00:00bismillahirrahmanirrahim assalamualaikum dear viewers and students welcome to my
00:04YouTube channel TG London Point. In this video we are going to cover the
00:07solution of question number three which is related to the assignment number of
00:11the subject national accounting which has subject code 1413 for autumn 2022
00:18which has been taken under the examination system of AIOU Lamar
00:24Galle Open University. So let's start reading question then we will move to
00:28the related talks. The question is here for each type of adjustment listed
00:34indicate whether it is an unrecorded receivable and unrecorded liability and
00:40on revenue or a prepaid expense at December 31st 2012. What is the
00:48question is that after closing we are going to make some adjustment to make
00:53the closing or trial balance more accurate so all these transactions are
01:01items given in the question statements are related to the balance sheet so some
01:08are related to the asset size and some are related to the liability size mostly
01:15are related to the two unrecorded receivable and prepaid expenses are
01:23related to the asset size and unrecorded liability is related to the liability
01:33size and on revenues also our liability that we have to be paid because we did
01:38not earn until now as per the statement. So first transaction here property tax
01:46that are that it is repeated two times so I am going to delete one yes that are
01:54for the year 2012 but are not to be paid until 2012 unrecorded liability it's the
02:02liability of the company that has to be paid so it has recorded in its
02:07years of period which is 2012 so we have recorded this liability as a as a
02:17future payment so second question rent revenue earned during 2012 but not
02:24collected until 2013 so we have rented out we already earned revenue
02:32as some land or building or something else so but we did not collect this
02:40amount from the users so our customers so it is kind of unrecorded
02:46receivable that we have to receive money from the rent holder or tenant of the
02:52that property. Salaries earned by employees in December 2012 but not to be
02:59paid until January 5, 2013 as the employees have rented their services so
03:05they are eligible to get their salaries but until now means the 5th of the
03:14January of 2013 we didn't make any payment so we are going to be produce
03:19and liability a salary payable account as a as an account so it is an unrecorded
03:26liability let's move to the transaction number four a payment receipt from a
03:32customer in December 2012 for services that will not be performed until February
03:382013 so it's another it's a liability because the payment receipt from
03:50customer December 2012 for services that will not be performed until so it's
03:57liability unrecorded liability because we already receive a payment but we did
04:06not render services until February 2013 liability in my opinion if you disagree
04:17with this please come up with your suggestion or recommendation in
04:22comment section with logical support and insurance premium paid on December 29,
04:302012 for the period January 1, 2013 to December 31, 2013 it's a prepaid
04:36expense gasoline charges on a credit card during December 2012 and that will
04:43not be received until January 15, 2013 we already use this gasoline in December
04:502020 but we didn't still not receive the bill from the concerned company so it is
04:56an unrecorded liability because we have already used gasoline but we have to
05:01make the payment and in my opinion it is an unrecorded liability transaction number
05:08seven is a interest on a certificate of deposit as during 2012 the interest will
05:13not be received until January 7, 2013 so another interest is a revenue or income
05:20so we will attach it with the un-revenue and the last transaction number
05:28eight is a deposit received on December 15 or deposit received on December 15,
05:342012 for rental of storage space the rental period from January 1, 2013 to
05:42December 31, 2013 so we have rented out a storage space for rent so we have received some
05:51amount for the whole year starting from January 1, 2013 to December
05:592013 so it is an un-revenue with the passage of time and we are going to be
06:05use this when the renter use this storage spaces we are put to the this one
06:11we how we pass this entry rental of storage space account to un-un-revenue
06:27so first entry is that cash or bank account to un-un-revenue later when it
06:33will be settled down so it will be come un-un-revenue to the renter of storage
06:42space I hope you will find this session useful if you have any question or
06:50query ask me in comment section if you want to discuss any point please come
06:55up with your recommendation or point in comment section thanks for
06:59watching Assalamu Alaikum
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