Part 1- Introduction The report contains the...
Effective Ways to Solve Accounting Questions
In the academics, students feel depressed when they are not able to solve accounting questions, as accountancy is considered as the most complex subject. Students sometimes find themselves in a net, when they are asked to solve cost accounting, financial accounting and tax accounting. Therefore, professionals suggested different ways with which a student can solve advanced accounting questions, some of them are:
Ways to solve accounting questions
Consider/ see/Illustrate related examples
Help from any accounting professional
Take help from accounting guru
Help from accounting tutors
Discuss with your friends
Send your queries to editors/authors of books on accounting, costing and taxation
Submit questions to school/ college message boards, internet forums and answers yahoo
Get your theories straight
Search for solutions in accountancy books
1. Consider/ see/Illustrate related examples– Questions that students might encounter in an examination could involve tricky financial situations of an individual or the company. Therefore, you can relate a specific accounting problem or question to the questions you have already solved in the class. If you are facing any unfamiliar or un-related financial information, you can convert the solution into known financial information.
For instance, a question says, “If a business owns a piece of real estate worth $ 250,000 and it owes $ 180,000 on a loan for that real estate, what is the owner’s equity in the property?”
In this case, you might not have any idea of the owner’s equity if that asset is of owner and he/she is mortgaged by the bank. Now, you can organize the information based on your familiar information, like:
Assets= Liabilities + owner’s equity or by using the formula Owner’s equity= Assets – liabilities.
Now, you are required to place the information based on the given formula, as you already known that the business owns a real estate worth 25,000 dollars. Then this is an asset. But it is on loan which has to be paid back. So it is definitely a liability. Therefore, an owner’s equity here will be $ 250,000 – $ 180,000 = $ 70,000
2. Take help from accounting guru –The advent of technology enable students to consume the benefits of online or cloud software and find solutions of different types of accounting problem. It takes less time and does not require any extra installation and downloads. Also, there is no need of any separate software or hardware. With this, you can solve both inventory and accounting problem. Accounting guru comes in four different editions that includes:
a. Standard edition– Basic accounting and preparing simple reports
b. Silver edition– Accountancy, advanced reports and preparing inventories
c. Gold edition– Advanced accountancy, inventories and reports
d. Diamond edition– Additional features
For small business, it is considered as the excellent software for accounting. But people nowadays started using it in education, inventory, accounts and taxation problems.
3. Discuss with your friends– Accountancy have various fields and sub fields. Every student might not have the aptitude for separate fields of study. Every student can create a good balance sheet and prepare journal entries and proficiency in taxation. It is always advised to have the group study sessions so that you can share the expertise with each other, as one person knows something, the other might not aware of. By solving accounting problems together, you can take the help of your friends and correct your mistakes.
4. Submit questions to school/ college message boards, internet forums and answers yahoo– Message boards of school or colleges helps in posting your questions. It is important for you to highlight the questions to catch your friend’s attention. Internet forums or online sites allow the users to share their accounting problems and experiences. On yahoo answer, you can directly upload any type of question and get your solution within a minute. There are lots of sample questions available and multiple answers for the same question related to accountancy problem. There, you can also rate your answers and check out the best possible solution of your question.
5. Search for solutions in accountancy books– The books of accountancy helps in providing the theories and practical problems by regularly practicing exercises. With particular case studies of accountancy, accounting journals can also be given to the students. There are some major journals of accountancy including organizations and society, the accounting review, accounting and the auditing: a journal of practice and theory.
6. Help from any accounting professional– Professional accountants are dealing with financial situations of both individuals and companies, as they have substantial knowledge. The members of accountancy institutes help in providing technical help lines, advisory services and counseling services, but they might charge high fees from their clients, if you are not a student. Therefore, you must keep on trying such sources.
7. Help from accounting tutors– There are several sites available online like tutor finder which helps you to provide assistance to the students in different parts of country. Along with the resume, tutors can post their advertisements on the site. Through this, students can check their resumes and take free classes before serving a specific tutor. On an hourly basis, rates can be determined that ranges from 20-70 dollars.
8. Send your queries to editors/authors of books on accounting, costing and taxation– Different type of scholars have different levels of expertise and areas. It has been found that most of these writers are teachers and professors of a particular university whose website carry online syllabus. Videos of class lectures and online resources are uploaded.
9. Get your theories straight –Every student must go through the basics of accounting concepts, taxation and costing so that they can easily serve their problem. Therefore, it has become significant to have a strong foundation for applying the theoretical knowledge to their practical solutions.
Now a question arises, how to attempt accountancy exam?Under mentioned are certain steps which suggest procedure in order to solve the question paper easily.
Tips to attempt accountancy exam
Reading question paper
a. Utilize 15 minutes in reading
b. Read the question carefully
a. Answer the questions serial wise
b. Highlight the numbers
c. Leave some lines after every answer
Presentation and handwriting
a. Good handwriting
Rough work and working notes
a. Proper working notes
b. Rough work on a separate sheet
Accounting requirements and formats
a. Make formats with pencil
b. Write Dr. and Cr. Compulsorily
Balance sheets and HOTS
a. Balance sheet
b. Untallied balance sheet
c. High Order Thinking skills (HOTS)
1. Reading question paper
a. Utilize 15 minutes in reading –Every question paper provides 15 minutes of time for reading. A student should make best use of this opportunity before attempting a start to the question paper. You should make your plan according to the marks assigned to each question. Also, you must plan to attempt the questions first that you are confident about.
b. Read the question carefully –While attempting a question, you must underline the important points for the better analysis. A research has been conducted which shows that most of the students answer questions without reading it fully.
2. Attempting answers
a. Answer the questions serial wise–If any question has parts, then attempt each and every part in series. If you do not know the answer of a particular part, you must leave some space and try another part or question.
b. Highlight the numbers– Write the question number carefully in boxes or highlight them.
c. Leave some lines after every answer –Leaving few lines after your answer helps to separate each one of them. Paper checker can identify the next answers and you will not be able to lose marks.
3. Presentation and handwriting
a. Good handwriting –It is the important part of attempting an exam, as it helps to attract the checker. Sometimes, an average student can answer good marks.
b. Presentation –Paper checkers do not like cutting mistakes, as it gives bad impression due to which student can lose marks. It is also important to present answer sheet in a clean and neat manner.
4. Rough work and working notes
a. Proper working notes –In your exam paper, show the working notes at the required place and with neatness. In almost all the practical questions, they carry marks.
b. Rough work on a separate sheet –Rough work must be done on a separate sheet. Avoid using margins for the same.
5. Stepwise marking
a. Step wise marking –The educational institution follows step wise marking. Even if your balance sheet is not tallied, you can get marks for the steps. Avoid matching the Balance sheet with the wrong amount.
6. Accounting requirements and formats
a. Make formats with pencil –While making formats ofBalance sheet/Journal/Ledger, you must use pencil instead of pen.
b. Write Dr. and Cr. Compulsorily –Accountancy follows some rules like writing Dr. for debit amount and Cr for credit amounts and headings like Particulars, Date, New Indian Rupee and amount, etc.
7. Balance sheets and HOTS
a. Balance sheet –Questions that are based on share capital must contain items with notes under the heads, as the format of the balance sheet is different in different areas and universities.
b. Untallied balance sheet –Students need to find the differences in both the sides and match the amount in the question, as it offers 2 different possibilities that includes, any amount can match with the difference and no amount match with the difference.
It is important to show single side effect in the required statement or account as the second effect of that particular item exists in the balance sheet itself. But remember, not to waste time in this process.
c. High Order Thinking skills (HOTS) –These questions require great care, but avoid spending long time on it.If you are not sure about the answer then leave it for the end. If time is available, attempt it.
Disclaimer - Company will not take any responsibility of any type of academic misconduct done by individual. The views expressed in this post are that of the author and not those of ozassignments