The given information has been extracted from the books of Jarvis Plc, a Company dealing in the Electrical Appliances. They relate to the year ended 30 June 2012.
Notes:
a) 25% of the sales for the year were cash sales.
b) 80% of the purchases were credit purchases.
Required:
Question 1: Make the Sales Ledger Control Account and the Purchases Ledger Control Account for the year ended 30 June 2012 for Jarvis Plc.
Question 2: Describe how control accounts might be helpful to a business.
Question 3: Financial statements are made on the basis of established accounting concepts and must adhere to the rules and procedures set down in regulations. Describe the given accounting concepts:
a) Business Entity
b) Dual Aspect
c) Accruals
d) Going Concern