WORKED EXAMPLE
The following transactions took place in the business of Samiyah during the month of January 2017.
Account to debit | Account to credit | |||
Jan | 1 | Started business with bank balance $ 13 800 | ||
3 | Purchased goods by cheque $ 4 200 | |||
5 | Sold goods and received cheque of $ 5 100 | |||
7 | Purchased equipment by cheque $1 800 | |||
15 | Paid wages by cheque $ 1 800 | |||
17 | Received commission by cheque $ 1 700 | |||
20 | Purchased goods by cheque $ 4 200 | |||
23 | Sold goods and received a cheque of $ 5 100 | |||
31 | Withdrew cash from bank for own use $ 500 |
DR | In the ledger of Samiyah | CR | |||
Date | Details | Amount | Date | Details | Amount |
BANK ACCOUNT | |||||
CAPITAL ACCOUNT | |||||
PURCAHSES ACCOUNT | |||||
REVENUE(SALES) ACCOUNT | |||||
EQUIPMENT ACCOUNT | |||||
WAGES ACCOUNT | |||||
COMMISSION RECEIVABLE ACCOUNT | |||||
DRAWINGS ACCOUNT | |||||
Trial Balance as at 31st January 2017 | ||
Title of Account | DR | CR |
Bank | ||
Capital | ||
Purchases | ||
Revenue(Sales) | ||
Equipment | ||
Wages | ||
Commission Received | ||
Drawings | ||
Q1. The following transactions took place during the month of January 2012. | ||
Jan | 1. 4 6 11 16 17 21 26 27 31 | Started business with bank balance $ 19 000 Bought goods for cheque $ 4 300 Sold goods for cheque $ 3 600 Bought equipment by cheque $ 4 400. Paid salaries by cheque $ 1 450 Paid insurance by cheque $ 600 Received interest by cheque $ 700 Withdrew cash from bank for personal use $ 3000 Bought goods by cheque $ 4 800 Sold goods for cheque $ 6 500 |
