Eusoffe Trading has the following balances as at 31 December 2010.

RM Assets Motor vehicle 49,330 Liabilities Creditors: Qayyum Sara Office equipment Debtors: Danial Wishah Qistina Cash in hand 3,400 4,460 6,750 1,300 89,240 24,000 Tasneem Bank overdraft Capital 7,404 5,631 1,455 8,850 65,900 RM

89,240

During the month of January 2011, the following transaction occurred: Jan 1 2 3 5 8 12 13 14 19 23 26 Danial settled his account by cheque. Sold goods on credit to Wishah RM5,000. Tasneem supplied goods on credit RM9,700. Borrowed RM20,000 from QS Bank Bhd. to provide fund for expanding its operations. The amount was banked in on the same day. Cash sales RM2,400. Purchased additional office equipment on credit from Jaya Sdn. Bhd. RM6,000, due in 30days. Sold goods on credit to Saniah RM2,800. Purchased goods for cash from Lai Lai Trading RM1,000. Eusoffe Trading used his personal cash RM600 to purchase a new filing cabinet for the business. Wishah paid RM9,000 by cheque in full settlement of his account. Paid by cheque: Wages RM550 and General office expenses RM370.

27 29

Paid by cash: Repairs to motor vehicles RM430 and Postage stamps RM73. Withdrew cash for personal use RM200.

You are required to: a) b) c) Record the above transaction in the general journal. Post the journal entries to the relevant accounts in the general ledger and balance off all the accounts. Extract a trial balance as at 31 January 2011.

Eusoffe Trading Trial Balance as at 31 January 2011 Title DR (RM) Motor vehicle Office equipment Debtor-Qistina Debtor-Saniah Cash Creditor-Qayyum Creditor-Sara Creditor-Tasneem Creditor-Jaya S/B Bank Capital Sales Revenue QS Bank Bhd Purchase expenses Wages General office equipment expenses Repairs on motor vehicle Postage stamps expenses Drawings Discount expenses 10,700 550 370 430 73 200 460 126,890 126,890 22,630 66,500 10,200 20,000 49,330 30,600 6,750 2,800 1,997 7,404 5,631 11,155 6,000 CR (RM)