Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Reader Interactions

Comments

    • 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

  4. 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?

  7. 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.

  9. 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

  14. 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

  18. 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.

  19. 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

Leave a Reply