Administering Subsidiary Accounts and Ledgers

ADMINISTER SUBSIDIARY
ACCOUNTS AND
LEDGERS

Contents
Q.1....................................................................................................................................................1
Recording of transaction.........................................................................................................1
Q.2....................................................................................................................................................1
Amount owed by debtors........................................................................................................1
Q.3....................................................................................................................................................2
Arvie George in the Credit Sales Journal...............................................................................2
Q.4....................................................................................................................................................3
Cash Receipts Journal of Bob’s Tyre Service........................................................................3

Q.1
Recording of transaction
S.N. Transaction Explanation
1. Return of goods from a
credit purchase This transaction will be recorded in purchase return journal
2. Payment of an expense Income and expenditure account because expenses are
recorded in income and expenditure account
3. Return of goods from a
credit sale
Goods return from debtors are recorded in Sales return
journal
4. Drawing paid to owner Cash book (Cr.) and General journal
5. Capital received from
owner
This transaction will be recorded in Cash book (Dr.) as
additional capital introduced in business
6. Purchase of a car on credit This transaction will be recorded in General journal as assets
purchased
7. Proceeds from a loan General journal
8. Sale of plant on credit General journal
9. Repayment of a loan Cash book (Cr.) and General journal
10. Purchase of Equipment for
cash General journal because asstes are purchased
Q.2
Amount owed by debtors
Date Invoice/Credit Note (No.) Details
Account
no.
Amount Exc.
GST ($)
GST
collected
($)
Cost of
Sale ($)
02-May 225
Sale to Bondi
Girl 110.01 1,150 115 850
5- May 226
Sale to Lolly
Imports 110.02 940 94 630
7- May 227
Sale to Miller
Clothing 110.03 540 54 300
12- May 228
Sale to
Sherwood
P/L 110.04 1,520 152 1400
1

18- May CN22
Retuen from
Lolly Imports 110.02 150 150 100
22- May 229
Sale to
Billabong
Traders 110.05 850 85 456
26- May 230
Sale to
Gumnut
Clothing 110.06 480 48 224
Total 5630 698
The amount owed by debtors is $5630 and total GST collected as $698 the rate of GST is
10%.
Working note:
Details
Amount Exc. GST
($) GST collected ($)
Sale to Bondi Girl 1265/110*100 1265/110*10
Sale to Lolly Imports 1034/110*100 1034/110*$10
Sale to Miller Clothing 594/110*100 594/110*$10
Sale to Sherwood P/L 1672/110*100 1672/110*$10
Retuen from Lolly Imports 165/110*100 165/110*$10
Sale to Billabong Traders 935/110*100 935/110*$10
Sale to Gumnut Clothing 528/110*100 528/110*$10
Q.3
Arvie George in the Credit Sales Journal
Date
Invoice/Credit
Note No.
Debit
amount
($)
Credit
amount ($)
03-
Aug 1403 Simple simon a/c 924
To sales 840
To GST collected 84
(Sales made to simple simon)
08-
Aug 1404 Colin campbell a/c 1260
To sales 1130
To GST collected 130
(Sale made to colin campbell)
09- 1405 Harry hoo 682
2

Aug
To sales 620
To GST collected 62
(Sales made to Harry Hoo)
12-
Aug CN123 Sales returns a/c 120
GST collected 12
To Simple simon 132
(Sales return form Simple
simon)
15-
Aug 1406 Bertie Bakery a/c 825
To sales 750
To GST collected 75
( Sales made to Bertie
Bakery)
19-
Aug CN124 Sales returns a/c 40
GST collected 4
To Harry Hoo 44
(Sales return form Harry
Hoo)
21-
Aug 1407 Imp Limited a/c 484
To sales 440
To GST collected 44
( Sales made to IMP limited)
26-
Aug 1408 Harry Hoo a/c 902
To sales 820
To GST collected 82
( Sales made to Harry Hoo)
Q.4
Cash Receipts Journal of Bob’s Tyre Service
Date Receipt # Particular
Account
no.
Debit
amount ($)
Credit
amount ($)
01-
Jun 855 Cash a/c 110.01 825
To Tom's Trucking 825
(Payment received from trucking)
02- 856 Cash a/c 400 484
3

Jun
To sales a/c 484
(Cash sales made)
04-
Jun 857 Cash a/c 410 132
To Fitting services
a/c 132
( Cash received from fitting
services)
06-
Jun 858 Cash a/c 400 374
To sales a/c 374
(Cash received form sales)
08-
Jun 859 Cash a/c 110.02 935
To Deli surprise 935
(Payment received from Deli
surprise)
11-
Jun 860 Cash a/c 400 220
To sales a/c 220
( Cash sales are made)
12-
Jun 861 Cash a/c 410 88
To Testing service
performed 88
( Cash received from testing
service performed)
16-
Jun 862 Cash a/c 110.03 165
To Daniel Davis
a/c 165
( Cash received from daniel davis)
17-
Jun 863 Cash a/c 400 286
To sales a/c 286
( Cash sales are made)
22-
Jun 864 Cash a/c 410 99
To Fitting service
performed 99
( Cash received from testing
service performed)
24-
Jun 865 Cash a/c 110.04 440
4