questuon 2

Dwyne began an upholstery cleaning business on october 1 2020 and engaged in the following transactions during the month

began business by depositing 12,000 in a clean and premium ltd bank

oct 1: account

oct 2:orders cleaning supplies 3,000

oct 3: purchased cleaning equipment for 2,800

oct 4, made two months van lease payment in advance, RM1,200

recived the cleanung supplies orderd on october 2

oct 7: and agreed to pay half the amount in 10 days and rest in 30days

oct 9:paid for rrpairs on the van with cash Rm1,080

oct 12 received cash for cleaning upholstery ,1,340

oct 17:paid half the amount owed on supplies purchased on oct 7, 1,500.

oct 21: billed customers for cleaning upholstery, Rm 1,340

oct 24: paid cash for additional repaira on the van, 80

oct 27 :received 600 from the customers billed on oct 21

oct 31 made a cash withdrawal of 700

requierd :

a) prepare the general journal based on the above transactions

b) post tge entries to the ledger account

QUESTION 1 (CLO 1) An inexperienced bookkeeper has drawn up an incorrect trial balance. You are required to identify the error and prepare the new Trial Balance for the Year Ended December 2020. CP Unity (Pvt) Ltd Incorrect Trial Balance As on 31st December 2020 Ref No Heads of Accounts 1 Sales 2 Equipment 3 Account Receivable 4 Inventory 5 Account Payable 6 Rental 7 Debtors and Creditors 8 Retained Earning 9 Water and Electricity bill 10 Loan for 3 months 11 Cash in Bank 12 Salary Expenses 13 Bank Overdraft 14 Maintenance 15 Stationery Expenses 16 Common Stock 17 Cost of goods sold 18 Capital 19 Cash at Bank 20 Drawing Total Amount (RM) Debit Credit 25.226 20,000 504 9,408 1,564 5,545 3,180 1,800 1,700 815 1.450 200 2.400 530 790 1.150 26,248 14,526 42.000 45,000 3000 91,535 90,275 QUESTION 3 (CLO 3) Mr. Ramesh's business does not keep proper business records. The summary taken from his business book entries is as follows: Descriptions 1 May 2019 30 April 2020 RM RM Account receivable 160,800 159,880 Prepaid insurance 2,400 2.280 Inventories 91.000 94,600 Account payable 91,200 91,360 Warehouse equipment 60,000 61,000 Accrued office expenses 1,400 1.720 Analysis on the cheque book, bank in slips and bank statements produced an account as follows: Bank Account RM RM Beginning balance 7.000 Cash purchases 1,830 Return outwards 350 Payment 62.208 Receivables 106,800 Return inwards 404 Cash sales 36,000 Rent expenses 11,422 Miscellaneous expenses 40,364 Office expenses 4.800 Warehouse equipment 6,000 Salesmen's commission 18,212 Insurance 600 Ending balance 4,328 150.500 150.500 Discount allowed and discount received throughout the year are identified as RM3,500 and RM7,300, respectively. A customer is found to be unable to pay his debt of RM 900 because he is declared bankrupt