The following are the main advantages and importance of balance sheet: - It presents the true financial position of the business on a particular date. It gives the information about assets, capital and liabilities of the business. It helps to judge .....

If the bank gives the permission to withdraw the amount of cash more than the bank balance, it is called bank .....

The amount of bill drawn by the creditor and accepted by the business promising in writing for paying the amount of goods purchased on credit on a certain date is called bills .....

The amount borrowed from the individual and financial institution is known as a .....

The excess amount of income over expenditure is known as net profit. Similarly, the excess of expenditure over income is known as a net .....

Drawing is an amount drawn by the owner from the business in terms of cash or kind for his personal .....

Capital is an amount, which is invested by the owner for the establishment and operation of the .....

The budget sheet is closed at the end of each fiscal year, which is known as yearly .....

The process of obtaining the total budget release and expenditures up to the month is called monthly .....

The balance sheet is a statement of assets, capital, and liabilities of the business. It is the statement, which depicts the financial position of the business on a particular date. The balance sheet is one of the important statements for every .....

Solution: Profit and Loss Account of Nimit Traders For the year ended 31st Chaitra Dr. Cr. Particulars Amt (Rs.) Particulars Amt (Rs.) To office rent 27,750 By gross profit b/d 2,05,000 To office insurance 7,500 .....

Solution: Profit and Loss Account of Nimit Traders For the year ended 31st Chaitra Dr. Cr. Particulars Amt (Rs.) Particulars Amt (Rs.) To gross loss b/d To office rent To office insurance To legal charges To salesman salary .....

Profit and loss account is the second step of final accounts. It is prepared to ascertain the net profit or the net loss of the business during the accounting period. It is prepared after the preparation of trading account. It is prepared by .....

Solution: Government of Nepal AGF No. 8 District Education Office, Chitwan Budget Sheet Number and Heads of Appropriation Consumption Expenditure Office Operation Expenditure Capital Expenditure Appropriate Budget Heads/ .....

Profit and loss account is essential to determine the operating result of the business. It helps to examine the operating efficiency of the business. The importance and advantages of profit and loss account are as follows: - It helps to determine .....

Profit and loss account is the second step of final accounts. It is prepared to ascertain the net profit or the net loss of the business during the accounting period. It is prepared after the preparation of trading account. It is prepared by .....

Trading Account Dr. For the year ended 31st May Cr. Particulars Amt (Rs.) Particulars Amt (Rs.) To opening stock To purchases Less: purchase return To wages To carriage inwards To factory rent To factory .....

Budget expenditure part is the third part of the budget sheet. It shows the budget expenditures made by offices under different budget heads & subheads. It keeps the record of advance given & cleared .....

Budget release part is the second part of the budget sheet which lies just below the annual budget appropriation. It shows the total amount of budget release received from the central level .....

Annual appropriation part is the first part of a budget sheet which is placed at the top of the sheet. It shows the total amount allocated under different budget heads & subheads which are approved for the fiscal .....

Solution: Trading Account of Ridan Enterprises Dr. For the year ended 31st Chaitra Cr. Particulars Amt (Rs.) Particulars Amt (Rs.) To opening stock To purchases Less: purchase return To wages To .....

Trading account is essential to determine the trading result of a business. It helps to examine the trading efficiency of the business organization. The importance and advantages of trading account are as follows: - It helps to determine the amount .....

The trading account is prepared to achieve certain objectives, which are as follows: - To know the gross profit or gross lossIt is prepared to find out the amount of gross profit or gross loss made by the business during the particular period of .....

A budget sheet is a very important statement for operating level government offices which is used for controlling budget expenditures. Its main importances are as follows: It provides information about annual appropriation, budget release and budget .....

A budget sheet is the statement of the annual appropriation of budget, budget release and budget expenditures of operating level .....

The financial institutions established by the financially poor people for their common benefits are called financial cooperatives.The main aim of such institution is to increase the income capacity of the people and their members who are .....

Citizen investment trust is a non-banking financial institution registered and operated under citizen investment trust act 2047. It is mainly established to avoid and expand investment opportunities to the public and encourage them for saving. It .....

Employees’ Provident Fund is the amount collected by deducting from the salary of a permanent employee of government offices, company and corporations. The government deducts 10% amount from their salary, contributes equal amount from their .....

Final account is the final process of accounting. It is an accounting process, which is prepared at the end of the given period of time. It is prepared to know the amount of profit or loss and financial position of the business. The amount of profit .....

The following types of forms are used for operating the petty cash fund: - Cash payment voucher (AGF No. 6) Cash payment slip and cash control form (AGF No. 7) Petty cash book/ Petty cash fund account (AGF No. 22) Request for the reimbursement of .....

The following factors should be considered carefully by the petty cashier for proper operation of the fund: - Payment should be made only for petty expenses. Advance payments should not be made. .....

Imprest system of petty cash fund is better than the ordinary system because: It helps in timely reporting and checking. Thus, the errors, if any, can be rectified by the main cashier soon. It does not allow the petty cashier to keep idle cash with .....

Under ordinarysystem, the petty cashier is given a certain amount of cash for meeting petty expenses. When the petty cashier spends nearly the whole amount, he submits the account of expenses along with the surplus amount. If necessary, the petty .....

The petty cash fund is an amount, which is maintained by government office for making payments of small expenditures like refreshment, newspapers, postal stamp, taxi fare etc. These types of expenditures occur in government offices .....

The following are the main disadvantages of insurance: - Insurance company shows bias to the insured as it does not compensate all types of losses. It consumes more time to provide financial compensation because lengthy legal formalities. It does .....

Insurance provides benefits to an individual, family, businessman as well as a society. the main advantages of insurance can be described as follows: - Provides economic protectionsInsurance provides economic protection to the insured. It provides .....

Any two importance of petty cash fund: It facilitates to pay expenses in cash immediately. It helps to make a record of all petty payments systematically. .....

Any two objectives of petty cash fund are as follows: To facilitate for paying petty expenses To facilitate for keeping records .....

The importance and advantages of petty cash fund are as follows: - It facilitates to pay expenses in cash immediately. It helps to make a record of all petty payments systematically. It facilitates for posting petty transactions in the bank cash .....

Any two importance of petty cash book are as follows: It makes a record of all petty payments systematically. It supplies information regarding petty payments made on different heads more easily and quickly. .....

All petty expenses are paid through this fund and their records are made in a separate book, which is known as petty cash .....

The following are the main advantages of balance sheet: It presents the true financial position of the business on a particular date. It gives the information about assets, capital and liabilities of the business. It helps to judge the liquidity and .....

The following are the main objectives of balance sheet: To present the actual financial position of the business on a given date. To know the amount of trade debtors and creditors. .....

Non- life insurance refers to the insurance of goods and properties. The insurance which is done for the physical properties other than human life is known as non-life insurance. The individual or organizations have to suffer a huge loss from the .....

The balance sheet is a statement of assets, capital, and liabilities of the business. It is the statement, which depicts the financial position of the business on a particular .....

All the expenses, which are incurred in the process of operating the business, are known as office and administrative expenses. It includes the expenses like office salaries, printing and stationary expenses, legal expenses, telephone and .....

Expenses, which are incurred in the process of selling and distributing the goods, are known as selling and distributing expenses. It includes the expenses like warehouse expenses, carriage on sales, packing expenses, commission on sales, .....

Insurance provides benefits to an individual, family, businessman as well as a society. the main advantages of insurance can be described as follows: - Provides economic protectionsInsurance provides economic protection to the insured. It provides .....

The following are the types of miscellaneous insurance: Motor insurance The insurance which is done in order to get the financial compensation for the loss of motor or similar types of vehicles caused by accident, theft or other risk is called motor .....

Marine insurance is a type of insurance, which is taken for getting the financial compensation against the losses due to perils of the sea in the course of a sea voyage.The subject matter of the marine insurance is a ship, cargo, and freight. The .....