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1. Jane recently opened her own flower shop. Below is a summary of her first month's transactions in December 2020: Bank Receipts Bank Payments Bank
1. Jane recently opened her own flower shop. Below is a summary of her first month's transactions in December 2020: Bank Receipts Bank Payments Bank Loan Sales Purchases 25,000 of Jane's money, 1,000 cash 11,000 for a delivery vehicle 2,500 cash 2,000 cash, 5,000 credit 3,000 on credit. Supplier Wholesale Blooms' offers 3% discount if payment is made this month. 250 worth of purchases returned to 'Wholesale Blooms' (amount deducted from Jane's bill). A cash customer returns 100 worth of goods. Returns On the last day of the month Jane pays the remaining balance to 'Wholesale Blooms' by online bank transfer and receives full payment from her outstanding credit customers directly to her bank account. REQUIRED a. Enter all of the above information in t account form and extract the trial balance for The flower shop as at 31 December 2020. Note: Cash and bank should be treated as separate. (28 marks) b. Jane would like to expand her shop and product range but fears she lacks the capital and the expertise to do so. Advise Jane on what you believe to be the most appropriate alternative organisational form and why. (200 words maximum)
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