ga Store (Pty) Ltd has a wholesale section that conducts some of their business on credit. Transactions are first recorded in specialised journals and the general journal on a real time basis. The accounting department uses clerks to post transactions recorded in the j
Mega Store (Pty) Ltd has a wholesale section that conducts some of their business on
credit. Transactions are first recorded in specialised journals and the general journal on
a real time basis. The accounting department uses clerks to
in the journals into Debtors accounts and Creditors’ accounts in the subsidiary ledgers
on a daily basis. Transactions from the journals are posted into the Debtors’ Control
account and the Creditor’s Control account in the general ledger on a monthly basis.
The following information was extracted from the accounting records of Mega Store
(Pty) Ltd on 31 December 2021.
The following has not been taken into account in arriving at the figures above:
1. An amount of R5 202 owing by a debtor, F Skelm, must be written off as
irrecoverable.
2. The allowances for credit losses must be increased by R2 250.
3. On 10 December 2021, goods to the value of R6 300 was purchased on credit, but
was incorrectly recorded in the sales journal.
4. The credit balances in the debtors’ ledger at 1 January 2021 must be transferred to
the creditors control account.
Required:
Prepare the following as they would appear in the general ledger of Mega Store (Pty)
Ltd for the year ended 31 December 2021:
4.1 Debtors control account
4.2 Creditors control account.
Step by step
Solved in 2 steps with 2 images
