Debit & Cradit

Debit & Cradit “DR & CR | Accounting simplified. Learn, analyze, and master accounting from the roots to reporting.”

01/08/2025

المدير القائد رزق 😂😂😂

24/07/2025

📢 أخبار سعيدة للمحاسبين والباحثين عن فرص عمل!

ابتداءً من هذا الأسبوع، راح أبدأ بإصدار نشرة أسبوعية حصرية تحتوي على
✅ أحدث وظائف المحاسبة والمالية
✅ فرص للمبتدئين وأصحاب الخبرة
✅ وظائف في كبرى الشركات داخل وخارج السعودية
✅ روابط التقديم المباشر
✅ نصائح سريعة لكتابة CV ومقابلات العمل

📬 النشرة تُنشر كل أحد على صفحتي
🔔 لا تنسى تفعيل الإشعارات ومشاركة البوست مع أصدقائك الباحثين عن فرص!

📩 لو عندك وظيفة حاب تعرضها، راسلني مباشرة.

⸻

📌 تابعني وكن أول من يعرف عن الفرص:

#وظائف #محاسبة #محاسبين #المالية


#توظيف

⸻

21/07/2025

🎯
Special Scenarios in Revenue Recognition 🔍
Real contracts often require more than just the 5-step model. Here are 5 critical revenue scenarios under IFRS 15, with clear accounting treatments:

⸻

✅ 1. Bill-and-Hold Arrangements
Customer is billed, but delivery is delayed at their request.
📌 Revenue is recognized only if all criteria are met:
• Customer has control
• Goods are separately identified
• Ready for delivery
• Seller cannot use/sell to others

📒 Entry:
Dr Receivable / Contract Asset
Cr Revenue

⸻

✅ 2. Principal vs. Agent
Is the entity responsible for fulfilling the goods/service?
📌
• Principal → Revenue = Gross amount
• Agent → Revenue = Net fee/commission

📒 Entry - Principal:
Dr Receivable
Cr Revenue (full price)

📒 Entry - Agent:
Dr Receivable
Cr Revenue (commission only)

⸻

✅ 3. Warranties
There are two types:
• Assurance-type: Included in sale (no separate performance obligation)
• Service-type: Extra coverage (treated as separate performance obligation)

📒 Entry - Assurance Warranty:
Dr Warranty Expense
Cr Provision

📒 Entry - Service Warranty:
Dr Cash / Receivable
Cr Revenue (allocate portion to warranty)

⸻

✅ 4. Sales with Right of Return
Customer may return goods within a period.
📌 Recognize revenue net of expected returns and create a refund liability and right to recover asset.

📒 Entry:
Dr Cash / Receivable
Cr Revenue (net of returns)
Cr Refund Liability
Dr Right to Recover Asset
Cr COGS

⸻

✅ 5. Consignment Arrangements
Goods remain under seller’s control until sold by consignee.
📌 No revenue recognition until the consignee sells the goods to the end customer.

📒 Entry upon sale:
Dr Receivable
Cr Revenue
Dr COGS
Cr Inventory

⸻

📊 These scenarios require careful analysis of control, risk transfer, and contractual obligations. Always support decisions with clear documentation.

📑 Disclosure Reminder:
Explain judgments and policies applied in these scenarios in the notes to FS.

🎯 Understanding the Five-Step Model 🔍Whether you work in construction, hospitality, tech, or services — IFRS 15 unif...
20/07/2025

🎯
Understanding the Five-Step Model 🔍

Whether you work in construction, hospitality, tech, or services — IFRS 15 unifies how we recognize revenue. Here’s the core framework I use to analyze contracts:

✅ 1. Identify the Contract
Legally enforceable agreement with clear rights and obligations.

✅ 2. Identify Performance Obligations
Break down the contract into distinct goods/services.

✅ 3. Determine the Transaction Price
Estimate fixed + variable consideration expected to be received.

✅ 4. Allocate the Price to Performance Obligations
Based on standalone selling prices.

✅ 5. Recognize Revenue
At a point in time or over time, depending on how the obligation is satisfied.

📊 Initial & Subsequent Measurement:
Revenue is recognized at the amount expected. Adjustments are made if pricing or scope changes.

🧾 Accounting Entries:
• Accrued: Dr Contract Asset
• Unearned: Cr Contract Liability
• Earned: Cr Revenue

📑 Presentation in FS:
• Income Statement: Revenue clearly separated
• Balance Sheet: Contract Assets / Liabilities
• Disclosures: Significant judgments + performance insights

13/07/2025

📊𝐌𝐨𝐧𝐭𝐡-𝐄𝐧𝐝 𝐂𝐥𝐨𝐬𝐞 𝐂𝐡𝐞𝐜𝐤 𝐋𝐢𝐬𝐭📊
𝟭. 𝐁𝐚𝐧𝐤 𝐑𝐞𝐜𝐨𝐧𝐜𝐢𝐥𝐢𝐚𝐭𝐢𝐨𝐧:
• Review and reconcile bank statements.
• Verify outstanding checks and deposits.
𝟮. 𝐉𝐨𝐮𝐫𝐧𝐚𝐥 𝐄𝐧𝐭𝐫𝐢𝐞𝐬:
• Record adjusting entries for accruals and deferrals.
• Update depreciation for fixed assets.
• Adjust prepaid expenses and unearned revenue.
𝟯. 𝐀𝐜𝐜𝐨𝐮𝐧𝐭𝐬 𝐑𝐞𝐜𝐞𝐢𝐯𝐚𝐛𝐥𝐞:
• Reconcile accounts receivable.
• Verify the allowance for doubtful accounts.
𝟰. 𝐀𝐜𝐜𝐨𝐮𝐧𝐭𝐬 𝐏𝐚𝐲𝐚𝐛𝐥𝐞:
• Reconcile accounts payable.
• Confirm the accuracy of recorded expenses.
𝟱. 𝐏𝐚𝐲𝐫𝐨𝐥𝐥:
• Review payroll transactions for accuracy.
• Confirm tax withholdings and other deductions.
𝟲. 𝐅𝐢𝐱𝐞𝐝 𝐀𝐬𝐬𝐞𝐭𝐬:
• Update fixed asset registers.
• Record disposals or additions to fixed assets.
𝟳. 𝐈𝐧𝐯𝐞𝐧𝐭𝐨𝐫𝐲:
• Verify physical inventory against recorded amounts.
• Adjust inventory levels as needed.
𝟴. 𝐋𝐢𝐚𝐛𝐢𝐥𝐢𝐭𝐢𝐞𝐬:
• Confirm all liabilities are recorded.
• Reconcile outstanding loans or credit balances.
𝟵. 𝐄𝐱𝐩𝐞𝐧𝐬𝐞 𝐑𝐞𝐯𝐢𝐞𝐰:
• Review all expenses for accuracy and proper classification.
• Confirm that all incurred expenses are recorded.
𝟭𝟬. 𝐑𝐞𝐯𝐞𝐧𝐮𝐞 𝐑𝐞𝐜𝐨𝐠𝐧𝐢𝐭𝐢𝐨𝐧:
• Confirm proper recognition of revenue.
• Review deferred revenue and recognize as appropriate.
𝟭𝟭. 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐒𝐭𝐚𝐭𝐞𝐦𝐞𝐧𝐭𝐬:
• Generate financial statements (Income Statement, Balance Sheet, Cash Flow Statement).
𝟭𝟮. 𝐀𝐧𝐚𝐥𝐲𝐬𝐢𝐬:
• Analyze financial statements for trends and anomalies. • Conduct variance analysis against the budget/forecast.
𝟭𝟯. 𝐂𝐥𝐨𝐬𝐢𝐧𝐠 𝐄𝐧𝐭𝐫𝐢𝐞𝐬:
• Close temporary accounts (e.g., revenue, expenses) to retained earnings at the year-end closing
𝟭𝟰. 𝐃𝐨𝐜𝐮𝐦𝐞𝐧𝐭𝐚𝐭𝐢𝐨𝐧:
• Ensure all supporting documentation is filed appropriately.
• Maintain a clear audit trail for all transactions.
𝟭𝟱. 𝐁𝐚𝐜𝐤𝐮𝐩 𝐚𝐧𝐝 𝐒𝐞𝐜𝐮𝐫𝐢𝐭𝐲:
• Backup financial data and store it securely.
• Review access controls and restrict as necessary.
𝟭𝟲. 𝐅𝐢𝐧𝐚𝐥 𝐑𝐞𝐯𝐢𝐞𝐰:
• Perform a final review of the entire closing process.
• Confirm all necessary steps have been completed accurately.
𝟭𝟳. 𝐑𝐞𝐩𝐨𝐫𝐭𝐢𝐧𝐠:
• Share financial reports with relevant stakeholders.
• Address any queries or concerns.
𝟭𝟴. 𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞:
• Ensure compliance with accounting standards and regulations.
• Document any changes in accounting policies or practices.
𝟭𝟵. 𝐅𝐮𝐭𝐮𝐫𝐞 𝐏𝐥𝐚𝐧𝐧𝐢𝐧𝐠:
• Identify areas for process improvement.
• Plan for upcoming months and potential challenges.
𝟮𝟬. 𝐀𝐮𝐝𝐢𝐭 𝐏𝐫𝐞𝐩𝐚𝐫𝐚𝐭𝐢𝐨𝐧:
• Prepare for internal or external audits.
• Document any issues or areas of concern for follow-up.


13/07/2025

🔍 Debit Note vs Credit Note – Do You Know the Difference?

Whether you're in accounting, finance, or procurement, understanding the distinction between Debit Notes and Credit Notes is essential for seamless business operations.

📌 Debit Note
➡️ Issued by: Buyer
➡️ Purpose: To request a reduction in the payable amount
➡️ Reason: Returned goods, overcharges, or incomplete services
➡️ Effect: Reduces the buyer's liability

📌 Credit Note
➡️ Issued by: Seller
➡️ Purpose: To confirm a reduction in the receivable amount
➡️ Reason: Acknowledgment of returns or discounts
➡️ Effect: Reduces the seller’s receivable

🧾 These documents are crucial for maintaining transparency, accuracy, and compliance in financial transactions.

07/01/2024

لا إله إلا انت سبحانك انى كنت من الظالمين

اللهم إنى ظلمت نفسى ظلما كثيرا ولا يغفر الذنوب إلا أنت
فاغفر لي مغفرة من عندك وارحمنى إنك انت الغفور الرحيم آمين❤️

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