Approving an Invoice

by Jasmine
(uk)

Can I approve an invoice if the totals from the purchase order and invoice are the same but the quantity and unit price are the wrong way round e.g

purchase order

quantity x12 unit price £18 each

invoice

quantity x18 unit price £12 each

thankyou

BOOK KEEPING

A record of all monies due is called?

Gas Station Accounting

by Dee
(Vermont, USA)

The gas at my gas station is not inventory. It is owned by Sunoco.

As an example - say I sell $5000 of gas in a day - of this amount $50 is my take on the sales and the other $4950 is due to Sunoco. I am trying to figure what the GL entries would be - do I count the $5000 as income and the
$4950 a Cost of Goods Sold with the $50 balance being a deposit??? Or is only the $50 income (increase income by $5000 then reduce income by $4950) with the offset being the deposit??

Then if I throw in customer Sunoco discounts that they receive at the pump. As an example if I sell $5000 of gas in a day with a discount given to customers of $100 and my take amount of $50. Would the discount amount be an expense item, or a reduction in the income item or a cost of goods sold item?

Thank you for your assistance,

Half Price Gift Certificates

by Rob
(London Ontario)

Hi,
I run a restaurant and recently purchased radio advertising time by issuing half price gift certificates. The radio station sells the certificate for half the face value. I accrue air time from the radio station and I honor the face value of the certificate to the purchaser.
My question is how I account for this transaction on my books? I understand that if I sell a gift certificate for full value it becomes a debit to my gift certificate liability account and a credit to my cash. I am confused by the half price component and how to account for where the funds come from, as this is essentially funded as an advertising expense.
Any assistance you can provide is greatly appreciated!
Cheers,
Rob

House Sale Due to Divorce

by Dumped for Girlfriend
(Alberta, Canada)

Because of divorce, the house had to be sold and the money split. I need to know if this money is taxable and if there is any capital gains tax on it?

How Do I Enter a Gift Certificate Redeemed By My Client?

by Crissy
(Canada)

Hello,

I have GIVEN a gift certificate to a client. They have now redeemed this. How do I enter this?

eg. snow plow service cost: $600+gst = $630.00. Client pays $530 in cash and redeems their $100 Gift Certificate for the remainder owing.

I Have a New Set of Books

by Olga
(south Africa)

I have a new set of books with previous year bank entries. What do I debit and credit?

In and Out Account

What is meant by an in and out account?

Journal Entries

by Schelita
(Cayman Islands)

Mr. X purchased a machine for 60,000 and received a free printer valued at a retail sale value of 3,000 what are the journal entries?

Journal Entries and Suspense Account

by Darren
(Harrogate, North Yorkshire, UK)

I need to make the journal entries to correct these errors:

Trial balance failed to agree and the difference of £680 is recorded in the credit side of a Suspence acc. On investigation the following errors are discovered:

1. A purchase inv for £157 had been postedto J W Day & Sons in error. The goods have be bought from Days Supplies.

2. The Sales Day Book has been overcast by £220.

3. A cheque payment for repairs to the office building of £41 had been entered in the accounts as £14.

4. A payment by cheque of £50 to A Biggs has been debited in the cash book and credited to A Biggs Acc.

5. The purchase of a motor vehicle costing £5600 has been entered correctly into the bank account but debited to the motor vehicles account as £6500.

6. A credit sale of £180 had not been entered into the accounts.

I need details of a suspense acc showing the original opening balance and the entries that must be made to clear the account.

Many thanks.

Journal Entries Required

by Nadeem
(Manchester,UK)

While drafting a trial balance for this business as at 31 December 2xxx, R. Black discovers the following

1. A sale of goods on credit of £ 6,000 in december has been wrongly posted to T. Smith's account in the ledger instead of L. Smith what will be correct Journal entry ?

2. Debts of £ 500 for R. Johnson and £ 1,350 for Connor Plastics Ltd are considered irrecoverable. what will be correct Journal entry ?

Labour Costs - An Asset Or a Liability?

Hello, I wonder if you can help? The Prod. Man. has asked me to remove the labor element from some of our Bills of Material. This is fine, but it has reduced the Stock Value significantly because we are showing 'in stock' for several of these products. I am left unsure how to treat this. Can you help? I would be very grateful.
Regards
Tony Priest
Copley Motion Systems

Bookkeeping

I have just wrote my exams I need to know if I got something all right or not, please supply me with the correct answers. The question is, classify if the following is income,expense, fixed asset current asset, long term liability, current liability, owners equity?
1. Account fees
2. Advertising
3. Bank Charges
4. Bank overdraft
5. Call deposit account
6. Capital
7. Cash float
8. Creditors
9. Debtors
10. Drawings
11. Insurance
12. Intrest paid
13. Intrest recieved
14. Motor vehicle
15. Office equipment
16. Petrol and oil
17. Property rates
18. Repair anf maintance
19. Salaries and wages
20. Service rendered
21. Stationary and printing
22. Stationary stock
23. Land and building

Liability

I need to delete a liability (loan) from one company and add to another. What is the journal entry?

Loan

by RDR
(CA)

My friend wants to borrow some money and she wants to pay the same amount every month, how do I calculate the interest that she pays at the end of the loan?

Meals and GST

by Linda
(Calgary, Ab Canada)

When you input a business meal into QuickBooks or SA you put in a tax code of G (GST) or I (GST included)-

What do you do with the extra tip paid?
I seem to remember something about 1/2 GST% for tips. Is this right?

Mid Month Year End

by Jane
(UK)

Help! I'm a new business in the UK doing own books using basic software provided by a government business agency. My company's financial year started on 25th February. The software has 12 worksheets/months, so month 1 is February and month 12 the following January. Where do I input figures for the 1st to 24th of February at the end of the financial year? Thanks.

Misappropriation of Funds

How do you post misappropriation of funds by Corporate officer?

Non Profit Making Organisations

by Geoffrey
(Kenya)

If these NPO does not make even a single profit, then unless its government sponsored, where else can it obtain funds?

Not Balancing

I do books for attorney firm . My trust ledger balances amounts are more than my cashbook entry balance for the next month . I have checked all my ledgers and all my trust cashbook entries as well as all my fee entries and payments to clients . I have cross checked every entry in all the ledgers as well as going through my cashbook together with my bank statements to make sure that everything was recorded . Where else can I look for the fault?

Thanks

Your help is appreciated

NSF Check

by Mike 58

I posted a check that went NSF. Cash came in to cover the NSF check. Do I enter a negative amount to cancel out the check then enter the cash to cover the check?

Opening Balances

by Janice
(Glasgow)

What is missing when entering opening balances thorough the o/b routine instead of the journal routine?

O/S Checks

by Terry
(PA)

We are a small non-profit trying to close a checking account that still has O/S checks for vendors who are unreachable (out of business, etc). The checks date back at least 5 years. What entry can I make to clear them and close the account?

Bookkeeping

The entries for the debit accounts titles in the accounts title column are written how?

Payment of a Non-Profit's Debt, Can We Use It as a Donation

I've joined a Non-profit group, it incurred a debt that myself & others are attempting to pay it off. Our president is an atty & she said we could send our $ to her company. If we write the check to her, can we still use the payment as a donation to a non-profit.

Personnel

by Peggy Andrade
(The Woodlands, TX USA)

I'm working with a seminary - they are hiring a person who will be raising his own funds.

Will he come on as contract labor?

Would donations to pay for his cost be tax deductible?

How would I set up accounts to track his the income and expenses?

Petty Cash

I use QuickBooks 06 non profit:

If someone needs cash and writes a check to our business for $20.00, do I post it to the petty cash account or to the in and out account?

Petty Cash

by Fahad
(Pakistan)

Marco uses an Imprest system for petty cash
The following transactions took place during Jan 2007 following reimbursement to petty cash of the imprest amount:


Sales of Stamps to Employee $5
Stationary purchased $20
Purchase of Kitchen Supplies $15

The Cash Remaining on 31st Jan 2007 is $65

How Much is Marco Petty Cash Imprest Amount???

Prepaid Accounts

How do I apply an invoice to a prepaid account?

Prepayments and Accruals

What would constitute a debit entry in the profit and loss account?

Providing Change to Customers

by Jessica L
(Bellaire, Texas)

How do I categorize change that was provided to a customer after an invoice was overpaid in cash?

Our office keeps petty cash and we give the customer change from there.

Posting Question

I have an invoice for an real estate appraisal-is it prepaid expense?

Receipts For Expenses From Consultant

What are the rules concerning expenses submitted by a consultant or a consulting firm as far as backup receipts?

Recording Costs Paid By The Business To Be Billed Directly To Clients

How should I record costs paid for by a lawyer's practice which are later billed directly to the clients on their invoices (For example court filing fees, mediation fees, photocopying)? Can I call these costs of goods sold? Or should they go into a current asset account?

Chart of Accounts?

My company just opened a gym and I need to classify on the chart of accounts the revenue from the memberships. Does the receivables get classified on the Chart of Accounts under Accounts Receivables? Even though we are not creating invoices for the members. They are coming in and making payment when they sign up.

Thank you for your help.
Donna

Recording Member's Contributions

How do I record member's contributions?

Royal

Differentiate between bad debt and provision for bad debt

Start Bookkeeping For a New Business

by Sithembiso
(Mtubatuba RSA)

My business started in April 2010, It's government nutrition scheme for the poor, so I'm the supplier. I have currently spent R 10000 for April and may waiting for the payment from the government of R 22000.

Now my question is how do I start the bookkeeping?

I don't owe anybody anything, except for the petrol card I've just received from the bank and have not even used, it has a balance of R1000.

What titles or columns must I add on my bookkeeping to ensure that everything is transparent and that I will probably save money. I don't have any employees, my job is to supply and wait for the payment then supply the following month and wait again.

Please help. I hope I'm making sense!

Thank you

Service Contract

by Donna
(Raleigh, NC)

How do you book a two-year service contract that is being paid monthly? The issue really is how does it offset the labor used if and when service is required?
Thanks!

Shop Supplies & Small Tools

by Brigitte
(Sudbury, Ontario)

What is considered shop supplies?

Show Journal Entry

by Tarun
(Mumbai)

Ram paid rent on our behalf to Sham

Tax Deductible?

by Cherie A.
(Hopatcong, NJ)

We purchased grocery cards from a non profit softball team. We wrote the check out to the softball team. Are those purchases tax deductible?

Taxes and Trucking

by Richard
(Canada, Ont)

I am a long haul trucker and will be paid I cash here o out. I want to know about cpp deductions so that I am to collect if and when I hit that age. Will I still qualify and do I make that payment at year end when I submit my taxes?

Transferring Costs to Divisions

by Kim
(San Diego, CA)

What is the journal entry to rent the trucks from the parent company to the different divisions within the company to show the costs on the divison's P&L's?

Vendor Refund From Previous Year's Billing

by PDevline
(Tahoe City, CA)

In late Nov 2009 we switched cable TV companies, our last billing from the original company was for the month of November and paid in advanced. In January 2010, we received a refund for the partial month.

I need to know how to post this against an account that is no long active and also for a bill that was from the previous FY.

Our FY is by calendar year, so showing the refund in 2010 against a bill in 2009 is not possible nor is showing the refund in 2009 to be deposited in 2010.

Any help is much appreciated.

Chart of Accounts - Asset Disposal Journal

by Leanne
(Qld, Australia)

Hi, Trying to complete a journal for a Press Machine that has been sold at a loss.
DR Cash $2000 (Proceeds on Press Sale)
DR Accum Depn $700 (Write back on depreciation to date)
CR Press-Asset $3500 (Write back of original cost of asset)
DR Loss on Disposal $800 (Loss on Sale, Proceeds minus WDV)
What I want to know is where in the chart of accounts "loss on disposal" is found?

Voiding Uncashed Payroll Checks From Previous Years.

An officer of a corporation has numerous payroll checks from previous years that he has not cashed due to cash flow issues. He now just wants to void those checks. Since these are old payroll checks occurring in previous years, how is this recorded and what effect does it have on his personal taxes since he did not receive this money?

Credit Card Forgiveness

by CA Gal
(San Jose, Ca. )

I lost my job last year so my credit card company offered me a settlement. They 'charged off' my account and I sent them a check for a portion of the amount owed. I received a 1099 form from them recently. I read on line that if they 'charged off' my account then I didn't have to pay the taxes on the 1099 because they had already taken the tax credit on the amt. owed. Can you please advise? thank you (please do not list my email address on line for all to see...thank you)

Entering a Credit Into a New Business

by Megan Quinn
(Cairns, Queensland, Australia)

I am setting up the books for a new company. The phone company has given the business a credit of $656.57 to start off with. How do I enter this credit into the accounts? I am using MYOB. Then afterward, how do I account for the credit used by the business, which also includes GST?

Hope you can help.

Filter Account

I have a small administrative service business and have a second "filter" checking account set up for clients which is used to make payments for various items on behalf of the client, hence the work filter account.

I'm having trouble finding any helpful reference information about how to manage my bookkeeping for the account in relation to my own books. The account is basically just a service I provide and depending on the service I don't always retain an earning for it.

Could you tell me where I can find more information regarding this matter? I’m afraid to have those deposits and withdrawals in the filter account tied to my own businesses accounting due to tax purposes.

Thanks so much in advance.

Sincerely,

Jessica Reyes
CAS Group, Houston Texas

Forgiven Loan

If I want to forgive a child's personal loan, I know I need to credit my A/R, but what do I debit? Do I make up an expense account called Children's loan, or would it be other income?