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This is an Calculation Assignment not Writing Assignment, The Scope of the Question is About Assuming a financial transaction as in August 2020 Transaction then Analyze it by shown the impact of these transaction on the accounting, then implement the Accounting Cycle ( 9 Steps with the Calculation ) on these transaction. Assume your own Transaction Given and Cover all The business Cycle Transaction Structure for these Transactions. Cover the 9 steps in Business Cycle. PLEASE DO COVER ALL THE 9 STEPS CORRECTLY as they are all related and i will Upvote for you <3 thanks

Assignment (1) Accounting Cycle Assume that you are the Financial Accountant of a newly started business from your chosen in

The Accounting Cycle Learning Objective 4 State the required steps in the accounting cycle. Share capital Assets=liability to

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Follwoing are the transactiosn taken from the books of Mr. Gawaz, a sole trader as on 31 August 2020.

2020
1-Aug Started business with cash $50000 and bank $90000.
2-Aug Bought land and building by cheque $50000
3-Aug Bought machinery on credit from Shan $15000
8-Aug Bought goods for cash $12000
9-Aug Bought stationary for cash $1000.
12-Aug Paid wages $9000
15-Aug Paid rent $3000
18-Aug Paid electricity expenses $2000
19-Aug Sold goods on credit to Nelson $48000
20-Aug Sold goods for cash $94000
21-Aug Paid cheque to Shan $12000
22-Aug Received cheque from Nelson $25000
23-Aug Bought goods on credit from Hawal $14000
24-Aug Sold goods on credit to Fiyab $49000
25-Aug Returned goods to Hawal $500
26-Aug Fiyab returned goods to us $700
27-Aug Received cash from Fiyab 24000
28-Aug Paid cheque to Hawal $8000
29-Aug Paid insurance $1500

Step 1. Analysis :- All the above transactions are economic transactions relating to the above mentioned sole trader. So it can be recorded.

Step 2. Journalising:- General journal is used to record journal entries.

General journal

Date Details Dr. $ Cr.$
2020
1-Aug Cash A/c Dr. 50000
Bank A/c Dr. 90000
      Capital A/c Cr. 140000
2-Aug Land and Building A/c Dr. 50000
     Bank 50000
3-Aug Machinery A/c Dr. 15000
     Shan 15000
8-Aug Purchase A/c Dr. 12000
    Cash 12000
9-Aug Stationary A/c Dr. 1000
     Cash 1000
12-Aug Wages A/c Dr. 9000
     Cash 9000
15-Aug Rent A/c Dr. 3000
     Cash 3000
18-Aug Electricity A/c Dr. 2000
     Cash 2000
19-Aug Nelson A/c Dr. 48000
      Sales 48000
20-Aug Cash A/c Dr. 94000
      Sales 94000
21-Aug Shan A/c Dr. 12000
      Bank 12000
22-Aug Bank A/c Dr. 25000
      Nelson 25000
23-Aug Purchase A/c Dr. 14000
      Hawal 14000
24-Aug Fiyab A/c Dr. 49000
      Sales 49000
25-Aug Hawal A/c Dr. 500
      Purchase return 500
26-Aug Sales returns A/c Dr. 500
      Fiyab 500
27-Aug Cash A/c Dr. 24000
      Fiyab 24000
28-Aug Hawal A/c Dr. 8000
      Bank 8000
29-Aug Insurance A/c Dr. 1500
      Cash 1500

Step 3 ; Posting to Ledger :- Various accounts are used to psot all these entries

Cash book
Date Details Cash Bank Date Details Cash Bank
1-Aug Capital 50000 90000 2-Aug Lnad and Building 50000
20-Aug Sales 94000 8-Aug Purchases 12000
22-Aug Nelson 25000 9-Aug Stationary 1000
27-Aug Fiyab 24000 12-Aug Wages 9000
15-Aug Rent 3000
18-Aug Electricity 2000
21-Aug Shan 12000
28-Aug Hawal 8000
29-Aug Insurance 1500
31-Aug Balance c/d 164500 20000
193000 90000 193000 90000
1-Sep Balance b/d 164500 20000
Capital Account
Date Details $ Date Details $
1-Aug Cash 50000
31-Aug Balance c/d 140000 Bank 90000
140000 140000
1-Sep Balance b/d 140000
Land and Building
Date Details $ Date Details $
2-Aug Bank 50000
Sales
Date Details $ Date Details $
19-Aug Nelson 48000
20-Aug Cash 94000
31-Aug Balance c/d 191000 24 Fiyab 49000
191000 191000
1-Sep Balance b/d 191000
Purchases
Date Details $ Date Details $
8 Cash 12000
23 Hawal 14000
31-Aug Balance c/d 26000
26000 26000
1-Sep Balance b/d 26000
Stationary
Date Details $ Date Details $
8 Cash 1000
Wages
Date Details $ Date Details $
12 Cash 9000
Rent
Date Details $ Date Details $
15 Cash 3000
Electricity
Date Details $ Date Details $
12 Cash 2000
Insurance
Date Details $ Date Details $
29 Cash 1500
Machinery
Date Details $ Date Details $
3 Shan 15000
Shan
Date Details $ Date Details $
21 Bank 12000 3 Machinery 15000
31-Aug Balance c/d 3000
15000 15000
Balance b/d 3000
Nelson
Date Details $ Date Details $
19 Sales 48000 22 Bank 25000
31-Aug Balance c/d 23000
48000 48000
Balance b/d 23000
Hawal
Date Details $ Date Details $
25 Purchase return 500 23 Purchase 14000
28 Bank 8000
31-Aug Balance c/d Balance c/d 5500
14000
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