Enter the following in the three-column cash book of an office supply shop. Balance-off the cash book at the end of the month and show the discount accounts in the general ledger.
2015
June
1 Balances brought forward: Cash £420; Bank £4,940.
2 The following paid us by cheque, in each case deducting a 5 per cent cash discount:
S. Braga £820; L. Pine £320; G. Hodd £440; M. Rae £1,040.
3 Cash sales paid direct into the bank £740.
5 Paid rent by cash £340.
6 We paid the following accounts by cheque, in each case deducting 2 ½ per cent cash discount: M. Peters £360; G. Graham £960; F. Bell £400.
8 Withdrew cash from the bank for business use £400.
10 Cash sales £1,260.
12 B. Age paid us their account of £280 by cheque less £4 cash discount.
14 Paid wages by cash £540.
16 We paid the following accounts by cheque: R. Todd £310 less cash discount £15;
F. Dury £412 less cash discount £12.
20 Bought fixtures by cheque £4,320.
24 Bought lorry paying by cheque £14,300.
29 Received £324 cheque from A. Line.
30 Cash sales £980.
30 Bought stationery paying by cash £56.