Customer Service Chat
Get quote & make Payment
accounting , Accounting Basics
Jim owns and manages a small business, which provides an office design service, as well as buying and selling office furniture. Jim is a sole trader who manages all aspects of the business. Jim balances the business accounts at the end of each month.
On 1 June, the balances on his accounts were as follows.
Account name £ Debit/credit
Capital 12,000 Credit
Equipment 7,851 Debit
Van 3,000 Debit
Bank 4,600 Debit
Receivables control 16,599 Debit
Payables control 20,050 Credit
On 1 June, the debit balances on the receivables ledger were as follows.
Receivables ledger accounts £
Tim Jones 5,800
Evans Ltd 9,000
DBC Ltd 5,250
During June, the following transactions took place.
Date Amount, as entered Transaction
In cash book
2 450 Jim buys a camera to use in the business
3 2,400 Receives payment from Sunil Ltd
4 80 Receives a credit note from Evans Ltd for damaged chair
6 3,600 Receives payment from K. Peters
8 5,800 Pays in full the amount outstanding on the account of Tim Jones 10 5,000 Receives cash from Richards plc in part settlement of amount outstanding 15 10,500 Invoices Ted Turner for design services now completed to Ted''s satisfaction 16 425 Pays cash on delivery to Smiths for two desk and chair sets, taking up 15% discount for prompt payment 20 825 Buys a sofa and chair set from Tim Jones, agreeing 30 days credit terms 21 97 Pays telephone bill immediately on receipt, taking up 3% discount for prompt payment 23 8,800 Pays in full the amount outstanding on the account of Evans Ltd 27 5,200 Pays DBC Ltd 28 480 Issues a credit note to Ted Turner to correct an error on the invoice issued on 15 June to Ted Turner
(a) Set out Jim''s nominal ledger accounts and the receivables and payables ledger accounts at 1 June.
(b) Post the June transactions and balance the nominal ledger accounts and the receivables and payables ledger accounts. Assume that the cash book and the day books are posted daily.
(c) Present the trial balance at 1 July.
Posted Date: 3/13/2013 7:43:11 PM | Location : United Kingdom
Ask an Expert
accounting , Assignment Help, Ask Question on accounting , Get Answer, Expert's Help, accounting Discussions
Write discussion on accounting
Your posts are moderated
Write your message here..
Most suitable method of controlling stock in a retail shop, Periodic Review...
#titleIntermediate accounting, Notes to financial statements
Notes to financial statements
Inventories and revenue recognition, Q. Inventories and revenue recognition...
Q. Inventories and revenue recognition? Management make a decision which inventory costing method or methods (LIFO, FIFO, and so on.) to use. As well, management should determi
Responsibility of general manager and salesperson, Q. Responsibility of Gen...
Q. Responsibility of General Manager and salesperson? Upon promotion to manager Tracy will start the transformation from auditor to executive. She will manage numerous audits a
Explain in brief about the purchases account, Explain in brief about the pu...
Explain in brief about the purchases account keeps a record of cost of merchandise purchased for resale during an accounting period. Assets are recorded as assets-not pu
Calculate the liability, XYZ Solutions Pvt Ltd purchased a new vehicle for ...
XYZ Solutions Pvt Ltd purchased a new vehicle for their employee Sonia to use for both work and private purposes on 1 November 2010. The car cost $38,500 and they paid an extra $2
What is sales revenues, Q. What is Sales revenues? The sale of goods ta...
Q. What is Sales revenues? The sale of goods takes place between two parties. The seller of the merchandise transfers them to the buyer in exchange for cash or a promise to pay
Net realizable value , A)Guerrero Company occupied in the following events ...
A)Guerrero Company occupied in the following events during 2012: 1. Began operations by issuing common stock to investors for $40,000 cash 2. Given services to customers on a
How to deal barter transactions?, How to create account for barter transact...
How to create account for barter transactions? As My Company is providing a service to another company and that company is reimbursing us with his service.
Illustrate the financial accounting process, Q. Illustrate the Financial ac...
Q. Illustrate the Financial accounting process? In this section we describe the accounting equation as the framework for the entire accounting process. Then we demonstrate you
Accounting Assignment Help
Economics Assignment Help
Finance Assignment Help
Statistics Assignment Help
Physics Assignment Help
Chemistry Assignment Help
Math Assignment Help
Biology Assignment Help
English Assignment Help
Management Assignment Help
Engineering Assignment Help
Programming Assignment Help
Computer Science Assignment Help
IT Courses and Help
Why Us ?
~24x7 hrs Support
~Quality of Work
~Time on Delivery
~Privacy of Work
Human Resource Management
Literature Review Writing Help
Follow Us |
T & C
Copyright by ExpertsMind IT Educational Pvt. Ltd.