Maryam Ltd has asked you to help Susan, the company's bookkeeper, who could not reconcile the...

 

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Maryam Ltd has asked you to help Susan, the company's bookkeeper, who could not reconcile the receivables ledger with the balance on the receivables control account. The following information was extracted from Maryam Ltd's books for tho year ended 31 October 2020: 2. Total of balances extracted from the individual receivables ledger Balance on the receivables control account 11,915 16,487 On investigation it has been identified that a number of errors have been made as follows: A sales invoice of £1,600 to Connery Ltd was correctly recorded in the sales day book but posted to Connery Ltd's individual account in the receivables ledger as £1,060. () (i) A sale of goods for £1,100 to Cooper Ltd has not been recorded in any of the books of Maryam Ltd. (ii) Maryam Ltd bought some goods from Allstarts Ltd, a customer who is also a supplier to Maryam Ltd. A contra entry of £1,075 for the goods purchased has been correctly posted through Allstarts Ltd's personal ledger, but not dealt with in the control accounts. (iv) The balance on the account of Peter Ltd for £1,133 had been written off in Peter Ltd's individual receivables ledger, and written off in the irrecoverable and impaired debts expense account, but no entry was made in the receivables control account (v) Some credit balances totalling £322 were included in the list of balances extracted from the receivables ledger as debit balances. (vi) The returns inwards book has been undercast by £2,468. Required Prepare a revised receivables control account and reconcile it to the revised total of the list of balances extracted from the receivables ledger. Note: Ignore VAT throughout this question. Total: 15 marks Page 5 of 6 Maryam Ltd has asked you to help Susan, the company's bookkeeper, who could not reconcile the receivables ledger with the balance on the receivables control account. The following information was extracted from Maryam Ltd's books for tho year ended 31 October 2020: 2. Total of balances extracted from the individual receivables ledger Balance on the receivables control account 11,915 16,487 On investigation it has been identified that a number of errors have been made as follows: A sales invoice of £1,600 to Connery Ltd was correctly recorded in the sales day book but posted to Connery Ltd's individual account in the receivables ledger as £1,060. () (i) A sale of goods for £1,100 to Cooper Ltd has not been recorded in any of the books of Maryam Ltd. (ii) Maryam Ltd bought some goods from Allstarts Ltd, a customer who is also a supplier to Maryam Ltd. A contra entry of £1,075 for the goods purchased has been correctly posted through Allstarts Ltd's personal ledger, but not dealt with in the control accounts. (iv) The balance on the account of Peter Ltd for £1,133 had been written off in Peter Ltd's individual receivables ledger, and written off in the irrecoverable and impaired debts expense account, but no entry was made in the receivables control account (v) Some credit balances totalling £322 were included in the list of balances extracted from the receivables ledger as debit balances. (vi) The returns inwards book has been undercast by £2,468. Required Prepare a revised receivables control account and reconcile it to the revised total of the list of balances extracted from the receivables ledger. Note: Ignore VAT throughout this question. Total: 15 marks Page 5 of 6

Answer rating: 100% (QA)

Revised receivable control account Receivable Control Account Dr Cr Amount Date Particulars Amount 1... View the full answer