Need help journalising the
transactions.
| Transactions | |||
| June | 1 | The owner opened a bank account for the business with a deposit of $25,600. This is capital provided by him. | |
| 1 | Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $33,500 and computer equipment for the shop from Computer Wizards for $4,200. These were paid for with a loan of $30,800 from the bank and cheque for $6,900 from the business bank account. The bank loan is repayable over 3 years. | ||
| 1 | Paid $4,570 for a 1-year insurance policy covering fire, theft, and public liability. | ||
| 2 | Purchased inventory (skateboards and protective gear) from Excitement Plus for $17,200 on terms on net 30. | ||
| 5 | Paid $1,500 to Local Newspapers for advertising for the shop for the month. | ||
| 6 | Cash sale of a skateboard and protective gear for $440 (cost of sales $155). | ||
| 7 | Purchased surfboards and wetsuits from Surf Imports for $15,900 on terms of 10/10, n/30. | ||
| 8 | Returned some protective gear to Excitement Plus that was faulty and received an adjustment note (credit note) from them for $180. | ||
| 9 | Credit sale to Serious Fun of skateboards and protective gear for $4,200 (cost of sales $1,760). This customer was given terms of 5/10, n/30. | ||
| 11 | Paid Surf Imports the amount owing to them less the prompt payment discount. | ||
| 12 | Credit sale to Surfing World of various inventory items for $6,760 (cost of sales $3,210). Terms net 30. | ||
| 13 | Cash purchase of stationery from Officeworks for $290. | ||
| 14 | Credit sale to Academy Diving School of 20 wetsuits at a discounted price of $210 each on terms of net 15. Cost of sales $2,210. | ||
| 18 | Received a cheque from Serious Fun for the amount owing by them after deducting the prompt payment discount. | ||
| 19 | Cash sale of inventory to the value of $840 (cost of sales $370). | ||
| 20 | Issued an adjustment note (credit note) to Academy Diving School for 1 wetsuit at $210 each that was not the size they required. The cost of the wetsuit to us was $180 and it was put back into inventory. | ||
| 24 | Paid Excitement Plus $5,000 of the amount owing to them. | ||
| 25 | Credit sale to Serious Fun of skateboards for $6,230 (cost of sales $2,700). Terms 5/10, n/30. | ||
| 26 | Purchased wetsuits from Surf Imports for $6,000 on terms of 10/10, n/30. | ||
| 27 | Received and banked a cheque from Academy Diving School for the amount owing by them. | ||
| 30 | The owner cashed a cheque for $1,760 to pay wages to Scott Walker the sales assistant of $890 less PAYG Withholding of $40, and $910 drawings for himself. | ||
Journalise the June transactions
Homework Answers
| Date | Account Titles | Debit | Credit |
| 1-Jun | Cash | $ 25,600 | |
| Owner's Capital | $ 25,600 | ||
| 1-Jun | Shop Equipment | $ 33,500 | |
| Computer Equipment | $ 4,200 | ||
| Cash | $ 6,900 | ||
| Notes Payable | $ 30,800 | ||
| 1-Jun | Prepaid Insurance | $ 4,570 | |
| Cash | $ 4,570 | ||
| 2-Jun | Inventory | $ 17,200 | |
| Accounts Payable - Excitement Plus | $ 17,200 | ||
| 5-Jun | Advertising Expense | $ 1,500 | |
| Cash | $ 1,500 | ||
| 6-Jun | Cash | $ 440 | |
| Sales Revenue | $ 440 | ||
| Cost of Goods Sold | $ 155 | ||
| Inventory | $ 155 | ||
| 7-Jun | Inventory | $ 15,900 | |
| Accounts Payable - Surf Imports | $ 15,900 | ||
| 8-Jun | Accounts Payable - Excitement Plus | $ 180 | |
| Inventory | $ 180 | ||
| 9-Jun | Accounts Receivable - Serious Fun | $ 4,200 | |
| Sales Revenue | $ 4,200 | ||
| Cost of Goods Sold | $ 1,760 | ||
| Inventory | $ 1,760 | ||
| 11-Jun | Accounts Payable - Surf Imports | $ 15,900 | |
| Cash | $ 14,310 | ||
| Inventory | $ 1,590 | ||
| 12-Jun | Accounts Receivable - Surfing World | $ 6,760 | |
| Sales Revenue | $ 6,760 | ||
| Cost of Goods Sold | $ 3,210 | ||
| Inventory | $ 3,210 | ||
| 13-Jun | Stationery / Supplies | $ 290 | |
| Cash | $ 290 | ||
| 14-Jun | Accounts Receivable - Academy Diving | $ 4,200 | |
| Sales Revenue | $ 4,200 | ||
| Cost of Goods Sold | $ 2,210 | ||
| Inventory | $ 2,210 | ||
| 18-Jun | Cash | $ 3,990 | |
| Sales Discount | $ 210 | ||
| Accounts Receivable - Serious Fun | $ 4,200 | ||
| 19-Jun | Cash | $ 840 | |
| Sales Revenue | $ 840 | ||
| Cost of Goods Sold | $ 370 | ||
| Inventory | $ 370 | ||
| 20-Jun | Sales Returns and Allowances | $ 210 | |
| Accounts Receivable - Academy Diving | $ 210 | ||
| Inventory | $ 180 | ||
| Cost of Goods Sold | $ 180 | ||
| 24-Jun | Accounts Payable - Excitement Plus | $ 5,000 | |
| Cash | $ 5,000 | ||
|
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Transactions
June
1
The owner opened a bank account for the business with a deposit
of $20,000. This is capital provided by him.
1
Purchased display stands, shelving etc. (shop equipment) from
Shop Displays Pty Ltd for $26,100 and computer equipment for the
shop from Computer Wizards for $4,800. These were paid for with a
loan of $26,000 from the bank and cheque for $4,900 from the
business bank account. The bank loan is repayable over 4
years.
1
Paid...
100
Cash at bank
110
Accounts receivable
120
Inventory
130
Prepaid insurance
171
Shop equipment (cost)
172
Accumulated depreciation - shop equipment
200
Accounts payable
210
PAYG withholding payable
220
Superannuation payable
230
Bank loan
300
Capital
310
Drawings
320
Profit or loss summary
400
Sales revenue
410
Sales returns and allowances
420
Discount received
500
Cost of sales
600
Advertising expense
610
Depreciation expense
620
Discount allowed
630
Electricity expense
640
Insurance expense
650
Interest expense
660
Postage and...
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