Thanks for the lesson.
my question is what is the difference between a circularisation and a correspondence?
K
KimTutor·
Please use the tutor forum to ask any technical questions https://opentuition.com/forum/ask-acca-tutor-forums/ask-the-tutor-acca-audit-and-assurance-aa-exams
Y
yushengng·
Thank you for the quick reply!
I have just seen the detailed explanation in Chapter 18.
Regards,
YuSheng
Y
yushengng·
Hello,
For example, if goods were received in the final week of the financial period (with GRN) but the invoice for the said transaction was only issued a week later, which is in the next financial period. What should be the appropriate entries in the balance sheet?
Thank you for the great video lectures!
Regards,
YuSheng
K
kengarrettTutor·
Thanks.
Dr Purchases
Cr Purchase provision/reserve
In the new year, when the invoice is received:
Dr Purchase provision/reserve
Cr Supplier account in payables ledger.
The amount should also appear in closing inventory.
my question is what is the difference between a circularisation and a correspondence?
I have just seen the detailed explanation in Chapter 18.
Regards,
YuSheng
For example, if goods were received in the final week of the financial period (with GRN) but the invoice for the said transaction was only issued a week later, which is in the next financial period. What should be the appropriate entries in the balance sheet?
Thank you for the great video lectures!
Regards,
YuSheng
Dr Purchases
Cr Purchase provision/reserve
In the new year, when the invoice is received:
Dr Purchase provision/reserve
Cr Supplier account in payables ledger.
The amount should also appear in closing inventory.