Ravi is a trader. His transactions in February 201 included the following. February 2 Sold goods on
Question:
Ravi is a trader. His transactions in February 20–1 included the following.
February 2 Sold goods on credit to Kumar, list price $7,850, less 20% trade discount
4 Bought goods on credit from Mahela, list price $960, less 25% trade discount
10 Returned to Mahela half of the goods purchased on 4 February
14 Sold goods on credit to Dimuth at list price, $520
19 Bought goods on credit from Mahela, list price $750, less 20% trade discount
20 Dimuth returned goods purchased on 14 February, list price $110
21 Returned goods bought from Mahela on 19 February, list price $150
a. Enter these transactions in Ravi’s sales, purchases and returns journals for February 20–4.
b. Write up the following accounts in Ravi’s ledger for February 20–4:
sales, purchases, sales returns, purchases returns, Kumar, Dimuth, and Mahela. It is not necessary to balance or total any of the accounts.
Step by Step Answer:
Cambridge IGCSE And O Level Accounting Coursebook
ISBN: 9781316502778
2nd Edition
Authors: Catherine Coucom