An Appropriation Account

LittleChinaDoll
LittleChinaDoll Registered Posts: 29 Regular contributor ⭐
in AAT Level 3 (Level 6 in Scotland)
Hi,

Does anyone know the double entry for opening an appropriation account?

Thanks

Comments

  • Monsoon
    Monsoon Registered Posts: 4,071 Beyond epic contributor 🧙‍♂️
    Ok now I feel really dim, I don't understand the question :huh:
    Is this to do with partnerships?
  • Esme
    Esme Registered Posts: 711 Epic contributor 🐘
    What do you mean by an appropriation account. Are you referring to partnership final accounts. The appropriation account isn't a T account, it is just the end section on the profit and loss account which shows how the net profit is divided between the partners so there is no double entry.. I think!?!
  • PAMDILL
    PAMDILL Registered Posts: 721 Epic contributor 🐘
    Definitely just a schedule showing breakdown of partner's salries, drawings and portion of net profit.
  • Monsoon
    Monsoon Registered Posts: 4,071 Beyond epic contributor 🧙‍♂️
    I'm not going mad then!:001_tt2:
    Yes, it's not a double entry thing.
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    as far as i know it is

    Net profit - less salaries (partners salaries not wages)- less interest on capital - then sharing of remaining profits

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