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Exercise 16

Sales Invoicing and Debtors Statements

For all invoices and credit notes that you prepare today, use the date 14 April 2001

You will need to download the following documents and forms:

Tax Invoice (Blank Form)  
Tax Adjustment Note (Blank Form)
  Debtors Subsidiary Ledger  
  Journal Form (Sales, Sales Returns, Cash Receipts)  
  Statement for Birkdale Sports Club  
  Statement for Mansfield State High School  

Your tasks:

1

Birkdale Sports Club are now seeking a Tax Ajustment Note note for $50 for 5 soccer balls they returned and which were originally bought on Invoice A0332. It has been agreed that the $55 credit will be allowed ($50 for Goods and $5 for GST). Prepare this Tax Adjustment Note. Enter the Tax Adjustment Note in the Sales Returns Journal and make an entry in the Debtors Ledger on Birkdale Sports Club’s account.

For more information on Tax Adjustment Notes click here.

2
Prepare an invoice for Birkdale Sports Club for the following goods they have ordered on Purchase Order No. 736. - see below:

Birkdale Sports Club

Purchase Order

No: 736
Qty
Description
Price ea.
Amount
10
Coaching Manuals
15.00
150.00
20
Coaching Course Fees – 10 persons
50.00
1000.00

You should add 10% Goods and Services Tax (GST)

3
Enter the Tax Invoice you have just created in the Sales Journal and make an entry in the Debtors Ledger on Birkdale Sports Club’s account.
4
A cheque arrived for Birkdale Sports Club of $150.00 for payment of their account. Record this cash receipt in the Cash Receipts Journal and make an entry in the Debtors Ledger on Birkdale Sports Club’s account.
5
Prepare a statement for Birkdale Sports Club that includes all the above transactions as at the end of April. Work out the new amounts for “Current”, “30 Days” and “60 Days”, etc.
6
A cheque arrived from Mansfield State High School of $250.00 for payment of February invoices. Record this cash receipt in the Cash Receipts Journal and make an entry in the Debtors Ledger on Mansfield State Highn School’s account.
7
Prepare a Tax Invoice for Mansfield State High School for services rendered by XYZ Recreation Inc for a special coaching clinic on 5 April 2001. These services were as follows:
  • Coaching Services – 3 hours @ $60.00 / hr
  • Travel costs – $20.00
  • Materials used –- $50.00
You should add GST
8
Enter the sales invoice you have just created in the Sales Journal and make an entry in the Debtors Ledger on Mansfield State High School’s account.
9
Prepare a statement for Mansfield State High School that includes all the above transactions as at the end of April. Work out the amounts for “Current”, “30 Days” and “60 Days”, etc.

 

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What is the grand total of the invoice you created for Birkdale Sports Club (including GST) in 2. above?
What is your final balance on the Debtors Ledger for Birkdale Sports Club after you have completed tasks 1, 2, 3 and 4 above.

From your updated statement for Birkdale Sports Club(as at end of April), how was the total amount aged?

In other words how much was “Current” , “30 Days” and “60 Days”

What is the grand total of the invoice you created for Mansfield High School (including GST) in 7. above?
What is your final balance on the Debtors Ledger for Mansfield State High School after you have completed tasks 6, 7and 8 above.

From your updated statement for Mansfield High School (as at end of April), how was the total amount aged?

In other words how much was “Current” , “30 Days” and “60 Days”

 

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