Extended trial balance adjustements
tawny75
Registered Posts: 18 Dedicated contributor 🦉
I am having a blank day
Our tutor gives us old AAT exams to practise on and I am confused. On my ETB i have to adjust for an increase in Bank interest and a change in the Work in progress amount. I can't for the life of me work out what the double entry will be.
Eg
To adjust the bank interest payable I need to debit Bank Interest but what do I credit?
The Work in progress amount on the ledger is £84668.45 but the memo states it should be £72300 I know that I credit the WIP account 12368.45 but what is the double entry
it is late and I am tired and I can't see for looking!!!
Our tutor gives us old AAT exams to practise on and I am confused. On my ETB i have to adjust for an increase in Bank interest and a change in the Work in progress amount. I can't for the life of me work out what the double entry will be.
Eg
To adjust the bank interest payable I need to debit Bank Interest but what do I credit?
The Work in progress amount on the ledger is £84668.45 but the memo states it should be £72300 I know that I credit the WIP account 12368.45 but what is the double entry
it is late and I am tired and I can't see for looking!!!
0
Comments
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Hello,
This is what I would of done (hopefully is ok
)
First One Debit Bank Interest (P&L), Credit Accruals (BS)
For the WIP I would Dr Stock (Finished Goods) (BS)£ 12,368.45, Cr WIP (BS) £ 12,368.45
You probably had already worked this out, but if not hope I have I helped.0 -
I hadn't so thank you It all balanced ....eventually 0
