Describe Preparation accounts receivable and accounts payable ledger postings

Banking & FinanceFinance ManagementGrowth & Empowerment

We can prepare accounts receivable and accounts payable ledger postings by using triple column cash book entries. Refer the data given below −

454 – Discount allowed ledger number (expense account)

480 – Discount received Léger number (revenue account)

Solution

The solution is as follows −

Accounts receivable ledger

M&CO            no. 28
Date
Description
PR
Amount($)
Date
Description
PR
Amount($)








April 5th
Cash
31
1350








April 5th
Discount allowed
31
18


H&CO            no. 18
Date
Description
PR
Amount($)
Date
Description
PR
Amount($)








April 24
Cash
31
2200








April 24
Discount allowed
31
16


Accounts payable ledger

S&CO            no. 42
Date
Description
PR
Amount($)
Date
Description
PR
Amount($)
April 3
Bank
31
1800








April 3
Discount Received
31
15








April 19
Bank
31
2100








April 19
Discount Received
31
12









XY Inc            no. 59
Date
Description
PR
Amount($)
Date
Description
PR
Amount($)
April 25
Bank
31
630








April 25
Discount Received
31
14








raja
Published on 09-Jul-2021 12:32:06
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