FNS40217 Certificate IV in Accounting and Bookkeeping - Module 1.1 Tutoring

Question. 8

Paymore Landscapers supplies you with the following information for October.

Required: 

1. Enter the above transactions into the General Journal.
2. Post to the General Ledger and to the individual debtor accounts in the Receivables Subsidiary Ledger.
3. Prepare a schedule of Accounts Receivable as at 31 October.
4. Please advise what is required in setting up subsidiary ledgers. How are transactions now processed?
5. What steps would you take if, in 8c), the total of the subsidiary ledger did not reconcile with the control account balance?
6. You are developing the policies and procedures in relation to credit sales. What processes would you include in relation to:
   1. preparing invoices
   2. preparing journal entries for these invoices
   3. authorising these journal entries
   4. filing invoices for auditing purposes (this may be related to the invoice numbering system)?

   Tip: the specific answers to these questions may not be completely found in the textbook. Use your learning and understanding of recording credit sales to arrive at your answers. Feel free to research other sources to assist you.

7. Please complete the tax invoice based on the following sales details: 

   Sale of a quantity of 1,000 ABC books at $15 each (including GST) to Ben Smith (123 Smith St, Smithville 9015), on 30-day terms, based on order #236, invoice #89. Shipped on 16 June 2018 via Alpha Couriers.