Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please kindly help me out The following information has been extracted from the records of Busybody Enterprise; a company that operates the manual system of

please kindly help me out
image text in transcribed
The following information has been extracted from the records of Busybody Enterprise; a company that operates the manual system of accounting as at 31st December 2021 . Additional Notes: 1. An adjustment would have to be made to Busybody Enterprise's total trade receivables for the year ended December 31st2020 which is reported at GHS 150,000 . Busybody Enterprise has a generous cash discount policy of 5% for customers paying within 15 days of the invoice date and past experience has shown that 60% of customers often take advantage of this. Required: i. Assuming there are no other adjustments which affect receivables, calculate the receivables figure which should be on the Statement of Financial Position? (3 marks) Describe as precisely as possible how the above extract balances from the records of Busybody Enterprise would be recorded in the Tally ERP 9 accounting system. (12 marks) The following information has been extracted from the records of Busybody Enterprise; a company that operates the manual system of accounting as at 31st December 2021 . Additional Notes: 1. An adjustment would have to be made to Busybody Enterprise's total trade receivables for the year ended December 31st2020 which is reported at GHS 150,000 . Busybody Enterprise has a generous cash discount policy of 5% for customers paying within 15 days of the invoice date and past experience has shown that 60% of customers often take advantage of this. Required: i. Assuming there are no other adjustments which affect receivables, calculate the receivables figure which should be on the Statement of Financial Position? (3 marks) Describe as precisely as possible how the above extract balances from the records of Busybody Enterprise would be recorded in the Tally ERP 9 accounting system. (12 marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Level Audit And Assurance Exam Room Notes 2017

Authors: ACA Simplified

1st Edition

1545501653, 978-1545501658

More Books

Students also viewed these Accounting questions

Question

5. If yes, then why?

Answered: 1 week ago

Question

6. How would you design your ideal position?

Answered: 1 week ago