Mention rules of Debiting and Crediting with suitable examples.

Debiting and crediting are fundamental principles used in double-entry bookkeeping to record financial transactions. These principles help maintain the balance and accuracy of accounts. Here are the rules of debiting and crediting with suitable examples:

1. Debit Rule:

- Debit the receiver, increase in assets, or expenses.

- Debit the accounts on the left side of the ledger.

- Debit entries are recorded on the left side of the T-account.

Example 1: Cash Purchase

Suppose a company purchases...

Write any three ethics in Accounting.

The three ethics of Accounting are given below:

1. Integrity: Integrity is a fundamental ethical principle in accounting that requires professionals to be honest, transparent, and trustworthy in their financial reporting and decision-making. Accountants should adhere to high standards of moral and professional conduct, ensuring that financial information is accurate, complete, and unbiased. They should avoid conflicts of interest and act in the best interests of their clients or organizations....

The balance of cash is likely to differ from the bank statement balance. What are the factors likely to be responsible for the difference?

There are several factors that can contribute to a difference between the balance of cash in the accounting records and the bank statement balance. Some common reasons for this discrepancy include:

1. Outstanding checks: If a company has issued checks that have not yet been presented to the bank for payment, the cash balance in the accounting records will be higher than the bank statement balance.

2. Deposits in transit: Deposits made by a company near the end of a bank statement period may not...