The accounting equation is the Alpha of Accounting rules. As the junior accountant at

the stationery shop, PolkaDots Pty Ltd

Transactions related to the financial year:

Posters to the value of R was purchased by the primary school. Payment was

made in cash.

Unwanted goods of R purchased by Mrs Strong on account, was returned.

The cost of the goods is R

Mr Prince applied to open an account at PolkaDots Pty Ltd A limit of R

was approved by management.

Mr Prince purchased stationery of R for his Grade child on credit.

Fly Bank charged the monthly bank charges of R

The municipal bill in respect of water and electricity usage, amounting to R

was received.

A longoutstanding dispute with the cellphone company was finally resolved. The

correcting credit was passed by the cellphone company of R

To fill up the stock shortages, an order of R was issued to GREAT Ltd

Rental of R was paid as per the entered lease agreement.

Cash sales of R was made to Mrs Strong. The cost of the goods is R

Fuel of R for the delivery truck was posted to the salaries and wages

account.

Mr Plans son was accepted to study at the university. The stationery needs are

not yet communicated. As Mr Plan will be travelling he paid a deposit of R

to PolkaDot Pty Ltd to apply to his sons stationery needs.

Mr Sick passed away. His estate has insufficient funds to settle his account of

R The lawyers offered a final settlement of c in the rand.

Depreciation is calculated on the straightline basis of by PolkaDot Pty

Ltd The annual depreciation on the delivery truck, purchased for R in

have not been accounted.

The company uses the periodic inventory system. At financial yearend stock of

R was on hand. The opening balance on the inventory account amounts to

The owner settles the vehicle loan of R from her own account.

Required:

Record the transactions in the accounting format provided. Note that the

accounting equation is sensitive to and to general ledger accounts.

Format to be used:

Asset Equity Liability

Financial

impact Account

Financial

impact Account

Financial

impact Account

Bank

Accounts

payable

Record the transactions in the accounting records via general journals for

the financial year ended July

Answer rating: 100% (QA)

Asset Equity Liability 550 Bank 550 Accounts payable 800 Inventory 500 Accounts receivable 2000 Acco... View the full answer