August Transactions

T1 On 12 August, as instructed, you transferred $440 from your trust account to your office account, in payment of costs as previously rendered in the matter of J. Drake ats Police. Also on 12 August you paid from office account, as principal, $55 (including $5 GST) to College Servers for service of the Statement of Claim in the matter of Murray v Brescia. On 15 August, as directed by D.Stockton and as her agent, you paid: $31,800 deposit to the agent, Chandos Real Estate and $11,600 duty to the Office of State Revenue. On 18 August you received from J. Brescia a bank cheque payable to your firm for $45,000 in full payment of Murrays claim. As instructed by M. Murray you accepted the cheque and banked it in your trust account. On the same date you rendered a bill for professional fees, $2500, and disbursements (plus GST) to M. Murray and forwarded to him a trust account statement both documents showing a proposed transfer from trust to office. On 22 August each partner drew, by separate cheques, $450 for drawings. On the same date, you settled A. Chappells purchase from Thomson. As directed by Chappell you paid from trust to office $132 as reimbursement for the cost of the pest report. You then prepared your bill of costs for $1300 (plus GST), delivering it to Chappell together with a trust account statement. On the same date, you received from A Phillips of Counsel her opinion on behalf of D. Stockton re Estate of T A Stockton deceased, with her memo of fees for $330, which you paid by trust account cheque. On the same date, you paid $545 from trust account to the Australian Securities & Investments Commission for fees on incorporation of Chandos Real Estate Pty Limited for Payne and Sanders. You then prepared your bill of costs for $400 (plus GST), delivering it to Payne and Sanders together with details of the amount paid by you as agent from your office account. On 26 August, with the authority of your clients, you transferred from your trust account to your office account by (one) cheque, amounts due to you for costs and fees paid as agent: (i) (ii) a/c A Chappell re Thomson a/c Payne & Sanders re Chandos Real Estate Pty Limited $811.80 $455.00

T2

T3

T4

T5

T6 T7

T8

T9

T10

(to calculate GST, look at office client ledger account to see whether any amounts with #, indicating no GST payable, deduct any such amount from total received and divide remainder by 11). T11 On 27 August, you received from A Chappell a cheque for $618.20 for the balance of his account re Thomson. Both this cheque and that to be received at T12 were banked on 28 August.

TOA U04 August Transactions WA 0309

Page 1 of 2

T12

Also on 27 August you prepared a bill of costs for $400 (plus GST) for appearing for J. Rowe (of 27 Taranto Road, Nedlands) in the Magistrates Court on a traffic matter on 22 August. J. Rowe came to your office and you gave him the bill. He gave you his personal cheque for $440 in payment. On 29 August M. Murray (of 4 High Street, Como) instructed you to act for him on the purchase of land from L. Bendick. He directed you to use the money held in trust for him: (i) (ii) to pay your bill with regard to the personal injury claim against Brescia to invest $40,000 at call in a Cash Management Trust at Macquarie Bank, St Georges Terrace in the name of the firm in trust for him. You did so the same day and were allocated investor number 9618-1169. Earnings are declared periodically and paid on the last day of each month to hold the balance in the trust account on account of costs and disbursements on the purchase.

T13

(iii)

The cheque in payment of your bill was banked on 1 September. T14 On the same date you received notice of dishonour of J Rowes cheque for $440 banked on 28 August. Note: It will be necessary to make an appropriate entry in your cash book as well as in the clients ledger.

TOA U04 August Transactions WA 0309

Page 2 of 2