b) The following balances were extracted from the books of XYZ Ltd. for the month of May
Question:
b) The following balances were extracted from the books of XYZ Ltd. for the month of
May 2005:
$‘000’
Debit balances (1 May 2005): Sales ledger 1,328,000
Purchase ledger 9,500
Credit balances (1 May 2005): Sales ledger 50,500
Purchases ledger 583,800
Discounts received 132,500
Discounts allowed 199,700
Purchase (including cash purchases of Sh. 142,000) 1,434,000
Cash sales 718,000
Credit sales 2,168,200
Credit notes issued to customers for returned goods 85,000
Sales ledger debit balances off-set against purchases ledger 46,900
Payment to creditors 1,259,200
Interest charged by creditors on overdue accounts 79,000
Receipt from customers 1,678,000
Bad debts written off 47,200
Customer’s unpaid cheques 36,100
Interest charged to customers on overdue accounts 86,100
Debt collection expenses charged to debtors 20,800
Credit notes received from suppliers 36,700
Balances as at 30 May 2005: Purchases ledger (debit) 24,400
Sales ledger (credit) 60,700
Required:
(i) Sales ledger control account for the month ended 30 May 2005. (7 marks)
(ii) Purchase ledger control account for the month ended 30 May 2005. (7 marks)
Accounting For Cambridge International AS And A Level
ISBN: 9780198399711
1st Edition
Authors: Jacqueline Halls Bryan, Peter Hailstone