ACCOUNTS

Mr.Ringo Binder commenced trading as wholesale stationer on the 1st May 2008 with a capital of $5000 with which he opened a bank account for his business.

During My the following transaction took place:

May 1-Bought shop fittings and fixtures for cash from Folder Fitments for $2000

2-Purchased goods on credit from Staple $650

4-Sod goods on credit to Clip $700

9-Purchased goods on credit from Green $300

11-Sold goods on credit to Hill $580

13-Cash sales paid intact into bank $200

16-Received cheque from Clip in settlement of his account

17-Purchased goods on credit from Kaye$300

18- Sold goods on credit to Nailor $360

19-Sent cheque to staple in settlement of his account

20-Paid rent by cheque $200

21-Paid delivery expenses by cheque $50

24-Received from Hill $200 on account

30-Drew cheques for personal expenses $200 and assistant's wages $300

31-Settled the account of Green

Task:

1 Record the foregoing in the appropriate books of original entry

2 Post the entries to ledger account

3 Balance the ledger accounts where necessary