Debtors and Creditors Ledger Question




All the lessons on this site and much, much more...

Available Now On


Get Your Degree!

Find schools and get information on the program that’s right for you.

Powered by


Subscribe to
The Student Accountant newsletter

Enter Your E-mail Address
Enter Your First Name (optional)
Then

Don't worry — your e-mail address is totally secure.
I promise to use it only to send you The Student Accountant.

Debtors and Creditors Ledger Question

Q: Please prepare the debtors and creditors ledger control account for the following:


Balances:
Debtors (1/1/10) 150,000
Creditors (1/1/10) 45,000
Bad debt 2,200
Discount Received 2,500
Cash Received from debtors 115,000
Cheque Receipt from debtors 5,000
Set off 1,200
Discount Allowed 1,150
Credit Sales 25,000
Credit Purchases 12,000
Cash payment to creditors 18,000
Cheque payment to creditors 11,200
Understated Credit sales 1,500
Overstated cash receipt from debtors 2,000
Return Inward 1,300
Return Outwards 1,600
Overstated Cheque payment to creditors 1,000


A:
Here are the debtors and creditors control accounts:

debtors control account

creditors control account

All transactions have been assumed to have taken place in the month of January 2010.

For more information on debtors and creditors control accounts see my
lesson on debtors and creditors control accounts .

Note that this question covers some advanced subjects such as returns (inwards and outwards) as well as bad debts. I don't cover these topics on my site. Only in my
basic accounting books . Consider purchasing them if you need more info on these topics.

Hope you enjoyed the solutions here!

Best,

Comments for Debtors and Creditors Ledger Question

Click here to add your own comments

Control Account
by: Anonymous

When doing control accounts, where would you put "cheques refunded to customers" and on which side?

Debtors Control Account
by: Sma

On which side of the debtors control account can I record the following transactions:

1) Discount allowed on dishonored cheques
2) Cash refund to customers

Off sets
by: Anonymous

How are off sets treated in control accounts?

control accounts
by: Anonymous

understated credit sales u record it on the debit side of the control accnt and overstatement of cash receipts is also on the debit side since the account will increase

under and over cast
by: Anonymous

hi, how do we treat an under and overcast in control accounts

Click here to add your own comments

Return to Ask a Question About This Lesson!.






Enjoying this Website?
Help Support it with a Donation

OR...





Advertise on ventoup.ru

More To Explore

Related pages


accounting practice quizreturn of capital journal entryfinding markup percentagecomputing gross profithow do you deduct vatowner thesaurusaccounts journal entries basicscalculation of vat in indiaorigin of the word debitdirect labor and indirect laboris a trial balance a financial statementincome statement and balance sheet templatepetty cash paymentsdebtors accounting definitionaverage inventory cost methodallowance for bad debt account typeledger book definitiondiscount allowed in income statementjournal entry for creating provision for doubtful debtshow to find retained earnings on a balance sheetsynonym for anonymousaccounting midterm examexample of cogsweighted average inventory methodprepare cash flow statement direct methodaccounts receivable control ledgerpartnership equity accountssynonym donationdepreciation journal entries examplesfinancial synonymtrial balance exercisesales returns and allowances journal entryvat calculationsmarkup as a percentage of costwhy assets are debitedchanges in stockholders equityhow to prepare income statement from trial balancedebit credit rules in accountingreturn of capital journal entrybookkeeping sample testwhat does accruals meantotal stockholders equity equationstores ledgerledger samplepreparing a worksheet accountingclassified balance sheet templateretained earning debit or creditdefine periodic inventory systemaccrued revenue journal entryincome sheet and balance sheetprepare an income statement and a retained earnings statementcalculate total stockholders equitypetty cash analysiscalculating gross profitfour accounting conceptsfinancial accounting final exam samplehow to calculate accrued expenseswhat is income and expenditure accountformula for working out vatretained earnings credit or debitnet income retained earningorigin of the word debittrading and p&l account formatwhat are doubtful debtsphysical count of inventory journal entryaverage cost vs fifoopposite of debtorbasic bookkeeping tutorialgeneral ledger examplecash flow direct method formuladirect manufacturing laborhow to fill out a columnar padan example of a contra account isspecial journals in accountingdefine deptorcost of merchandise sold definitionfiguring markup percentagecredited and debited meaningp&l income statementbad debts allowance method