Question 2.

4 p45

(Suggested solution)
Assets = Liabilities +
Jul Furniture Equipment Receivables + Bank = Payables +
Balance 2,000 + 8,000 + 6,000 + 4,000 = 10,000
2 + 6,000 =
3 + 20,000 =
7 + 1,000 = + 1,000
12 - 2,500 = - 2,500
18 + 4,000 =
24 - 3,000 + 3,000 =
28 + 6,000
30 - 1,000
- 200
- 700
3,000 + 28,000 + 9,000 + 12,600 8,500
 Equity
Capital + Profit
+ 10,000
+ 6,000
+ 20,000

+ 4,000

+ 6,000
- 1,000
- 200
- 700
+ 36,000 + 18,100
General ledger

Furniture
1July Balance b/f 2,000 31 July
7 Payables 1,000
3,000
1 Aug Balance b/f 3,000

Equipment
1 July Balance b/f 8,000
3 Capital 20,000 31 July
28,000
1 Aug Balance b/f 28,000

Receivables
1 July Balance b/f 6,000 24 July
28 Services rendered 6,000
12,000
1 Aug Balance b/f 9,000

Bank
1 July Balance b/f 4,000 12 July
2 Capital 6,000 30
18 Services rendered 4,000
24 Receivables 3,000
31
17,000
1 Aug Balance b/f 12,600
ure
Balance c/f 3,000 31 July

3,000

ent
12 July
Balance c/f 28,000 31
28,000

bles
Bank 3,000
Balance c/f 9,000
12,000

k
Payables 2,500 30 July
Salaries 1,000
Electricity 200
Sundry expenses 700
Balance c/f 12,600 30 July
17,000
30 July
 Capital
Balance c/f 36,000 1July
2
3
36,000
1 Aug
Payables
Bank 2,500 1 July
Balance c/ 8,500 7
11,000
1 Aug

Services rendered
18 July
28

Salaries
Bank 1,000

Electricity
Bank 200
 Sundry expenses
Bank 700
 Balance b/f 10 000
Bank 6,000
Equipment 20,000
36,000
Balance b/f 36,000

Balance b/f 10,000

ed
Bank 4,000
Receivables 6,000
10,000
es
Trial balance as at …....
DR CR
Furniture 3,000
Equipment 28,000
Receivables 9,000
Bank 12600
Capital 36,000
Payables 8,500
Services rendered 10,000
Salaries 1000
Electricity 200
Sundry expenses 700
54,500 54,500
General Journal
2 Bank
Capital
(The owner invests cash in the entity)
3 Equipment
Capital
(The owner supplies additional equipment to the entity)
7 Furniture
Payables control
(Credit purchases of furniture)
12 Payables control
Bank
(Payment to a payable)
18 Bank
Services rendered
(Services rendered for cash)
24 Bank
Receivables control
(Payment received from a receivable)
28 Receivables control
Services rendered
(Services rendered on credit)
30 Salaries
Bank
(Paid salaries)
Electricity
Bank
(Paid electricity)
Sundry expenses
Bank
(Paid sundry expenses)
 6,000
6,000

20,000
20,000

1,000
1,000

2,500
2,500

4,000
4,000

3,000
3,000

6,000
6,000

1,000
1,000

200
200

700
700