Home For AAT student members AQ 2016 Foundation Certificate in accounting Bookkeeping Transactions
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aga84aga84 Registered Posts: 1
Could someone help me understand this question ? Where to start and what is what I have no idea at all.

Question 1

Task 1, Part 1: The following customer account appears in the sales ledger of Ely & Co

On 2 July Ely & Co received a cheque for £1,632 from Cambridge Ltd. With the cheque was a note from Cambridge Ltd stating that the cheque was in full settlement of the balance on their account at 30 June 201Y.


Identify the transaction items appearing in the account which are outstanding as they are not included in the payment received from Cambridge Ltd on 2 July 201Y.

Select one or more:

Bank £1,320

Sales – invoice 4511 £1,140

Sales - invoice 3020 £960

Sales returns - credit note 210 £360

Sales – invoice 3816 £1,464

Sales – invoice 4141 £384

Balance b/f £1,680

Sales returns – credit note 285 £240

Sales returns – credit note 322 £216


  • Clintm15Clintm15 Well-Known FarehamRegistered Posts: 247
    edited August 2019
    So it goes like this:

    Balance b/f £1,680
    Sales – invoice 3816 £1,464
    Sales – invoice 4141 £384

    Sales returns - credit note 210 £360
    Bank £1,320
    Sales returns – credit note 322 £216
    Cheque for £1,632

    The question states to use one or more entries but not necessarily all of them. These are the entries that work. How did I approach the answer? Well, it gives you the opening balance, so common sense dictates that this balance was paid off previously which must be the bank entry, the difference was the credit note. After that it was just a matter of matching the cheque received to sales invoices, as they didn't match well I knew a credit note had to be factored in. A quick bit of calculator work and Bob's your uncle. :)
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