hello sir, i have problems in recording of purchase return and sale return.is there same ledger for purchase and purchase return or it is separate.and also for sale and sale return. thank you in advance.
I do explain the entries for returns in my lectures on control accounts.
For a purchase return we debit payables, and credit either purchases account or a purchase returns account. If we use a purchase returns account, then on the SOPL we show the net of purchases less purchase returns.
Hi! Madarin is my mother tongue. Because of the language barrier, I can’t easily understand my textbooks of F3. Teacher your clear and excellent explanation makes me have a curious and confident mind towards accounting learning! By the way, your accent is really great~ ??????????????????Thank you for your efforts of making videos and notes!?
At ”double entry bookkeeping part (a)”, the withdrawals account show the balance of 100. but at the next part, which is part (b), the withdrawals account show difference figure, which recorded as 500.
My question is, is the lectures mistake? or i miss something?
If you listen carefully I explain this during the lecture – I am giving an example of a typical sort of mistake that the bookkeeper can make (which becomes very relevant in later lectures when exam questions expect you to know how to correct mistakes).
Hi thanks for the lecture very interesting and much appreciated. I am new to accounting and i get confused between the debit and credit so where to place what any tips thanks.
The lecture is interesting, I like the way of presentation.
I want to clear my one doubt regarding Drawings. While solving the Accounting Equation we had put Drawings on Liabilities side and deducted it from Capital.
In this lecture the balance of Drawings have been debited. Would you please tell me the nature of Account for Drawings? Normally, it has debit balance or credit balance?
It is indeed a debit balance (which as you will see in the following parts of this lecture serves to reduce the capital, which is a credit balance because it is owing to the owner).
I answered your question – you did not ask for the ‘nature of the account’.
There is no such thing as “personal, nominal, or real” and so I have absolutely no idea what you are talking about.
On the assumption that you are studying for ACCA Paper F3 then I suggest that you watch all of my free lectures – they are a complete free course and cover everything needed to be able to pass the exam well. They do not cover “personal, nominal, or real” accounts because they do not exist 馃檪
Mr. Moffat, when we come across the books of Financial Accounting, we come to know about the types of Accounts.
Real Account — Record Assets and Liabilities Nominal Account — Record all losses (expense) and gains (Income) Personal Account — Related to an Entity/Person
My question was in what category Drawings / Withdrawals would fall from the above.
I did not get your idea as you have mentioned “Personal, Nominal or Real” account do not exist.
I repeat – in UK accounting and in what is examined the ACCA exams, we do not have ‘real, nominal, and personal accounts’, and there is therefore nothing for me to elaborate. The lectures cover everything you need to be able to pass Paper F3 well.
You can, although usually there is just one payables account. (Details of individual amounts owing are usually recorded in a separate ledger which is not part of the double entry – this is dealt with later in the chapter on Books of Prime Entry).
However for the exam it is not really relevant because you will not be asked to write up t-accounts.
as we know journal is one of day books where we record unusual transactions but i saw before preparing ledger accounts/t accounts we pass entries of all transactions in journal which are not unusual i am confused why we do so ? just in order to assist students so that they can pass right entries in ledger accounts we use that journal is it so??
Oltimo! This is Great!! This is a simple way of learning and mastering ledger entry and tial balance… do you know what?? I was finding this part of accounting very difficult, but today, I have understood every bit of every part of it… Thank you Mr John Moffat. God Bless opentuition sponsors….
kennyaragbs says
pls on the car account why not purchases account? thanks
John Moffat says
The car is a non-current asset. Purchases is when why buy goods for resale.
Have you not watched the earlier lectures?
kennyaragbs says
ok.thanks sir i understood.Yes have watched it.
John Moffat says
You are welcome 馃檪
hamedwardak says
hello sir,
i have problems in recording of purchase return and sale return.is there same ledger for purchase and purchase return or it is separate.and also for sale and sale return.
thank you in advance.
John Moffat says
I do explain the entries for returns in my lectures on control accounts.
For a purchase return we debit payables, and credit either purchases account or a purchase returns account. If we use a purchase returns account, then on the SOPL we show the net of purchases less purchase returns.
colinjsweetman says
It is DR because of the original Italian – ‘debere’ 馃槈
John Moffat says
It is actually from the Latin word debitum (which is one of the tenses of debere) 馃檪
nikihao says
Hi!
Madarin is my mother tongue. Because of the language barrier, I can’t easily understand my textbooks of F3.
Teacher your clear and excellent explanation makes me have a curious and confident mind towards accounting learning! By the way, your accent is really great~
??????????????????Thank you for your efforts of making videos and notes!?
John Moffat says
Thank you for your comment 馃檪
gulanaahmadzai says
Thank you so much for the nice lecture . It was very clear and nice.
John Moffat says
Thank you for the comment 馃檪
Gloria says
Amazing lecture
It was clear and concise
Great job Mr Moffat
elaine says
At ”double entry bookkeeping part (a)”, the withdrawals account show the balance of 100. but at the next part, which is part (b), the withdrawals account show difference figure, which recorded as 500.
My question is, is the lectures mistake? or i miss something?
John Moffat says
If you listen carefully I explain this during the lecture – I am giving an example of a typical sort of mistake that the bookkeeper can make (which becomes very relevant in later lectures when exam questions expect you to know how to correct mistakes).
jamoliddin8 says
Thanks a lot for lecturer! Clear explaned!
John Moffat says
And thank you for your comment 馃檪
huss330 says
Hi thanks for the lecture very interesting and much appreciated. I am new to accounting and i get confused between the debit and credit so where to place what any tips thanks.
John Moffat says
It is just a matter of practice 馃檪
akhalid93 says
Hi,
The lecture is interesting, I like the way of presentation.
I want to clear my one doubt regarding Drawings. While solving the Accounting Equation we had put Drawings on Liabilities side and deducted it from Capital.
In this lecture the balance of Drawings have been debited. Would you please tell me the nature of Account for Drawings?
Normally, it has debit balance or credit balance?
Thank you
lucie13 says
Debit
John Moffat says
It is indeed a debit balance (which as you will see in the following parts of this lecture serves to reduce the capital, which is a credit balance because it is owing to the owner).
akhalid93 says
Mr. Moffat, thanks for the answer.
But you did not tell the nature of Account.
It fall under which type Personal, Nominal or Real?
John Moffat says
I answered your question – you did not ask for the ‘nature of the account’.
There is no such thing as “personal, nominal, or real” and so I have absolutely no idea what you are talking about.
On the assumption that you are studying for ACCA Paper F3 then I suggest that you watch all of my free lectures – they are a complete free course and cover everything needed to be able to pass the exam well. They do not cover “personal, nominal, or real” accounts because they do not exist 馃檪
akhalid93 says
Mr. Moffat, when we come across the books of Financial Accounting, we come to know about the types of Accounts.
Real Account — Record Assets and Liabilities
Nominal Account — Record all losses (expense) and gains (Income)
Personal Account — Related to an Entity/Person
My question was in what category Drawings / Withdrawals would fall from the above.
I did not get your idea as you have mentioned “Personal, Nominal or Real” account do not exist.
Would you please elaborate you concept?
John Moffat says
I repeat – in UK accounting and in what is examined the ACCA exams, we do not have ‘real, nominal, and personal accounts’, and there is therefore nothing for me to elaborate.
The lectures cover everything you need to be able to pass Paper F3 well.
akhalid93 says
My doubt is been clear.
Thank you Mr. Moffat for your kind efforts.
John Moffat says
You are welcome 馃檪
cszafarkhan says
sir
insteade of dr purchase with payable can we write MR A and at the same time have MR A account and there credit purchase?
John Moffat says
You can, although usually there is just one payables account. (Details of individual amounts owing are usually recorded in a separate ledger which is not part of the double entry – this is dealt with later in the chapter on Books of Prime Entry).
However for the exam it is not really relevant because you will not be asked to write up t-accounts.
cszafarkhan says
Thank q Sir
John Moffat says
You are welcome 馃檪
umerubab says
as we know journal is one of day books where we record unusual transactions but i saw before preparing ledger accounts/t accounts we pass entries of all transactions in journal which are not unusual i am confused why we do so ? just in order to assist students so that they can pass right entries in ledger accounts we use that journal is it so??
lenamisiri says
I want to download “double entry” the video on lectures but am failing
John Moffat says
Lectures can only be watched online – it is the only way that we can keep this website free of charge.
lenamisiri says
I can’t even watch videos. Can only hear the voice, but no viewing what is being said.
John Moffat says
The lecture is working fine (the viewing starts after about 3 minutes).
lenamisiri says
Started watching online. Its excellent and easy to understand. I have enjoyed the first lecture.
John Moffat says
Thank you for the comment 馃檪
chizzy4real says
Oltimo! This is Great!! This is a simple way of learning and mastering ledger entry and tial balance… do you know what?? I was finding this part of accounting very difficult, but today, I have understood every bit of every part of it… Thank you Mr John Moffat. God Bless opentuition sponsors….
John Moffat says
You are welcome, and thank you for the comment 馃檪