Extending to profit or loss and financial position
Combine each ledger balance with its adjustment, then carry the result to the right statement and the right side.
Task 1Add across the row4 questions
To extend a row, combine its ledger balance with its adjustment. The result is one figure.
- Same side: add them. A debit balance with a debit adjustment is a bigger debit
- Opposite sides: take the smaller from the larger. The result sits on the side of the larger
- No adjustment: the ledger balance is carried across unchanged
| Account | Ledger Dr | Ledger Cr | Adj Dr | Adj Cr |
|---|---|---|---|---|
| Rent | 5,500.00 | 300.00 | ||
| Trade receivables | 6,000.00 | 400.00 |
Task 2Which statement each row goes to4 questions