GROUP EXERCISE

Taabboom Trading started its business operation since October 2021. The business
transactions for October 2021 are presented below.

1. A business bank account is opened with RM30,000.

2. Paid one month’s rent of RM2,000 by cheque.
3. Bought goods costing RM5,000 on credit from Lindo.
4. Purchased motor car from Sado Motors from RM4,000 on credit.
5. Purchased goods costing RM3,000 on credit from Sendoo
10. Cash sales of RM6,000.
15. More goods costing RM10,000 purchased from Lindo on credit.
20. Sold goods on credit to Antman for RM8,000.
22. Returned RM2,000 of goods to Lindo.
23. Paid RM6,000 in cash into the bank.
24. Antman returned RM1,000 of goods.
25. Withdrew RM500 in cash from the bank to open a petty cash account.
26. Cheque received from Antman for RM5,500; Antman also claimed a cash discount of
RM500.
28. Office expenses of RM250 paid out of petty cash.
29. Sent a cheque to Sado Motors for RM4,000.
30. Cheques sent to Lindo and Sendoo for RM8,000 and RM2,000, respectively. Cash
discounts were also claimed from Lindo and Sendoo of RM700 and RM100, respectively.
31. Paid by cheque another month’s rent of RM2,000.
31. Taabboom introduced RM10,000 additional capital into the business by cheque.

Required:

A. Prepare the suitable ledger accounts.

B. Prepare the trial balance for the business as at 31 October 2021.