Record the transactions in the books of prime entry.

Assignment Help Finance Basics

Reference no: EM13904009

Orldex Computers Ltd

You have been recently employed by the company in the role as junior accountant and were presented with the following transactions:

Date	Fol	Description	Amount
Mar-01	1	Transferred cash from personal account	45,000.00
2	2	Bought delivery vehicle on credit from Croydon Ford (payable by equal instalments over 36 months)	27,245.00
2	3	Paid license fees for trading licence	954.36
3	4	Bought stock for cash from HendredPeningtonComputers	6,578.00
4	5	Sold laptops on credit to MMM Ltd	2,500.00
5	6	Bought accessoriesfrom GHJ Supplies on credit	2,300.00
8	7	Bought printer from John Lewis for cash for use in the office	579.28
8	8	Bought desks and chairs from Major Office Supplies for cash	3,897.00
8	9	Rented photocopy machine from Xerox (amount per month)	287.45
9	10	Paid salaries for staff	12,368.54
9	11	Paid creditor invoices -GHJ Supplies	487.65
10	12	Paid rent	2,754.24
11	13	Withdrew cash from bank for petty cash	350.00
12	14	Invoiced customer Reggae Ltd	3,476.57
15	15	Bought testing equipment on credit from Electronix Ltd	15,467.00
15	16	Negotiated overdraft with Barclays bank	20,000.00
16	17	Purchased computers from Gell Computer Supplies on credit	9,457.45
17	18	Recorded depreciation on forklift	429.64
18	19	Wrote off damaged laptop	357.24
19	20	Received payment from MMM Ltd	845.00
19	21	Continued on next page . . . . . . . . . . . . Deposited cash in bank from cash sales	5,245.36
19	22	Bought office supplies from Ryman's for cash	148.75
22	23	Paid VAT	879.45
23	24	Deposited Cash from savings on loan to the business	15,000.00
24	25	Paid DHL Freight Services for deliveries to customers	65.69
25	26	Paid for petrol for delivery vehicle	187.39
26	27	Paid for delivery vehicle repairs	587.85
26	28	Purchased additional office chairs from John Lewis for cash	1,568.75
29	29	Issued credit note to customer KSA Ltd for laptops returned (Previously sold for cash).	845.75
30	30	Paid utility bills to British Gas	628.76
31	31	Returned damaged laptops to Gell Computers Supplies for credit	897.47
31	32	Invoiced customer KSA Ltd for laptops	1,028.37
31	33	Provision for bad debt	654.24
31	34	Paid for postage stamps from petty cash	2.85

You are required to:

(a)   Record the transactions in the books of prime entry.
(b)   Transfer those entries to the ledger accounts.
(c)   Prepare the trial balance.
(d)   Construct the income statement for the month of March 2014
(e)   Construct the balance sheet as at the end of March 2014.
(f)   Write a 1000 word report to management explaining the importance of managing the 'working capital cycle' and why they should be vigilant to avoid 'overtrading'.References of your sources of information should be provided using the Harvard Referencing System.

Instructions
High marks will be gained whereclearunderstandingoftheaccounting

Reference no: EM13904009

Questions Cloud

Prepare annual financial statements for a reporting entity : apply the requirements of NZ financial reporting standards ? prepare annual financial statements for a reporting entity that comply with the requirements of the Companies Act 1993.

Company''s p/e ratio : Indicate what the P/E ration is for the company on 5th Aug 2013. Select a company in the same industry sector. How does this company's P/E ratio compare to the other company

Calculate the weighted average cost of capital : Pindyck supplies a simple two-period example to illustrate how irreversibility can affect an investment decision and how option pricing methods can be used to value a firm’s investment opportunity, and determine whether or not the firm should invest.

Country risk assessment for iran : You want to do a Country Risk Assessment for Iran for the current year to decide whether you should operate a Franchise there. Explain how you would proceed. What data would you need; How would you use them?

Record the transactions in the books of prime entry. : Record the transactions in the books of prime entry. Transfer those entries to the ledger accounts.Prepare the trial balance.

Journal entries using both the gross and net methods. : Sean needs to record journal entries for various inventory purchases on account and subsequent payments. Record the journal entries using both the gross and net methods.

Company''s cost of capital : What is the company’s cost of capital? What is the appropriate discount factor (which may be different) for you to use in evaluating the bus project?

The economic service life : Calculate the economic service life for each option and What are your conclusions?

Evaluating a capital budgeting proposal : Rob Bruder, the CFO of Bruder Powertrain Products (BPP) has requested your assistance in evaluating a capital budgeting proposal. The proposal involves the production of a new line of gearboxes for use in heavy freight applications.

User Account

All Pages