Forum

• # 73091
• Wed 20 Jul 2011 04:29 AM

Hi

I have put through all the figures on solar for my mock but am struggling with how to record two opening balances for depreciation.

I was thinking that i could show the assets net of the depreciation when bringing them forward, but  in the trial balances the depreciation has to be shown separately.

Any guidance would be appreciated.

Regards

Acorn

• "Helping small acorns become large oaks"
• 
  Quote
  

• # 73092
• Wed 20 Jul 2011 06:15 AM

Hi

Another issue i have is on vat - on the trial balance produced by Solar i have got a net vat liability, however on the mock exam there is a balance on the sales tax control and the purchase tax control - have i got to split these out?

Regards

Acorn

• "Helping small acorns become large oaks"
• 
  Quote
  

• # 73098
• Wed 20 Jul 2011 02:34 PM

Hi Acorn

I've just used Solar for a mock and exam, so I should be able to help you.

VAT-  Solar has one 'VAT Liability' Nominal code (Current Liability) and when you post sales invoices and purchase invoices the VAT element automatically is posted to that one VAT Liability code.  Are you saying there is an opening balance for both sales tax and purchase tax?  If so, I would add both together and post the total to the VAT Liability.

If you opened a second nominal account for VAT,  nothing would be posted to it.

Depn.  -  For the opening balances of the different depn charges, you need to open seperate Fixed Asset nominal codes for 'Depn Provision' for each item being depreciated.  By opening seperate accounts you can keep track of the amount of depn being charged and ensure it is correct. It also means that the NBV for each can be seen quickly.  (It will also show that examiner that you have posted the correct amounts.)

Let me know if you need any help with the Chart of Accounts or opening Nominal codes on Solar.

Regards

• 
  Regards
  Jocelyn

• 
  Quote
  

• # 73105
• Wed 20 Jul 2011 06:53 PM

Hi Jocelyn

On the answer sheet for the mock there is a separate sales and purchase tax nominal code - i was concerned that if the actual answers on Solar did not match then this would be marked down - i have done the vat as you have stated

Thanks for your reply it is much appreciated.

Have you done both level 2's?

Kind Regards

Acorn

Edited at 20 Jul 2011 06:54 PM GMT

• "Helping small acorns become large oaks"
• 
  Quote
  

• # 73115
• Thu 21 Jul 2011 02:54 PM

Hi Acorn

One thing you have to remember when doing the computerised exams is that no two accounting software packages are the same.  The 'suggested answers' I had on the mock I had from the ICB was done on Sage so unless I had used Sage, the reports and layouts I produced would not be identical.  The chart of accounts, nominal codes, P&L and BS are only  'suggested layouts' by the software company and with a knowledge of accounts and how the program works it is possible to change the layouts, codes etc to suit the business using it.  One thing I did notice with Solar is that it doesn't use account numbers for sales and purchase ledger accounts, nor nominal codes, Sage does. 

Yes, I have done the manual level 2 a couple of weeks ago and am about to send my computerised level 2 reports back.

I have been doing accounts for the past 20 years and am a qualified Accounting Technician, so have used several accounting software packages.  I used Solar for the computerised level 2 exam as I had not used it before, but although it is very easy to use, it does have it's limitations.

Regards 

• 
  Regards
  Jocelyn

• 
  Quote
  

• # 73122
• Thu 21 Jul 2011 07:54 PM

Hi Jocelyn

Interesting i also got my accounting technician in 1991 - i have followed a similar journey but did not stay in the private sector, i work in the public sector initially in accounts, now in revenues.

Am really enjoying the bookkeeping second time around - Good luck with your computer exam.

I am planning to request the exam in a few weeks time when i am thoroughly happy with the computer package.

What i am doing initially is work through the answer manually and then i have something to check against.

Regards

Martin

• "Helping small acorns become large oaks"
• 
  Quote