Trial balance

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

20 October 2013 a started business with $20,000 cash and $11,000 stock.cash sales and cash purchases were $10,000 and $5,000. total sales and purchases amounted to $70,000 $50,000. outstanding creditors were $15,000 and debtors $25,000 .expenses paid $17,000.machine was purchased for $10,000 out of which $8,000 has been paid.trial balance total will be:

answer: $1,18,000

how?
its a bit tricky?
can anyone solve this?
pls!

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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20 October 2013 Analyse the every transaction effect and findout the balance of each ledger answer is correct

Debit balances

Cash $ 5000 + Stock $ 11000 + Purchase $ 50000 + Debtors $ 25000 + Expenses $ 17000 + Machinery $ 10000

Credit balances

Capital $ 31000 + Sales $ 70000 + Creditor $ 15000 + Creditors for machinery $ 2000

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