Keith began trading on 1 October. All of his payments and receipts are made by cheque and he has a manual book-keeping system. His transactions during the first month of trading were as follows:

Required:
Record the above transactions in Keith's books of prime entry, write up the relevant ledger accounts and extract a trial balance as at 31 October.

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1 October Keith opened a business bank account and paid 2,000 of his own money into this account. He also introduced equipment valued at 5,000 and a motor vehicle valued at 8,000. 2 October Bought stock on credit from S Singh for 3,200 and from R Shipley for 6,500. 3 October Paid rent of 1,200, paying by cheque. 5 October Bought stationery on credit from M Goodall for 500 and petrol on credit from Hodgkins Garage for 40. 6 October Sold stock on credit to M Mohindra for 1,500 and to R Griffin for 4,750. 8 October Returned damaged stock costing 200 to S Singh.