Illustration of double entry-branches, Financial Accounting

Illustration of double entry
The balances on the current accounts of a head office and branch were Ksh 698,000, before the transactions listed below:

 

Kshs

Goods sent to branch by head office

1,727,000

Remittances received by head office from branch

892,000

Goods received by branch from head office

1,620,000

Remittances sent to head office by branch

944,000

Branch profit for the period

594,000

Goods in transit from head office to branch

107,000

Cash in transit from branch to head office

52,000

 

Books of head office:

                                          Branch Current A/C

 

Sh

 

Sh

Bal b/d

698,000

Cash book

892,000

GSTB

1,727,000

Bal c/d

*1,533,000

 

2,425,000

 

2,425,000

Bal b/d

1,533,000

Goods in transit

107,000

Branch profit

594,000

Cash in transit

52,000

 

________

Bal c/d

1,968,000

 

2,127,000

 

2,127,000

 

*  Entry that is usually found in the trial balance of the Head Office.

 

                                         Goods sent to branch

 

Sh

 

Sh

 

 

Branch current a/c

1,727,000

 

                                              Goods in transit

 

         Sh

 

Sh

Branch current a/c

107,000

 

 

 

                                             Cash in transit

 

     Sh

 

Sh

Branch current a/c

52,000

 

 

 

Books of the branch:

                                    Head office current account

 

Sh

 

Sh

Cash book

944,000

Bal b/d

698,000

Bal c/d*

1,374,000

 

1,620,000

 

2,318,000

 

2,318,000

 

 

Bal b/d

1,374,000

Bal c/d

1,968,000

Branch profit

594,000

 

1,968,000

 

1,968,000

 

*  Entry that is usually found in the trial balance of the branch.

 

                                     Goods from head office

 

     Sh

 

Sh

H.O current a/c

1,620,000

 

 

Posted Date: 12/12/2012 1:47:05 AM | Location : United States







Related Discussions:- Illustration of double entry-branches, Assignment Help, Ask Question on Illustration of double entry-branches, Get Answer, Expert's Help, Illustration of double entry-branches Discussions

Write discussion on Illustration of double entry-branches
Your posts are moderated
Related Questions
1. Lett Corp declared and issued a 15% stock dividend when they had 100,000 shares of common stock issued and outstanding. The market price of the stock was $20 per share on the de

Bell Mountain Vineyards is considering updating its current manual accounting system with a high-end electronic system. While the new accounting system would save the company mon

Part I: Wal-Mart Stores Inc.'s income statement and balance sheet are attached. Gather relevant information from the financial statements to calculate the financial ratios, and co

The twin objectives of inventory management are financial and operational. The operational objective implies that the materials and spares would be obtainable in sufficient quantit

Question: The following information was extracted from the books of William Noel for the year ended 30 April 2009.

Q. Principles of banking and finance? An introduction to the principles of banking and finance. It covers a broad variety of topics using an economic perspective and aims to gi

Illustration-statement of Changes in Net Assets-pension fund (a) What meetings of creditors must be held and for what purpose in the course of a creditors’ voluntary winding up

Mr. Wong currently running a small manufacturing business.  The Trial Balance of the business at 31 March 2011 is as follows:

Carnival Cruise Lines This question has two parts. Answer both parts. Structure your response using headings and subheadings where appropriate. The use of tables and point fo

Both a call and a put currently are traded on stock XYZ; both have strike prices of $50 and expirations of 6 months.  What will be the profit to an investor who buys the call for $