nt sales with a bank draft from Christian on 28th December 2019. It shows the following and all currencies converted into US dollars ($): b. Christian has sold 8 cases of goods for $400 each. c. Christian has paid a total of $150 for landing charges and import duties on receipt of the whole consignment. d. He paid selling costs in respect of the 8 cases sold amounting to $160. e. He has deducted his commission of 10% in respect of the 8 cases sold. f. Christian encloses a bank draft of $2,570 to the

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
100%

Phumlani of South Africa consigns 10 cases of goods costing $200 per case to Christian in Ghana on
the 1st July 2019. Phumlani ends his account on 31st December of every financial year.
a. Phumlani pays $250 for carriage and insurance for the whole consignment on 1st July 2019.
Phumlani receives an interim account sales with a bank draft from Christian on 28th December 2019.
It shows the following and all currencies converted into US dollars ($):
b. Christian has sold 8 cases of goods for $400 each.
c. Christian has paid a total of $150 for landing charges and import duties on receipt of the
whole consignment.
d. He paid selling costs in respect of the 8 cases sold amounting to $160.
e. He has deducted his commission of 10% in respect of the 8 cases sold.
f. Christian encloses a bank draft of $2,570 to the account sales.
Phumlani now wishes to balance off his consignment account at his financial year end 31st December
2019 and transfer the profit to date to his profit and loss account.

a. Prepare the account sales at 28th December 2019

Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education