Help with Trial Balance

Hello guys... I know its maybe simple task... but I have huge problems to do that... If somebody can do this for me and explain?
The following are the transactions relating to J&S BUSINESS CONSULTING ltd, over an accounting period from 1st June 2016 to 30th June 2017.
 Started business with Capital £s. 100,000
 Paid into Bank £s. 10,000
 Bought Furniture and paid cash £s. 25,000
 Bought goods for cash £s. 50,000
 Bought goods from Ram on Credit £s. 15,000
 Sold a part of the goods for £s. 75,000 and paid the proceeds into bank directly
 Sold the remaining goods on credit for £s. 50,000 to Rahim
 Paid Salaries and Wages £s. 5,000
 Paid rent by cheque £s. 8,000

Draw up the Trial Balance of J&S Ltd as on 30th June 2017 for internal processing.

Comments

  • davealucasdavealucas LondonPosts: 69MAAT
    I think you best bet will be to set up your T accounts first and then draw up the Trial Balance from all the balances carried down.
  • mskaatmskaat Regular Greater LondonPosts: 53MAAT, AAT Licensed Accountant
    edited October 2018
    Some assumptions had to be made here.

    Answer-
    Trial balance
    Debit balances are:
    Cash £25,000
    Bank £62,000
    PPE £25,000
    Trade debtors £50,000
    Purchases £65,000
    Wages £5,000
    Rent £8,000
    Total £240,000

    Credit balances are:
    Share capital £100,000
    Trade creditors £15,000
    Sales £125,000
    Total £240,000

    Workings-
    1. Dr Cash, Cr Share capital: £100,000
    2. Dr Cash, Cr Sales: £10,000
    3. Dr Fixed assets (PPE), Cr Cash: £25,000
    4. Dr Purchases, Cr Cash: £50,000
    5. Dr Purchases, Cr Trade creditors (Ram): £15,000
    6. Dr Bank, Cr Sales: £75,000
    7. Dr Trade debtors(Rahim), Cr Sales: £50,000
    8. Dr Wages, Cr Bank: £5,000
    9. Dr Rent, Cr Bank: £8,000

    Hope that helps
    MAAT
  • olaf78olaf78 Posts: 3Registered
    Thanks a lot for that... Now I will try to set up how its working everything in my mind... The problem is... I never did t-accounts for trial balance, always I get information and I just need put them in correct places.
  • LeapyUKLeapyUK Posts: 22AAT Student
    I learned about Trial Balance yesterday.

    Use this:

    Debit side:

    (Paled)
    Purchases
    Assets
    Losses
    Expenses
    Drawings
    (SLCA)

    Credit side:

    (Clips)
    Capital
    Liabilities
    Income
    Profit
    Sales
    (PLCA)

    Just think “Paled Clips” in your head and put figures in correct columns from this. I hope this helps.
Sign In or Register to comment.