Forums › ACCA Forums › General ACCA Forums › Hire purchase and bank loan interest suspense
- This topic has 3 replies, 2 voices, and was last updated 5 years ago by Chris.
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- November 14, 2018 at 1:15 pm #484797
Hi, may I ask
Hire purchase interest suspense,and also bank loan interest suspense , is it correct to classify it under liability in balance sheet? ThanksNovember 14, 2018 at 4:10 pm #484812This doesn’t sound like an ACCA related question or anything that would come up in an ACCA exam. Are you actually an ACCA student, or are you just trying to get free accountancy advice?
November 15, 2018 at 1:13 am #484868I am working in the accounts dept. So where should I post this question?
November 15, 2018 at 9:37 am #484893This whole website is a forum for accountancy students to get help from tutors and each other to pass their exams. Therefore most people, including myself, are not qualified accountants and therefore asking for advice on accounting treatment that you intend to use in a real world situation is not a good idea. I don’t recommend relying on anything posted here to solve a real world problem.
That being said, your question is not a complex one. A suspense entry will be a debit or credit on your trial balance so its treatment on a balance sheet would depend if it was a debit or credit. HOWEVER, a suspense entry should never make it as far as your balance sheet! You should investigate and correct the suspense entry to what it should be.
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