Comments for The Happy Accountant http://www.happyaccountant.com Sat, 20 Mar 2010 01:42:58 +0000 http://wordpress.org/?v=2.6.2 Comment on Sales Invoice by The Happy Accountant » Blog Archive » Sales Invoicing http://www.happyaccountant.com/2007/06/sales-invoice/#comment-81 The Happy Accountant » Blog Archive » Sales Invoicing Fri, 21 Nov 2008 11:49:55 +0000 http://happyaccountant.wordpress.com/2007/06/06/invoice/#comment-81 [...] while ago, I posted about some basic details that need to be included on a sales invoice.  In addition, if the business is a limited company, the sales invoice must [...] [...] while ago, I posted about some basic details that need to be included on a sales invoice.  In addition, if the business is a limited company, the sales invoice must [...]

]]> Comment on Calculating Depreciation by The Happy Accountant » Blog Archive » Net Book Value http://www.happyaccountant.com/2008/05/calculating-depreciation/#comment-70 The Happy Accountant » Blog Archive » Net Book Value Fri, 10 Oct 2008 21:40:11 +0000 http://happyaccountant.com/?p=339#comment-70 [...] yesterday’s examples, the net book values would be as [...] [...] yesterday’s examples, the net book values would be as [...]

]]> Comment on Cash Book and Bank Statements by The Happy Accountant » Blog Archive » Petty Cash and Imprest http://www.happyaccountant.com/2007/06/cash-book-and-bank-statements/#comment-68 The Happy Accountant » Blog Archive » Petty Cash and Imprest Sat, 04 Oct 2008 16:54:22 +0000 http://happyaccountant.wordpress.com/2007/06/22/cash-book-and-bank-statements/#comment-68 [...] The petty cash book looks much the same as the main cash book. [...] [...] The petty cash book looks much the same as the main cash book. [...]

]]> Comment on Simple Purchase Ledger in Excel I by The Happy Accountant » Blog Archive » Simple Sales Ledger in Excel I http://www.happyaccountant.com/2007/06/simple-purchase-ledger-in-excel-i/#comment-67 The Happy Accountant » Blog Archive » Simple Sales Ledger in Excel I Sat, 04 Oct 2008 16:53:20 +0000 http://happyaccountant.wordpress.com/2007/06/25/simple-purchase-ledger-in-excel-i/#comment-67 [...] rows (may be to row 50, as a start).  This is done a number of different ways.  Please refer to Simple Purchase Ledger in Excel I if you need to know how to do [...] [...] rows (may be to row 50, as a start).  This is done a number of different ways.  Please refer to Simple Purchase Ledger in Excel I if you need to know how to do [...]

]]> Comment on Calculating the VAT by The Happy Accountant » Blog Archive » The VAT Fraction http://www.happyaccountant.com/2007/08/calculating-the-vat/#comment-66 The Happy Accountant » Blog Archive » The VAT Fraction Sat, 04 Oct 2008 16:51:37 +0000 http://happyaccountant.wordpress.com/2007/08/28/calculating-the-vat/#comment-66 [...] fraction of 7/47, is arrived at by converting the decimal fraction of 0.175/1.175 (see the post on Calculating the VAT) to the lowest whole [...] [...] fraction of 7/47, is arrived at by converting the decimal fraction of 0.175/1.175 (see the post on Calculating the VAT) to the lowest whole [...]

]]> Comment on Sales Day Book and Sales Returns Day Book by The Happy Accountant » Blog Archive » Day Book Analysis and Journals http://www.happyaccountant.com/2007/06/sales-day-book-and-sales-returns-day-book/#comment-65 The Happy Accountant » Blog Archive » Day Book Analysis and Journals Sat, 04 Oct 2008 16:50:08 +0000 http://happyaccountant.wordpress.com/2007/06/18/sales-day-book-and-sales-returns-day-book/#comment-65 [...] previously blogged about day books and analysing the sales or purchases into appropriate columns.  Depending on your business and grasp of accounting & [...] [...] previously blogged about day books and analysing the sales or purchases into appropriate columns.  Depending on your business and grasp of accounting & [...]

]]> Comment on The Prudence Concept by The Happy Accountant » Blog Archive » Goods Written Off or Goods Written Down http://www.happyaccountant.com/2007/04/the-prudence-concept/#comment-64 The Happy Accountant » Blog Archive » Goods Written Off or Goods Written Down Sat, 04 Oct 2008 16:46:28 +0000 http://happyaccountant.wordpress.com/2007/04/11/the-prudence-concept/#comment-64 [...] I mentioned, when I blogged about the prudence concept goods which have bcome worthless or worth less than their original cost, whould be written down [...] [...] I mentioned, when I blogged about the prudence concept goods which have bcome worthless or worth less than their original cost, whould be written down [...]

]]> Comment on Cash Book and Bank Statements by The Happy Accountant » Blog Archive » Why do a Bank Reconciliation http://www.happyaccountant.com/2007/06/cash-book-and-bank-statements/#comment-62 The Happy Accountant » Blog Archive » Why do a Bank Reconciliation Mon, 22 Sep 2008 19:52:29 +0000 http://happyaccountant.wordpress.com/2007/06/22/cash-book-and-bank-statements/#comment-62 [...] business’s cash book will rarely agree to the bank statement and it can be easy to miss transactions, such as direct [...] [...] business’s cash book will rarely agree to the bank statement and it can be easy to miss transactions, such as direct [...]

]]> Comment on The Business Equation by Happy Accountant http://www.happyaccountant.com/2007/05/the-business-equation/#comment-17 Happy Accountant Wed, 20 Aug 2008 10:03:45 +0000 http://happyaccountant.wordpress.com/2007/05/03/the-business-equation/#comment-17 Profit = increase in capital + drawings - extra capital introduced Profit = Assets - liabilities + drawings - extra capital. Basically, it means that you can view profit (in any given year) as being the same as the increase in capital (less any new capital introduced into the business) because the business equation and accounting equation are mathematically linked. (If you really wanted, you could do a mathematical "proof" of this, or you could substitute numbers in and see for yourself). Going the "other way", profit is the business assets less its liabilities plus drawings and less capital introduced. (You have to include drawings and capital introduced in the equation to allow for capital coming in or going out of the business which didn't come about through profit generation) Profit = increase in capital + drawings - extra capital introduced

Profit = Assets - liabilities + drawings - extra capital.

Basically, it means that you can view profit (in any given year) as being the same as the increase in capital (less any new capital introduced into the business) because the business equation and accounting equation are mathematically linked. (If you really wanted, you could do a mathematical “proof” of this, or you could substitute numbers in and see for yourself).
Going the “other way”, profit is the business assets less its liabilities plus drawings and less capital introduced.

(You have to include drawings and capital introduced in the equation to allow for capital coming in or going out of the business which didn’t come about through profit generation)

]]> Comment on The Business Equation by Flustered http://www.happyaccountant.com/2007/05/the-business-equation/#comment-18 Flustered Wed, 20 Aug 2008 08:16:09 +0000 http://happyaccountant.wordpress.com/2007/05/03/the-business-equation/#comment-18 can one explain it wth reference to the accounting equation????????? can one explain it wth reference to the accounting equation?????????

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