$(17$ marks: $34$ minutes$)$

Question $2$

Assume all amownts are inclusive of VAT, whless stated otherwise. $15$ I.

You are the newly appointed accountant of Lily Enterprises $($referred to as "Lily"$).$ Lily is a online retailer that buys and sells widgets. The previous accountant retired unexpectedly and you are responsible for processing the transactions in the accounting records. Lily has a $30$ June financial year end and uses the FIFO cost aliocation$-$method and perpetual inventory method. You were given the following transactions that occurred in order during the year ending $30$ June $2024$:

a$.$ The opening balance of inventory at $1$ July $2023$ was $50$ widgets at $R213($exclusive of VAT$)$ each.

b$.$ Lily purchased $30$ units at R$230$ each for cash. The supplier gave Lily a trade discount of $3\%.$ The supplier provided the delivery service. Lily incurred and paid transport costs at R$450($excluding VAT$).$ Paida part time worker R$1$ per unit to pack the widgets on the shelves. This cost was recorded directly in the wages and salaries account.

c$.$ Lily purchased $15$ widgets from another supplier at a total cost of R$3\mathrm{.}881$: The supplier paid for the transport cost amounting to R $690.$ The supplier offered a settlement discount of $4\%$ if payment is made within $3$ weeks. It was probable that the payment will be made within the settlement discount period.

d$.$ Lily sold $85$ units at a selling price of R$460$ cach on credit. A settlement discount of $2\%$ was offered if the customer paid within $2$ weeks. It was not probable that payment will be made within the settlement discount period.

You are required to:

Prepare the Cost of Sales and Inventory account as it would appear in the General Ledger of Lily Enterprises for the year ended $30$ June $2024.$

$(13$ marks$)$

Prepare the general journal to process transaction $($d$)$ in the accounting records of Lily Enterprises for the year ended $30$ June $2024.$

$(4$ marks$)$