Question 7

On 31st January, 2020, Loco Ventures revealed the following information of its business transactions.
                                                                                                N
January 1          Opened a bank account for the
                                    business and paid in cash to
                                    commence operations                                        50,000
                        5          Rented premises and paid for a month
                                    by cheque                                                        1,000
                        10        Bought furniture and fittings by cheque             2,000
                        12        Purchased goods by cheque                               6,000
                        17        Cash sales                                                        8,000
                        18        Paid cash into bank                                           6,000
                        25        Cash sales                                                        7,500
                        26        Paid cash into bank                                           7,500
                        28        Paid Tammy and Sons by cheque                      5,000
                        29        Paid salaries by cheque                                         700
                        31        Paid electricity bill for Mr Loco’s house
                                    by cheque                                                            900
                        31        Paid sundry expenses by cheque                            400

            You are required to prepare a two column cashbook

7.
LOCO VENTURES
TWO COLUMN CASHBOOK                                                                                                                                                      Cr                          Dr                                                                                                 

DATE	PARTICULARS	FOLIO	CASH	BANK	DATE	PARTICULARS	FOLIO	CASH	BANK
Jan 1 Jan 17 Jan 18 Jan 25 Jan 26             Feb 1	Capital Sales Cash Sales Cash             Balance b/d	C   C	N   8,000   7,500	N 50,000   6,000   7,500	Jan 5 Jan 10 Jan 12 Jan 18 Jan 26 Jan 28 Jan 29 Jan 31 Jan 31 Jan 31	Rent Furniture & Fitting Purchases Bank Bank Tammy & Sons Salaries Drawings Sundry Expenses Balance c/d	C C	N       6,000 7,500         2,000	N 1,000 2,000 6,000     5,000 770 900 400 47,430
			15,500   2,000	63,500 47, 430				15,500	63,500