Learning Objective: Accounting for Inventory and Retail Business Operations. Pita Aigrais incorporated a business called Aigris Ltd and began trading as a hardware merchant on 1st of March 2011. The transactions for the month of March 2011 were as follows (Ignore GST): March 1. Pita transferred K10,000 from his personal savings to business bank account. 1. Purchase shop fittings for cash: paid by cheque no. 100, K3,800. Paid March rent by cheque no. 101, K750. 2. Purchase goods (1 000 units) on credit form A Co. Ltd, K2,500. 3. Banked cash sales (172 units) totalling K860. 4. Sold goods (76 units) on credit to A. Adam, invoice no. 001, K380. 5. Purchase goods (315 units) for resale: paid by cheque no. 102, K850. 6. Banked cash sales (82 units) totalling K410. 8. Purchase goods (400) for resale on credit from B Co. Ltd, K1,200. 9. Sold goods (98 units) on account to B. Brown: invoice no. 002, K490. 10. Purchased office supplies: Paid cheque No. 103, K120. 11. Banked cheque for return of defective goods (31 units) that had been purchased on the 5th March 2011 for cash, K94.5. 12. Banked cash sales (180 units) totalling K900. 15. Issued cheque no. 104 for michellaneous expense, K180. 16. Refund a customer (sales on 12/3/11) for a cash sales return (34 units): paid refund by cheque no. 105 for K170. 17. Purchase goods (1,200 units) for resale on credit from C Co. Ltd, K3,000. 18. Paid freight on goods purchased from C Co. Ltd, cheque no. 106, K65. 19. Sold goods (106 units) on credit to C. Charles: invoice no. 003, K530. 20. Banked cash sales (212 units) totalling K1,060. 22. Issued cheque no. 107 to A. Co. Ltd in full settlements of outstanding account. 23. Banked a cheque received from A. Adams, in full settlement of his account. 24. Issued cheque no. 108 Pita Aigris as a personal drawing, K600. 26. Paid March Salaries: cheque no. 109 in favour of A. Harmer, K650; cheque. No. 110 in favour of A. Chriswell, K560. 30. Paid March electricity: cheque no. 111, K75. Paid March telephone: cheque no. 112, K56. 31. Bank cash sales (280 units) totalling K1,400. Following Additional Information is available: 1. All credit sales and purchases are on terms 2/10, n/30. 2. The March salary of a part-time sales representative amounting to K800 was not paid until 2 April 2011. 3. Depreciation of shop fittings for the month of March amounted to K38. Required: 1. Perpetual Inventory System A. Compute Cost of Sales and the Value of ending inventory using average costing method. B. Record the March transactions in a General Journal. C. Post the entries in the journals to the general ledger accounts. D. Prepare the trial balances of Aigris Ltd at 31st March 2011.. E. Prepare Income Statement for the month ended 31st March 2011. F. Prepare Balance Sheet at 31st March 2011. 2. Periodic Inventory System A. Compute Cost of Sales and the Value of ending inventory using average costing method. B. Record the March transactions in a General Journal. C. Post the entries in the journals to the general ledger accounts. D. Prepare the trial balances of Aigris Ltd at 31st March 2011.. E. Prepare Income Statement for the month ended 31st March 2011. F. Prepare Balance Sheet at 31st March 2011.