Handie has been trading as a sole trader for several years having last prepared financial statements

on 31 December 2021. The general ledger accounts balances brought down on 1 January 2022 were as follows:

Capital k800,000

Cash In hand k50,000

cash at bank 100,000

Trade receivables control k300,000

Trade Payables control k200,000

Delivery van k350,000

Office Equipment k180,000

Loan from Bruce k100,000

Inventory k120,000

The sales ledger accounts consisted the following:

Sam k40,000

Silvia k60,000

Japhet k70,000

Cathy k75,000

Jose k45,000

lute k10,000

____ Total per trade receivables control account in general ledger 300

____

The purchases ledger accounts consisted the following:

Becky k32,000

lister k60,000

Paul k18,000

Lenox k30,000

Eunice k35,000

Dave k25,000

____ Total per trade payables control account in general ledger 200

____

The following transactions took place during the month of January 2022:

(a) Summarise all the transactions for January 2022 in the three Column cash book with discount allowed and discount received

(B) Update the sales ledger, Purchases Ledger and the General Ledger accounts with the transactions for January 2022 as summarised in their respective books of prime entry.

(c) Extract a trial balance at 31 January 2022.

(d) Prepare a Statement of Profit or Loss for Handie for the month to 31 January 2022 and a statement of Financial Position as at 31 January 2022. Inventory at 31 January 2022 was K130,000. Ignore accruals and prepayments and depreciations