Practice Activity 7.8 Receivables and Payables ledger control accounts

The following information pertains to Excel Enterprises for September 2016.

Balances as at 1 September 2016:

Control accounts:

Receivables ledger ₦188,360 Debit

Payables ledger ₦98,780 Credit

During September 2016, transactions took place and amounted to the following:

₦

Credit sales 210,850

Credit purchases 98,768

Sales return 15,756

Purchases return 13,525

Monies received for unpaid balances from customers 129,756

Cheques issued to suppliers for unpaid balances 111,898

Discounts given by suplliers 967

Discounts allowed 856

Written off bad debts 897

Refunds to customers 545

Contra settlements 852

Required: Prepare the Receivables and Payables Ledger Control Accounts, respectively, for September 2016.

See the suggested answers to practice activity 7.8 here.

Suggested answer to practice activity 7.8

Excel Enterprises