Practice Activity 2.6 The cash book (bank column only)

The following events occurred in Emeka Enterprises during March 2017.

i. Emeka introduces ₦400,000 cash into the enterprise on March 3, 2017. The business owner introduced ₦700,000 through the bank into the enterprise on March 3, 2017.

ii. On March 12, 2017, the business buys inventory from the market for ₦107,000. The owner paid this amount in cash.

iii. The business sells inventory to Fill-up Enterprises on credit for ₦152,000 on March 15, 2017; on the same date, the owner purchased furniture amounting to ₦56,000. The owner made payment for the furniture in cash.

iv. On March 20, the business was supplied inventory by Kene Enterprises. The owner did not pay the invoice ₦110,000 to the Supplier.

v. Fuel expenses of ₦15,200 were paid by cash on March 31, 2017.

vi. On March 31, 2017, the owner’s uncle, Mr. Give, gave the business a loan of ₦50,000. The loan was granted by cheque.

vii. Salary amounting to ₦20,000 was paid using cash to Emeka, the business owner, on March 31, 2017.

viii.Electricity bill of ₦10,800 was paid by bank transfer on March 31, 2017.

ix. On March 30, Fill-up Enterprises paid ₦100,000 through the bank account of Emeka Enterprises as part of the payment for their debt.

Required: Post the transactions to the single-column cash book (bank only).

A suggested answer to practice activity 2.6

Emeka Enterprises