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The questions are as follows Question 3 The following Information is extracted from the general ledger of Lotus Company as at 30 June 2022 Shop

The questions are as follows

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Question 3 The following Information is extracted from the general ledger of Lotus Company as at 30 June 2022 Shop rental 288,000 ink overdraft 6,000 General expe 255,600 Account payable 60,000 Cash at bank 1,163,400 Opening Inventory 1 14,000 Insurance 43,200 Accumulated depreciation 288,000 Carriage outwards 24,600 Discount received 2,400 Equipment at cost 600,000 Transport expenses 63,600 Carriage inwards 134,400 Sales 2,520,000 Capital 1,200,000 Salaries 549,600 Account receivable 96,000 Purchases 744,000 Required: a. Prepare a trial balance as at 30 June 2022. (12 marks) b. Identify and explain six types of errors that will not be revealed in the trial balance (9 marks) c. Aster Company has the following information: Account receivable as of 30 June 2022 was $1.4400,000. Allowance for receivable as of 1 July 2021 was $120,000. . On 30 June 2022, a client filed for bankruptcy and could not settle the outstanding amount of $40,000. . The company's policy is to provide a 20% allowance for receivables each year Required: Calculate the expense of the irrecoverable debt for the year ended 30 June 2022 Prepare a journal entry to record the irrecoverable debt expenses transaction. (4 marks) [Total: 25 marks]

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