Question 4

[15] QUESTION FOUR S Louw runs an engineering business and keeps records for debtors and creditors in subsidiary ledgers. The following details were obtained from the accounting records for the month of April 2019: R Balance in the debtors ledger (1 April 2019) 45 110 Balance of creditors ledger (1 April 2019) 74 940 Receipts issued to debtors for payment of accounts 70 720 Credit losses 800 Cash paid to customers for over-payments 1 720 Cash received from G Lucky, a debtor whose account was already closed and the debt written off as a credit loss. 320 Credit sales 131 270 Cash Sales 590 290 Credit purchases 119 440 Cash purchases 308 400 EFTs issued to pay creditors accounts 51 460 Returns to suppliers 1 830 Settlement discounts granted to debtors 2 980 Returns from customers 1 220 Interest charged on overdue debtors accounts 770 Interest charged by creditors 430 Additional information: 1. Credit sales of R480 were incorrectly recorded as R840. 2. An invoice of R800 for goods sold on credit was not recorded in the sales journal. Required: Prepare the following general ledger accounts properly balance/closed for April 2019 a) Debtors control account, b) Creditors control account