The following balances/totals appeared in the General Ledger on 1 May 20.6: Capital R283 800; Drawings R10 000; Vehicle R131 000; Equipment R27 500 ; Trading stock R88 700; Bank (Cr) R2 000; Cash float R500; Loan: UBS R220 000; Sales R160 800; Cost of sales R100 500; Rent expense R80 000; Consumable stores R18 400; Wages and salaries R210 000.

Did you know that the concept of a general ledger dates back to the Venetian merchants in the 15th century? They needed a way to keep track of their business transactions as commerce flourished, leading to the development of double-entry bookkeeping. This method allowed them to track each transaction in a systematic way, ensuring accurate records and a clearer picture of their finances. When it comes to applying these principles in real life, businesses now utilize sophisticated accounting software that automates many of these processes. Imagine not needing to hand-write all those transactions! Modern tools can instantly generate financial statements, track income and expenditures, and even provide insights into cash flow, making accounting less daunting and more efficient. So, whether you’re balancing your personal budget or running a corporation, technology can make maintaining your books a breeze!