Accounting for assets question. 2. a) The following information we got from Waridi mean traders for the year ended 31st Dec 2013. a) 1st April goods sold to Joto Mingi traders ksh 60,000 b) 8th July amount paid by Joto Mingi ksh 25,000 c) 30th September Joto Mingi was declared bankrupt hence proved to be bad debt. Required: i) Appropriate ledger account to record the above transaction ii) Extract of financial statement (income statement).
Accounting for assets question.
2. a) The following information we got from Waridi mean traders for the year ended 31st Dec 2013.
a) 1st April goods sold to Joto Mingi traders ksh 60,000
b) 8th July amount paid by Joto Mingi ksh 25,000
c) 30th September Joto Mingi was declared bankrupt hence proved to be
Required:
i) Appropriate ledger account to record the above transaction
ii) Extract of financial statement (income statement).
b) Assume that the following transaction took place during the year 2014 in relation to Jot Mingi traders
a) 30th Jan Promised to pay the amount written off.
b) 30th Sep Amount paid ksh 15,000 and the remaining will not be paid by 31st Dec
Required:
i) Appropriate ledger account.
ii) An extract of income statement.
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