Cash in extended trial balance

janakG
janakG Registered Posts: 9
So I know that bank goes into debit on the statement of financial position, where does cash go, SFP or SPL?

Comments

  • FAC
    FAC Registered Posts: 17
    Under cash on hand or bank. If you are using software to generate SFP it will class them for you.

    If the balance is positive put it in debit side if negative in credit side.
  • davealucas
    davealucas LondonMAAT Posts: 92
    Cash is an asset so it goes into the SFP
    SimplyLearnFinance
  • SimplyLearnFinance
    SimplyLearnFinance UKRegistered Posts: 17
    The cash goes under bank on the SFP as it is an asset and more readily available in theory than money in the bank. It will never have a credit balance (you can't have minus cash) but you can with a bank account when it becomes overdrawn and becomes a liability.
    Personalised Lessons from the Comfort of Your Home

    [email protected]
    www.simplylearnfinance.co.uk
Privacy Policy