Accounting Question

The following information relates to DMS Company Lltd, producers of Alcoholic beverages. In January 2020, the company undertook the following transactions.

Date Details

01 Purchase from Queen Esther 700 bags of sugar @ 25 per bag on credit 02 Sold 100 crates of Guinness to Mensah on credit @ 36 per crate 03 Sold to Black Star Enterprise 50 crates of Club beer @ 24 per crate. 04 Credit sales to Haruna GH15,000 05 Credit sales King Davis GH32,000 06 Credit sales to Ghana at 63 Secretariat GH45,000 07 Cash sales of 150 empty crates to D-Love pub @12 per crate 08 Cash sales of 200 empty bags of sugar to Hajia Shakina @10 per bag 09 Credit purchase of sugar from Komenda Sugar Company Ltd @50,000 10 Bought 160 bags of millet from Bonsasu Millet Company on credit. The total cost of all the millet is GH96,000. 11 DMS Company ltd decided to return 2 bags of millet bought from Bonsusu Millet Company to them at an agreed price of GH600 per bag. 12 The company, DMS is not satisfied with the price offered by Queen Esther for her sugar and decided to return 100 bags of sugar to Queen Esther @25 per bag. 13 Ghana at 63 Secretariat decided to return the drinks sold to them because Ghanaians have been advised to stop driving excessively.

The total cost of the drink returned to DMS was GH15,000

14 Out of the 200 empty sugar bags sold to Hajia Shekina, she has returned 50 at the agreed price of GH10 per bag. 15 Cash purchases from Jesus Is My Friend Enterprise at a total cost of GH17,500

You are required to record the above transactions in the following day books.

a) Sales Day Book b) Purchases Day Book c) Return Inward Day Book d) Return Outward Day book. e) Show the amount to be posted to Sales ledger f) Show the amount to be posted to the Purchases ledger