QUESTION 6 The following information has been taken from the books of Shumi Power for the fina year ended 31 December 2015. $ Sales ledger balances at 1 January 2015 Cash received from debtors Discount allowed Return inwards Cash sales Bad debts written off Credit sales for the year Debit balances transferred to purchase ledger accounts 62 540 212 390 3470 4 820 58 330 1960 249 490 3410 The total of Shumi Power's sales ledger balances amounts to $80 080 which does not with the closing balance in the sales ledger control account. The following errors have discovered. 1. A debtor balance of $930 was omitted from the list of debtors. 2. Return inwards journal was under cast by $870. 3. Munashe had returned goods worth $540 but this sum was recorded as $450 in account. 4. Discount allowed $270 had been posted to the wrong side of debtors account. 5. A debtor was charged with $80 interest but it was overlooked by the accounta 6. Sales day book had been over cast by $1 360. 7. Bad debts of $190 is entered in the control account but is not posted to the cus account. 8. Discount allowed of $350 had been entered in the cash book but is not entered customer's account. 9. Return inwards $440 from Ronald had not been recorded in the books. 10. Blessing was both a customer and a supplier. He had a balance of $270 in the purchase ledger and $190 in the sales ledger. The contra entry was made in Bl account but no entry was made in the control account. 11. A sales invoice of $1 490 was not entered in the books. 12. A credit sale of $1 860 to Loice was entered on the credit side of his account. REQUIRED a. From the original list of balances, draw up the sales ledger control account for year ended 31 December 2015. b. Show the amended Sales Ledger Control Account. c. Statement amending the total of the sales ledger balance to agree with the new account balance.
