FINANCIAL ACC 101

QUESTIONS ON PREVIOUSLY TREATED TOPICS

Hey Everyone, Happy New Week. We are on a Series and our aim is to treat National Exam Questions on the Topics we have treated here, in other to further be perfect if possible in those topics. So Let's Go!!!

QUESTION:

Koffi is a dealer in general merchandise. The following are his transactions for the month of June 2002.

June 1: Sold goods to Mensah N20, 000 less 10% Trade Discount.

June 4: Purchased from Kwesi the following:

200 Iron rods at N20 each

100 Fillers at N30 each

Invoice subject to 10% Trade Discount.

June 6: Purchased from Asante Ltd, 10 bottles of gin at N30 each.

June 7: Returned 60 Iron rods purchased on 4th June, to Kwesi.

June 9: Sold the following to Kojo:

300 Bags of Cement at N15 each, less  15% Trade Discount

150 Tins of Target at N10 per tin.

June 18: Kojo returned 10bags of cement bought on the 9th of June.

June 20: Sold to Jones: 80 Iron rods at N50 each, 10Bags of Cement at N16 each, 250 Fillers at N35

each, Invoice subject to 15% Trade Discount.

June 21: Jones was allowed 50% reduction on the total invoice price for goods damaged in transit.

June 30: Purchased from Femi: 100 bags of cement at N15 each, 50 gallons of oil paint at N20 each, 300 metal sheets at N18 each.

You are required to write up the following:

a. Sales Day Book

b. Sales Returns Book {Otherwise Called Returns Inward Book}

c. Purchases Day Book

d. Purchases Returns Book { Otherwise Called Returns Outward Book}.

ANSWER:

KOFFI SALES DAY BOOK
DATE	QTY	DESCRIPTION	UNIT PRICE (N)	AMOUNT (N)	TOTAL (N)
1-Jun		Mensah
		Goods		20, 000
		Less 10% Trade Discount		(2, 000)	18, 000
9-Jun		Kojo
	300	Bags of Cement	15	4, 500
		Less 15% Trade Discount		-675
				3, 825
	150	Tins of Target	10	1, 500	5, 325
20-Jun		Jones
	80	Iron rods	50	4, 000
	110	Bags of Cement	16	1, 760
	250	Fillers	35	8, 750
				14, 510
		Less 15% Trade Discount		(2, 177)	12, 333
					35, 658

KOFFI PURCHASES DAY BOOK
DATE	QTY	DESCRIPTION	UNIT PRICE (N)	AMOUNT (N)	TOTAL (N)
4-Jun		Kwesi
	200	Iron rods	20	4, 000
	100	Fillers	30	3, 000
		Less 10% Trade Discount		-700	6, 300
6-Jun		Asante Ltd
		Bottles of Gin	30		300
30-Jun		Femi
	100	Bags of Cement	15	1, 500
	50	Gallons of Oil Paint	20	1, 000
	300	Metal Sheets	18	5, 400	7, 900
					14, 500

SALES RETURNS BOOK
DATE	QTY	DESCRIPTION	UNIT PRICE (N)	AMOUNT (N)
18-Jun		Kojo
	10	Bags of Cement	15	150
				150

PURCHASES RETURNS BOOK
DATE	QTY	DESCRIPTION	UNIT PRICE (N)	AMOUNT (N)
7-Jun		Kwesi
	60	Irons rod	20	1, 200
				1, 200

NOTE: ALL THE QUESTIONS IN THIS POST ARE CREDITED TO WEST AFRICA EXAM COUNCIL 2008 PAPERS. SOME OF IT WAS HOWEVER ALTERED TO SUIT THE PURPOSE OF THIS POST. THANKS

This brings us to the end of today's session. Hope this was very helpful to you, leave a comment of what you think of this tutorial and of your questions below. Have a Blessed Day and Remember You are Amazing. God Bless.