The result is certainly not the net profit – withdrawals do not affect the profit at all (which is stressed in the last few minutes of this lecture).
Profit increases the amount owed to the owner, and withdrawals reduced the amount owed to the owner. The final figure is the amount left owing to the owner at the end of the period.
This is only the first part of the lecture – you need to watch parts (b) and (c) where everything is explained
I watched the video for some minutes but it suddenly stopped and tells me “the video can’t be played by your current set up”..can someone help me out please?
Question f chapter 2 where we made a profit of $900,i noticed you didn’t carryover the profit to the next question g. I think the $900 should have been added to the capital of 10000 in question g. You omitted d $900and just added 2200 profit to the capital. Pls explain to me sir,why the omission
As I actually say in the lecture at 21:53, the 2,200 is the total profit from both sales (including the 900 from the first sale). We do not show the profit on each sale separately, but the total profit.
The lecture is working fine but can only be watched online.
If you are cannot view it, or if you are unable to download the free lecture notes, then please go to the support page. The link is just below the lecture.
safeenaz6597says
Hello sir chapter 2 the statement of financial position and income statement part a… the (f) why cash is 6400…! why am asking this because we have bought the car for 3000 and we have cash 4000 (4000-3000=1000) So cash is 1000 right I really don’t understand this part pls explain me
Mr John, according to DEAD and CLIF theory: (DRs)? in Drawings results in ? in Assets (cash). or ? in Trade rec. leads to ? of cash. ive just started but i am really interested in more thorough understanding of this genius table. maybe original invention would help… and could you explain other features, please. why EXPENSES ASSETS DRAWINGS are Debits; CAPITAL LIABILITIES INCOME are Credits? debits are all inwards, yes but what about drawings? just because they ? the Capital introduced? or could i think of them like negative figure under the debits? Thank you Sir.
The best will be if you watch the next lectures in the course which go through double-entry bookkeeping, because there I explain why debits are debits, and why credits are credits (and why drawings are a debit – yes, they are like negative capital). I do explain it all in the lectures, and you can understand that I cannot type out all of the lectures here 馃檪
Hi does the withdrawal (1,200) affects the capital figure.. If we had carried on with another example will the capital figure change from 10,000 to 8,800. Thank you
Last year I make use of your F1 material and I pass with 60%. Thank you open tuition. I just start study for F3, enjoy the lecture so far… I believe I will make the paper as well.
Thank you open tuition for making this materials available to us.
I just started studying the lecture notes simultaneously with the videos and I must confess it has been seamless.I just understood the basic foundation ignoring the debit and credit as you advised. I am moving to chapter 2b and I hope it continues to be this easy to understand. I am planning to take F1 F2 and F3 come June.
Thank you, John. The lecture was very clear.
Thank you 馃檪
?n the last one (k) must we deduct withdraws from profit? Why? And is the result net profit?
The result is certainly not the net profit – withdrawals do not affect the profit at all (which is stressed in the last few minutes of this lecture).
Profit increases the amount owed to the owner, and withdrawals reduced the amount owed to the owner. The final figure is the amount left owing to the owner at the end of the period.
This is only the first part of the lecture – you need to watch parts (b) and (c) where everything is explained
thank you
Just to say thank you for providing these huge facilities for free!!!
I watched the video for some minutes but it suddenly stopped and tells me “the video can’t be played by your current set up”..can someone help me out please?
Please go to the support page – the link is just below the lecture.
Hi,I have a background in science subjects but understood this really well so thankyou very much for this lecture . 馃檪
Oh….I understand now. Thank you very much sir.
You are welcome 馃檪
Question f chapter 2 where we made a profit of $900,i noticed you didn’t carryover the profit to the next question g. I think the $900 should have been added to the capital of 10000 in question g. You omitted d $900and just added 2200 profit to the capital. Pls explain to me sir,why the omission
There is no omission.
As I actually say in the lecture at 21:53, the 2,200 is the total profit from both sales (including the 900 from the first sale). We do not show the profit on each sale separately, but the total profit.
how do you download the lecturer notes?
There is a button just above the lecture that says on it “Download F3 notes”
If you click on it then you will be able to download the F3 lecture notes.
the file was fail 馃檨
The lecture is working fine but can only be watched online.
If you are cannot view it, or if you are unable to download the free lecture notes, then please go to the support page. The link is just below the lecture.
Hello sir
chapter 2 the statement of financial position and income statement part a…
the (f) why cash is 6400…!
why am asking this because we have bought the car for 3000 and we have cash 4000 (4000-3000=1000)
So cash is 1000 right
I really don’t understand this part
pls explain me
The business started with 10,000 (a).
They bought a shop for 2,000 (b), goods for 1,000 (c), and a car for 3,000 (e)
So the cash left is 10,000 – 2,000 – 1,000 – 3,000 = 4,000.
In (f) the sold goods for 2,400. So they now have 4,000 + 2,400 = 6,400
thanq sir
have a nice day
馃檪 馃檪
Hi John
Your lesson is very explicit and excellent! I have just started F3 and am enjoying the lessons. Thank you
gteo
Thank you this is so helpful 馃檪
I am pleased that you found it helpful 馃檪
Thank you for the Video. The pictures are clear
Your lecture technic is awesome
Thank you 馃檪
Mr John, according to DEAD and CLIF theory: (DRs)? in Drawings results in ? in Assets (cash). or ? in Trade rec. leads to ? of cash. ive just started but i am really interested in more thorough understanding of this genius table. maybe original invention would help… and could you explain other features, please. why EXPENSES ASSETS DRAWINGS are Debits; CAPITAL LIABILITIES INCOME are Credits? debits are all inwards, yes but what about drawings? just because they ? the Capital introduced? or could i think of them like negative figure under the debits?
Thank you Sir.
The best will be if you watch the next lectures in the course which go through double-entry bookkeeping, because there I explain why debits are debits, and why credits are credits (and why drawings are a debit – yes, they are like negative capital). I do explain it all in the lectures, and you can understand that I cannot type out all of the lectures here 馃檪
there is no volume for this lecture?
Yes there is volume!!
If you are having problems then the problem must be at your end and you should go to the support page – the link is just below the lecture.
great easy to understand
Hi does the withdrawal (1,200) affects the capital figure.. If we had carried on with another example will the capital figure change from 10,000 to 8,800.
Thank you
Yes – taking out drawings reduces the amount left owing to the owner.
Thank you
Dear sir,
Good day,
Last year I make use of your F1 material and I pass with 60%. Thank you open tuition.
I just start study for F3, enjoy the lecture so far… I believe I will make the paper as well.
Thank you open tuition for making this materials available to us.
Warm regards.
Ayodeji Ajayi.
I just started studying the lecture notes simultaneously with the videos and I must confess it has been seamless.I just understood the basic foundation ignoring the debit and credit as you advised. I am moving to chapter 2b and I hope it continues to be this easy to understand. I am planning to take F1 F2 and F3 come June.
Thank you open tuition.
Yemi
hello sir,
hopefully u will be fine and doing well!could you please explain a bit more about bank overdraft with an easy example?
thank you
regards
zahid khan
All bank overdraft is simply a negative balance at the bank (i.e. you owe money to the bank)
thank you.