Answered step by step
Verified Expert Solution
Question
1 Approved Answer
E - 25 139 The accountant of Mixed-up Traders requires your assistance to properly balance and reconcile the trade receivables control and trade payable control
E - 25 139
The accountant of Mixed-up Traders requires your assistance to properly balance and reconcile the trade receivables control and trade payable control accounts with the total list of debtors and total list of creditors for the month ended on 30 November 20.9 The accountant provided you with the following information in respect of October and November 20.9 which was obtained from the records of Mixed-up Traders: Balance for trade payables control account - 31 October 2009 R19 442 Balance for trade receivables control accounts - 31 October 20.9 R33 450 Totals for the month of November 20.9 Cash payment journal: Purchases. R29 780 Trade payables column... R5 980 Settlement discount received column R788 VAT input column... R4 464 VAT output column. R118 Cash receipts journal: Sales.. Trade receivables column.... Settlement discount granted column. VAT input column... VAT output column... R130 800 R42 500 R2 980 R447 R19 590 Sales journal: Trade receivables column... VAT output column.... R90 500 R13 575 Sales return journal Trade receivables column VAT output column... R5 640 R 848 Purchases journal: Trade payables column... VAT input column. R10 560 R1 377 Purchases return journal: Trade payables column. VAT input column.... R560 R73 General journal Credit losses (excluding VAT input)... VAT input (on credit losses)... Creditors with debit balances transferred to trade receivables ledger.. R1 096 R184 R2 567 Total list of the debtor's balances per trade receivable ledger - 30 Nov 20.9. R76 307 Total list of the creditor's balances per trade payable ledger - 30 Nov 20.9... R25 481 In the process of reconciling the balance of trade payables control accounts with the list of balances in the trade payables ledger. the following errors and omissions were identified (all the following transactions are inclusive of 15% VAT): (a) A debit note for R986 in respect of goods returned to S Hart was entered in the sales return journal instead of purchases return journal and posted to the account of S Haurt in the trade receivables ledger instead of S Hart in the trade payable ledger. No correcting entries have been made in any journals. (b) An invoice of R890 for goods purchased from 3 Smith, was erroneously omitted from the purchases journal. (c) The total list of creditors balances was undercast by R450. (d) An invoice for R1 799 which had been correctly entered in the purchases journal was entered against the account of Siyanqoba Ltd as R1 997. The closing balance for trade payables control account for the month ended 30 November 20.9will be ... O A. R25 031 . OB. R25 950 OC. R33 259 OD. R25 733 The accountant of Mixed-up Traders requires your assistance to properly balance and reconcile the trade receivables control and trade payable control accounts with the total list of debtors and total list of creditors for the month ended on 30 November 20.9 The accountant provided you with the following information in respect of October and November 20.9 which was obtained from the records of Mixed-up Traders: Balance for trade payables control account - 31 October 2009 R19 442 Balance for trade receivables control accounts - 31 October 20.9 R33 450 Totals for the month of November 20.9 Cash payment journal: Purchases. R29 780 Trade payables column... R5 980 Settlement discount received column R788 VAT input column... R4 464 VAT output column. R118 Cash receipts journal: Sales.. Trade receivables column.... Settlement discount granted column. VAT input column... VAT output column... R130 800 R42 500 R2 980 R447 R19 590 Sales journal: Trade receivables column... VAT output column.... R90 500 R13 575 Sales return journal Trade receivables column VAT output column... R5 640 R 848 Purchases journal: Trade payables column... VAT input column. R10 560 R1 377 Purchases return journal: Trade payables column. VAT input column.... R560 R73 General journal Credit losses (excluding VAT input)... VAT input (on credit losses)... Creditors with debit balances transferred to trade receivables ledger.. R1 096 R184 R2 567 Total list of the debtor's balances per trade receivable ledger - 30 Nov 20.9. R76 307 Total list of the creditor's balances per trade payable ledger - 30 Nov 20.9... R25 481 In the process of reconciling the balance of trade payables control accounts with the list of balances in the trade payables ledger. the following errors and omissions were identified (all the following transactions are inclusive of 15% VAT): (a) A debit note for R986 in respect of goods returned to S Hart was entered in the sales return journal instead of purchases return journal and posted to the account of S Haurt in the trade receivables ledger instead of S Hart in the trade payable ledger. No correcting entries have been made in any journals. (b) An invoice of R890 for goods purchased from 3 Smith, was erroneously omitted from the purchases journal. (c) The total list of creditors balances was undercast by R450. (d) An invoice for R1 799 which had been correctly entered in the purchases journal was entered against the account of Siyanqoba Ltd as R1 997. The closing balance for trade payables control account for the month ended 30 November 20.9will be ... O A. R25 031 . OB. R25 950 OC. R33 259 OD. R25 733Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started