In July, the following selected transactions were completed. All purchases and sales were on account. At the beginning of July, the ledger of the company showed Cash RO. 2,500, purchase RO. 1,700, Account Receivable RO. 2,000, and Accounts Payable RO. 2,200. The following transactions were completed during July. Date July 1 2 3 5 8 13 15 16 Transactions Purchased merchandise from XYZ Company RO. 7,600. Received freight bill from Pegasus Shipping on XYZ purchase RO. 400. Made sales to Echo Company RO. 1,300 and to Pitas Bros. RO. 2,000. Purchased merchandise from Horizon Company RO. 3,200. Received credit on merchandise returned to Horizon Company RO. 300. Purchased store supplies from Bowe Supply RO.910. Purchased merchandise from XYZ Company RO. 3,600 and from Goran Company RO. 3,300. Made sales to Fiber Company RO. 3,450 and to Pitas Bros. RO. 1,570. Received bill for advertising from Wei Advertisements RO. 600. Made sales to Echo Company RO. 310 and to Musky Company RO. 2,800. Granted allowance to Echo Company for merchandise damaged in shipment R0, 65. Purchased merchandise from Horizon Company RO. 3,000. Purchased equipment from Bowe Supply RO. 900. Received freight bill from Pegasus Shipping on Horizon purchase of July 24, R0, 380. Made sales to Fiber Company RO. 5,600. 18 21 22 24 26 28 30 Instructions a. Post to both the general and subsidiary ledger accounts. b. Discuss three functions of a Trial Balance. (7 marks) (3 marks) In July, the following selected transactions were completed. All purchases and sales were on account. At the beginning of July, the ledger of the company showed Cash RO. 2,500, purchase RO. 1,700, Account Receivable RO. 2,000, and Accounts Payable RO. 2,200. The following transactions were completed during July. Date July 1 2 3 5 8 13 15 16 Transactions Purchased merchandise from XYZ Company RO. 7,600. Received freight bill from Pegasus Shipping on XYZ purchase RO. 400. Made sales to Echo Company RO. 1,300 and to Pitas Bros. RO. 2,000. Purchased merchandise from Horizon Company RO. 3,200. Received credit on merchandise returned to Horizon Company RO. 300. Purchased store supplies from Bowe Supply RO.910. Purchased merchandise from XYZ Company RO. 3,600 and from Goran Company RO. 3,300. Made sales to Fiber Company RO. 3,450 and to Pitas Bros. RO. 1,570. Received bill for advertising from Wei Advertisements RO. 600. Made sales to Echo Company RO. 310 and to Musky Company RO. 2,800. Granted allowance to Echo Company for merchandise damaged in shipment R0, 65. Purchased merchandise from Horizon Company RO. 3,000. Purchased equipment from Bowe Supply RO. 900. Received freight bill from Pegasus Shipping on Horizon purchase of July 24, R0, 380. Made sales to Fiber Company RO. 5,600. 18 21 22 24 26 28 30 Instructions a. Post to both the general and subsidiary ledger accounts. b. Discuss three functions of a Trial Balance. (7 marks)
