Illustration of double entry-branches, Financial Accounting

Assignment Help:

Illustration of double entry
The balances on the current accounts of a head office and branch were Ksh 698,000, before the transactions listed below:

 

Kshs

Goods sent to branch by head office

1,727,000

Remittances received by head office from branch

892,000

Goods received by branch from head office

1,620,000

Remittances sent to head office by branch

944,000

Branch profit for the period

594,000

Goods in transit from head office to branch

107,000

Cash in transit from branch to head office

52,000

 

Books of head office:

                                          Branch Current A/C

 

Sh

 

Sh

Bal b/d

698,000

Cash book

892,000

GSTB

1,727,000

Bal c/d

*1,533,000

 

2,425,000

 

2,425,000

Bal b/d

1,533,000

Goods in transit

107,000

Branch profit

594,000

Cash in transit

52,000

 

________

Bal c/d

1,968,000

 

2,127,000

 

2,127,000

 

*  Entry that is usually found in the trial balance of the Head Office.

 

                                         Goods sent to branch

 

Sh

 

Sh

 

 

Branch current a/c

1,727,000

 

                                              Goods in transit

 

         Sh

 

Sh

Branch current a/c

107,000

 

 

 

                                             Cash in transit

 

     Sh

 

Sh

Branch current a/c

52,000

 

 

 

Books of the branch:

                                    Head office current account

 

Sh

 

Sh

Cash book

944,000

Bal b/d

698,000

Bal c/d*

1,374,000

 

1,620,000

 

2,318,000

 

2,318,000

 

 

Bal b/d

1,374,000

Bal c/d

1,968,000

Branch profit

594,000

 

1,968,000

 

1,968,000

 

*  Entry that is usually found in the trial balance of the branch.

 

                                     Goods from head office

 

     Sh

 

Sh

H.O current a/c

1,620,000

 

 


Related Discussions:- Illustration of double entry-branches

Revenue and expense accounts, Are revenue and expense accounts permanent ac...

Are revenue and expense accounts permanent accounts and should not be closed at the end of the accounting period?

Interest revenue, Interest revenue: At the end of 2012, a manufacturer...

Interest revenue: At the end of 2012, a manufacturer sells machinery to a customer for $90,000. $30,000 is paid immediately, and the customer signs a promissory note for the r

Determine the cost of equity, Lockheed Martin's management wishes to fi...

Lockheed Martin's management wishes to find out whether they have excess debt capacity. Its current market value of equity is $40 b and its book value of debt is $

Americans with disabilities act - ada, Americans With Disabilities Act - AD...

Americans With Disabilities Act - ADA  legislation passed in 1990 that bans discrimination against people who are having disabilities. According to this Act, discrimination against

Determine the yield to maturity of the bond, The current market price of a ...

The current market price of a Leigh bond is $1,297.6. If the coupon rate is 10% and the par value is equal to $1,000, what is the yield to maturity of the bond if it matures in 10

The paper Contemporary Issues in International Accounting, Requirements: P...

Requirements: Part I Access the IFRS and the Generally Accepted Accounting Principles (GAAP) of your country. a. Note ten differences between the two sets of GAAP. Part II Ac

Calculate the expected present value, Problem1 Derive from first princi...

Problem1 Derive from first principles an expression for the variance of the benefits payable under an endowment assurance with benefits payable at the end of the year of death.

According to the management perspective cost , Cost: - According to the ma...

Cost: - According to the management perspective cost is define as a reduction in the value of assets for to secure benefit or gain. In other words cost is the different expenses

Prepare a revised balance sheet, #questionBroadway Scripts is a service-typ...

#questionBroadway Scripts is a service-type enterprise in the entertainment field, and its manager, Joe Numbers, has only a limited knowledge of accounting. Joe prepared the follo

Explain your findings and conclusion, When the stock market is going up ove...

When the stock market is going up over a long period of time, investors can become complacent about the risks of being a stockholder. After the significant decline of the stock mar

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd