a Revision Kit from one of the ACCA approved publishers. They contain lots of exam standard questions to practice on.
May 23, 2015 at 3:01 pm
April 15, 2015 at 3:46 pm
Just a question to understand the concept better. If there is a payment through check/ post dated check or purchase order for a certain amount where do we record the transaction ? How do we classify those transaction ?
Thanks for your assistance.
April 15, 2015 at 4:05 pm
First, purchase orders are not recorded in the t-accounts. (If a company uses purchase orders, they will no doubt keep a record, but any record is not part of the double-entry).
Payments by cheque (it will be spelt ‘cheque’ in the exam) will be recorded in exactly the same way as cash. A company will have two cash accounts – one for ‘loose’ cash, and one ‘cash at bank’ account for payments and receipts through the bank account (including cheques paid and received). Some companies make no payments in ‘loose’ cash and so will just have one cash account.
The idea of having two cash accounts is dealt with in later chapters/lectures, as is the reconciling of the cash at bank account to the bank statement (and how cheques are dealt with).
April 15, 2015 at 4:14 pm
Thank you John. I shall complete the chapters as said and if I have clarifications I shall get back to you.
Have a pleasant evening.
March 5, 2015 at 10:57 am
Hi! Thank you for your lectures. I just wanted to clarify something. Are closing entries made every month or is it made at the end of every accounting period?
March 5, 2015 at 12:12 pm
In practice it is up to the company to decide how often. They must be done at the end of the accounting period, but many (if not most) companies do them at the end of each month as well.
February 26, 2015 at 8:06 am
Thanks for the lecture…. I give it you best online teacher of our time.
December 3, 2014 at 10:34 am
wow your lecture is soo interesting and easy to grasp. sir please note the withdrawals figure is still showing 500. so when you were doing your tiding up bit i couldn”t follow it. however, now I understand from your comments that you deliberately changed it at one stage and left it. So should I read withdrawals as 100?
I studies F3 with Kaplan but your lectures are so well explained.
Thank you very much.
June 1, 2015 at 9:01 pm
Good evening Mr Moffat
I also found this a little confusing, could you please explain why you reduced it to 100 and when we might need to make the same amendments?
Many thanks in advance
June 1, 2015 at 9:05 pm
I have scrolled do n and read the explanation you gave to Shahena. Disregard my question.
November 2, 2014 at 9:24 pm
Is it appropriate to transfer the balances on Income Statement items to Income Statement instead of opening Income Statement T A/C? E.g. Rent A/c being debit bal could be written as transfer to Income Statement while closing it off.
I do sincerely appreciate you.
November 3, 2014 at 4:39 am
There must be a debit and a credit – an income statement t-account is necessary. (Although the exam will contain little testing on pure double entry)
October 14, 2014 at 11:44 am
We’ll the explanation was very helpful… I just had a doubt .. What was striking me to forward .. How did withdrawal change from $500 to $100 … Capital $ 5000 + profit (I/S) $400 – withdrawal $ 100 ??? M
October 14, 2014 at 4:09 pm
You were not listening carefully enough 🙂 The drawings were 100 and when I changed it to 500 I was simply explaining the sorts of mistakes that the bookkeeper could make.
October 2, 2014 at 3:57 am
Hello, Sorry i’m just confused how you determine what goes into the income statement and what goes to the balance sheet. Please can you explain a bit more on that.
October 2, 2014 at 6:23 am
Have you watched the earlier lecture on Chapter 2 of the Course Notes?
It is in that chapter that I explain what the Statement of financial position, and the Statement of profit or loss are showing.
September 3, 2014 at 10:12 pm
Grt lecture, its very easy understand thank you.
September 4, 2014 at 5:53 am
Thank you 🙂
August 23, 2014 at 2:06 am
balance c/d of this year is balance b/d of next year. is it true?
August 23, 2014 at 8:34 am
That is true 🙂
April 12, 2014 at 8:25 am
Thank you for this helpful lecture.
I know that the Statement of Financial position did balance off nicely but I think I was attentive to the lecture and know how did the $ 500 withdrawals come up. But I wanted to know whether this error is going to cause problems later on.
April 12, 2014 at 8:28 am
March 22, 2014 at 10:31 am
March 22, 2014 at 6:50 pm
March 14, 2014 at 8:49 am
Thanks very much Tutor, You rock
March 14, 2014 at 8:59 am
February 28, 2014 at 5:06 am
Oh,sorry, Mr. Moffat,I am poor in English.
Comparing with other lectures,you give many examples to make us understanding easily.Thank you.
I am misunderstanding the attribute of the lecture,because it is interesting and useful .
February 25, 2014 at 10:43 am
it’s easy to understand . Can you tell more realistic way to deal with ledders.
February 25, 2014 at 11:38 am
I am guessing you mean ledgers?
What do you mean by more realistic? These lectures are dealing with what you need for the exam – there is more about using ledgers in the chapter on Books of Prime Entry.
September 15, 2013 at 8:25 pm
where did the 500 amount on the withdrawal ledger come from i thought the drawings were to be 100 because thats what kristine withdrew from the business. please help didnt understand where the 500 came from.
September 16, 2013 at 6:11 am
You were not listening carefully enough – I was explaining the sort of mistake that the bookkeeper might make. See the other posts below.
February 23, 2014 at 12:09 pm
Thank you Mr. Moffat excellent explanation … You are the best I have ever come a cross. Top teacher ???? LIKE.
February 23, 2014 at 1:10 pm
May 26, 2013 at 9:17 am
it’s so easy to understand and apply. thanks!
May 5, 2013 at 2:27 pm
Thank you, this is excellent.
March 6, 2013 at 9:54 pm
Which study text do you recommend – Kaplan, BPP or LSBF?
March 5, 2013 at 11:07 pm
with a lecturer like this, you know accounting can be interesting .
March 2, 2013 at 12:05 pm
i am really enjoying the lecture. it follows a step by step instructions. it is making accounting simple for a non accountant like my self. Good job.
January 27, 2013 at 7:22 pm
The drawings they were $100….the Mr. did it wrong, he posted the amount $500.
January 29, 2013 at 12:01 am
thats what confused me also……
February 20, 2013 at 11:39 am
i thought of the same thing also………..why the 500 ?yet when he went on to the capital account he posted $100………….clarity plz!!!!!
April 24, 2013 at 8:46 pm
November 20, 2012 at 6:32 pm
nice work very helpful video, thank you very much!!!
November 19, 2012 at 5:43 am
i mean other papers
November 19, 2012 at 5:18 am
Very clear, very helpful. Thank you! Other lectures not so good as this one…
July 24, 2012 at 9:10 pm
Thanks a lot! Clear and simple!
July 17, 2012 at 3:49 pm
Thank you Open tuition, you are a blessing
July 14, 2012 at 10:31 am
very good lecture!! I LOVE the way the lecturer explain things very clear and understandable!!! EXCELLENT!! THANKSSS A LOT!!!
April 11, 2012 at 1:26 pm
Thanks so much. Well explained. Easy to digest.
February 5, 2012 at 10:40 pm
@sediq5050, its 100
March 8, 2012 at 10:19 pm
Thats exactly what i was wondering thanks for raising that question
June 29, 2012 at 9:01 pm
Its not actually $500, it was $100 just in the ” Double bookkeeping Part a” he erase $100 and wrote $500 instead and even then he was giving example about people can do small mistakes by writing in one T account $100 and in another $500 in their normal day bookkeeping which is basically a small amount but it can create serious problems later in finalising the accounts. And later the Lecturer just forgot to write it back $100. so don’t get confuse it was $100 before
and it is $100 now. You can also check the correct figure in the lecture notes
April 24, 2013 at 6:18 pm
thanks dude for your help 🙂
July 5, 2013 at 11:28 pm
oh thnx i was really confused now it bcm clear..:D
November 26, 2011 at 12:36 am
Today is the first time, I listened to this explanation of double entry, its brilliant. I wish my tutor at the college could have explained like this.
April 26, 2011 at 1:47 pm
Can someone pls explain to me how to tidy up d owners account-example 6 on chapter 2.my own recording did not end.whats d last thing to do after u debit d Income statement t account and the capital account
February 4, 2011 at 10:20 pm
this is so well explained….really really helpful…
December 29, 2010 at 3:03 pm
sorry the above queation is regarding f3 test question 1.
December 29, 2010 at 2:59 pm
just alittle clarification on withdrawals ,anybody,in the test ,chap 7,inventory valu, ques 1 .why credit purchases when you make a stock withdrawal and not inventory or sales?
is it because inventory is only dealt with at the end of the accounting period ?
November 5, 2010 at 9:24 pm
I like the fact, the lecturer gives step by step instructions and explains clearly why we are doing things. The examples extend the knowledge which makes it easier to remember 🙂
October 25, 2010 at 12:10 pm
You must be logged in to post a comment.
OpenTuition.com is dedicated to providing all accountancy students throughout the world with the resources they need to study for the major … Learn more