C Blackwood is a furniture and appliances retailer. The following figures have been extracted from his book for the month of April 2019.

$

Cash Sales 2 560

Cheque received from debtor 1 520

Discount allowed to debtors 30

Return Inwards (credit customers) 75

Debtors 1 April 2019 1 120

Debtors 30 April 2019 1 485

Purchases on credit 3 210

Purchases for cash 200

Stock 1 April 2019 1 180

Stock 30 April 2019 1 290

You are required to:

1. Prepare the Sales Ledger Control Account in the General Ledger for April 2019

(6.5 marks)

2. Calculate Blackwoods Gross Profit for the same month. (9.5 marks)

3. Advise C. Blackwood. of the main types of control accounts and two (2) benefits for using them. (8 marks)

4. The double entry procedures in control accounts may require the use of a special set of contra entry. With the use of an appropriate example, explain the concept of set-off to C. Blackwood (6 marks)