transactions during Oct 20-4. The following transactions took place in October 20-4: October 2 Bought goods...

Transcribed Image Text:

transactions during Oct 20-4. The following transactions took place in October 20-4: October 2 Bought goods on credit from Zara, $1500 7 Returned goods to Zara, $80 (hint: One entry will be purchase return which is always credited) 14 Paid Zara a cheque for the amount owing on 1 October 20-4 21 Cash received from sales of goods, paid directly into the bank, $940 (hint: This entry will not be added to Zara trade payable account) 28 Katie took goods for her own use, $140 -Opening balance on 1st Oct 20-4 in Zaras account was $ 1760. a) prepare general journal entries for the above transactions: (5 marks) b) Prepare Zaras account in the book of Katie and balance the bank account and Zara's account and bring down the balances on 1 November 20-4. (10 Marks) ( Hint: Zaras account will be the Trade payable/accounts payable account) (5 Marks) transactions during Oct 20-4. The following transactions took place in October 20-4: October 2 Bought goods on credit from Zara, $1500 7 Returned goods to Zara, $80 (hint: One entry will be purchase return which is always credited) 14 Paid Zara a cheque for the amount owing on 1 October 20-4 21 Cash received from sales of goods, paid directly into the bank, $940 (hint: This entry will not be added to Zara trade payable account) 28 Katie took goods for her own use, $140 -Opening balance on 1st Oct 20-4 in Zaras account was $ 1760. a) prepare general journal entries for the above transactions: (5 marks) b) Prepare Zaras account in the book of Katie and balance the bank account and Zara's account and bring down the balances on 1 November 20-4. (10 Marks) ( Hint: Zaras account will be the Trade payable/accounts payable account) (5 Marks)