Prepare a three-column cash book for KAAKYIRE for June 20X4, recording the following transactions: Opening balances: Cash GH¢5,000, Bank GH¢10,000. Transactions: June 3 - Sold goods for GH¢2,000 (GH¢1

The cash book has two sides: Debit (receipts) and Credit (payments). Each side has columns for Date, Particulars, L.F. (Ledger Folio), Discount, Cash, and Bank. The discount column on the debit side is for Discount Allowed, and on the credit side is for Discount Received.

On June 1, the cash balance of GH¢5,000 and bank balance of GH¢10,000 are recorded on the debit side as "Balance b/d".

• June 3: Sold goods for GH¢2,000. Received GH¢1,000 in cash and GH¢1,000 by bank transfer.
  • Debit Cash GH¢1,000, Debit Bank GH¢1,000. Particulars: Sales.
• June 5: Paid GH¢500 by cheque to a supplier.
  • Credit Bank GH¢500. Particulars: Supplier.
• June 10: Received GH¢200 cash discount for early payment to a creditor. This is a discount received.
  • Credit Discount Received GH¢200. Particulars: Creditor (Discount Received).
• June 12: Paid rent of GH¢1,000 in cash.
  • Credit Cash GH¢1,000. Particulars: Rent Expense.
• June 15: A customer pays GH¢3,000 by bank transfer and was allowed a discount of GH¢50.
  • Debit Bank GH¢3,000, Debit Discount Allowed GH¢50. Particulars: Customer.
• June 20: Withdrew GH¢2,000 from the bank for office use. This is a contra entry (C).
  • Debit Cash GH¢2,000 (To Bank), Credit Bank GH¢2,000 (By Cash).
• June 25: Paid salaries of GH¢1,500 in cash.
  • Credit Cash GH¢1,500. Particulars: Salaries Expense.
• June 30: Received GH¢500 cash from a customer, allowing a discount of GH¢20.
  • Debit Cash GH¢500, Debit Discount Allowed GH¢20. Particulars: Customer.

• Discount Allowed Total: GH¢$50 + 20 = 70$
• Discount Received Total: GH¢200
• Cash Column:
  • Debit Total: GH¢$5,000 + 1,000 + 2,000 + 500 = 8,500$
  • Credit Total: GH¢$1,000 + 1,500 = 2,500$
  • Balance c/d (Cash): GH¢$8,500 - 2,500 = 6,000$
• Bank Column:
  • Debit Total: GH¢$10,000 + 1,000 + 3,000 = 14,000$
  • Credit Total: GH¢$500 + 2,000 = 2,500$
  • Balance c/d (Bank): GH¢$14,000 - 2,500 = 11,500$

The balances c/d (carried down) on June 30 become balances b/d (brought down) on July