4 8. On 1" January 2017 NO PROBLEM started business with capital of GHC 250,000 in the
form of cash of GHC 20,000, bank of GHC 80,000, office building of GHC 90,000, stock
of goods of GHC20,000 and motor van of GHC 40,000. The following transactions took
place in January
January
1"
Bought stationary by checque GHC 2000
2
Sold goods GHC 3000
3
Purchased goods on credit from OKEY enterprise GHC 9000
3 NO PROBLEM took goods worth GHC 1500 for home use
Sold goods on credit to "WHY NOT"GHC 4000, "NO CURRUPTION" GHC 18000
5 ACC Purchased office furniture on credit from HOME FURN Itd for GHC 25000
6 Paid GHC 5000 to OKEY enterprise, a trade creditor and bough goods worth GHC30,000
by cheque
8 Sold goods for a cheque of GHC 7000
9 Returned goods worth GHC 1000 to OKEY enterprise
10 NO CORRUPTION returned goods worth GHC 2000 and paid GHC 10,000 by cheque
11 Cash of GHC 5000 sent to bank
13 Sold goods GHC 5,000 cash which was later sent to bank that day
15 Proprietor took GHC 7000 from business account out of which GHC 5000 was uses to
pay business rates and the rest for personal bills
18 Paid for cleaning services by cheque GHC 1200
19 Repairs of motor van GHC 2000, motor running expenses GHC 1000
20 Purchased goods GHC 6000 by cheque and GHC 16000 on credit form FAIME STORES
22
Sold goods GHC 8000 cash, GHC 3000 cash and GHC 8000 on credit to Mr. Wandaman
24 Received a cheque of GHC 2500 from WHY NOT A discount of 10% was allowed on
account of the cheque
25 Returned GHC 6000 to FAME STORES, paid the rest of the amount owing and received
a discount of GHC 1500
26 Paid electricity bills by cheque
27 Paid staff salary GHC 3000 cash by withdrawing money from bank
arriage outwards cost of GHC 800 paid by cash
Total cost of carriage inwards is GHC12000 and this is yet to be paid
A customer sent a cheque of GHC 3000 for goods yet to be supplied
a
List all titles of the accounts to be open if the above transactions are to recorded
b. Record the transactions in their respective accounts and balance off the accounts
c. Extract a trial balance from the ledger accounts balances
d. If the closing stock of the business at the end of January is GHC 2000, then,
i. Cost of goods available for sale is GH¢
ii. Total expenses is GH¢
ini. Cost of sale is GH¢
iv. Total non-current assets is GH¢
v. Total current assets is GH¢
vi Total liability is GH¢
vii. Gross profit is GH¢
viii. Owners' equity will be GH¢
ix. Working capital is GH¢
x. Net profit/loss will be GH¢