Accounting Skills by Margaret Nicholson (auth.)

By Margaret Nicholson (auth.)

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Sample text

James. Debit Account Credit _ _ _ _ _ _ _ Account (f) Paid a creditor, P. Ellis, by cheque. 6 You are required to enter the following transactions in the double entry accounts. May 1 Started business with £8,000 in cash. 3 Paid £7,000 of the cash into a business bank account. 5 Bought goods on credit from G. Moore (£350). 9 Bought office furniture (£700), paying by cheque. 14 Sold goods on credit to F. Green (£450). 17 Bought motor van (£5,000) on credit from Newtown Motors. 20 Sold goods (£50) for cash.

Ingram (£660). 14 Sold goods on credit (£500) to E. Mason. IS Bought motor vehicle (£2,000), paying by cheque. 20 W. Wilson lends the ftrm £1,000, paying the money by cheque. 22 Paid a creditor, C. Clifton, £150 by cheque. 26 Bought goods (£70), paying by cheque. 30 Sold goods on credit (£90) to G. Spink. 8 You are to enter the following transactions in the double entry accounts. Aug 1 Started business with £10,000 in cash. 2 Paid £8,500 of the opening cash into a bank account. 9 Bought goods (£150), paying in cash.

Returned goods to B. Dickson (£67). Paid D. Hall £348 by cheque. Paid B. Dickson £300 in cash. 4 Enter the following transactions in the personal accounts only; do not write up the other accounts. Balance each personal account at the end of the month and bring down the balance. Feb 1 Sold goods on credit toM. Harding (£360); J. Johnstone (£98); E. Briggs (£450); T. Myers (£212). 3 Sales on credit to R. Godfrey (£330); P. Ellis (£421). 6 Goods returned by J. Johnstone (£24); E. Briggs (£50). 9 Sold goods on credit toT.

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