Page 386 - Microsoft Word - 00 BA3 IW Prelims STUDENT.docx

Chapter 20

Example 3 (cont.)

The cash book (debit side) for the same month included the following entries:

Received from receivables
Date Details $ Discount $
20X1
14 Jan C Bloggs 125 5
16 Jan P Binns 570 30
––––– –––––
695 35
––––– –––––

Required:

Write up the personal accounts in the sales ledger and the control
account, and reconcile the control account to the total of the sales ledger
balances.

Example 3: Solution

Sales ledger accounts (personal accounts) – memorandum accounts:

Khan
Dr $ Cr $
01-Jan Balance b/d 437
23-Jan Invoice 705 31-Jan Balance c/d 1,142
––––– –––––
1,142 1,142
––––– –––––
01-Feb Balance b/d 1,142

380