Question 1- Part B

1. Janeway started a new business on 1 March. The transactions for March are shown below:

March 1^st Capital introduced of $1,000 and placed in a business bank account March 3^rd took out a long-term loan of $12,000

March 5^th bought a van for $4,000 in cash.

March 8^th Purchased goods for resale, on credit, for $8,000 March 11^th Cash sale of $1,000

March 14^th Sold goods on Credit for $2,000

March 14^th Cash sales of $500

March 17^th Sold goods on credit for $1,200

March 20^th paid $2,000 to the supplier for the goods purchased on the 8^th March March 26^th Received payment of $950 from a customer

March 30^th Janeway withdrew $200 from the business bank account for her personal use

Required:

Show the nominal ledger entries (using T-accounts) for the above transactions close off each T-account and prepare an initial trial balance as at 31^st March