Created by HASSAN TUGUME Published 15 APR, 8:18 Updated 15 APR, 8:18 21 APR, 23:59 2 attempts left This test will become unavailable after 21 Apr 2024 23:59 0% If you want to start assessment remove unpublished or deadline date RESUME THE QUIZ CAT 2 APRIL 2024 FOA 121 Principles of Accounting - CAT2 Instructions to Candidates: Attempt all questions (all questions are compulsory) Q.1 The following transactions are for Taka Ltd for October 2023.  1st October, Taka the owner of the business started the business with $20,000 cash and $10,000 in the bank account.  2nd, purchased land for the business at $3,000 cash  4th purchased office furniture from Furniture World on credit valued at $2,000  4th, Taka was hired to provide consultancy to a client and was paid $ 300 cash  5th, obtained a bank loan of $18,000, which was deposited in the business bank account.  15th, made part payment of $1,500 by cheque to Accounts payable created on 4th October  06th, deposited $500 into the bank  17th, bought a motor vehicle from Spear Motors for $20,000. Made cash payment of $8,000, paid $3,000 by cheque, and promised to pay the balance later.  20th, sold a portion of land that was unutilized for $1,500 cash.  25th, fully settled the balance of $9,000 by cash created on 17th October.  28th, withdrew $400 from the bank  30th, $800 business cash was used to entertain relatives from upcountry  30th, Purchased goods from Jemima Ltd worth $5000 on account. Required: From the above transactions, formulate: a) A Two-column cash book and balance it off at the end of the month. (18 marks) please help me in to two columns cash book clearly please

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Created by HASSAN TUGUME Published 15 APR, 8:18 Updated 15 APR, 8:18 21 APR, 23:59 2 attempts left This test will become unavailable after 21 Apr 2024 23:59 0% If you want to start assessment remove unpublished or deadline date RESUME THE QUIZ CAT 2 APRIL 2024 FOA 121 Principles of Accounting - CAT2 Instructions to Candidates: Attempt all questions (all questions are compulsory) Q.1 The following transactions are for Taka Ltd for October 2023.  1st October, Taka the owner of the business started the business with $20,000 cash and $10,000 in the bank account.  2nd, purchased land for the business at $3,000 cash  4th purchased office furniture from Furniture World on credit valued at $2,000  4th, Taka was hired to provide consultancy to a client and was paid $ 300 cash  5th, obtained a bank loan of $18,000, which was deposited in the business bank account.  15th, made part payment of $1,500 by cheque to Accounts payable created on 4th October  06th, deposited $500 into the bank  17th, bought a motor vehicle from Spear Motors for $20,000. Made cash payment of $8,000, paid $3,000 by cheque, and promised to pay the balance later.  20th, sold a portion of land that was unutilized for $1,500 cash.  25th, fully settled the balance of $9,000 by cash created on 17th October.  28th, withdrew $400 from the bank  30th, $800 business cash was used to entertain relatives from upcountry  30th, Purchased goods from Jemima Ltd worth $5000 on account. Required: From the above transactions, formulate: a) A Two-column cash book and balance it off at the end of the month. (18 marks) please help me in to two columns cash book clearly please

Definition Definition Financial journal in which only cash-related transactions are recorded. Cash transactions are posted chronologically in the cash book, which is also called a subsidiary book. All the cash receipts are recorded on the debit side and all the cash payments are recorded on the credit side. An important point to remember is that the cash book never shows a credit balance; only a debit balance is shown in the cash book.

Expert Solution