SOLUTION MANUAL FOR FRANK WOODS BUSINESS ACCOUNTING 13TH EDITION VOLUME 1 BY ALLAN SANGSTER, LEWIS GORDON

, Sangster, Frank Wood’s Business Accounting 1, 13th Edition, Solutions Manual




SOLUTION MANUAL FOR FRANK WOODS BUSINESS
ACCOUNTING 13TH EDITION VOLUME 1 BY ALLAN
SANGSTER, LEWIS GORDON
Answers

Note: To save time and space, the months are omitted in the Ledger accounts which follow. The day of
the month is shown in brackets.


Answer to Question 1.2A BA 1
(a) 76,200 (b) 25,800 (c) 15,200
(d) 52,050 (e) 52,000 (f ) 79,500


Answer to Question 1.4A BA 1
(a) Asset (f ) Asset
(b) Asset (g) Liability
(c) Liability (h) Liability
(d) Asset (i) Asset
(e) Asset


Answer to Question 1.6A BA 1
Assets List Wrong: Accounts payable, Capital.
Liabilities List Wrong: Loan to J Wilson, Equipment, Computers.


Answer to Question 1.8A BA 1
Fixtures 1,200  Van 6,000  Inventory 2,800  Bank 200  Cash 175  Total Assets 10,375.
Loan 2,500  Accounts payable 1,600  Capital (difference) 6,275.


Answer to Question 1.10A BA 1
M Kelly
Statement of Financial Position as at 30 June 2016
Non-current assets
Equipment 6,800
Current assets
Inventory 7,200
Accounts receivable 6,300
Cash at bank 4,200
17,700
Less Current liabilities
Accounts payable 8,200 9,500
16,300

Capital 16,300

, Sangster, Frank Wood’s Business Accounting 1, 13th Edition, Solutions Manual


Answer to Question 1.12A BA 1
Assets Liabilities Capital
(a) Van Accounts payable
(b) Cash Loan from F Duff
(c) Inventory
Bank
(d) Cash Capital
(e) Inventory
Accounts receivable
(f ) Inventory Accounts payable
(g) Cash Capital
(h) Bank Accounts payable


Answer to Question 1.14A BA 1
J Hill
Statement of Financial Position as at 7 December 2016
Non-current assets
Equipment 6,310
Car 7,300
13,610
Current assets
Inventory 8,480
Accounts receivable 3,320
Bank 9,510
Cash 485
21,795
35,405
Current liabilities
Accounts payable 1,760
33,645

Capital 33,645


Answer to Question 2.11A BA 1
Debited Credited Debited Credited
(a) Trailor Cash (b) J Tough Bank
(c) Loan from W Small Cash (d) Cash Trailor
(e) Office equipment Dexter Ltd (f ) Cash T Walls
(g) Bank L Tait (h) Bank Capital
(i) Cash Loan from F Burns (j) J Fife Cash

, Sangster, Frank Wood’s Business Accounting 1, 13th Edition, Solutions Manual


Answer to Question 2.14A BA 1
Bank Cash
(1) Capital 16,000 (2) Van 6,400 (12) Bank 180 (15) Office fixtures 120
(25) Cash 400 (12) Cash 180 (21) Loan: Berry 500 (25) Bank 400
(19) Carton Cars 7,100
(30) Office fixtures 480 Vans
(2) Bank 6,400
Office Fixtures (8) Carton Cars 7,100
(5) Old Ltd 900
(15) Cash 120 Old Ltd
(30) Bank 480 (5) Office fixtures 900

Capital Carton Cars
(1) Bank 16,000 (19) Bank 7,100 (8) Van 7,100

Loan from Berry
(21) Cash 500


Answer to Question 2.15A BA 1
Bank Cash
(1) Capital 18,000 (8) Cash 400 (1) Capital 1,500 (3) Computer 1,200
(2) Loan Fox 4,000 (15) Loan Fox 1,000 (8) Bank 400 (24) Loan Fox 500
(17) Drop 840

Computer
Loan: T Fox (3) Cash 1,200
(15) Bank 1,000 (2) Bank 4,000
(24) Cash 500

Drop Ltd
(17) Bank 840 (5) Display stands 840
Display Stands
(5) Drop 840
P Blake
(31) Printer 400
Capital Printer
(1) Cash 1,500 (31) P Blake 400
(1) Bank 18,000


Answer to Question 3.2A BA 1
Debited Credited Debited Credited
(a) Purchases B Cowan (b) Returns in L Keith
(c) C Riddle Filing cabs (d) Purchases Cash
(e) Lorry M Davies Ltd (f ) J Hicks Returns Out
(g) Bank M Peters (h) Purchases Bank
(i) F Toms Bank (j) S Mulligan Sales