I cant find the outstanding balance of the business which they have purchased from the salesman of the different companies actually it is a super market and the previous accountant has been left with no record except invoices and receipts.plz help me I have just appeared for igcse accounting and i dont have much knowledge about how to find outstanding balances.
I am surprised that you would buy a business with out knowing this before hand. If I were in your shoes I would contact the former owner and ask for the store books and then I would have my own accountant go over them. If the former owner does not come up with the books I would file suit in court. You might be very surprised to find out that you owe a bunch of money to a lot of different places. When you bought the business you also bought the assets and the liabilities. If this is a store that sold shoes then All of the inventory becomes yours along with the bills to put the shoes there. You say that you have the invoices and the receipts. How do you know with out the books that you have everything, answer is you do not. This might be an over sight on his part but I would call and if that didn't do it the next stop would be with my lawyer. |
