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VCE Accounting Question Thread!

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_avO:

Cash purchase = Chq. XX (Cheque butt)
Cash sale = Rec. XX (Receipt)
Credit purchase/sale = Inv. XXX (Invoices)

Tan:
ohh! I completely forgot that LOL x.x

nacho:
hey, for ex 8.7, question e)
I'm having difficulty in getting the correct answer..

Sales:
Oct. 10 : 5 x 900 = 1400
Oct. 14 : 2 x 900 = 1800
+ stock gain = 650
total = 6950

Cost of sales:
Oct. 10 : 2400 + 650
Oct. 14 : 1300
Total = 4350

Sales+stockgain less cost of sales = 2600

The answers have :
Sales revenue     $6 930          (7 units  $990 per unit)
less Cost of sales 4 350           (3 050 + 1 300)
Gross profit         2 580
add Stock gain       650
                             _______
Adjusted Gross profit $3 230

I think i'd have the same answer, except, in the answers they've multiplied the 7 units by 990, even though it was only sold for 900 plus 90 for each unit, is this correct? I thought GST did not count towards our sales since it is only collected on behalf of the ATO.

_avO:
Your answers are correct, GST is not a revenue nor an expense so it is definitely not reported in the P&L statement

nacho:
I found chapter 7 fairly hard, (Dislike the general journal, and correcting entries), aside from depreciation, is there anything harder? Im up to ch.9 now

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