A/cing Entries

Can anyone pls mail me Makkar Sir's MAFA notes at subramanian.sunita @ gmail.com

accrued intrest(receivable)= accrued intrest a/c   dr.

                                                                   To intrest    cr.

(accrued intrest is debited because asset is increasing)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

intrest (payable)=intrest a/c  dr.

                                             To intrest due.

(intrest due is credited because liability is increasing)

Mr.Deepak Kumar

assuming that you are clarifying doubt rather than interviewing iam giving my opinion on the question you have posted.

 interest Accrues in two ways that is 1) payable 2) receivable

1) interest (Expenditure) A/c.............................Dr

          To Interest Payable (Current Liabilities) A/c

2) Interest Receivable (Current Assets) A/c.........................Dr

             To Interest (Income) A/c

 

Originally posted by :machender
"	Mr.Deepak Kumar assuming that you are clarifying your doubt rather than interviewing, iam giving my opinion on the question you have posted.  interest Accrues in two ways that is 1) payable 2) receivable 1) interest (Expenditure) A/c.............................Dr           To Interest Payable (Current Liabilities) A/c 2) Interest Receivable (Current Assets) A/c.........................Dr              To Interest (Income) A/c	"

 

Originally posted by :Deepak Kumar
"	Write me the Journal Entries of these transactions :-1) Interest Accrued and Due?2) Interest Accrued but not Due?Happy New Year To All Of You?Deepak (1)  For Interest Payable  :-    interest Account  Dr to  interest Accrued  but not due A/c  or  inteerst Account Dr to  inteerst accrue and due    (   interest accrued but not due  should be  shown as Current Liability.  interret accrued  nd due4 should  be added tio  to Secured or  UNSECURED   LOAN   (2) FOR  INREREST RECEIVABLE   -     Interest Receivavble  Account Dr to INTEREST  A/c   : On  B/s Date, if it is receivable,  show it under Current Assets	"

 

entries are same but disclosure is different that is interest accrued and due will be shown with loans (whichever) and interest accrued but not due will be under current liabilities.

Regional Healthcare Centre provides a range of healthcare services to the local community. Among other services, the Centre provides home visits by nurses to elderly patients. An allied health worker, who performs a range of tasks such as housework and showering of patients, accompanies the nursing staff. When the nurses are not visiting patients, the allied health staff members work at the office doing related administration work. Each year, the centre receives a budget allocation from the department of health. The objective of the program is to enable the elderly to remain in their own homes for as long as possible. The department does not allow the centre to spend more than this allocation. The centre, in turn, allocates its budget among its various programs. The visiting nurse program was approved and allocated Rs.250,396 in 2007 and Rs.279,476 in 2008 as follows: 2007 2008 Nurses Rs.135378 Rs.145019 Allied health workers 60046 71500 MedicalSupplies 18197 21402 Cleaning Supplies 6894 9216 Transportation 9068 11144 Clinic general overhead 20813 21195 Total expenditure Rs.250396 Rs.279476 No. Of home visits 4312 5101 Avg.cost per home visit Rs.58.07 Rs.54.79 The nursing staff received a 5 per cent increase in salary one-third of the way through 2008. The allied health workers did not receive an increase in wages in either year. The prices of medical supplies increased by 2 per cent during 2008. The prices of cleaning supplies were constant across the two years. Transportation is provided by the nurses, who are reimbursed 20 cents per kilometre. The clinic’s general overhead is allocated to programs on the basis of budgeted program salaries. Required: a. Compare the results for 2007 and 2008. Does it appear that the financial performance has improved in 2008? b. If you were the general manager of the centre, what would you like to discuss with the head of the visiting nurse program concerning the 2008 results? Explain. c. If you were the head of the visiting nurse program, how would you respond to the concerns raised in (b) above?

Originally posted by : CA Mohit Mohan
"	i wonder what people think about this stupid question. accounting entry will be same but treatment will be diferent in balance sheet......	"

 

i wonder, how you tell it as an stupid question!!!!

the entries and treatment shall be different for the two

I: interest as an expenditure

 

interest accrued and due: make entry  for due and create liablity:

Interest a/c                                      Dr.          

         to Loan / interest payable a/c

 

 

interest accrued but not due: make only provision on last day of the year and reverse the same on the first day of next year:-

 

last day of year:

interest  a/c             dr.

      to accrued interest

 

 

 

on first day of next year:

 

accured interest                    dr.

         to interest a/c

treating as an income:

interest accrued and due:-

Advance / interest recievables                             dr.

                  to intrest a/c

 

 

interest accrued but not due: no entry shall be made 

Originally posted by :Deepak Kumar
"	This is Question Of One of Interview in MNC. You are asked to reply it without counter question.	"

 

are u discussing or taking interview?

please clear me

 I agree with Anshu

He is right

n the question was not of stupid type.

for intrest accrued and due:

intrest accrued a/c ...dr

  to intrest a/c

for intrest accrued but not due:

no entry