ANOTHER SILLY QUESTION

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:23AM in AAT student discussion
PURCHASES IF I CREDIT THE GROSS PURCHASES IN THE PURCHASE CONTROL ACCOUNT TO I ALSO CREDIT THE INDIVIDUAL CREDITORS ACCOUNTS OR ARE THEY DEBITS - I KNOW MY QUESTIONS ARE REALLY SILLY BUT HAVING PROBLEMS GETTING MY HEAD ROUND IT ALL <BR>THANKS<BR>LORI

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    ANOTHER SILLY QUESTION

    In general, the way i do the ledger entries starting with the subsidiary ledger first and then doing the main ledger (nominal) afterwards. Obviously this is personal choice, so it is entirely up to you. <BR><BR>Just to show you an example:<BR><BR>If i were to want to record a sales invoice i would:<BR><BR>1) Debit the customers account (INC VAT) in the subsidiary sales ledger<BR>2) Then also debit (Inc VAT) the sales control account in the nominal ledger<BR>3) Then credit the sales account the VAT exclusive figure<BR>4) Credit the VAT account with the VAT<BR><BR>I find that doing it in this order means that i can make a mental note that i transfer the info from step 1, exactly as it is into the control account, and then i can worry about making the double entry in the rest of the nominal ledger.<BR><BR>Give me a shout if you need any more tips, Hope this helps<BR>
  • System
    System Posts: 100,534 🤖 Admin 🤖
    ANOTHER SILLY QUESTION

    THANKS THAT IS GREAT - I KNOW IT WAS A REALLY SILLY QUESTION - I PASSED THE FIRST SIMULATION IN UNIT ONE NO PROBLEMS AT ALL BUT THEN THE CHRISTMAS BREAK GOT IN THE WAY AND EVERYTHING HAS JUST GONE OUT OF MY HEAD

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