Journals

[jasper]

I'm just looking at a past paper on MFR and am now stuck.<BR><BR>What is the journal entries for the following:-<BR><BR>Stock has been valued at cost on 31 October 2000 at £19,750<BR><BR>I have a trial balance where only the stock on 1 November 1999 is recorded as £25,850.<BR><BR>Thanks x<BR>

[jasper]

aha .................... is it DR stock?? CR trading a/c??

[Melanie]

If stock is currently showing at £25,850 the you need a journal entry to reduce its value, so it would be something along the lines of Credit stock and Debit Purchases/COGS.