Please help me answer this question, VAT - 15% Damask Traders trades in roses. The business is owned by Rose Nasrin and started trading recentlyand on 1 September 2021, the following balances appeared in the trial balance.CapitalR25 000Bank (unfavourable)R4 000InventoryR37 000LoanR5 000SalesR11 000Cost of salesR8 000Damask is not registered for VAT, uses a perpetual inventory system and entered into the followingtransactions during September 2021.DateDetails1Sold some roses, with a cost price of R12 000 for R18 000. Customer paid in cash.2Paid rent for the premises via EFT, R6 000.Purchased some equipment on credit from Pavlon suppliers, R9 00025Paid the newly employed nursery manager her monthly salary, R6 500.30The bank statement reflected bank charges of R50, interest on the overdraft of R14and interest on the favourable balance of R3 for the month.Required:Calculate Rose Nasrin's equity in her business on 30 September 2021, by calculating the openingbalances and showing the effect of each individual transaction on the accounting equation. Clearlyindicate whether the account will be debit/credited when analysing the transactions.Example: Owner deposit R5 000 directly into the bank account as additional capital contribution.DateAssets =Owner's EquityLiabilitiesе.g.Dr BankCr Capital+ 5 000+ 5 000

Owners Equity The calculation of owners equity is to the beginning balance of equity plus net income…

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Business

Accounting

Please help me answer this question, VAT - 15%

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter6: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 2CPP: Palisade Creek Co. is a merchandising business that uses the perpetual inventory system. The account...

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Africa Traders is a registered VAT vendor and uses the periodic inventory system. Africa Traders buys and sells furniture and equipment for cash or on credit. On 1 March 2021, Africa Traders purchased furniture on credit from SA Suppliers to the amount of R29 560. On 27 April 2021, Africa Traders settled their account and received R1 165 discount for early settlement. On the same day Africa Traders purchased furniture on the clearance sale. The selling price of the furniture was R9 940 (excluding VAT). Africa Traders paid cash and received a further 8% cash discount on the selling price. Required: What amount will be recorded in the settlement discount received column of the cash payments journal of Africa Traders on 27 April 2021? NB: Instructions 1. Do not type the amount with any spaces as separators for thousands (eg: 12141.72) 2. Use a full stop to indicate any decimals (eg: 1000.01) 3. You must enter cents even if it is 0 (eg .00) 4. Only show the amount, do not show the R…
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Palisade Creek Co. is a merchandising business that uses the perpetual inventory system. The account balances for Palisade Creek Co. as of May 1, 2019 (unless otherwise indicated), are as follows: During May, the last month of the fiscal year, the following transactions were completed: Instructions 1. Enter the balances of each of the accounts in the appropriate balance column of a four-column account. Write Balance in the item section and place a check mark () in the Posting Reference column. Journalize the transactions for May, starting on Page 20 of the journal. 2. Post the journal to the general ledger, extending the month-end balances to the appropriate balance columns after all posting is completed. In this problem, you are not required to update or post to the accounts receivable and accounts payable subsidiary ledgers. 3. Prepare an unadjusted trial balance. 4. At the end of May, the following adjustment data were assembled. Analyze and use these data to complete (5) and (6). 5. (Optional) Enter the unadjusted trial balance on a 10-column end-of-period spreadsheet (work sheet), and complete the spreadsheet. 6. Journalize and post the adjusting entries. Record the adjusting entries on Page 22 of the journal. 7. Prepare an adjusted trial balance. 8. Prepare an income statement, a statement of owners equity, and a balance sheet. 9. Prepare and post the closing entries. Record the closing entries on Page 23 of the journal. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. Insert the new balance in the owners capital account. 10. Prepare a post-closing trial balance.
Prepare the journal entries to record the following transactions on Wildhorse Co.’s books using a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) (a) On March 2, Wildhorse Co. sold $947,600 of merchandise to Sandhill Co., terms 3/10, n/30. The cost of the merchandise sold was $534,200. (b) On March 6, Sandhill Co. returned $105,700 of the merchandise purchased on March 2. The cost of the merchandise returned was $68,600. (c) On March 12, Wildhorse Co. received the balance due from Sandhill Co.. No. Date Account Titles and Explanation Debit Credit (a) choose a transaction date enter an account title to record sale of merchandise enter a debit amount…