Journals and ledger accounts should be done in Excel

1. Olatunde is a sole proprietor, trading as Olas Biz. The firms draft final accounts for the year ended June 30, 2021, showed a net profit of $42,500. After the preparation of the final accounts, the following errors were discovered.

i. Goods, $4,500, purchased on credit from A. Marston had not been entered in the accounting records

ii. Motor vehicle expense,$3,800 for the year had been posted to the motor vehicle account

iii. A discount allowed to Y. Buchanan ($185), had been debited to the account of Y. Buchanan

iv. $890 received from R. Rodney was correctly entered in the cash book but was wrongly posted as $980 in Rodneys account.

v. Olatunde paid his private internet bill from the business bank account. The payment of $675 was debited to sundry expenses.

vi. $145 of goods returned by a customer was entered only in the debtors account

vii. A cash sale of $2,000 was debited to the sales account and credited in the cash book.

viii. The balance in the Commissions Received account was overcast by $30.

Required

a) Prepare the journal entries necessary to correct the above errors with appropriate narrations.

b) Write up the Suspense Account

c) Prepare a statement to show the corrected Net Profit for the year ended June 30, 2022