Technology and Accounting Processes Question and Answer 2022

Running head: TECHNOLOGY AND ACCOUNTING PROCESSES
Technology and Accounting Processes
Name of the Student
Name of the University
Author Note

1
TECHNOLOGY AND ACCOUNTING PROCESSES
Table of Contents
Answer to Question 1.....................................................................................................2
Answer to Question 2.....................................................................................................2
Answer to Question 3.....................................................................................................4
Answer to Question 4.....................................................................................................5
Answer to Question 5.....................................................................................................7

2
TECHNOLOGY AND ACCOUNTING PROCESSES
Answer to Question 1
Purchases Journal
Date Account Credited Terms Invoice DatePost Ref. Amount
Jul-05 Corma Ltd 2/10,n/60 06-Jul 4400
20-Jul Lynwood Ltd 1/10,n/30 20-Jul 5390
9790
Sales Journal
Date Account Debited Terms Invoice DateInvoice NumberAmount
13-Jul M. Biller 1/10,n/30 1 9020
16-Jul O. Mowen 1/10,n/30 2 5170
29-Jul J. Rowls 1/10,n/30 3 4400
18590
Cash Receipts Journal
Date Account Credited PR Explanation Cash Dr. Sales Discount Dr. Accounts Receivable Cr.Sales Cr. Other accounts Cr.
15-Jul Cash Sales Cash Sales 3740 3740
23-Jul M. Biller Sales 8929.8 8929.8
26-Jul O.Mowen Sales 2940.3 2940.3
31-Jul Cash Sales Cash Sales 2145 2145
Cash Payments Journal
Date Account Debited Terms Cheque No.Cash Cr. Purchases Dr. Accounts Payable Dr. Other accounts debited
01-Jul Land and Building - 101 33000 33000
06-Jul Insurance Policy 102 792 792
08-Jul Purchases 103 5500 5500
15-Jul Tummult 104 3520 3520
16-Jul Salaries 105 2650 2650
29-Jul Electricity Expenses 106 220 220
29-Jul Lynwood 107 5336.1 5336.1
31-Jul Salaries 108 2850 2850
31-Jul Office Supplies 109 330 330
54198.1
General Journal
Date Particulars Date Particulars
1.7.19 Cash 60000
Capital 60000
2.7.19 Purchases 7480
Furniture 7480
9.7.19 Tumult Ltd. 880
Purchase Returnsq 880
22.7.19 Office Expenses 143
Accounts Payable 143
23.7.19 Sales Returns 2200
O. Mowen 2200
Accounts Receivable Control a/c
Date Particulars Amount Amount
31.7 Balance 15671.7
Answer to Question 2
Particulars Amount Amount
Net Operating Profit 54000
Additions to Profit

3
TECHNOLOGY AND ACCOUNTING PROCESSES
Depreciation 16000
Decrease in Accounts Receivable 7000
Decrease in Accounts Payable -13000
Loss on Sale of Equipment 41000
Decrease in Prepaid Rent 2000
Decrease in Inventory 7000
Decrease in Accrued Wages 5000
Net Cash Flow from Operating
Activities
119000
Cash Flow From Investing
Activities
Sale of Equipment 10000
Purchase of Land -10000
Investments -30000
-30000
Cash Flow from Financing
Activities
Issue of Debentures 26000
Share Capital 80000
Net Cash flow during the year 69000
Opening Cash and Cash Balance 131000
Closing Cash and Bank Balance 200000

4
TECHNOLOGY AND ACCOUNTING PROCESSES
Answer to Question 3
a) Date Particulars Amount Date Particulars Amount
1.11 To Balance 18000 2.11 Cheque 2100
2.11 Deposit 2000 4.11 Cheque 900
10.11 Deposit 4300 19.11 Dishnoured Cheque 1500
15.11 Rent 2000 26.11 Cheque 206 1700
21.11 Deposit 4800 27.11 Cheque 208 750
21.11 Interest on Deposit 500 30.11 Bank Charges 110
By Bal C/d 24540
31600 31600
BRS as on 30/11/19
Particulars Amount Amount
b) Balance as per Cash at Bank Account 17350
Cheques credited but dishonoured 1500
Bank Charges Unrecorded 110
Unrepresented Cheques 5580
24540

5
TECHNOLOGY AND ACCOUNTING PROCESSES
Answer to Question 4
1a) Date Account Debit Credit
30.6.2019 Bad Debts Expense Account 4022
Relevant Debtors 4022
1b) Details Amount
Sales 552000
Less: Sales Returns and Allowances 37900
Net Sales 514100
Cash Collected 319120
Accounts Receivable 194980
Less: Bad Debts written off 4022
Net Accounts Receivable 190958
2a) Date Account Debit Credit
30.6.2019 Bad Debts Expense 7786
Allowance for Bad Debts 7786
2b) Allowance for Doubtful Debts Account
Date Account Debit Credit
30.6.2019Bad Debts Expense 7786
7786
2c)
Accounts Receivable 194980
Less: Allowance for Doubtful
Debts
7786
Accounts Receivable, Net 187194
3a)

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TECHNOLOGY AND ACCOUNTING PROCESSES
Date Account Debit Credit
30.6.2019
Bad Debts Expense
Allowance for Doubtful
Debts
7855
7855
3b)
Assets
Accounts Receivable 190958
Less: Provision for Doubtful
Debts
10320
Net Accounts Receivable 180638

7
TECHNOLOGY AND ACCOUNTING PROCESSES
Answer to Question 5
1.
Date Particulars Amount Amount
30.6.2019 Cash 7420
Repairs and
Expenses
7420
30.6.2019 Machinery a/c 7420
Cash 7420
30.6.2019 Building 20000
Revaluation 20000
Revaluation 5000
Building 5000
30.6.2019 Cash 12600
Truck 12600
Truck a/c 12600
Lease on Truck 12600

8
TECHNOLOGY AND ACCOUNTING PROCESSES
Date Particulars Amoun
t
Amount
30.6.201
9
Depreciation 13284
Machinery 13284
30.6.201
9
Depreciation 12000
Building 12000
30.6.201
9
Depreciation 8200
Truck 8200
30.6.201
9
Lease 12600
Cash 12600