Accruals & Prepayments

DDOROURKE123

Hi, I'm struggling to understand the concept of this. I think I've learnt the basis

Accrued income
Debit accruals a/c
Credit income a/c

Accrued expense
Debit expense a/c
Credit accruals a/c

Opposite for prepayments

But apart from that (which I'm not 100% that is right) I don't understand anything else

I've taken the practise assessments on the aat website and I struggle to get near the answer... there's also not a prepayment version either

When I look through my books, it always seems to jump into the questions so quickly even though I haven't understood anything

Please help if you can

DDOROURKE123

I can share the example question if that helps???

PeterC

See if this helps: media.wix.com/ugd/9a8e75_c1b532cc349c4171994388ac4b34ef52.pdf

DDOROURKE123

Thank yo, I'll have a look

DDOROURKE123

you*

Gertrude

@PeterC
Thamk you so much

PeterC

You're welcome