SUGGESTED ANSWER for Question 1

a) Journal

Date Items Debit Credit (RM)

(RM)

1 Jan Dr. Bank 25000

Dr. Cash 5000
Cr.Capital 30000

2 Jan Dr. Furniture 10000

Cr. Bank 10000

3 Jan Dr. Purchase 7000

Cr. Bank 7000

4 Jan Dr. Cash 3800

Cr. Sales 3800

5 Jan Dr. Purchase 2100

Cr. Account payable- Lockwood Fashions 2100

6 Jan Dr. Bank 4000

Cr. Cash 4000

7 Jan Dr. Account Receivable-Earnshaw Costumes 3000

Cr. Sales 3000

8 Jan Dr. Bank 1800

Cr Account receivable-Earnshaw Costumes 1800

1
9 Jan Dr. Account payable- Lockwood Fashions 400
Cr. Return outwards 400

10 Jan Dr Bad Debt expense 1200

(3000-1800) 1200
Cr Account receivable - Earnshaw Costumes

11 Jan Dr. Account receivable- Height Productions 6000

Cr Sales
6000

12 Jan Dr Wages 700

Cr Cash 700

13 Jan Dr Bank 6000

Cr Bank Loan 6000

b) Ledger

Dr Bank Account Cr
Date Item RM Date Item RM
1/1 Capital 25,000 2/1 Furniture 10,000
6/1 Cash 4000 3/1 Purchase 7000
8/1 Acc rec-Eanshaw Cons 1800 31/1 Balance c/d 19,800
13/1 Loan 6000

36,800 36,800

2
1/2 Balance b/d 19,800

Cash
Date Item RM Date Item RM
1/1 Capital 5000 6/1 Bank 4000
4/1 Sales 3800 11/1 Wages 700
Balance c/d 4,100
8,800 8,800
1/2 Balance b/d 4,100

Capital
Date Item RM Date Item RM
31/1 Balance c/d 30,000 1/1 bank 25000
1/1 cash 5000

30,000 30,000
1/2 Balance b/d 30,000

Furniture
Date Item RM Date Item RM
2/1 Bank 10,000 31/1 Balance c/d 10,000

3
 10,000 10,000
1/2 Balance b/d

Purchase
Dat Item RM Date Item RM
e
3/1 Bank 7000 31/1 SPL 9,100
5/1 Acc Payable- Lockwood Fashi 2100

9,100 9,100

Sales
Date Item RM Date Item RM
31/1 SPL 12800 4/1 Cash 3800
7/1 Acc rec-Eanshaw constume 3000
11/1 Acc rec-Height Produc. 6000

12800 12800

Account payable – Lookwood Fashion

Date Item RM Date Item RM
9/1 Return outwards 400 5/1 Purchase 2100

4
31/1 Balance c/d 1700
2100 2100
1/2 Balance b/d 1700

Account receivable- Earnshaw Costumes

Date Item RM Date Item RM
7/1 Sales 3000 8/1 Bank 1800
10/1 Bad debt 1200

3000 3000

Return outwards
Date Item RM Date Item RM
31/1 SPL 400 9/1 Acc pay- Lockwood Fas 400

400 400

Bad debts
Date Item RM Date Item RM
10/1 Acc rec-Eanshaw 1200 31/1 SPL 1200

1200 1200

5
 Wages
Date Item RM Date Item RM
12/1 Cash 700 31/1 SPL 700

700 700

Bank Loan
Date Item RM Date Item RM
31/1 Bal c/d 6000 13/1 Bank 6000

6000 6000
1/2 Bal b/d 6000

Account receivable – Height Production

Date Item RM Date Item RM
11/1 Sales 6000 31/1 Bal c/d 6000

6000 6000
1/2 Bal b/d 6000

c) Trial balance

Heathcliff Fashion
Trial balance
As at 31 January 2019
6
 DR CR

Bank 19,800
Cash 4 ,100

Capital 30,000
Furniture 10,000

Purchase 9,100
Sales 12800

Acc payable – Lockwood 1700

Return outwards 400

Bad debt expense 1200

wages 700

loan 6000
Acc receivable –Height Pruduction 6000

50,900 50,900

FORMULA
Debit = asset, expenses, drawing, dividend
Credit = liability, revenue, equity

QUESTION 2 Journal
Date Items Debit (RM) Credit (RM)
1/9 DR. BANK 60000
CR. CAPITAL 60000

2/9 DR COMPUTER/OFFICE COMPUTER 10000

CR BANK 10000

7
3/9 DR FIXTURES AND FITTINGS 11000
CR BANK 11000

4/9 DR INSURANCE EXPENSE 1200

CR BANK 1200

5/9 DR PURCHASE 7000

CR ACCOUNT PAYABLE- 7000
HOLLOWAY

8/9 DR PURCHASE 15000

CR BANK 15000

9/9 DR ACCOUNT RECEIVABLE-MR 20000

MANCINI
20000
CR SALES

10/9 DR CASH 1000

CR BANK 1000

11/9 DR MISCELLANEOUS EXPENSE 500

CR CASH 500

12/9 DR BANK 2000

CR SALES 2000

15/9 DR ACCOUNT RECEIVABLE-MR 12000

WENGER
12000
CR SALES

15/9 DR BANK 8000

8
 CR SALES 8000

Ledger
BANK
DATE ITEM RM DATE ITEM RM
1/9 CAPITAL 60000 2/9 OFFICE 10000
COMPUTER
12/9 SALES 2000 3/9 F& F 11000
15/9 SALES 8000 4/9 INSURANCE 1200
8/9 PURCHASE 15000
10/9 CASH 1000
30/9 BAL C/D 31800
70000 70000
1/10 BAL B/D 31800

CAPITAL
DATE ITEM RM DATE ITEM RM
1/9 BANK 60000

OFFICE COMPUTER
DATE ITEM RM DATE ITEM RM
2/9 BANK 10000

FIXTURES AND FITTINGS

DAT ITEM RM DATE ITEM RM
E

9
3/9 BANK 11000

INSURANCE EXPENSE
DATE ITEM RM DATE ITEM RM
4/9 BANK 1200

PURCHASE
DAT ITEM RM DAT ITEM RM
E E
5/9 ACC PAY- 7000 30/9 SPL 22000
HOLLOWAY
8/9 BANK 15000

22000 22000

ACCOUNT PAYABLE-HOLLOWAY
DATE ITEM RM DATE ITEM RM
5/9 PURCHASE 7000

ACCOUNT RECEIVABLE-MR MANCINI

10
DAT ITEM RM DATE ITEM RM
E
9/9 SALES 20000

SALES
DAT ITEM RM DATE ITEM RM
E
30/9 SPL 42000 9/9 ACC REC-MR 20000
MANCINI
12/9 BANK 2000
15/9 ACC REC-MR 12000
WENGER
15/9 BANK 8000

42000 42000

MISCELLANEOUS EXPENSE
DATE ITEM RM DATE ITEM RM
11/9 CASH 500

CASH
DAT ITEM RM DAT ITEM RM
E E
10/9 BANK 1000 11/9 MISCELLANEOUS 500

11
 30/9 BAL C/D 500
1000 1000
1/10 BAL B/D 500

ACCOUNT RECEIVABLE-MR WENGER

DAT ITEM RM DATE ITEM RM
E
15/9 SALES 12000

Trial balance

MR HUGE TUNE
TRIAL BALANCE
AS AT 30 SEPT
DEBIT CREDIT
BANK 31800
CAPITAL 60000
12
OFFICE COMPUTER 10000
FIXTURES AND FITTINGS 11000
INSURANCE 1200
PURCHASE 22000
ACC PAYABLE-HOLLOWAY 7000
ACC REC-MR MANCINI 20000
SALES 42000
MISCELLANEOUS 500
CASH 500
ACCOUNT RECEIVABLE-MR 12000
WENGER
109000 109000

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