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Problem 86 In the books of Beveridge Ltd the creditors ledger control account shows as at 31 December 2017 a credit balance of 321,700. The

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Problem 86 In the books of Beveridge Ltd the creditors ledger control account shows as at 31 December 2017 a credit balance of 321,700. The list of individual creditors' balances extracted from the creditors ledger on the same date shows credit balances totaling 330,800. The following errors have been identified since then: (1) A debit balance of 1,700 in a supplier's account has been listed in error as a credit balance. (2) A credit note received from a supplier for 3,600 is still to be accounted for. (3) A cash payment to a supplier of 250 was correctly recorded in the cash book but was entered as 520 in the creditors ledger (4) An invoice for 600 recorded in the purchases day book was not recorded in the supplier's account in the creditors ledger (5) A returns outwards day book page has been totalled as 43,000 instead of 40,000 (6) The remainder of the errors arose from the failure to post a payment to a supplier's account. Required: (a) Calculate the corrected creditors ledger control account balance, and, (b) reconcile this with the total of the individual creditors' balances in the creditors ledger. We need to make the following corrections Original total from creditors ledger balances Corrected list of balances Original balance per creditors control account Corrected balance Revision question Jean-Jacques had 100 litres of Beaujolais nouveau in inventory on 1 October 2019, purchased at 2 per litre. During the month of 31 October 2019 the following changes occurred in the inventory position: Cost per litre Purchases 2 .50 Date 7 October 14 October 21 October 28 October Quantity Litres 200 300 50 100 300 350 4 October 11 October 18 October 25 October 200 Required: Calculate the value of the closing inventory of Beaujolais nouveau at 31 October 2019 using each of the following three methods: First in first out (FIFO) Last in first out (LIFO) Weighted average (calculated at the time of each transaction)

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