5.3 Ray Gunne set up in business on 1 January 20X3. The firm’s transactions for the first week of January 20X3 were as follows:

(a) Pay capital of £10,000 into the bank.

(b) Buy premises for £8,000 and equipment for £2,750 – both paid by cheque.

(c) Borrow £5,000 from Gunne’s brother. He provided this sum in cash of which

£4,000 was used to buy a delivery van and £750 was paid into the bank.

(d) Buy trading stock: £3,000 by cheque and £1,000 for cash.

(e) Make cash sales of £5,500.

(f) Pay wages of £100 in cash.
(g) Take cash drawings of £150.
(h) Pay rates by cheque of £250.
(i) Pay £4,250 of cash into the bank.
Prepare the double column cash book of Gunne’s business for the first week of January 20X3 and carry down the balances at the end of the week.