INSTRUCTIONS:

1.Assuming you are planning to set up a sole trading business selling finished goods (name your product) to customers in *Shah Alam area (*any area choose by the student is acceptable).

2.Create possible business transactions between your business and supplier and also between your business and customers.

3.The business transactions should include at least:

Contribution of capital by the owner of the business

3 credit purchase

1 cash purchase

3 credit sales

1 cash sales

1 purchase of non current assets in credit

1 purchase of non current assets by cash

2 payment to supplier

2 payment by receivables

1 transactions on payment of expenses

1 transactions on revenue received

1 transactions on non current liabilities

2 Drawings (goods and cash) by the owner

For merchandising business:

1 transaction on sales return

1 transaction on purchases return

4.Your report should include the following informations:

a.The business background (including capital contributed, name of the business, address, type of goods sold,etc)

b.Accounting transactions (for 1 months)

c.Specialised journals

d.Subsidiary ledgers account

e.Trial Balance as at that date.