SCENARIO 1 The accounts in the Sales trust ledger are as follows: - 700 Trust Bank Account $ 218,000.00 Debit

710 Harvey to Austin 80,500.00 Credit

720 Melisa to Lyn 77, 000.00 Credit

730 Grant to Jan 50, 000.00 Credit

740 Moore - Auction expenses 10,500.00 Credit

16th Payments to be made from the Sales Trust Account are: - 16th Settlement occurred between W Harvey and D Austin. The initial deposit plus $226 interest was re-banked into the Trust Account. Sales commission was $12, 500 with the appropriate balance of funds being sent to the two parties involved.

16th The sale of 50 Rockdale Street, Rockdale regarding Grant to Jan was settled and the vendor's solicitor requested the deposit to be released after commission had been deducted. The commission amounted to $1, 800.

16th Funds held on behalf of T Moore were for advertising. Paid Pleasure News from this amount, the sum of $850.

You are now to process these payments completing the cash book, ledgers and complete the paperwork for the Licensee in Charge to make the payments form the trust account.

SCENARIO 2 The accounts in the Property Management ledger are as follows: - 500 Trust Bank Account $ 11,380.00 Debit

530 L Turner (owner) 4,000.00 Credit

540 F Moore(owner) 3,000.00 Credit

550 T Oaks (owner) 2,900.00 Credit

560 Rental Bond Suspense 1, 480.00 Credit

The payment transactions are

7/5 Paid N Harris for plumbing on behalf of T Oaks $ 160 for property at 2/65 Martin Street. Paid outstanding amount due to Rental Bond Board

25/5 Paid water rates to City Water for properties owned by Fred Turner $450 Frank Moore $400

Settled with L Turner. Property Management fees inclusive of GST are $308.00

30/5 Settled property management accounts. Moore Management fee $160 Oaks Management fee $90

e. Process the payment advices Provide information to Licensee in Charge to make the payments You are to process the payments from the trust accounts. Details of the transactions, authority and authorisation is set out above. Note: make up the BSB numbers. Also note that for the PM payments are made from three separate dates

f. Record the payments You are now to record the payments from the trust account in the trust cash book and ledger.

THINK REALTY SALES TRUST ACCOUNT

I did many times but not correct. the instructor did the first one for me : and gave the comments

16th Settlement occurred between W Harvey and D Austin. The initial deposit plus $226 interest was re-banked into the Trust Account. Sales commission was $12, 500 with the appropriate balance of funds being sent to the two parties involved. TOTAL AMOUNT OF MONEY IN LEDGER = $80,500.00 (Interest was recovered of $226.00 - so now the ledger sits at $80,726) D Austin will receive half the interest of $113.00 Think real estate will receive $12,500.00 in commission Harvey will receive the balance of funds (total ledger amount minus 1/2 of the interest minus the commission) = $68,113.00 You should be entering all of these transactions into the Daily payment sheet You should then enter them all into the Cashbook - Payment side for sales Remember what you do to your cashbook, you must do to your ledger - so you will need to find the correct ledger and add the transaction in there.

thanks