QUESTION:1 Draw a trial balance of john ltd and post the following items; ₦ Purchase 10,000
Capital 30,000
Land and building 6,500
Machinery 4,200
Wages 300
Sales 8,000
Stock 4,000
Insurance 600
Drawings 2,000
Rent receivable 4,000
Rent 3,500
Bill payable 2,100
Bill receivable 1,400
Profit Bought Forward ¬¬¬ 1,500
Equipment 13,000
Cash 4000
Bank 8,500
Creditors 10,000
Debtors 6,800
Carriage outward 300
Return inward 400
Return outward 300
Loan 5,000
Interest on loan 600
Bank overdraft 1,000

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

answer; institution;