Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 3 The following are the transactions of A. Sutherland for the month of January 2007: Type of Transaction Jan. 01 A. Sutherland paid R5

image text in transcribedimage text in transcribed

Question 3 The following are the transactions of A. Sutherland for the month of January 2007: Type of Transaction Jan. 01 A. Sutherland paid R5 000 into a business bank account. cash receipt 02 Purchased goods for resale from W Co. Ltd. on credit, credit purchase R900. 03 Sold goods on credit to Arthur for R1 000. credit sale 04 Purchased goods for resale and paid by cheque no. 901, R480. cash payment 08 Sold goods on credit to Brown for R800. credit sale 09 Purchased goods for resale from X Co. Ltd. on credit, R260. credit purchase A cheque for R760 was received from Brown in full settlement of his account. cash receipt 11 Paid R234 to X Co. Ltd. by cheque no. 902 and received R26 discount cash payment Sold goods on credit to Cohen for R1 600. credit sale 16 Purchased goods for resale from Y Co. Ltd. on credit, R520. credit purchase Received a cheque from Cohen for R1 520 in full settlement of his debt. cash receipt Paid wages by cheque no. 903, R240. cash payment Sold goods on credit to Doby for R600. credit sale Purchased goods for resale from Z Co. Ltd. on credit, R320. credit purchase 10 15 17 18 22 23 25 24 Sold goods for cash R2 320 and banked this sum. cash receipt Paid R810 to W Co. Ltd. by cheque no. 904 and received R90 discount. cash payment All amounts are 14% VAT inclusive, where applicable. Do all calculations to the nearest cent. Required 1. (a) Record the above transactions in the following specialised journals: sales journal/debtors journal purchases journal/creditors journal cash receipts journal; and cash payments journal. Total the journals after the last transaction for the month. (b) Post the relevant transactions from the journals to the debtors ledger and creditors ledger. (c) Post from the journals to the relevant accounts in the general ledger. (d) Prepare the trial balance at 31 January as well as lists of balances from the debtors ledger and creditors ledger, le) Agree the totals of the list of subsidiary ledger balances with the relevant control account totals on the trial balance. Record the cash receipt and cash payment transactions in the cash book and compare this with cash receipts and cash payments journals. [20] 54 2

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

Cost Reduction Systems Target Costing And Kaizen Costing

Authors: Yasuhiro Monden

1st Edition

1563270684, 978-1563270680

More Books

Students also viewed these Accounting questions

Question

In what ways can confl ict enrich relationships?

Answered: 1 week ago

Question

How do listening and hearing diff er?

Answered: 1 week ago

Question

How does eff ective listening diff er across listening goals?

Answered: 1 week ago