100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
Summary Statement of Comprehensive Income $7.44
Add to cart
Quickly navigate to
Preview
  2.  
  3. Accounting
  4.  
  5. Accounting

Summary

Summary Statement of Comprehensive Income

 8 views  0 purchase
  • Course
  • Accounting
  • Institution
  • Accounting

The only way to master the Income statement is through analysing the adjustments. I have explain the important adjustments in this document that will make it easier for students to draw up the Income statement

Preview 3 out of 25  pages

Document information

  • January 8, 2022
  • 25
  • 2021/2022
  • Summary

Subjects

  • statement of comprehensive income

Written for

  • Accounting
  • Accounting
All documents for this subject (1382)

Seller

avatar-seller
TheTeachingMachine

Reviews received

Content preview

, Table of Contents

Topic Page
1.Statement of Comprehensive Income 2-3
2.Golden rule 4
3.Financial period 4
4. WANT/HAVE formula 4
5. Income received in advance 5-8
6. Prepaid expense 9-10
7. Accrued income 11-12
8. Accrued expense 12-13
9. Bad debts 14-15
10. Bad debts recovered 15-16
11. Provision for bad debt 16-18
12. Depreciation 19-21
13. Trading stock 21-22
14. Consumable stores 22-23
15. Interest income 23
16. Interest expense 24




1

, Statement of Comprehensive Income


 The Statement of Comprehensive Income is used to determine the financial
performance/results of the business
 Income and expenses are the only elements used to compile the Statement of
Comprehensive Income
 Always focus on the nominal accounts section and consider adjustments



Sales – Sales returns Revenue/Net sales
Cost of sales

If cost of sales is not given, calculate them as follows:

Opening Inventory – given on the trial balance
+Purchases
+ Carriage costs such as:
• Carriage on purchases
• Custom tariffs /duties
• Delivery fee
• Import duties
• Shipping fee
• Railage cost
• Etc – any cost of bringing goods into the business
premises
-Purchases returns
-Goods taken owner/Goods donated
-Closing Inventory – given on the adjustment/additional
information

Gross profit
(Revenue/Net Sales minus Cost sales)

Other operating income – here we looking at the other
sources of income besides sales /trading

 Rent income
 Commission income
 Discount received
 Profit on sale of asset
 Bad debts recovered
 Provision for bad debts adjustment
 Trading stock surplus
2

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller TheTeachingMachine. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $7.44. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

52510 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$7.44
  • (0)
Add to cart
Added