aaccounting system where all separate ledger accounts are maintained for each ABS Ltd has an individual customer and supplier. The management wishes to draft the related control accounts. The following information is available. Receivables Payables Cheques issued to suppliers in settlement of GH¢23,600,000 as on December 31 2018 as on December 31 2018 GH¢ 2,600,000 4.100,000 23,350,000 14,360,000 550,000 31,650,000 180,000 35,900,000 320,000 980,000 27,700,000 120,000 200,000 500,000 430,000 1,660,000 75,000 350,000 Cash sales memos issued Goods returned to suppliers Cheques received from receivables in settlement of GH¢32,000,000 Cheques received from suppliers against return of goods Credit sales invoices issued Returns by customers from cash sales Returns by customers from credit sales Goods purchased on credit Cash refund to a debtor who had paid the amount due twice Cheque issued by a debtor on December 28 2018 was dishonored on May 13 2019 Increase in allowance for doubtful debts (from GHé1.750,000 to GH¢2,250,000). Bad debts written off Contra settlement between payables and receivables accounts Crodit balance included in customers' accounts as on December 31 2019. A supplier's invoice received on December 30 2019 relating to goods supplied on December 28 2019 has not been entered in the books REQUIRED Prepare the receivables and payables control accounts from the above information for the year ended December 31 2019.
aaccounting system where all separate ledger accounts are maintained for each ABS Ltd has an individual customer and supplier. The management wishes to draft the related control accounts. The following information is available. Receivables Payables Cheques issued to suppliers in settlement of GH¢23,600,000 as on December 31 2018 as on December 31 2018 GH¢ 2,600,000 4.100,000 23,350,000 14,360,000 550,000 31,650,000 180,000 35,900,000 320,000 980,000 27,700,000 120,000 200,000 500,000 430,000 1,660,000 75,000 350,000 Cash sales memos issued Goods returned to suppliers Cheques received from receivables in settlement of GH¢32,000,000 Cheques received from suppliers against return of goods Credit sales invoices issued Returns by customers from cash sales Returns by customers from credit sales Goods purchased on credit Cash refund to a debtor who had paid the amount due twice Cheque issued by a debtor on December 28 2018 was dishonored on May 13 2019 Increase in allowance for doubtful debts (from GHé1.750,000 to GH¢2,250,000). Bad debts written off Contra settlement between payables and receivables accounts Crodit balance included in customers' accounts as on December 31 2019. A supplier's invoice received on December 30 2019 relating to goods supplied on December 28 2019 has not been entered in the books REQUIRED Prepare the receivables and payables control accounts from the above information for the year ended December 31 2019.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 6P
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