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Advanced financial accounting - Lecture 1: Accounting for incomplete record (Single entry)

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Advanced financial accounting - Lecture 1: Accounting for incomplete record (Single entry). The main topics covered in this chapter include: single entry; accounting for non-profit organizations; departmental accounting; branch accounting; partnership;... Please refer to the lecture for details!

Advanced Financial  Accounting FIN­611   Mian Ahmad Farhan  Lecture­1 Accounting for Incomplete Record  (Single Entry)      Branches of Accounting  Financial  Accounting  Management   Accounting  Financial Management     Course Contents   Specific Accounting Single entry  Accounting for non­profit organizations  Departmental Accounting  Branch Accounting Partnership  Course Contents Corporate Accounting   Accounting Frame work and presentation Company financial statements Investment property  Borrowing cost  Accounting for Income tax including deferred taxation   Events after balance sheet Provisions and contingent liabilities and assets  Accounting policies and changes in accounting estimates   Earning per share  10 Financial instruments 11 Construction contract  12 Group Accounting    Accounting for Incomplete Record / Single  Entry   Functions of Financial Accounting  Recording  Classifying  Summarizing Reporting and   Analyzing Types of Financial Information  Transactions Dealing   Other events and   An Incident Conditions  Adjustment Balance sheet Equation  Assets = Owner’s Equity + Liabilities  Owner’s Equity/Capital Statement   Opening balance of capital Add Net Profit  Add Fresh Capital Less Drawings Closing Capital xxx xxx xxx xxx  xxx xxx xxx Question Opening balance of capital Closing balance of capital  Drawings  Fresh capital introduced  during the year   Rs. 100 Rs. 150 Rs. 40 Rs. 25 Solution  Opening capital Add Net profit  Add Fresh capital Less Drawings  Closing capital 100   65 165   25 190   40 150 Statement of Profit & Loss  Net profit = Closing capital + Drawings – Fresh capital –  Opening capital Question  Sattar Bahi wants to determine its net profit  by using  following available data:    Capital on 1 Jan  Capital on 31 Jan  Drawings  Fresh capital Rs. 1,00,000 Rs. 1,40,000 Rs. 50,000 Rs. 30,000 Solution  Net profit = Closing capital + Drawings – Opening  capital – Fresh capital = 1,40,000 + 50,000 – 1,00,000 ­30,000  = 60,000 Question  Beginning capital  Ending capital   Drawings  Profit / Loss Rs. 16,500 Rs. 11,350 Rs. 3,300        ? Solution  Net profit / Loss = Closing capital + Drawings – Opening  capital = 11,350 + 3,300 – 16,500             Loss = Rs. 1,850   ... Earning per share  10 Financial? ?instruments 11 Construction contract  12 Group? ?Accounting? ?   Accounting? ?for? ?Incomplete? ?Record? ?/ Single  Entry   Functions of? ?Financial? ?Accounting? ? Recording  Classifying ...Branches of? ?Accounting? ? Financial ? ?Accounting? ? Management  ? ?Accounting? ? Financial Management     Course Contents   Specific? ?Accounting Single entry  Accounting? ?for? ?non­profit organizations ... Departmental? ?Accounting? ? Branch? ?Accounting Partnership  Course Contents Corporate? ?Accounting? ?  Accounting? ?Frame work and presentation Company? ?financial? ?statements Investment property  Borrowing cost  Accounting? ?for? ?Income tax including deferred taxation  

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