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BTX - accrued income when working out tax payable stuck..

topcattopcat Trusted RegularRegistered Posts: 452

I am getting myself confused with accrued income when trying to work out tax payable.

For example (snipet of a question):

"chinny ltd has for many years prepared accounts to 30th September , but changes its accounting period date to 31 dec by preparing accounts for the 15 months ended 31 December.

Rents received 31 July 2013 £8000

The rents received at 30 September 2012 and 31 December 2013 were £3000 and £5000 retrospectively".

The answer is

Rent receivable for 15 months:

(£8000 - £3000 + £5000) = £10,000

Had a bit off a brain wave while writing this am i taking off the £3000 because it is money which was earnt before the cap year ended 30 September 2012? and adding on £5000 on because it is money earned but outstanding before the second cap ended 30th December 2013?

I didnt understand this before writing it out but now i have wrote it out would be greatful if someone can confirm i am on the correct lines with this :001_smile:

Thank you

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