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Golden rules of accounting
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Answer Posted / ajeet shekhawat
Accounting defination is so simple while business we
collect our data and create our accounts. in accounts we
use three account catagories. as like first personal a/c,
second nominal a/c and last real a/c. method of use to this
a/c only use debit & credit. but some adjustement is must.
Personal a/c - debit what comes in, credit what goes out
nominal a/c - debit all expences and losses, Credit all
gains and incomes.
Real a/c- debit all reciever while credit tha giver.
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3. You are required to show the effect of each of the following changes on profit and Break-Even-Volume from the information given below: Sales 50,000 units Rs. 5.00 per unit Variable cost Rs. 3.00 per unit Fixed cost Rs. 70,000 Changes: (i) Price changes by 20%. (ii) Volume decreases to 40,000 units. (iii) Variable cost increases to Rs 3.50 per unit. (iv) Fixed cost decreases by 10%.
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