CHAPTER 37 Debtors and Creditors Control Accounts Based

CHAPTER 37 Debtors and Creditors Control Accounts Based on Qs 4 and 8 12 pages 339 and 340 in the Textbook

Debtors Control Account: Summary 1. Enter the total value of opening balances on the debit side of the Control Account 2. The debtors received the goods sold to them therefore debit the Control Account with the total value of Credit Sales 3. The debtors are the givers of the goods returned therefore credit the Control Account with the total value of Sales Returns. 4. The debtors are the givers of the payments received therefore credit the Control Account with the total value of Debtors in the Analysed Cash Book.

Q 4 (“T” Format) Debtors Control A/C at 31/11/11 Date Details 1/11/11 Opening Balance 31/11/11 Sales F SB 1 € Details F 80, 000 31/11/11 Returns SRB 1 20, 000 70, 000 31/11/11 Bank CB 1 90, 000 _____ 31/11/11 Bal c/d 150, 000 Balance b/d 40, 000 Date € 40, 000 150, 000

Q 4 Continuous Balance Format Date Debtors Control A/C at 31/11/11 Details F 1/11/11 Opening Balance 31/11/11 Sales SB 1 31/11/11 Returns SRB 1 31/11/11 Bank Dr. Cr. Balance € € € 80, 000 70, 000 150, 000 20, 000 130, 000 90, 000 40, 000

Creditors Control Account: Summary 1. Enter the total value of opening balances on the credit side of the Control Account. 2. The creditors are the giver of goods purchased from therefore credit the Control Account with the total value of Credit Purchases. 3. The creditors are the receivers of the goods returned therefore debit the Control Account with the total value of Purchases Returns. 4. The creditors are the receivers of the payments made therefore debit the Control Account with the total value of Creditors in the Analysed Cash Book.

Q 8 (“T” Format) Debtors Control A/C at 31/11/11 Date Details F € Date Details 30/6/11 Purchases Returns PRB 1 20, 000 1/6/11 Balance 30/6/11 Bank CB 1 40, 000 30/6/11 Purchases 30/6/11 Balance c/d F € 80, 000 PB 1 60, 000 80, 000 _____ 140, 000 Balance b/d 80, 000

Q 8 Continuous Balance Format Date Debtors Control A/C at 31/11/11 Details F Dr. Cr. Balance € € € 1/6/11 Opening Balance 80, 000 30/6/11 Purchases PB 1 30/6/11 Returns PRB 1 20, 000 120, 000 30/6/11 Bank CB 1 40, 000 80, 000 60, 000 140, 000