Question

On November 1, 2022, the following were the account balances of Sunland Equipment Repair. Debit Credit Cash $3,220 Accumulated Depreciation Equipment $ 500 Accounts Receivable 3,150 Accounts Payable 2,730 Supplies 1,550 Unearned Service Revenue 400 Equipment 10,430 Salaries and Wages Payable 860 Common Stock 10,430 Retained Earnings 3,430 $18,350 $18,350 During November, the following summary transactions were completed. Nov. Paid $1,220 for salaries due employees, of which $360 is for November and $860 is for October salaries 8 payable. 10 Received $1,820 cash from customers in payment of account. 12 Received $3,770 cash for services performed in November. 15 Purchased store equipment on account $3,610. 17 Purchased supplies on account $1,320. 20 Paid creditors $2,530 of accounts payable due. 22 Paid November rent $460. 25 Paid salaries $1,050. 27 Performed services on account worth $960 and billed customers. 29 Received $760 from customers for services to be performed in the future.

Answer 1

Sunland Equipment Repair Journal Enteries Date Particulars 8.11.2022 Salaries and Wages Payable a/c Salaries and Wages Expense a/c To Cash (Salary Paid) Dr. Dr. Debit in $ Credit in $ 860 360 1220 Dr. 1820 10.11.2022 Cash a/c To Accounts Receivable (Cash from debtors) 1820 Dr. 3770 12.11.2022 Cash a/c To Service Revenue (Services provided in cash) 3770 Dr. 3610 15.11.2022 Equipment a/c To Accounts Payable (Store Equipment on account) 3610 Dr. 1320 17.11.2022 Supplies a/c To Accounts Payable (Supplies on account) 1320 Dr. 2530 20.11.2022 Accounts Payable a/c To Cash (Creditors paid) 2530

Dr. Date Particulars 22.11.2022 Rent Expense a/c To Cash (Rent paid) Debit in $ Credit in $ 460 460 Dr. 1050 25.11.2022 Salaries and Wages Expense a/c To Cash (Salary Paid) 1050 Dr. 960 27.11.2022 Accounts Receivable a/c To Service Revenue (Services provided on account) 960 760 29.11.2022 Cash a/c Dr. To Unearned Service Revenue (Advance from client) 760 Adjusting Enteries Date Particulars 30.11.2022 Supplies Expense a/c Dr. To Supplies (Supplies expensed) 1550 + 1320 - 1120 Debit in $ Credit in $ 1750 1750 30.11.2022 Salaries and Wages Expense a/c Dr. To Salaries and Wages Payable (Salary accrued) 500 Dr. 270 30.11.2022 Depreciation Expense a/c To Accum. Depre - Equip. (To record depreciation) 270 Dr. 30.11.2022 Unearned Service Revenue a/c To Service Revenue (Revenue recognized) 500

Worksheet For the period ending 30.11.2022 500 Particulars Cash Accounts Receivable Supplies Equipment Accum. Depre - Equip. Accounts Payable Unearned Service Revenue Salaries and Wages Payable Common Stock Retained Earnings Service Revenue Rent Expense Supplies Expense Salaries and Wages Expense Depreciation Expense Totals Unadjusted Adjustments Adjusted Debit in $ Credit in $ Debit in $ Credit in $ Debit in $ Credit in $ 4310 4310 2290 2290 2870 1750 1120 14040 14040 270 770 5130 5130 1160 500 660 500 500 10430 10430 3430 3430 4730 500 5230 460 460 1750 1750 1410 500 1910 270 270 25380 25380 3020 3 020 26150 26150 5230 Statement of Income For the period ending 30.11.2022 Service Revenue Less: Rent Expense Supplies Expense Salaries and Wages Expense Depreciation Expense Net Income 460 1750 1910 270 4390 840 Statement of Retained Earnings For the period ending 30.11.2022 Beginning Balance Net Income 3430 840 4270

Amounts in $ Amounts in $ Balance sheet As at 30.11.2022 Assets Current Assets Cash Accounts Receivable Supplies Amounts in $ Amounts in $ Liabilities Current Liabilities 4310 Accounts Payable 2290 Unearned Service Revenue 1120 7720 Salaries and Wages Payable 5130 660 500 6290 Non Current Assets Equipment Accum. Depre - Equip Total Assets 14040 -770 Shareholders Equity Common Stock 13270 Retained Earnings 20990 Total Liabilities & Equity 10430 4270 14700 20990