February 2025

Introduction to the Trading and Profit and Loss Account

By |2025-02-12T09:16:08+02:00February 12th, 2025|Notes, Ordinary Level Notes, Principles of Accounts Notes|

Image credit pixabay.com Image credit pixabay.com ZIMSEC O Level Principles of Accounts Notes: Introduction to the Trading and Profit and Loss Account

  • The profit/loss of a business is calculated by preparing a trading and profit and loss account
  • It is sometimes called only the profit and loss account in error
  • It is also […]
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Cambrige Notes: Sole Trader Final Accounts:G Musandu Trial Balance Question

By |2025-02-12T09:43:47+02:00February 12th, 2025|Cambridge O Level/ IGSCE Accounts Notes, Notes, Ordinary Level Notes|

Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes: Sole Trader: Trading and profit and loss accounts and balance sheets: Other items

From the following trial balance of G Musandu, draw up a trading and profit and loss account for the year ended 30 September 20X9, and a balance sheet as at that date.

G Musandu

Trial Balance as at […]

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Cambrige Notes: The format of a Simple Trading and Profit and Loss Account/Income Statement

By |2025-02-12T09:04:48+02:00February 12th, 2025|Cambridge O Level/ IGSCE Accounts Notes, Notes, Ordinary Level Notes|

Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes: The format of a Simple Trading and Profit and Loss Account

The Name of the Business/Proprieter

NB The exact names and types of expenses and other income will vary from business to business you should take your cue from the examination question

Trading and Profit and Loss Account and the Expense […]

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Uses and the importance of the Trading and Profit and Loss Account

By |2025-02-12T09:17:06+02:00February 12th, 2025|Notes, Ordinary Level Notes, Principles of Accounts Notes|

image credit tiespecialistas.com.br image credit tiespecialistas.com.br ZIMSEC O Level Principles of Accounts Notes: Uses and the importance of the Trading and Profit and Loss Account

  • People set up businesses to make a profit
  • Profit is the main objective of most privately owned businesses
  • However a business may fail to make a profit
  • The business […]
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Cash Discount,Discount Received and Discount Allowed

By |2025-02-12T09:05:08+02:00February 12th, 2025|Notes, Ordinary Level Notes, Principles of Accounts Notes|

Cash Discount. Image credit wiser.com Cash Discount. Image credit wiser.com ZIMSEC O Level Principles of Accounts Notes: The Cash Book:Discount Received and Discount Allowed

  • Businesses prefer it if their customers pay quickly
  • Businesses may thus accept a sum slightly lower than the invoice amount in settlement of a debt if payment is […]
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Cambrige Notes: G Musandu Solution:Trading and Profit and Loss Account

By |2025-02-12T09:43:58+02:00February 12th, 2025|Cambridge O Level/ IGSCE Accounts Notes, Notes, Ordinary Level Notes|

Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes: Sole Trader: Trading and profit and loss accounts and balance sheets: Other items

  • This is a solution to the question here.

G Musandu

Trading and Profit and Loss Account (Income Statement) for the year ended 31 September 20×9

  • Sales returns and Returns inwards are the same thing

    • […]

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Cambrige Notes: Sole Trader:Trading and Profit and Loss Account/Income Statement Example

By |2025-02-12T09:04:58+02:00February 12th, 2025|Cambridge O Level/ IGSCE Accounts Notes, Notes, Ordinary Level Notes|

Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes: Trading and Profit and Loss Account/Income Statement Example

From the following trial balance of S Madondo, extracted after one year’s trading, prepare a trading and profit and loss account for the year ended 31 December 20X6. A balance sheet is not required.

  • Stock at 31 December 20X6 was $12,408

Solution

S […]

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Terms used in the Trading and Profit and Loss account

By |2025-02-12T09:17:42+02:00February 12th, 2025|Notes, Ordinary Level Notes, Principles of Accounts Notes|

Image credit clarkewillmot.com Image credit clarkewillmot.com ZIMSEC O Level Principles of Accounts Notes: Terms used in the Trading and Profit and Loss account

Gross profit

  • is the excess of sales over the cost of goods sold
  • If the amount of cost of goods sold is more than the amount of sales the result […]
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Discount Allowed and Discount Received entries

By |2025-02-12T09:06:02+02:00February 12th, 2025|Notes, Ordinary Level Notes, Principles of Accounts Notes|

Discount Entries. Image credit moneysavingexpert.com Discount Entries. Image credit moneysavingexpert.com ZIMSEC O Level Principles of Accounts Notes: The Cash Book:Discount Allowed and Discount Received entries

  • Consider the following entries and enter them into the books of J Haudzwi

July 20×9
1 Started the business with $1000 Cash
3 Deposited $600 from the […]

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