DoubleEntry Accounting System复式记账系统.pptVIP

* Double Entry System 3 DR CR Objectives At the end of the lesson, students should be able to : know what are Purchases, Sales, Returns Inwards and Returns Outwards. know what are Expense and Revenue items. know how to record them into Journals and post to the Ledger Accounts. Expenses and Revenues Purchases: Purchase of goods for resale purpose. (Cost price) ? expense for the firm Sales: Sale of goods to customers. (Selling price) ? revenue for firm Expenses: Money that the firm spent in the process of operating the business to earn revenue. Rent Insurance Wages Advertising Transport Examples: Revenues: Items that generate profits and income for the firm. Rent Revenue Interest Revenue Commission Examples: EXPENSES DEBIT CREDIT CREDIT REVENUES DEBIT SO HOW DO YOU RECORD EXPENSES AND REVENUES? Debit Credit Date Particulars $ $ Double Entry a) John purchased goods at $6000 on credit from ABC Ltd on 26 November 2000. 2000 Nov 26 Purchases Creditors-ABC 6000 6000 Purchases worth $6000 from ABC Ltd. Debit Credit Date Particulars $ $ Double Entry b) John sold goods at $9000 on credit to PCK Ltd on 8 July 2000. 2000 July 8 Debtors-PCK Sales 9000 9000 Sales worth $9000 to PCK Ltd. Debit Credit Date Particulars $ $ Double Entry c) The firm incurred the following expenses: 19 March - Rent $2000 8 May - Wages $10,000 2000 Mar 19 Rent expense Cash 2000 2000 Record wages of $10,000. Wage expense Cash 10,000 10,000 May 8 Record rent expense of $2,000. Debit Credit Date Particulars $ $ Double Entry d) The firm received the following revenues: 27 March - Rent $3000 19 June - Interest $500 2000 Mar 27 Cash Rent revenue 3000 3000 Record interest revenue of $500. Cash Interest revenue 500 500 June 19 Record rent revenue of $3,000. Debit Credit Date Particulars $ $ Double Entry e) The firm returned some damaged goods to supplier (ABC) worth $2000 on 10 July. 2000 July 10 Creditors-ABC Retu