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Just checking I have my DRs and CRs right?

sasahdeaseysasahdeasey New MemberRegistered Posts: 11
Hi,

I've done this from memory so just want to check this is right.

When a Debtor PAYS we: CR SLCA, DR Cash Book
When we PAY a Creditor we: DR PLCA, CR Bank

When we SEND an invoice we: DR SLCA, CR Sales, CR Vat
When we place an order we: DR Purchases, DR Vat, CR PLCA

Any help would be appreciated.

P.S. I don't get on with DEAD CLIC or PEARLS - I know what it stands for but have trouble remembering the definitions of each and what they stand for, no matter how many times I practice!

Thanks

Sasha

P.S I know I set up my username wrong! ;-) (Looonnnggg day!)

Comments

  • crispycrispy Trusted Regular SouthamptonRegistered Posts: 456
    Hello,

    Your Dr's and Cr's look all good to me :)

    Only thing (really small) on the last description should read 'when we receive an invoice'

    I think you have it sorted
  • Sweetpotato ChipsSweetpotato Chips Well-Known Registered Posts: 173
    Hi,

    I've done this from memory so just want to check this is right.

    When a Debtor PAYS we: CR SLCA, DR Cash Book
    When we PAY a Creditor we: DR PLCA, CR Bank

    When we SEND an invoice we: DR SLCA, CR Sales, CR Vat
    When we place an order we: DR Purchases, DR Vat, CR PLCA

    Any help would be appreciated.

    P.S. I don't get on with DEAD CLIC or PEARLS - I know what it stands for but have trouble remembering the definitions of each and what they stand for, no matter how many times I practice!

    Thanks

    Sasha

    P.S I know I set up my username wrong! ;-) (Looonnnggg day!)
    Looking good to me..I am still not getting the whole PEARLS thing either !! but apparently thats pretty normal..Have you had any skills tests yet ??? shout if you need a hand or just want to chat k...I have done unit 1 and unit 22 skills test for unit 2 in two weeks and just started unit 23 GREAT !!!
  • sasahdeaseysasahdeasey New Member Registered Posts: 11
    Thanks guys! I appreciate it.

    I have done my Health and Safety and Personal Effectiveness, plus Unit 4 skills test. I have Unit 1 on Tuesday then Unit 2 is 3 weeks later. We've about to start Unit 3 but our Tutor decided to get the skills tests out the way and bring them forward which I couldn't agree more with!

    Thank the Lord I'm getting it right! :)
  • MargaMarga Experienced Mentor Registered Posts: 981
    Hi,

    I've done this from memory so just want to check this is right.

    When a Debtor PAYS we: CR SLCA, DR Cash Book
    When we PAY a Creditor we: DR PLCA, CR Bank

    When we SEND an invoice we: DR SLCA, CR Sales, CR Vat
    When we place an order we: DR Purchases, DR Vat, CR PLCA

    Any help would be appreciated.

    P.S. I don't get on with DEAD CLIC or PEARLS - I know what it stands for but have trouble remembering the definitions of each and what they stand for, no matter how many times I practice!

    Thanks

    Sasha

    P.S I know I set up my username wrong! ;-) (Looonnnggg day!)


    Hi

    The way i do my DR's and CR's is with the house method

    I have a house

    the house is divided as WEST WING and EAST WING

    The EAST WING is the Subsidiary Ledger
    The WEST WING is the Nominal Ledger

    The EAST WING has two floors: Suppliers(Creditors) Floor GROUND FLOOR and Customer(Debtors) Floor FIRST FLOOR

    Each customer/supplier has a room (which basically is their account)

    THE WEST WING has more than two floors:

    GROUNG FLOOR has the Purchases Ledger Control ACCOINT

    FIRST FLOOR has the Sales Ledger Control ACCOUNT

    SECOND FLOOR has 5 rooms : the bank, cash, SALES, Purchases and VAT accounts

    THIRD FLOOR has plenty of rooms: telephone account, rent account etc

    IF something doesnt belong to double entry goes into the loft :)


    Now,

    it depends if you are working with Nominal only or nominal and subsidiary ledges


    If only nominal

    If an invoice is sent to a customer that means that customer bought goods so our goods leave the SALES room and go to the CUSTOMER ROOM, but as we are in the WEST wing (nominal) we can only bring the goods to the SAaes ledger control account. When the customer pays us , the money leaves them and come to us so the money leaves the SALES ledger control room and comes to the bank or cash room


    And so would be with purchases



    Hope that helps...if it is messy forget about it!
  • clegganatorclegganator Well-Known Registered Posts: 184
    Marga, are you by any chance a visual person?

    The only thing I can get on with is DEAD CLIC.
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