The following incorrect trial balance appeared in the books of Hidding Market on 30 April 2021....

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The following incorrect trial balance appeared in the books of Hidding Market on 30 April 2021. The business makes use of a manual bookkeeping system and is a registered VAT vendor and deals only with other registered VAT vendors. A standard VAT rate of 15% applies. All amounts are inclusive of VAT unless indicated otherwise. The business uses the perpetual method of inventory keeping and inventory is marked up by 48% on selling price. Trial balance of Hidding Market on 30 April 2021 Follo Debit (R) Credit (R) Statement of financial position section Capital B1 525 000.00 Drawings B2 15 524.46 Land and buildings B3 708 750.00 Plant and equipment B4 291 375.00 Office equipment B5 301 875.00 10% Preference shares B6 63.000.00 Bank 87 13 650.00 Trade receivables B8 25 370.25 Cash float 89 2887.50 Trading inventory B10 14 437.50 Bank loan B11 262 500.00 Trade payables B12 27 825.00 Petty cash B13 9 975.00 Cylinder deposit B14 2 362.50 Short term loan B15 75 337.50 SARS (UIF/SDL/PAYE) B16 19 162.50 VAT control B17 126 576.88 Nominal accounts section Sales N1 968 677.50 Sales returns N2 42 682.50 Cost of sales N3 297 829.25 Commission income N4 59 062.50 Interest income N5 6.300.00 Interest income N5 Rent income N6 Interest on debtors accounts N7 6 300.00 39 705.75 4462.50 Rates and services N8 15 907.50 Credit losses N9 4 887.39 Staff training N10 18 585.00 Stationery N11 5 560.06 Printer consumables N12 12 390.00 Fuel expense N13 14 117.25 Telephone and fax N14 7 087.50 Interest on creditors accounts N15 4 567.50 Wages and salaries N16 45 328.50 Insurance expense N17 140 962.50 Office refreshments Security expense N18 29 831.03 N19 24 664.50 2 113 607.69 2114 610.13 BKTB-ICBASG3-QP-2023.v1 Page 13 of 15 BOOKKEEPING TO TRIAL BALANCE (BKTB) ICB ASSIGNMENT 3 QUESTION PAPER - Apr 2023 to Mar 2024 The following errors and omissions were detected. 1. Drawings by the owner amounting to R6 304.08 (selling price including VAT) was recorded by debiting the cost of sales account and crediting the trading inventory account with the correct cost price. 1. 2. 3. 4. 5. 6. Drawings by the owner amounting to R6 304.08 (selling price including VAT) was recorded by debiting the cost of sales account and crediting the trading inventory account with the correct cost price. Office refreshments were purchased for R 317.44 by cheque but VAT input was erroneously claimed on the purchase. The transaction was also recorded in the petty cash journal instead of the cash book payments. A payment for rates (Rates and services) out of petty cash for R 577.50 has not been recorded as yet. The stationery column in the cashbook payments was under-cast by R1 002.44, and posted as such. New computers (Office equipment) purchased for R55 125.00 plus VAT was erroneously recorded in the plant and equipment account. The VAT on this transaction was recorded correctly. The outstanding debt of a debtor must be written off as irrecoverable, R1 745.25. VAT input may be claimed back from SARS on this credit loss. Required: Prepare a basic general ledger reconciliation statement for Hidding Market as at 30 April 2021. The following incorrect trial balance appeared in the books of Hidding Market on 30 April 2021. The business makes use of a manual bookkeeping system and is a registered VAT vendor and deals only with other registered VAT vendors. A standard VAT rate of 15% applies. All amounts are inclusive of VAT unless indicated otherwise. The business uses the perpetual method of inventory keeping and inventory is marked up by 48% on selling price. Trial balance of Hidding Market on 30 April 2021 Follo Debit (R) Credit (R) Statement of financial position section Capital B1 525 000.00 Drawings B2 15 524.46 Land and buildings B3 708 750.00 Plant and equipment B4 291 375.00 Office equipment B5 301 875.00 10% Preference shares B6 63.000.00 Bank 87 13 650.00 Trade receivables B8 25 370.25 Cash float 89 2887.50 Trading inventory B10 14 437.50 Bank loan B11 262 500.00 Trade payables B12 27 825.00 Petty cash B13 9 975.00 Cylinder deposit B14 2 362.50 Short term loan B15 75 337.50 SARS (UIF/SDL/PAYE) B16 19 162.50 VAT control B17 126 576.88 Nominal accounts section Sales N1 968 677.50 Sales returns N2 42 682.50 Cost of sales N3 297 829.25 Commission income N4 59 062.50 Interest income N5 6.300.00 Interest income N5 Rent income N6 Interest on debtors accounts N7 6 300.00 39 705.75 4462.50 Rates and services N8 15 907.50 Credit losses N9 4 887.39 Staff training N10 18 585.00 Stationery N11 5 560.06 Printer consumables N12 12 390.00 Fuel expense N13 14 117.25 Telephone and fax N14 7 087.50 Interest on creditors accounts N15 4 567.50 Wages and salaries N16 45 328.50 Insurance expense N17 140 962.50 Office refreshments Security expense N18 29 831.03 N19 24 664.50 2 113 607.69 2114 610.13 BKTB-ICBASG3-QP-2023.v1 Page 13 of 15 BOOKKEEPING TO TRIAL BALANCE (BKTB) ICB ASSIGNMENT 3 QUESTION PAPER - Apr 2023 to Mar 2024 The following errors and omissions were detected. 1. Drawings by the owner amounting to R6 304.08 (selling price including VAT) was recorded by debiting the cost of sales account and crediting the trading inventory account with the correct cost price. 1. 2. 3. 4. 5. 6. Drawings by the owner amounting to R6 304.08 (selling price including VAT) was recorded by debiting the cost of sales account and crediting the trading inventory account with the correct cost price. Office refreshments were purchased for R 317.44 by cheque but VAT input was erroneously claimed on the purchase. The transaction was also recorded in the petty cash journal instead of the cash book payments. A payment for rates (Rates and services) out of petty cash for R 577.50 has not been recorded as yet. The stationery column in the cashbook payments was under-cast by R1 002.44, and posted as such. New computers (Office equipment) purchased for R55 125.00 plus VAT was erroneously recorded in the plant and equipment account. The VAT on this transaction was recorded correctly. The outstanding debt of a debtor must be written off as irrecoverable, R1 745.25. VAT input may be claimed back from SARS on this credit loss. Required: Prepare a basic general ledger reconciliation statement for Hidding Market as at 30 April 2021.