On 30 September 20x5, at the end of its financial year, these balances, among others, appeared in
Question:
On 30 September 20x5, at the end of its financial year, these balances, among others, appeared in the books of Zabeth Ltd:
Additional information:
• The allowances for bad debts are adjusted at the end of each financial year.
• On 5 October, paid a cheque to W. Ward.
• On 16 October, received notice that S. Singh has disappeared, and that there is no possibility to recover the amount owing by him. His account should be written off as irrecoverable.
Accounts receivable:
Received from receivables:
• On 5 October, S. Songelwa paid R5 400 in full settlement of his account.
• On 18 October, received R920 from L. Lino. This amount was previously written off as bad.
Goods returned by receivables and taken back into inventory:
Other:
• Received notice on 28 October that Y. Yogapragasen is insolvent. His estate will pay 30c in the R1 of the amount owing by him.
• On 15 December 20x5, sent a cheque to T. Tshidi for the amount owing to her on 22
October.
You are required to:
Show General Journal entries for October 20x5 for the above. (Ignore VAT.)
Step by Step Answer:
Fundamental Accounting
ISBN: 9781485112112
7th Edition
Authors: David Flynn, Carolina Koornhof, Ronald Arendse, Anna C. E. Coetzee, Edwardo Muriro, Louise Christel Posthumus, Louise Mancy Smit