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Premiere Textile Limited SALES LEDGER CONTROL ACCOUNT RECONCILIATION Assume that you are working as a Receivale and Payable Control Maanger in Premiere Textile Limited for

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Premiere Textile Limited SALES LEDGER CONTROL ACCOUNT RECONCILIATION Assume that you are working as a Receivale and Payable Control Maanger in Premiere Textile Limited for last 2 years. Now the financial year 2019 has just ended but the balances of the subsidiary legders of the Debtors are not equal to the total of Sales Ledger Control Account. The total of the Subsidiary ledgers is 108,124 whereas the total of Sales Ledger Control Account is 109,678 On investigation, the following errors were found: A Debtor's balance of 2842 had been included in total credit sales but had not been posted to the customer's account. 2) Discounts allowed amounting to 348 were not entered in the customer's accounts. 3) Return Inward Journal was overcast by 696 Return of 986 from a customer had not been recorded in the books. 5) A purchase ledger balance of 1508 has been set off against sales ledger balance but nothing had been recorded in the Sales Leder Control Account and in the Customer Account Sales day book had been overcast by 2668 7 Goods returned worth 1624 were recorded as 1264 in the customers account. A debt of 638 had proved bad but no entry had been passed in the books. ) Discount allowed amounting to 464 had been posted to the debit side of the customers account You are required to: a) Show the above adjustments in the sales ledger control account Prepare a statement showing the reconciliation of the total of the subsidiary ledger balances with the amended balance of sales ledger control account. 6) 8) b)

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