Syllabus F. Preparing Basic Financial Statements F6. Incomplete records

F6aii. Calculate missing figures 3 / 3

Syllabus F6aii)

Understand and apply techniques used in incomplete record situations:

ii) Use of ledger accounts to calculate missing figures

Control Accounts

A receivables ledger control account can be prepared to calculate missing credit sales. 

However, the figures for the opening and closing receivables of a business and the cash received from customers must be given.

ACCA FA F6aii receivable ledger

The same technique can be used to calculate credit purchases.

A payables ledger control account can be prepared using given figures for opening and closing payables and cash paid.


Total sales = Cash sales + Credit sales

Total purchases = Cash purchases + Credit purchases


A cash account may need to be set up to find the figure missing for proprietor’s drawings or cash stolen. 

Details of cash receipts and payments plus details of opening and closing balances must be given

Cost Structure

  • Margin: gross profit is expressed as a percentage of sales

    For example a margin of 25% gives:

    Sales    100%
    Cost of sales     75%
    Gross profit      25%

  • Mark-up: gross profit is expressed as a percentage of cost of sales

    For example a mark-up of 35% gives:

    Sales     135%
    Cost of sales      100%
    Gross profit       35%

    Cost of sales = opening inventories + purchases – closing inventories

Goods Drawn By Proprietor

The owners of the business may at times take goods or cash from the business for their own use. 

This is known as drawings.

  • Cash Drawings

    Dr Drawings
    Cr Cash

  • Goods taken for own use

    Dr Drawings
    Cr Purchases

    These are recorded at the cost to the business not at selling price. They are taken out of purchases and not recorded against inventories

Goods destroyed, stolen or lost

When inventory is stolen, destroyed or otherwise lost, the loss must be accounted for depending on whether or not these goods were insured against the loss.

If the lost goods were not insured, 

Debit expense (e.g. admin expenses in the I/S)
Credit cost of sales

If the lost goods were insured,

Debit insurance claim account (current asset in SFP)
Credit cost of sales