A/c paper3 2008 q2 part b On 30 June 2008 the total of the - TopicsExpress

A/c paper3 2008 q2 part b On 30 June 2008 the total of the balances of the individual customers accounts in Gemmas sales ledger was P16 100.this did nt agree with the balance on the sales ledger control a/c at the same date. The following errors were then discovered: 1)B Moloko ws allowed cash discount of p20,which ws recorded correctly in the cashbuk bt hd been entered on the wrong side of Molokos alc. 2)goods to the value of p1200,sold on credit to H Gasenna,were nt entered in the books After the necessary corrections were made in the sales ledger control a/c the balance on this a/c was p17 260.no correcting errors were made in the individual sales ledger accounts. Required b)(i)prepare a statement reconciling the original total of the sales ledger balances with the control a/c balance(4marks) ii)explain three advantages of preparing control accounts(6)

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