Here are some of the balances that appeared in the books of Det Stores as at 1 March 20x9:

Transactions for March: (Ignore VAT)

1 Paid the local council for the rates and taxes, R956.80 and water, R95.70 (cheque 60).

Merchandise bought from Rous Ltd and paid by cheque, R1 563.32.

4 Goods sold for cash, R1 395.21 (C/S 51).

5 Received rent for premises from C. Rice, R725 (receipt 43).

S. Joffe settled his debt as at 1 March by cheque.

9 Received a cheque for rent, R250.

12 Sold goods for cash, R226.35.

14 Received a cheque for R360.80 from Rosa in full settlement of account.

17 Cash sales, R1 475.10.

19 Paid by cheque to Clarke Wholesalers on account, R400 and received a discount of R20.

23 Bought goods from Parry Ltd, R325.40 and paid by cheque.

24 Paid by cheque to Rous Ltd, R1 200 and was allowed R60 discount.

28 Drew a cash cheque to restore the petty cash imprest, R197.56.

Additional information:

The business uses the perpetual inventory system to account for inventory and it marks its goods up by 50% on cost price.

You are required to:

1. Record the transactions in the cash receipts journal and cash payments journal for March 20x9.

2. Close off these subsidiary journals correctly at the end of the month.

Transcribed Image Text:

Bank (Dr.) Inventory G. Rosa S. Joffe B5 B7 ARL4 ARL7 3 572 50 4 109 36 360 80 540 00 Equipment Rous Ltd Clarke Wholesalers B6 APL3 APL9 4 370 00 1 260 00 872 20