Question
1. Your trust creditors as at 31 January 2022 total N$ 880 000. An examination of these trust creditors are made up as following: 2.
1. Your trust creditors as at 31 January 2022 total N$ 880 000. An examination of these trust creditors are made up as following: 2. (a) Your client Mrs Gertze has instructed you to invest the sum of N$ 400 000 (which you hold in trust) in an interest bearing account for her benefit, pending transfer of an immovable property. (b) You invest the N$ the 400 000 with the Sussie Bank.
(c) When you close the account you receive a cheque of N$ 404 400 3. (a) Your client Mr Handsome instructs you to invest her N$ 300 000 (which you hold in trust) with Sunshine Bank (b) You invest aforementioned funds with Sunshine Bank and retain the documentation in your client's file. 4. (a)You decide to invest the sum of N$ 180 000 of your surplus trust funds in an interest bearing account with Crazy Bank. (b) When you close the account you receive a cheque for N$ 183 000. Required: 1) Reflect all the aforesaid transactions in the bank account and trust ledgers. 2) Reconcile the list of creditors with trust cash held.
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