QUESTION 1 Ciara Kingley has her own business, Mink Stores. She sells blankets,
pillows and bed linen for cash only. The accountant always maintains a
favourable bank balance. The following transactions, amongst others, took
place in the business during February 2020.
REQUIRED
ANALYSE THE TRANSACTIONS ACCORDING TO THE FOLLOWING
HEADINGS: (30 marks)
Subsidiary Book, Account Debited, Account Credited, Effect on the
Accounting Equation A + 0 + L. The net effect must be shown.
e. g. Received rent for two months from the tenant, G Genius, Rent is R500
per month
TRANSACTIONS DURING FEBRUARY 2020
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Purchased 30 blankets on credit from Sunshine Stores. The
blankets cost R80 each.
The blankets were delivered by Kita Transport. Payment of R600
was made electronically - being cost of delivery.
Received the quarterly (3 months) interest at 9% pa. from Usher
Bank on a fixed deposit of R30 000.
Ciara's daughter moved into a boarding home called Fulfill Your
Dreams. Payment of R800 was done via EFT to pay the term's
boarding fees
Paid casual wages from petty cash, R200.
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