Financial Accounting

Types of Business Entity

Sole Traders, Partnerships & Limited Companies

Sources of Finance

The Accounting System

The Accounting Process

Transactions with Cash, Credit & Discounts

Books of Prime Entry

The Ledger

The Accounting Equation

The Double Entry System

Double Entry for Sale Transactions

Double Entry for Purchase Transactions

Double Entry for Dishonoured Cheques

Double Entry for Refunds

Double Entry for Other Transactions

Balancing Accounts

The Cash Book

Interpreting Accounts and Their Balances

Transferring Balances at the End of an Accounting Period

Accounting Concepts

Computerised Accounting Systems

Full & Incomplete Records

Capital & Revenue Income and Expenditure

Capital & Revenue Expenditure

Capital & Revenue Income

Effects of Incorrect Treatment of Expenditure & Income

Accounting for Non-current Assets

Introduction to Depreciation

Straight-Line Method of Depreciation

Reducing Balance Method of Depreciation

Revaluation Method of Depreciation

Provision for Depreciation

Profit or Loss on a Sale of a Non-Current Asset

Disposal Account

Journal Entries for Non-current Assets

Accounting for Accruals, Prepayments & Irrecoverable Debts

Matching Costs & Revenues

Accrued & Prepaid Expenses

Accrued & Prepaid Incomes

Amount Due & Amount Paid/Received

Expense Accounts with Accruals & Prepayments

Income Accounts with Accruals & Prepayments

Irrecoverable Debts

Allowance for Irrecoverable Debts

Reconciliation & Verification

Methods of Reconciliation & Verification

The Trial Balance

Types of Errors

Correction of Errors Using Journal Entries

Omission, Original Entry, Reversal, Commission, Principle & Compensating Errors

The Suspense Account

Sales Ledger Control Accounts

Purchases Ledger Control Accounts

Reconciliation Statements Between Control & Ledger Accounts

Using a Bank Statement to Update the Cash Book

Bank Reconciliation Statements

Impact of Errors on Profit & Financial Position

Adjustments to Draft Financial Statements

Adjustments for Depreciation

Adjustments for Allowances for Irrecoverable Debts

Adjustments for Accrued & Prepaid Expenses

Adjustments for Accrued & Prepaid Income

Adjustments for Inventory Valuation

Adjustments to Financial Statements

Preparation of Financial Statements for Sole Traders

Statement of Profit or Loss

Statement of Financial Position

Statement of Affairs

Calculating Values using Control Accounts

Calculating Values using Accounting Ratios

Preparation of Financial Statements for Partnerships

Partnership Agreement & Partnership Act 1890

Statement of Profit or Loss

Appropriation Account

Capital & Current Accounts

Statement of Financial Position

Preparation of Financial Statements for Limited Companies

Share Capital & Reserves

Ordinary Shares & Debentures

Rights & Bonus Issues

Statement of Profit or Loss

Statement of Changes in Equity

Statement of Financial Position

Journal Entries for Equity Accounts

Accounting Information & Ratios

Stakeholders

Profitability Ratios

Liquidity Ratios

Efficiency Ratios

Evaluating Profitability, Liquidity & Efficiency

Limitations of Accounting Information

Cost and Management Accounting

Material & Labour Costs

Types of Costs

FIFO (First In First Out) Method

AVCO (Weighted Average Cost) Method

JIT (Just In Time) Management of Inventory

Absorption Costing

Introduction to Absorption Costing

Allocation & Apportionment of Overheads

Overhead Absorption Rates

Profit Statements

Uses & Limitations of Absorption Costing

Costing Statements

Unit, Job & Batch Costing

Costing Statements for Selling Price

Marginal Costing

Introduction to Marginal Costing

Marginal Costing Statement

Reconciliation between Profit Statements

Uses & Limitations of Marginal Costing

Break-even Analysis

Cost-Volume-Profit Analysis

Study tools

• Cambridge (CIE) AS Accounting · Past Papers

Related links

• AS Accounting · Revision Notes
• AS Accounting · Past Papers