Akma received the following bank statement on 30 April 2014: Date Details Debit Credit Balance $ $ $ 1 April Balance 614 Dr 2 April Cheque – Stanning 88 702 Dr 10 April Cash receipt 1204 502 Cr 12 April Cheque - Chong 640 138 Dr 18 April Paying in – Trinity Stores 780 642 Cr 20 April Cheque – Pang 94 548 Cr 22 April Charges 16 532 Cr 25 April MDA Electricity – S.O. 104 428 Cr 28 April Dividend receipt 41 469 Cr Akma compared the bank statement with her cash book. REQUIRED

1. (a)Bring the cash book of Akma up to date. Balance the cash book and bring down the balance. Cash Book (bank columns) $ $ 8 April Sales 1204 1 April Balance b/d 614 18 April Trinity Stores 780 2 April Stanning 88 23 April Xain 73 8 April Chong 640 24 April Li Ye 37 23 April Zaine 59 27 April Pang 94 [5]
2. (b)Prepare the bank reconciliation statement at 30 April 2014. Bank Reconciliation Statement at 30 April 2014 Balance as per bank statement $ $ 469 Plus Less Balance as per cash book [4]
3. (c)State the meaning of the accounting abbreviation S.O.[1]
4. (d)On 1 April, Trinity Stores owed Akma $800. During the month of April, Akma recorded the following transactions with Trinity Stores. 8 April Akma supplied goods to Trinity Stores with a list price of $900, less 20% trade discount. 10 April Trinity Stores returned goods supplied by Akma on 8 April with a list price of $100. 18 April Trinity Stores paid the balance due on 1 April less 2½% cash discount. REQUIRED Prepare the account of Trinity Stores in the books of Akma. Balance the account and bring down the balance. Trinity Stores account Date Details $ Date Details $ [6]
5. (e)Name the document that Akma would issue to Trinity Stores on 10 April.[1]
6. (f)State two reasons why Akma might give Trinity Stores trade discount. 1 2[2]