This video shows 2 fully worked examples of income statements with adjustments for:
- accrued and prepaid revenues and expenses,
- the provision for bad debts (increase and decrease), and
- the provision for depreciation (both methods)
The links below will carry you to the previous videos with the individual adjustments:
Trading account
https://youtu.be/AVBbMiIYUW4
Accruals and prepayments (in the income statement)
https://youtu.be/B2_FQL3oYHg
Provision for bad debts (in the income statement)
https://youtu.be/_AxiP2jCVl8
Provision for depreciation (in the income statement)
https://youtu.be/R1qunr3MoCo
If you have any questions please leave them in the comments below.
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ADApT; because change is the only constant.
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