Question

The following particulars relating to the year ended 31 March 20X8 have been extracted from the books of a trader. £ Debtors' ledger control account balance on 1 April 20X7 (debit) 7,182 Sales 69,104 Cash received from debtors/trade receivables 59,129 Discounts allowed 1,846 Discounts received 1,461 Returns inwards 983 Returns outwards 627 Credit card payments by debtors 3,243 Bad debts written off 593 Cash paid in respect of a credit balance on a debtors' ledger account 66 Amounts due from customers as shown by debtors' ledger transferred to creditors' ledger 303 Interest charged on debtors' overdue account 10 Credit balance on debtors' ledger control account on 31 March 20X8 42 REQUIRED: Prepare the debtors' ledger control account for the year ended 31 March 20X8, using relevant figures selected from the data shown above. Insert the closing debtors/trade receivables as a balancing figure.

Answer 1

Debtors Ledger Control Account as at 31 March 20x8:

Closing Debtors Ledger Control Account balance as on 31 March 20x8 is £10223

Note:

1. Discount received is against purchase made thus will be adjusted to Creditors control account

2. Return outwards will be of purchase made thus will be adjusted against creditors control accoun