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cashbook to general ledger

adellegadelleg Just JoinedRegistered Posts: 1
hi guys
ok so im doin level 2 accountancy and im stuck on a question i have to transfer postings from the debit side of the cashbook to 3 accounts in the general ledger i have a choice of SLCA, Discount Allowed, VAT and the name of the customer.
there was no VAT recorded so thats out of the equation. i suppose im confused because i thought the customers named a/c came under the subsidiary sales account but that is not an option....HELP
i know SLCA and discount allowed are 2 of them its the 3rd account thats got me
HELP-:001_unsure:HELP-HELP

Comments

  • MarkTMarkT Trusted Regular Registered Posts: 302
    I must say this has me stumped and I passed level 3 AP 1 & 2 :huh:

    Can you re-write the question out in its entirety? I have an idea that there is something missing in the example above - also, are there amounts involved?
  • JaffasGirlJaffasGirl Trusted Regular Registered Posts: 387
    Yeah, I agree, please post the whole question.

    Cause I would say that the entry into SLCA would be a debit entry, not credit, And you need a credit entry to balance our the debit in the cashbook. That said if the payment in the cash book was a payment from a customer, there would be a credit entry in the customer account. Does it state in the question what the amounts are for? Also does it say whether the cashbook is part of the double-entry system or just a subsidiary book?

    I agree with Mark sounds like something is missing from the question, because from what you gave us there really isn't a correct answer to choose....
  • WillowBWillowB New Member Registered Posts: 6
    I have a similar question I have answered, but I'm not 100% sure I've got it right...:

    The following transactions all took place on 31st August and have been entered in the debit side of the cash book as shown below. No entries have yet been made in the ledgers. The cash book forms part of the general ledger.

    Cash book - Debit side
    Date Details Bank VAT Sales
    31st Aug Bobette Ltd £3,892
    31st Aug Cash sale £2,880 £480 £2,400


    (a) What will be the entry in the sales ledger?
    Account name Amount Debit or Credit (A tick under one of these)
    ................... .......... ............. ..............
    (b) What will be the THREE entries in the general ledger?

    Account Name Amount Debit or Credit (A tick under one of these)
    ................ ............... ......... .........
    ............... .............. .......... .............
    ............... ............. ............ ...................
    I have been given a picklist to choose the answers from:
    Bank
    Discounts allowed
    Discounts received
    Purchases
    Purchases control ledger
    Sales
    Sales ledger control
    Bobette Ltd
    VAT
  • NicFNicF Well-Known Registered Posts: 108
    adelleg wrote: »
    hi guys
    ok so im doin level 2 accountancy and im stuck on a question i have to transfer postings from the debit side of the cashbook to 3 accounts in the general ledger i have a choice of SLCA, Discount Allowed, VAT and the name of the customer.
    there was no VAT recorded so thats out of the equation. i suppose im confused because i thought the customers named a/c came under the subsidiary sales account but that is not an option....HELP
    i know SLCA and discount allowed are 2 of them its the 3rd account thats got me
    HELP-:001_unsure:HELP-HELP

    The fact that the entry is a debit in the cash book means you have received money from a customer. If the customer is a credit customer then they are paying an invoice that has been issued previously. I would say that in this instance you would need to enter the value in the SLCA and discount allowed account. I would also expect to have to enter the values in the customers account, although the customers account is really part of the sales ledger and not the general ledger. You will need to record the discount in both the SLCA and the discount allowed accounts though, so maybe this is what the question is expecting. Without seeing the actual question it's a bit hard to be completely sure about this though.
  • SashaDellaSashaDella Trusted Regular Registered Posts: 362
    Sorry if reply is too late but if these are the only options, then you will post twice (credits) into the SLCA one with the total sales and (credit) SCLA one with the discount, and then discount allowed you would debit.

    I have come accross similar questions and its like a "trick" question.

    :D
  • luckyzluckyz Registered Posts: 8
    adelleg said:

    hi guys

    ok so im doin level 2 accountancy and im stuck on a question i have to transfer postings from the debit side of the cashbook to 3 accounts in the general ledger i have a choice of SLCA, Discount Allowed, VAT and the name of the customer.

    there was no VAT recorded so thats out of the equation. i suppose im confused because i thought the customers named a/c came under the subsidiary sales account but that is not an option....HELP

    i know SLCA and discount allowed are 2 of them its the 3rd account thats got me

    HELP-:001_unsure:HELP-HELP

    I think the answer will be:
    Debit Discount Allowed (expense)
    Credit SLCA (amount of discount allowed)
    Credit SLCA (amount of money received)

    Of course you will need to record the same amounts as in the SLCA (both of them) on Credit side of the customer account, but as this account is subsidiary it is not what was asked in the task, so ignore this part.

    Writing this post just in a case if anyone facing similar problem...
  • luckyzluckyz Registered Posts: 8
    WillowB said:

    I have a similar question I have answered, but I'm not 100% sure I've got it right...:



    The following transactions all took place on 31st August and have been entered in the debit side of the cash book as shown below. No entries have yet been made in the ledgers. The cash book forms part of the general ledger.



    Cash book - Debit side

    Date Details Bank VAT Sales

    31st Aug Bobette Ltd £3,892

    31st Aug Cash sale £2,880 £480 £2,400





    (a) What will be the entry in the sales ledger?

    Account name Amount Debit or Credit (A tick under one of these)

    ................... .......... ............. ..............

    (b) What will be the THREE entries in the general ledger?



    Account Name Amount Debit or Credit (A tick under one of these)

    ................ ............... ......... .........

    ............... .............. .......... .............

    ............... ............. ............ ...................

    I have been given a picklist to choose the answers from:

    Bank

    Discounts allowed

    Discounts received

    Purchases

    Purchases control ledger

    Sales

    Sales ledger control

    Bobette Ltd

    VAT

    Answer to your question would be:
    a) Bobette Ltd - Credit £3892
    b) SLCA - Credit £3892
    Sales account (cash sales) - Credit £2400
    Vat (cash sales) - credit £480

    Answering just in case, if someone is facing similar problem...
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