DEBTORS CONTROL (10 Marks)The following Debtors Control account was drawn up by an inexperienced bookkeeper of HOME STORES. A

number of errors and omissions were discovered after an investigation was made.

Required:

Use the appropriate information to prepare the correct Debtors Control account for June 2017 and balance off the account.

INFORMATION A.

Jun.01 30

July01

+

General Ledger of Home Stores DEBTORS CONTROL [ A ]

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QUESTION 3 DEBTORS CONTROL (10 Marks)The following Debtors Control account was drawn up by an inexperienced bookkeeper of HOME STORES. A

number of errors and omissions were discovered after an investigation was made.

Required:

Use the appropriate information to prepare the correct Debtors Control account for June 2017 and balance off the account.

INFORMATION A.

Jun.01 30

July01

+

General Ledger of Home Stores DEBTORS CONTROL [ A ]

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Balance	b/d	66 687	Jun 30	Bank	CPJ
Sales	SJ	184 535		Sales Return	SRJ
Bank	CRJ	180 255		Creditors control	GJ
Interest income	GJ	36
				Balance	c/d
		431 513
Balance	b/d	430 136

189 785 403

430 136 431 513

B. Errors and omissions detected:

1. Some posting errors were made in drawing up the Debtors Control account above.

2. The bank returned M.Tees cheque for R189 marked insufficient funds. This cheque was received in settlement of her account of R210. No entry has been made for the difference.

3 Debtor, B.Locker is insolvent and his account of R252 must be written off as irrecoverable.

4. The Sales Journal was undercast by R1 000.

5. An entry of R71 in the Sales Returns Journal was posted to debtor K.Leans account as R711 by thebookkeeper.

6. A debit note for R350 for goods returned by the business to its supplier, D.Trader LTD, was wrongly recorded in the Sales Return Journal and posted to the account of D.Trader.

189 785 403

430 136 431 513

B. Errors and omissions detected:

1. Some posting errors were made in drawing up the Debtors Control account above.

2. The bank returned M.Tees cheque for R189 marked insufficient funds. This cheque was received in settlement of her account of R210. No entry has been made for the difference.

3 Debtor, B.Locker is insolvent and his account of R252 must be written off as irrecoverable.

4. The Sales Journal was undercast by R1 000.

5. An entry of R71 in the Sales Returns Journal was posted to debtor K.Leans account as R711 by thebookkeeper.

6. A debit note for R350 for goods returned by the business to its supplier, D.Trader LTD, was wrongly recorded in the Sales Return Journal and posted to the account of D.Trader.