Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

problem 1) The following totals were obtained from the books of a small business selling electrical goods:

                                                                                  Rs
Trade debtors at 1 April 2006 (debit balance)                  273,176
Trade creditors at 1 April 2006 (credit balance)               100,277
Cashsales                                                                    35,284
Credit sales                                                                 395,477
Cash purchases                                                            59,001
Credit purchases                                                         194,226
Receipts from all customers                                          407,831
Credit sales return                                                         2,660
Credit purchases returns                                                3,335
Cash discounts allowed to credit customers                      3,552
- Cash discounts received from credit suppliers                 1,008
Cash and cheques paid to trade creditors                       155,910
Service fee charged to credit customers                             1,200
Credit customers’ cheques dishonoured                             7,229
Bad-debts written off                                                       9,004
Provision for doubtful debts at 1 April 2006                        5,464
Interest charged on overdue accounts of credit customers    2,774
Set-off of debit balances in the Sales Ledger with Credit
balances in the Purchases Ledger                                         5,893
Trade debtors at 30 April 2006 (credit balance)                      5,000

Required:

(a) Create the Debtors Control Account and the Creditors Control Account for the month of April 2006.

(b) Briefly describe the reasons for preparing control accounts.

(c) Give reasons as to how a customer can have credit balance to his account.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M96421

Have any Question? 


Related Questions in Accounting Basics

Section i multiple choicemark one box only to indicate the

Section I: Multiple Choice Mark one box only to indicate the answer you consider correct for each question 1. Which of the following is the goal of the U.S. health care system? a. Access b. Cost c. Quality d. All of the ...

Assignmentpaper 1excel spreadsheet and 1-2 pagesconsider

Assignment Paper #1 Excel Spreadsheet and 1-2 pages Consider the following scenario: Andre has asked you to evaluate his business, Andre's Hair Styling. Andre has five barbers working for him. (Andre is not one of them.) ...

Sandy alomar corp prepare two schedules for inventory costs

Sandy Alomar Corp., Prepare two schedules for inventory costs under LIFO and FIFO You are vice-president of finance of Sandy Alomar Corp., a retail company that prepared 2 different schedules of gross margin for the firs ...

Accountingscenariothe park family consists of the

Accounting Scenario: The Park family consists of the following: • Jackie O. Park; age 40; SSN: XXX-XX-XXXX; business analyst; single; unmarried • Leslie T. Park; age 16; SSN: 000-00-0000; daughter; high-school student; l ...

Abc stock has a share price of 150 today all rates of

ABC stock has a share price of $150 today. All rates of interest are 3% per annum on a continuously compounded basis. A one-year European call option on one share of stock struck at $147 is worth $15. Finally, ABC is sch ...

Question 1the board of directors is considering updating

Question 1 The board of directors is considering updating the fleet of vehicles of the company which are used to ship goods to markets all around the United States. They will be leasing the vehicles as opposed to purchas ...

Please see the list of stock from a virtual game that

Please see the list of stock from a virtual game that student invested during the period Sep 2016- Dec 2016. The returns are shown as well. Please use this information to write a report 2-4 pages about the project. Your ...

Accounting for nonfinancial assets will experience some

Accounting for nonfinancial assets will experience some major changes with the convergence to IFRS. One of the key issues will be that of fair value. Research this topic, and give your argument for or against the use of ...

Task -task covers the application of conceptual and

Task - Task covers the application of conceptual and technical aspects of accounting and the preparation of business financial statements, the appraisal of the use of information technology including spreadsheet software ...

Payrolllocate a payroll processing company you may either

Payroll Locate a payroll processing company. You may either contact one in person, by telephone, or conduct an Internet search. Write a brief report describing the advantages and disadvantages of using a payroll processi ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro