$ $ 100 000 Capital contribution 80 000 (1) Sales returns no effect Depreciation (240 000 + 75000)* 40% 126 000 2) Interest accrued 10 000 (1) Drawings 50 000 a) ‘Stock 9.000 (1) Goods for own use 11.000 (1) Loan 20 000 (1) Equipment repairs 25 000 (1) Stock purchase 22 000 (1) 372000 ) | 51000 =81 000 (1) + (N)of (12) 2 marks for $291 000, 1 of provided EITHER (a) no entry for sales returns or (b) entry for sales/purchases returns in BOTH columns @ Sales Ledger Control Account Balance bid 340 600 Balance bid 1.960 Credit sales 295000 (4) Sales returns 6480 (1) Bank 3600 Bank 238 600 (1) Discount allowed 200 (2) Discount allowed 3500 (1) Contra 5000 (1) Bad debt 2300 (1) Balance ofd 8340 (1) Balance old 389900 (1)of (no aliens) Balance bid 389.900 (1) Balance bid 8340 (1) Hf Bank shown net 235 000 on credit side award (1) mark If Discount allowed shown net 3300 on credit side award (3) marks Do not award full marks for correct balances b/d as Bank may be shown as 3600 on debit side. 12) (b) Overpayment Payment in advance Credit note issued Deposit received Etc. 4 mark each to maximum 13] (©) Less chance of fraud Less chance of errors Fraud or errors easier to find Checking easier Total debtors and crecitors figures available Etc. 11 mark each to maximum (3) [Total: 30]fa) Sales Ledger Control Account $ $ Balance 1 April 2009 29040 1 Sales returns 9878 1 Sales 499892 1 Bank 462.680 4 Bank (dishonoured cheque) 662 1_—_Discountallowed 21404 4 Bad debis 9510 4 Contra 1153 4 Balance 31 Mar 2010 24969 1 Balance 1 April 2010 24969 10f ® @ ‘Amended sales ledger control account s s Balance b/d 24969 Credit note corrected 840 4 Dis alld overstated 310 1 Debit bal transferred Sales omitted 998 1 to purchases ledger 698 1 Extra sales 3856 1 Balance cid 28595 1 Bal b/d 28595, OR If candidate draws up a new as opposed to an amended SLC account, accept as follows. $ $ Balanced, 29040 Cr sales ‘499 892 Cr note corrected 420 Sales omitted 998 4 for Extra sales 3856 4 1} both Sales returns 9878 Cr note corrected 420 Bank (dis cheque) 662 Bank 462 680 Dis alloverstated 310 1_—_Dis allowed 21 404 Bad debts 9510 Contra 1153 Contra 608 4 Balance 28595 1 594 758 534 758 (i) $ $ s Sales ledger total add less 26 845 Sales invoice omitted 998 1 Balance omitted 2102 1 Entry omitted 816 1 Balance understated 200 416 1 30961 Credit note corrected 840 1 Bankrupt 896 1 Entry omitted 630 2366 1 26595 1 [10] [6] [6] [8](c) Minimize fraud/make fraud easier to find. Minimize time taken to find errors/make errors easier to find. Figures for total creditors/debiors easily available. Sectional ledgers make checking easier. Control accounts not handled by sales/purchases ledger clerk. Any three answers for 2 marks each. (61 [Total: 30]