Society for Worldwide InterBank Financial Telecommunications.

SWIFT payments are a type of international transfer sent via

the SWIFTinternational payment network. The SWIFT international payment network is one of
the largest financial messaging systems in the world. TransferWise can send or receive certain
currencies via SWIFT payment.

 Maintain cash flow and bookkeeping, ensure timely payments. Swift payment,farmers
doesn’t have to wait
 Finalize trial balance & books of accounts on monthly basis, MIS preparation,
submission of monthly financial statemnts to group for consolidation
 Preparation of balance sheet schedule & trends for monthly financial reporting to heads
 Preparation of Budgets, latest estimates and analysis of the same
 Analysis of Profit and loss accounts and Balance sheet for weekly reporting, cash flow,
coordination with sourcing/Procurment department for accruals
 Monitoring various accruals and provisions on monthly basis and its proper disposal and
accounting
 Implementation of WHT & Excise in the organization

Asset+ Expense = Liabilities +Capital +income

Trial Balance is a list of closing balances of ledger accounts on a certain date

and is the first step towards the preparation of financial statements. It is
usually prepared at the end of an accounting period to assist in the drafting of
financial statements. Ledger balances are segregated into debit balances and
credit balances. Asset and expense accounts appear on the debit side of the
trial balance whereas liabilities, capital and income accounts appear on the
credit side. If all accounting entries are recorded correctly and all the ledger
balances are accurately extracted, the total of all debit balances appearing in
the trial balance must equal to the sum of all credit balances.

Purpose of a Trial Balance

 Trial Balance acts as the first step in the preparation of financial
statements. It is a working paper that accountants use as a basis while
preparing financial statements.
 Trial balance ensures that for every debit entry recorded, a
corresponding credit entry has been recorded in the books in
accordance with the double entry concept of accounting. If the totals of
the trial balance do not agree, the differences may be investigated and
resolved before financial statements are prepared. Rectifying basic
accounting errors can be a much lengthy task after the financial
 statements have been prepared because of the changes that would be
required to correct the financial statements.
 Trial balance ensures that the account balances are accurately
extracted from accounting ledgers.
 Trail balance assists in the identification and rectification of errors.
BOOKS of Accounts:

General Journal
General journal is referred to as the book of original entry. It records business
transaction in order of date using the principle of “debit and credit”.

General Ledger
General ledger is referred to as the book of final entry. It summarized all the
journal entries of an account to get the ending balances.

Cash Receipt Journal

Cash receipt journal is a special journal used to record cash sales and/or
collection of receivables.

Cash Disbursement Journal

Cash disbursement journal is a special journal used to record cash payments of
expenses and/or payables.

Sales Journal
Sales journal is a special journal used to record sales on credit (receivable from
customer)

Purchase Journal
Purchase journal is a special journal used to record purchases on credit (payable
to supplier)

What are 'Accruals'

Accruals are earned revenues and incurred expenses that have an overall impact on an
income statement. They also affect the balance sheet, which represents liabilities and
non-cash-based assets used in accrual-based accounting. These accounts include,
among many others, accounts payable, accounts receivable, goodwill, future tax
liabilities and future interest expenses.
BREAKING DOWN 'Accruals'
The use of accrual accounts has greatly increased the amount of information on
accounting statements. Before the use of accruals, accountants only recorded cash
transactions on these statements. But cash transactions don't give information about
other important business activities, such as revenue based on credit and future
liabilities. By recording accruals, a company can measure what it owes in the short-term
and also what cash revenue it expects to receive. It also allows a company to show
assets that do not have a cash value, such as goodwill.

Accruals and Provisions

Companies show both accruals and provisions on their financial statements, which
helps them to better manage their finances. Organizations use provisions to prepare for
future contingencies by setting aside a specific amount of money. In some cases,
however, the money may be insufficient for the unforeseen event. Accruals, on the other
hand, can be for either expenses or revenues, whereas provisions are always for
expenses.

Provision is expense

Provision for depreciation

Provision for bad debt

Provision Definition in Bookkeeping

Provisions are established by recording an appropriate expense in the income
statement of the business and establishing a corresponding liability as a
provision account in the balance sheet statement.
The journal to record the provision would be as follows.

Debit Credit
Account
Expense XXX

Provision account XXX

Total XXX XXX

Provision journal entry

The provision account is included in the liabilities section of the balance sheet
either as a current or non-current liability depending on its exact nature.

WHT and Excise

What is an 'Excise Tax'

An excise tax is an indirect tax charged on the sale of a particular good. Indirect means
the tax is not directly paid by an individual consumer; instead, the Internal Revenue
Service (IRS) levies the tax on the producer or merchant, who passes the tax onto the
consumer by including it in the product's price. It also refers to penalty taxation for
ineligible transactions in retirement accounts.

Excise taxes are taxes paid when purchases are made on a specific good, such as gasoline.
Excise taxes are often included in the price of the product. There are also excise taxes on
activities, such as on wagering or on highway usage by trucks. One of the major components of
the excise program is motor fuel.

What is 'Withholding Tax'

Withholding tax is income tax withheld from employees' wages and paid directly
to the government by the employer, and the amount withheld is a credit against
the income taxes the employee must pay during the year. It also is a tax levied
on income (interest and dividends) from securities owned by a nonresident as
well as other income paid to nonresidents of a country.

Withholding or withholding tax refers to process of deducting taxation from an

a payment to person, and paying this over to the government on their behalf.
Governments use this method of withholding tax in order to minimize the risk
of tax evasion and to reduce the costs of collection.

WHT Receivable (when u render service or make sale to customer)

Dr. WHT Receivable

Cr. A/R

Pay to tax authority

Dr. WHT Expenses

Cr. WHT Receivable

WHT Payable (enter bill)

Dr. A/P

Cr. WHT Payable

Remit all deduction to tax authority

Dr. WHT Payable

Cr. Bank A/c

In the Books of Manufacturer

1. When we purchase goods with Excise duty on Purchase

Purchase Account Debit 1000

Excise Duty on Purchase Account Debit 200

Creditor Account Credit 1200

2. When we sell goods with Excise duty on Sale

Debtor Account Debit 1750

Sale Account Credit 1500

Excise Duty on Sale Credit 250

3. When Excise Duty Paid in Advance

Excise Duty in Advance Debit 20

Bank Account of Govt. Credit 20

4. Excess of Excise duty on sale over excise duty on purchase and excise duty in advance
will be payable to Govt.

Excise Duty on Sale Account Debit 250

Excise Duty on Purchase Account Credit 200

Excise Duty in Advance Credit Rs. 20

* PLA Credit 30
5. When Excise duty is paid in Govt. Account

* PLA Debit 30
Bank Account of Govt. Credit 30

Definition of income sheet, balance sheet and cash flow statement

Balance Sheet is a statement of the financial position of a business which states the
assets, liabilities, and owners' equity at a particular point in time. In other words, the
balance sheet illustrates your business's net worth.

The balance sheet is the most important of the three main financial statements used to
illustrate the financial health of a business.

 The Income Statement, which shows net income for a specific period of time,
such as a month, quarter, or year. Net income equals revenue minus expenses for
the period.

 The Cash Flow Statement, which shows the movements of cash and cash
equivalents in and out of the business. Chronic negative cash flow is symptomatic
of troubled businesses.

An income statement is a financial statement that reports a company's financial

performance over a specific accounting period. Financial performance is assessed by
giving a summary of how the business incurs its revenues and expenses through both
operating and non-operating activities. It also shows the net profit or loss incurred over
 a specific accounting period.

In financial accounting, a cash flow statement, also known as statement of cash flows,[1] is
a financial statement that shows how changes in balance sheet accounts and income affect cash
and cash equivalents, and breaks the analysis down to operating, investing and financing activities.
Essentially, the cash flow statement is concerned with the flow of cash in and out of the business.
The statement captures both the current operating results and the accompanying changes in
the balance sheet. As an analytical tool, the statement of cash flows is useful in determining the
short-term viability of a company, particularly its ability to pay bills.

he primary purpose of the statement of cash flows is to provide information

about cash receipts, cash payments, and the net change in cash resulting from the
operating, investing, and financing activities of a company during the period.

Ratio’s

Definition of finance and accounts

 Assets and Expenses

An increase is recorded as debit (left side)
A decrease is recorded as credit (right side)
 Liabilities, Equities and Revenues
A decrease is recorded as debit (left side)
An increase is recorded as credit (right side)