CLASSWORK O2 SEPTEMBER 2021 SECTION B: FINANCIAL LITERACY (30 Marks) QUESTION 2 2. 1 Use the information given below to prepare the Debtors ledger of XYZ Traders for the month of September 2017. (15 marks) Debtors list on 31 August 2017 K. Khumbudzo T. Thulani Transactions - September 2017 D1 D2 470.00 1 376.00 3 7 23 T. Thulani settles his account to date. Issued receipt 74. Credit sales to K.Khumbudzo R 750.00 (Cost of sales, R 600), issued invoice 42 Issued a credit invoice no. 43 to T. Thulani for goods sold to him, R 1 250.00 (cost of sales, R 1 000.00) Received R 500.00 from K Khumbudzo in part payment of his account and issued receipt 102 to him. 27 2.2. Effect of credit transactions on the accounting equation: (6 marks) Show what effect the following transactions have on the accounting equation. Use the columns as presented in the example below: Example : Goods sold on credit, R2300 (Cost price, R 1900) No ASSETS OWNER'S EQUITY LIABILITIES Effect Reason Effect Reason Effect Reason e.g. +2 300 Debtors increased + 400 Profit earned 0 -1 900 Trading stock decreased 1. XYZ Traders bought goods on credit from VV Suppliers, R5500.00 2. Paid R 1740.00 to Murray Suppliers in settlement of their account 3. Received R 970.00 from T. Thulani as part payment of the money he owes in his account. 2.3 Creditors Journal (9 marks) Record the following transactions in the Creditors Journal of RIYAVAYA Traders for July 2017 Make analysis columns for Creditors control, Trading inventory, Stationery and Sundry accounts. Do not close off the journal. Transactions: July 2017 2 Purchased merchandise on credit from Meyer and Co. for R 3 620, invoice 39; new invoice allocated, 01 3 Bought stationery on credit from Ellis and Son for R 1 280, invoice 22 8 Bought delivery vehicle on credit from De Wet Motors for R210 000, invoice 126 22 Purchased goods on credit from Meyer and Co. for R2 228, invoice 57 30 Purchased advertising posters on credit from Rand Wholesalers for R 1700, invoice 89