Jean Jones opened a greengrocer’s shop on 1 April 20-4. She had £1,000 cash, of which she placed £900 into a bank account. Transactions for the shop during the month of April were:

April 3 Purchased goods from T Duke on credit 150.00 4

Paid half year’s rent by cheque 600.00 7

Cash sales for week 685.40 7

Cash drawings by J Jones 100.00 7

Paid cash into bank 500.00 8

Purchased goods from B Prince on credit 75.50 8

Purchased goods from R Knight on credit 115.00 11 Paid T Dukes account by cheque in full settlement 135.00 14 Cash sales for week 732.80 14 Paid cash into bank 600.00 14 Cash drawings by J Jones 100.00 14 Purchases from B Prince on credit 125.00 18 Paid B Prince by cheque 75.50 18 Paid R Knight by cheque on account 50.00 19 Sales to J Lord on credit 30.00 21 Cash sales for week 483.70 21 Paid cash into bank 500.00 23 Purchases from R Knight on credit 176.30 25 J Lord settled his account by cheque

{less 10 per cent cash discount)

?

28 Cash sales for week 572.50 28 Paid cash into bank 700.00 28 Drawings by cheque 200.00 Note: Candidates should calculate the amount of the cheque paid by J Lord on 25 April From this information you are required to:

(a) Record the appropriate transactions in a three-column cash book, and bring down the balances as at 30 April 20-4.

(b) Write up the ledger accounts of T Duke, B Prince, R Knight and J Lord and bring down the balances as at 30 April 20-4.