Question { 3169 }

What do you mean by the word Loss in nominal accounting Give some examples

Answer

A happening which is under unforeseen and unavoidable circumstances

Question { Satyaki Educational Academy, 2499 }

In the income statement we may get profit or loss but the name of the statement was Profit and Loss account Why it was so?

Answer

In the income statement there may be other revenue receipts other than main activity of the business. Even though main business activity brings loss to the concern and because of other income it will result in profits. Hence Profit and loss account is a mixed statement with loss from main activity and profit from other activity

Question { KMS, 3544 }

How can entry made if loan transfer from reliance to tata finance

Answer

If we think it as Loan take over by tata Finance entry will be
Reliance A/c Dr
To Tata Finance A/c

Question { 2250 }

Classification of Bank A/c and Bank OD account

Answer

bank Account is a real account and bank O/D account is Personal account

Question { 2254 }

The real meaning of Purchase

Answer

Purchase is meant for sale or Consumption in the manufacturing process or consumption in the execution of contracting works. Hence purchase of asset should not be treated as purchase

Question { Satyaki Educational Academy, 2087 }

How you classify bank Account?

Answer

Bank accounts are of two types. Current account and Loan Account. Bank Current Account should be placed under Real Account and Bank Loan account should be placed under Bank OD A/C