ATAR Notes: Forum

VCE Stuff => VCE Business Studies => VCE Subjects + Help => VCE Accounting => Topic started by: william.woon on August 24, 2014, 06:50:09 pm

Title: Expenses
Post by: william.woon on August 24, 2014, 06:50:09 pm

Hey Guys,
I've been doing this for the whole year and I'm not too sure if this is okay. Whenever I have for example less Expenses or less Payments for all the amount under that subheading I put a bracket around the amount. Would I lose marks for that? So for example:

less Expenses
Rent                 (5,000)
Wages              (10,000) (15,000)

Is that okay? My teacher hasn't taken marks off for it tho.

Title: Re: Expenses
Post by: redcracker on August 25, 2014, 05:14:19 pm

i would think that a double negative here would make a positive, and that it is not okay

but i don't know for sure if you would lose marks for it

Title: Re: Expenses
Post by: saiyanwarrior14 on August 25, 2014, 09:09:10 pm

This should be fine especially in the income or cash flow statement, the brackets are needed to signal an outflow of cash or credit :)

Title: Re: Expenses
Post by: Valyria on August 25, 2014, 09:18:48 pm

Quote from: saiyanwarrior14 on August 25, 2014, 09:09:10 pm

This should be fine especially in the income or cash flow statement, the brackets are needed to signal an outflow of cash or credit :)

The 'less expenses' implies the incurred expenses will be subtracted from the total revenue. Having brackets around individual accounts would negate the signposting of 'less'. Stringent examiners will take a mark off, so I'm with redcracker on this one, remove the brackets but keep the 'less expenses'.

Title: Re: Expenses
Post by: saiyanwarrior14 on August 25, 2014, 10:42:18 pm

Quote from: Valyria on August 25, 2014, 09:18:48 pm

The 'less expenses' implies the incurred expenses will be subtracted from the total revenue. Having brackets around individual accounts would negate the signposting of 'less'. Stringent examiners will take a mark off, so I'm with redcracker on this one, remove the brackets but keep the 'less expenses'.

Yeah that is a good point. However i was always taught to put brackets around expenses. Not sure if that includes those under 'LESS' expenses but good point none the less:)

Title: Re: Expenses
Post by: william.woon on August 30, 2014, 09:28:34 pm

Thanks to everyone who responded. I decided to not do it, just to be safe. Other than certain parts of the cash flow statements or for bank balances. Thanks everyone!

Title: Re: Expenses
Post by: marsbareater12 on August 31, 2014, 07:38:53 pm

I'm doing the same - is it okay to put brackets around the subtotal amount, so eg;

Less expenses:
Wages                1000
Advertising            500        (1500)

?

Title: Re: Expenses
Post by: william.woon on August 31, 2014, 08:33:52 pm

I don't think so. Because it's already saying less and the subtotal is all the amounts with a imaginary bracket outside of them. Only time I use brackets is in a cash flow statement.