Sheldon Stewart is a sole trader who owns an auto parts store located in Clarendon. The following
Question:
- Sheldon Stewart is a sole trader who owns an auto parts store located in Clarendon. The following transactions occurred during the first month of operation.
- Record them in the journals, general ledger, and trial balance.
March1 Started business with $100,000 in bank and furniture valued at $30,000.
March 4 Paid rent for garage $18,000, by cheque
March 5 Bought merchandise from Auto World Ltd on credit, $80,000
March 8 Received loan from London National Bank, $230,000 by cheque
March 9 Bought merchandise from Car Line Ltd $60 000, cash
March 12 Sold merchandise on credit to Big Rat Car Mart Ltd, $30,000
March 15 Sold merchandise for cash, $56,000.
March 22 Paid telephone bill by cheque, $5,000
March 23 Paid wages by cash, $12,000
March 24 Paid electricity by cheque, $2,000
March 26 Received commission by cash, $3,500 (from Auto World Ltd)
March 27 Received $18,000 cash, from Big Rat Car Mart Ltd
March 28 Returned merchandise to Auto World Ltd. $650
March 29 Paid Auto World Ltd. $40,000 by cheque
March 30 Bought a new computer system on credit from Compact Ltd, $90,000.
March 31 Big Rat Car Mart Ltd returns damaged merchandise, $2,700.
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