Quizzes & Puzzles1 min ago
On A Balance Sheet Should The Accumulated Funds Always Equal The Total Of Fixed And Current Assets
I am trying to put together a balance sheet for a club using a format previously used by others.
Th balance sheet is split into two sections. The first part contains entries such as: Values of Fixed assets.Plus Current assets including stock and cash at bank.
The second part shows details of Accumulated Funds. Includes the carried forward balance from last year. Plus Profit/Loss on the year.
Looking at previous balance sheets the total amount shown under Accumulated funds always equals the total shown under Fixed and Current Assets. Should this always be the case? In my attempt at a balance sheet that is not the case. The amount under Accumulated funds is less than the total of Fixed and Current assets.
Help as always, greatly appreciated.
Th balance sheet is split into two sections. The first part contains entries such as: Values of Fixed assets.Plus Current assets including stock and cash at bank.
The second part shows details of Accumulated Funds. Includes the carried forward balance from last year. Plus Profit/Loss on the year.
Looking at previous balance sheets the total amount shown under Accumulated funds always equals the total shown under Fixed and Current Assets. Should this always be the case? In my attempt at a balance sheet that is not the case. The amount under Accumulated funds is less than the total of Fixed and Current assets.
Help as always, greatly appreciated.
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sorry for delay in replying.
the format is:
Fixed assets minus depreciation to date, plus current assets (stock, positive bank balances, cash, (trade debtors )people who owe you money, other debtors and prepayments.
MINUS
Liabilities (trade creditors), other creditors and accruals.
This gives you one half of the equation.
The bottom half is
profit and loss (reserves) brought forward plus or ( minus) profit or (loss) for the current year.
and yes, the two halves must be the same, if not you have gone wrong.
Try this and if it doesn't work and you can't find out where you have gone wrong, come back to me.
_
the format is:
Fixed assets minus depreciation to date, plus current assets (stock, positive bank balances, cash, (trade debtors )people who owe you money, other debtors and prepayments.
MINUS
Liabilities (trade creditors), other creditors and accruals.
This gives you one half of the equation.
The bottom half is
profit and loss (reserves) brought forward plus or ( minus) profit or (loss) for the current year.
and yes, the two halves must be the same, if not you have gone wrong.
Try this and if it doesn't work and you can't find out where you have gone wrong, come back to me.
_
1 to 2 of 2
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