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  3. dr. (\$) cr. (\$) sales 40,000 purchases 35,000 sa

Dr. (\$) Cr. (\$) Sales 40,000 Purchases 35,000 Sales returns 500 Purchases returns 620 Opening...

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Accounting

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Dr. (\$) Cr. (\$) Sales 40,000 Purchases 35,000 Sales returns 500 Purchases returns 620 Opening stock at 1 January 2017 10,000 Provision for Bad Debt 80 Pay 3,000 Rates 600 Telephone 100 Shop fittings at cost 6,000 Van at cost 4,000 Provision for depreciation: fittings Provision for depreciation: van 2,000 Debtors 980 Creditors 700 Bad debts 20 Capital 17,900 Bank balance 300 Drawings 1,800 62,300 62,300 From the following Trial Balance of Peter Jones, grocery store owner, prepare a Trading and Profit and Loss account, for the year ended 31 st December 2017, and a Balance Sheet as at 31 st December, 2017, taking into consideration the adjustments shown below. Adjustments: (Please show General Journal and Ledger entries.) A) Closing stock at 31st December 2017,$12,000 B) Accrued pay, $500 C) Rates prepaid, $50 D) The provision for bad debts to be increased to 10% of debtors. E) Telephone account outstanding, \$22 F) Depreciation of shop fittings at 10% per annum, and van at 20% per annum, using the reducing balance method

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