Principles of Accounts Notes Archives - Page 19 of 19 - Free ZIMSEC & Cambridge Revision Notes

Principles of Accounting: Accounting for Capital and Revenue Expenditure

ZIMSEC O Level Principles of Accounts Notes: Accounting for Capital and Revenue Expenditure

Now that we have explained the differences between capital and revenue expenditure
It is time to look at how these are recorded in the books
Obviously the treatment is not the same

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ZIMSEC O Level Principles of Accounting: Introduction to Liquidity Ratios: Rate of inventory turnover

Proprietors often want to know how “well” their business is doing
Besides such measures as profitability
one way of estimating liquidity is through the rate of inventory turnover ratio
The ratio estimates the number of times inventory is sold or used in a given financial period […]

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ZIMSEC O Level Principles of Accounting: Introduction to Departmental Accounts Example

Income Statement for the year ended 31 March 20×5

NB We are not asked to prepare the combined accounts but this should be straightforward enough. Please see notes on […]

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ZIMSEC O Level Principles of Accounting: Accounting for Partnerships: The concept of goodwill

It is not unusual for a business to be bought or sold as a going concern i.e.
The entire business (or business unit) and its related assets and liabilities
Often when a business is sold or bought it is at a price that is higher than […]

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ZIMSEC O Level Principles of Accounting: Accounting for Limited Liability Companies: Income Statement

As already pointed out in our introduction
The structure of the Income Statement ( Profit and Loss part) prepared for limited liability companies such as Private Limited (PVT LTD) and Public Limited Liability companies
is especially different from those prepared for sole traders and partnerships

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