The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017).
Cash……………………………………. €1,686
Short term investments………………... 1,277
Accounts Payable………………………. 7,840
Accounts Receivable…………………… 2,670
Inventory………………………………. 5,638
Intangible Assets………………………. 2,694
Current borrowings…………………….. 500
Non-current borrowings………………... 1,683
Property Plant and Equipment………… 23,316
Share Capital-Ordinary………………… 24,594
Retained Earnings……………………… ?
Instructions: Prepare the journal entries for each of the transactions. (4 points each)
Adjust the accounts using the beginning balances.
Journal entries:-
Date |
Particulars |
Debit |
Credit |
Mortgates (Principle a/c Dr Interest on Mortgage a/c Dr To Cash a/c (Being Amount paid to Mortgage principle and interest) |
434 252 |
686 |
|
Advertisement Expenses a/c Dr To Accounts Payable a/c To Cash a/c (Being amount paid to Advertisements) |
872 |
372 500 |
|
Accounts Receivable a/c Dr Cash a/c Dr Make overs and make up a/c (Being income from Make overs and Make ups) |
10 410 |
420 |
|
Health insurance a/c Dr To Cash a/c ( Being amount paid to Health insurance for employees) |
32 |
32 |
|
Purchases a/c Dr To Accounts Payable (for Cosmotics) a/c ( Being purchase of Cosmetics) |
10800 |
10800 |
|
Cash a/c Dr Accounts Receivables a/c Dr To Sales (Being cosmetics sold) |
10236 5250 |
15486 |
|
Accounts Payable a/c Dr To Cash a/c (Being amount paid to Creditors) |
9238 |
9238 |
|
Wages a/c Dr To Cash a/c ( Being amount paid to wages) |
2400 |
2400 |
|
Utilities a/c Dr To Cash a/c ( Being amount paid to utilities) |
500 |
500 |
|
Dividends a/c Dr To Dividends Payables (Being Dividends Declared) |
900 |
900 |
|
Dividends payables a/c Dr To Cash (Being Dividend paid) |
900 |
900 |
|
Purchases a/c Dr To Cash a/c (Being Amount paid to Purchases ingredients) |
10200 |
10200 |
|
Cash a/c Dr To Accounts Receivables a/c ( Being amount received from Debtors) |
6900 |
6900 |
|
Income statement for the period 12/31/2017
Date |
Particulars |
Amount (Debit) |
Date |
Particulars |
Amount (Credit) |
To Mortgages a/c |
434 |
By Make over and make up a/c |
420 |
||
To interest on Mortgage a/c |
252 |
By Cosmetics a/c |
15486 |
||
To Advertisement Expenses a/c |
872 |
||||
To Health Insurance a/c |
32 |
||||
To Ingredient expenses a/c |
10800 |
||||
To Wages a/c |
2400 |
||||
To Utilities a/c |
500 |
||||
Gross profit Profit (15906-15290) |
616 |
||||
15906 |
15906 |
||||
COGS= 15290
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. (4 points each) Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
The following information relates to Paris Cosmetics. Ltd. for the year 2017 (1/1/2017). Cash……………………………………. €1,686 Short term investments………………... 1,277 Accounts Payable………………………. 7,840 Accounts Receivable…………………… 2,670 Inventory………………………………. 5,638 Intangible Assets………………………. 2,694 Current borrowings…………………….. 500 Non-current borrowings………………... 1,683 Property Plant and Equipment………… 23,316 Share Capital-Ordinary………………… 24,594 Retained Earnings……………………… ? Instructions: Prepare the journal entries for each of the transactions. Paid mortgages of €686, €252 of which was interest and the remainder of which was repayment of principal.(Hint: think about what kind of...
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