TOPIC 2: JOINT VENTURES The Meaning of Joint Venture Define a joint venture An association of two or more individuals or companies engaged in a solitary business enterprise for profit without actual partnership or incorporation; also called a joint adventure. A joint venture is a contractual business undertaking between two or more parties. It is … Read more
TOPIC 2: JOINT VENTURES ~ BOOK KEEPING FORM 4 The Meaning of Joint Venture Define a joint venture An association of two or more individuals or companies engaged in a solitary business enterprise for profit without actual partnership or incorporation; also called a joint adventure. A joint venture is a contractual business undertaking between two or … Read more
TOPIC 1: BILLS OF EXCHANGE | B/KEEPING FORM 4 Meaning of a Bill of Exchange Define a bill of exchange Bill of exchange is written order letter in which there is not any condition. Writer’s sign will be in it. In this letter, order to other person is given to pay the certain sum of … Read more
TOPIC 13: GOVERNMENT BUDGETING PROCEDURE | B/KEEPING FORM 3 Meaning of a Budget Define a budget : A budget is a set of interlinked plans that quantitatively describe an entity’s projected future operations. A budget is used as a yardstick against which to measure actual operating results, for the allocation of funding, and as a … Read more
TOPIC 12: ACCOUNTS OF NON-PROFIT MAKING ORGANIZATIONS | B/KEEPING FORM 3 Accounting of Non-Profit Making Organizations Preparation of Statement of Affairs Prepare statements of affairs Certainly, proper accounting is essential for non-trading institutions. These concerns maintain, generally, a cash book and later they prepare a summary of cash transactions appearing in the cash book. This … Read more
TOPIC 11: INCOMPLETE RECORDS | B/KEEPING FORM 3 Statements Showing Profit or Loss From Incomplete Records Draw up statements to show profit or loss from incomplete records Some times, businesses, especially small businesses do not maintain a full set of double entry records. Consequently, no trial balance will be produced and a complete set of … Read more
TOPIC 9: MANUFACTURING ACCOUNT | B/KEEPING FORM 3 Manufacturing Account Difference in Accounting for Stocks between Manufacturing Companies and Merchandising Companies Explain the difference in accounting for stocks between manufacturing companies and merchandising companies The businesses which produce and sell the items prepare the following accounts at the end of its accounting year:- The Manufacturing … Read more
TOPIC 8: BALANCE SHEET (CLASSIFIED) | B/KEEPING FORM 3 Meaning of Each Asset and Liability Classification Appearing on a Balance Sheet Define each asset and liability classification appearing on a balance sheet A classified balance sheet presents information about an entity’s assets, liabilities, and shareholders’ equity that is aggregated (or “classified”) into subcategories of accounts. … Read more
TOPIC 7: FINANCIAL STATEMENTS | B/KEEPING FORM 3 General Purpose Financial Statements Describe general purpose financial statements Financial Statements Definition: Financial statements are a collection of reports about an organization’s financial results, financial condition, and cash flows. They are useful for the following reasons: To determine the ability of a business to generate cash, and … Read more
TOPIC 6: BAD DEBTS | B/KEEPING FORM 3 The Bad Depts Account Show the bad debts account What are bad debts? The term bad debts usually refers to accounts receivable (or trade accounts receivable) that will not be collected. However, bad debts can also refer to notes receivable that will not be collected. The bad debts … Read more