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EXAM Preparation - Coggle Diagram

- - - - Note Administrative & Distribution Expenses:
        Make a note of were thinks will be:
        
        Cost of sales:
        Opening inventory + Purchases - Closing Balance = Cost of sales
        
        Depreciation & Do new net Book Value
        Example:
        Depreciation 15%
        Cost: 217,200
        = 32,580
        New net book Value
        Cost: 217,200
        Accumulated Depreciation: (97,740) Adding together
        Net book Value: 199,460
        
        Pre-Payment & Accruals
        Pre-Payment if you have paid additional during the period
        Example:
        Insurance As TB: 90,000
        Pre-payment (18,000)
        3/15 x 90,000 = 18,000
        Insurance in administrative expenses= 72,000
        Accrual if you owe for the same period
        Rent Expense as TB: 78,000
        Add Accrual: 8,000
        2/3 x 12,000 = 8,000
        Rent expense in administrative expenses: 86,000
        If the question then requires you to split administrative/distribution the question will tell you
        
        Irrecoverable receivables
        (Will also do the position of Financial performance and position
        Example:
        Receivables Per TB: 55,000
        Less irrecoverable receivables: (8,000) As per Notes
        Net Receivables: 47,000
        Less year-end allowance for receivables: (4,700)
        From notes 10% x 47,000
        Receivables in a statement of financial position: 42,300
        Allowance in a statement of financial performance
        Closing Allowance: 4,700
        Less opening allowance: (3,000) From TB
        Increase in allowance for receivables: 1,700
        Allowance can increase and decrease
        
        Formulas
      - Changes in Equity
        
        Look at Share types
        Ordinary
        Preference
        Premiums
        Dividends
        Retained earnings
- - - - Make sure to read question: You may only be prepared to provide a reconciliation
      - Have you performa ready