Recording Credit and Sundry Transactions

In This Topic we will cover the following;

Learner Guide Information

At the end of this learner guide the learner will be able to understand the following

• Explain why offering credit can benefit a business, while also focusing on the risk associated with offering credit to customers;
• Define credit transactions
• Record credit purchases in the creditors journal from original credit invoices;
• Record original credit notes in the creditors allowance journal;
• Record credit sales in the debtor’s journal from duplicate credit invoices
• Record duplicate credit notes in the debtors’ allowances journal
• Record sundry transactions in the general journal;
• Complete a comprehensive exercise in which all subsidiary journals are combined
• Account for Vat in the journals by recording a variety of different transactions that involve standard rated, zero-rated, exempt and non-allowable items;
• Post a completed set of subsidiary journals to the general ledger;
• Balance the ledger accounts and draft a trial balance.

Download the learner guide and activity, once completed upload it on the assignment area.