Q BgQuestion:

      
Rookie
Karma Points: 10
Respect (100%):
posted by  Mr. J on 11/3/2009 11:34:03 AM  |  status: Live  |  Earned Karma: 10

Accounts

Course Textbook Chapter Problem Needs by
N/A N/A N/A N/A 11/6/2009 at 11:00:00 PM
Question Details:
 20X9

Jan. 1               John Brown started a business with $80,000 lodged to a current account

opened for the business.

Jan. 2             Paid rent for January by cheque $4,000.

Jan. 3               Paid for office furniture by cheque$ 15,000.

Jan. 3               Bought goods for resale by cheque $20,000.

Jan. 3             Sold goods for cash $10,000.

Jan. 4             Sold goods on credit to V. Newman $4,000.

Jan. 5               Sold goods on credit to A. Russell $2,000.
Jan. 6             V. Newman settled his account with cash receiving a 2% cash discount.

Jan. 6             Goods valued at $250, sold for cash to D. Daniels on January 3, was

returned to John Brown as damaged. A credit note was given to Daniels.

Jan. 7             Sold goods on credit to Success Ltd. $3,300.

Jan. 8             Bought goods on credit from A. Lowe $12,000.

Jan. 11             Bought stationery for cash $1,200.

Jan. 12           Paid wages by cash $1,000.

Jan. 15           Bought goods on credit from J. Morgan $7,500.

Jan. 18           Lodged cash of $9,500 to the business bank account.

Jan. 20           Paid A. Lowe $10,800 in full settlement of the balance outstanding by

cheque.

Jan. 23           Bought equipment on credit from Computer Ltd. for $50,000.

Jan. 27           Purchased goods on credit from A. Lowe for $8,000.

Jan. 30           Paid wages by cash $1,000.

(b) Post the transactions recorded above to the relevant General Ledger and extract a Trial
Balance on January 31, 20X9.

(c) Assuming a closing stock of $38,000, prepare an Income Statement for the month ended
January 31, 20X9 and a Balance Sheet as at that date.

AAnswers:

Answer Question Ask for clarification

No one has answered this question yet.

Be the first to answer. Earn up to 6 karma points.

Answer Question Ask for clarificarion

Join Cramster's Community

Cramster.com brings together students, educators and subject enthusiasts in an online study community. With around-the-clock expert help and a community of over 100,000 knowledgeable members, you can find the help you need, whenever you need it. Join for free today » How Cramster is different from tutoring »