- This topic has 1 reply, 2 voices, and was last updated 1 year ago by
.
- Posts
QUESTION 12
a) The following information was taken from the books of Tafadzwa Dealers, a sole
proprietorship for the month of December 2018.
$
Balances at 1st December
Debtors Ledger debit 42 500
Debtors Ledger credit 1 600
Creditors Ledger Credit 19 200
Creditors Ledger debit 510
Credit Sales 111 200
Credit Purchases 86 400
Cash Sales 37 160
Cash Purchases 22 500
Provision for doubtful debts 1 800
Cash received from debtors 103 600
Cash paid to creditors 82 700
Purchases Returns 3 600
Sales Returns 4 200
Cash Discount Received 5 150
Bad debts written off 1 700
Discount Allowed 6 400
Contras” between Debtors & Creditors Ledger 2
600
Provision for Discount Allowed 1 800
Balance at 31st December 2018
Debtors Ledger (Credit) 800
Creditors Ledger (Debit) 350
REQUIRED:
Prepare for the month of December 2018, the Debtors Ledger Control and Purchases
Ledger Control accounts. [12]Please do not simply type out a full question and expect to be provided with a full answer. You must have an answer in the same book in which you found the question, so ask about whatever it is in the answer that you are not clear about and then I will explain.
Everything needed to answer this question is covered in my free lectures on Control Accounts (and I actually work through a very similar example to this one). The lectures are a complete free course for Paper FA and cover everything needed to be able to pass the exam well.
(Obviously you cannot be asked to prepare the accounts in the exam, but you are expected to understand each of the necessary entries.)
- You must be logged in to reply to this topic.