Taking into account all the errors/omissions noted above, prepare the corrected Creditors Control account for
Taking into account all the errors/omissions noted above, prepare the corrected Creditors Control account for
Chapter5: Operating Activities: Purchases And Cash Payments
Section: Chapter Questions
Problem 1M
Related questions
Question
Q.3.1 Taking into account all the errors/omissions noted above, prepare the corrected Creditors Control account for the month of June 2021.
![Question 3
You are provided with the following extracts and information taken from the books of Leopard
Traders for the month of June 2021. Leopard Traders sells clothing that they buy from various
suppliers. Leopard Traders uses the perpetual inventory system.
1.
You are provided with an incomplete Creditors Control for the month of June 2021. The
balance at the beginning of the month is correct.
CREDITORS CONTROL
B5
DATE
DETAILS
FOL AMOUNT
DATE
DETAILS
FOL
AMOUNT
30 June
Sundry returns
CAJ
2
1 JUNE
Balance
b/d
5 130
2021
2021
Bank
СВР
24 000
Sundry
CJ
13 000
purchases
Settlement
GJ
250
discount
received
The following errors/omissions were noted:
A.
The total of the creditors journal has been overcast by R600.
В.
No entry has been made for inventory bought on credit from Gemsbok Suppliers for R2 400
(including VAT) less 10% trading discount.
C.
An original credit note received from Giraffe Dealers for R435 was entered incorrectly in
the Creditors Allowances journal as R345
Independent
ute of Education (Pty) Ltd 2021
Page 7 of 8
21
2021
D.
No entry has been made for interest charged at 12% p.a. on the overdue account of R9 000
due to Zebra Stores at 30 June 2021. The account is four months overdue.
Е.
Lion Wholesalers is also a debtor and shows a credit balance of R400 in the Debtors ledger.
Management has decided to transfer this amount to Lion Wholesalers account in the
creditor's ledger. No entry has been made.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe387ff15-3d70-4b3f-99dd-38e20f66f7e3%2F4811e985-5990-43ea-b0ab-d44144ef3ce5%2Fb16x5e_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Question 3
You are provided with the following extracts and information taken from the books of Leopard
Traders for the month of June 2021. Leopard Traders sells clothing that they buy from various
suppliers. Leopard Traders uses the perpetual inventory system.
1.
You are provided with an incomplete Creditors Control for the month of June 2021. The
balance at the beginning of the month is correct.
CREDITORS CONTROL
B5
DATE
DETAILS
FOL AMOUNT
DATE
DETAILS
FOL
AMOUNT
30 June
Sundry returns
CAJ
2
1 JUNE
Balance
b/d
5 130
2021
2021
Bank
СВР
24 000
Sundry
CJ
13 000
purchases
Settlement
GJ
250
discount
received
The following errors/omissions were noted:
A.
The total of the creditors journal has been overcast by R600.
В.
No entry has been made for inventory bought on credit from Gemsbok Suppliers for R2 400
(including VAT) less 10% trading discount.
C.
An original credit note received from Giraffe Dealers for R435 was entered incorrectly in
the Creditors Allowances journal as R345
Independent
ute of Education (Pty) Ltd 2021
Page 7 of 8
21
2021
D.
No entry has been made for interest charged at 12% p.a. on the overdue account of R9 000
due to Zebra Stores at 30 June 2021. The account is four months overdue.
Е.
Lion Wholesalers is also a debtor and shows a credit balance of R400 in the Debtors ledger.
Management has decided to transfer this amount to Lion Wholesalers account in the
creditor's ledger. No entry has been made.
![Question 3
Q.3.1
(10)
General ledger
CREDITORS CONTROL
B5
DATE
DETAILS
FOL
AMOUNT
DATE
DETAILS
FOL
AMOUNT](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe387ff15-3d70-4b3f-99dd-38e20f66f7e3%2F4811e985-5990-43ea-b0ab-d44144ef3ce5%2Flrhksym_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Question 3
Q.3.1
(10)
General ledger
CREDITORS CONTROL
B5
DATE
DETAILS
FOL
AMOUNT
DATE
DETAILS
FOL
AMOUNT
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