Doing a mock for ICB and im in trouble with a (silly) question.
I have the balances on the ledger and i have to post opening entries in the ledger accounts..
I am given the Capital as 15,900 and i have put that as a credit on the Capital account.But now confused as to whether i should put that as a debit on the Bank account;although i am told that the bank has 2,100 in it.If i add the Capital, wouldnt that give me 18,000?And wouldnt that be wrong?
But then, should i just not do a double entry for the Capital?
i cant believe im stuck on what seems such a simple thing.
Opening entries require only one single entry per account. (Actually, it is a global double entry that concerns all the opened accounts)
So you put 15,900 as a credit on the Capital account, and nothing more!
Hope it helps
Jérôme
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The two principal figures without which no project is possible: the perfection of the circle, the principle of all regular bodies, and the equilateral square. (Fra Luca Pacioli)
Thank you so much! I understand now. Also have a list of Debtors and a list of Creditors. Initially made double entries for them as well-in sales and purchases.guess i was wrong and will just make one entry in the personal accounts. Thank you so much again
Can I add another question about opening journals. If the year starts in April would you date the opening journals as 31st March. When printing opening trial balance for april it on sage it just say on report brought forward but doesn't give any date. Do you think this is correct?
I have entered opening journals through nominal opening balances not as a general journal.
Thanks for that. Would you enter them as opening balances on the individual nominal accounts or do as a journal? If done as a journal surely they will go into months figures and not show as opening balances.
Nothing is more boring me : enter opening balance on the individual nominal accounts ^^
So I prefere create a journal with all my opened accounts BUT NOT debtors, creditors, neither their control accounts. (For them I prefere enter the opening balances on the individual accounts)
To make my journal balance, I use a suspense account, that is automatically settled (Sage use the same account to create debtors-creditors entry).
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The two principal figures without which no project is possible: the perfection of the circle, the principle of all regular bodies, and the equilateral square. (Fra Luca Pacioli)
What is confusing me is the date to use. Sage says use last date of fin year. if year starts 1 april date 31 march, which is what accountants usually ask you to do if giving journals. But reading the mock paper and answers they look by their balance sheet that they have entered them as 1 april as there are figures for month and year.
jerohm wrote:To make my journal balance, I use a suspense account, that is automatically settled (Sage use the same account to create debtors-creditors entry).
Thats how I was taught to do it.
Crazy I know but back in the days of Sage Line 100 and Dos, I used to post every entry on the individuals suppliers/ customers account to suspense as well and contra with the appropriate control account balance.
Now that's a job I hated.
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Tony
Responses are intended as outline only. Formal advice should be sort from your Institutes Technical Department or a suitably qualified Accountant.
