Prepare the post adjustment trial balance of Musketeer Traders on 30 September 2019.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Prepare the post adjustment trial balance of Musketeer Traders on 30 September 2019.

Folio
Debit(R)
Credit(R)
Statement of financial position section
Сapital
400 000
Drawings
5 500
Land and Buildings
450 000
Motor Vehicles
225 000
Accumulated depreciation: Vehicles
65 000
Financial Asset: Fixed deposit : JP
107 000
House
Bank
3 200
Debtors control
48 220
Trading Inventory
24 640
Mortgage Loan
210 520
Creditors Control
33 980
Nominal Accounts Section
Sales
1 200 000
Sales Returns
18 800
Cost of Sales
800 340
Rent Income
45 000
Interest Income
4 600
Service Income
8 700
Rent Expense
66 700
© The Independent Institute of Education (Pty) Ltd 2020
Page 3 of 14
20
2020
Folio
Debit(R)
Credit(R)
Credit Losses
3 500
Wages and Salaries
102 380
Cleaning Materials
6 300
Office consumables
5 400
Interest on mortgage loan
2 500
Electricity
11 250
Rates and services
4 870
Fuel
12 300
Advertising
50 700
Telephone
25 600
1971 000
1 971 000
Transcribed Image Text:Folio Debit(R) Credit(R) Statement of financial position section Сapital 400 000 Drawings 5 500 Land and Buildings 450 000 Motor Vehicles 225 000 Accumulated depreciation: Vehicles 65 000 Financial Asset: Fixed deposit : JP 107 000 House Bank 3 200 Debtors control 48 220 Trading Inventory 24 640 Mortgage Loan 210 520 Creditors Control 33 980 Nominal Accounts Section Sales 1 200 000 Sales Returns 18 800 Cost of Sales 800 340 Rent Income 45 000 Interest Income 4 600 Service Income 8 700 Rent Expense 66 700 © The Independent Institute of Education (Pty) Ltd 2020 Page 3 of 14 20 2020 Folio Debit(R) Credit(R) Credit Losses 3 500 Wages and Salaries 102 380 Cleaning Materials 6 300 Office consumables 5 400 Interest on mortgage loan 2 500 Electricity 11 250 Rates and services 4 870 Fuel 12 300 Advertising 50 700 Telephone 25 600 1971 000 1 971 000
Additional information and adjustments as at 30 September 2019:
1.
The stock take revealed the following items on hand:
- Trading Inventory – R 11 000
Office consumables – R 340
2.
Depreciation must be provided for on vehicles at 25% per annum according to the
straight-line method. No vehicles were bought or sold during the year.
3.
The following adjustments must be made to enforce the accrual concept:
Wages and salaries payable – R 6 000
-
Telephone prepaid for October 2019 – R 1 300
Rent income received in advance – R 3 500
- Accrued interest on fixed deposit – R 5 350
4.
Create an allowance for credit losses to the amount of R 870.
Required:
Prepare the post adjustment trial balance of Musketeer Traders on 30 September 2019.
Transcribed Image Text:Additional information and adjustments as at 30 September 2019: 1. The stock take revealed the following items on hand: - Trading Inventory – R 11 000 Office consumables – R 340 2. Depreciation must be provided for on vehicles at 25% per annum according to the straight-line method. No vehicles were bought or sold during the year. 3. The following adjustments must be made to enforce the accrual concept: Wages and salaries payable – R 6 000 - Telephone prepaid for October 2019 – R 1 300 Rent income received in advance – R 3 500 - Accrued interest on fixed deposit – R 5 350 4. Create an allowance for credit losses to the amount of R 870. Required: Prepare the post adjustment trial balance of Musketeer Traders on 30 September 2019.
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