a. Ade, a trader had the following balances in the creditors ledger on October 31, 2020.
| GH⊄ | |
| Kristy | 4200 |
| Erica | 8700 |
b. Ade, a trader had the following balances in the creditors ledger on October 31, 2020.
| GH⊄ | |
| Kristy | 4200 |
| Erica | 8700 |
The following transactions took place in November 2020:
| November | GH⊄ | |
| 4 | Goods bought from Kofi | 17400 |
| 4 | Returned goods to Erica | 1500 |
| 10 | Goods returned to Kofi | 900 |
| 16 | Goods bought from Mary | 10500 |
| 21 | Goods bought from Kofi | 14100 |
| 23 | Payment to Kristy after deducting discount of GH⊄ 300 | 3900 |
| 27 | Payment to Erica after deducting discount of GH⊄ 600 | 6600 |
All purchases were on credit while all payments made through the bank
You are required to prepare:
The individual creditors account
Explanation
a. Ade & Co
Dr Koli Account Cr
| GH⊄ | GH⊄ | ||||
| Nov 10 | Returned | 900 | Nov 4 | Purchase | 17400 |
| Nov 30 | Bal c/d | 30600 | Nov 21 | Purchase | 14100 |
| 31500 | 31500 |
Dr Erica Account Cr
| GH⊄ | GH⊄ | ||||
| Nov 4 | Returned | 1500 | Nov 1 | Balance b/d | 8700 |
| Nov 27 | Bank | 6600 | |||
| Nov 27 | Discount | 600 | |||
| 8700 | 8700 |
Dr Mary Account Cr
| GH⊄ | GH⊄ | ||||
| Nov 10 | Purchases | 10500 |
Dr kristy Account Cr
| GH⊄ | GH⊄ | ||||
| Nov 24 | Bank | 3900 | Nov 1 | Balance b/d | 4200 |
| Nov 24 | Discount | 300 | |||
| 4200 | 4200 |
b.
Dr TOTAL CREDITORS CONTROL ACCOUNT Cr
| GH⊄ | GH⊄ | ||
| Returns outwards | 2400 | Balance b/d | 12900 |
| Discount received | 900 | Purchase | 42000 |
| Payment | 10500 | ||
| Balance c/d | 41100 | ||
| 54900 | 54900 |