Advice Needed

Haley

Hi

Can anyone give me any advice.
I have just sat the IAC June exam and am now looking to gain my self some practical experience by volunteering my services to my friends and local charities.
I have been offered the chance to do the accounts for a self employed electrician and was thinking that cash based accounting would be more appropriate.
Can anyone give me any tips.
All advice is welcomed

peugeot

Cash accounting is not generally accepted as reliable because under UK GAAP (which all sole traders/partnerships/Ltd co) follow, you must prepare accounts on an accruals basis.

The revenue would also have a problem with this as sales could be understated - especially if there are cash sales.

Kind regards
steve

Haley

Thanks for the advice
I will do some research on UK GAAP and will stick with accounting on an accrual basis.