Question

Question 1 The adjusted trial balance for Mario's Pizza Palace at 30 June is presented below: Mario's Pizza Palace Adjusted trial balance as at 30 June 20XX Credit Account number 100 110 120 130 140 150 Debit 43,510 540 672 1,242 988 349 1,376 17,820 14,256 34,910 160 170 171 180 181 200 210 220 230 280 300 310 400 410 420 430 500 Account Cash Cash float Accounts receivable Inventory - food Inventory - packaging Prepaid advertising Prepaid insurance Motor vehicles (cost) Accumulated depreciation - motor vehicles Store equipment (cost) Accumulated depreciation - store equipment Accounts payable PAYG withholding payable Superannuation payable Wages payable Bank loan Owner's capital Owner's drawings Sales income Sales returns and allowances Discounts received Delivery income Food purchases Purchase returns and allowances 14,741 15,301 1,235 258 1,264 16,798 50,981 45,022 203,988 51 544 29 60,986 510 390

Answer:

Answer 1

Date	Account Titles and Explanation	Debit	Credit
June 30	Sales Income	$203,988
	Discount Received	$544
	Delivery Income	$29
	Profit or loss summary		$204,561
June 30	Purchase returns and allowance	$390
	Inventory - food	$1,775
	Inventory - packaging	$3,825
	Profit or loss summary		$5,990
June 30	Profit or loss summary	$175,535
	Inventory - food		$1,242
	Inventory - packaging		$988
	Food purchases		$60,986
	Packaging costs		$14,422
	Discount given		$282
	Freight inwards		$78
	Accountancy fees		$1,148
	Advertising expense		$3,906
	Bank charges		$768
	Depreciation		$7,055
	Electricity and gas expense		$2,844
	Insurance expense		$2,633
	Interest expense		$1,087
	Motor vehicles expense		$5,129
	Printing, postage and stationery expense		$483
	Rent expense		$27,716
	Repairs and maintenance expense		$712
	Sundry expenses		$290
	Superannuation expense		$3,430
	Telephone expense		$3,872
	Wages expense		$36,464
June 30	Income summary	$35,016
	Owner's Capital		$35,016
	(To record close the income summary account)
June 30	Owner's Capital	$45,022
	Owner's drawings		$45,022
Note: Closing balance of this not given
	Inventory - food
	Inventory - packaging
Assuming that balance would be
	Inventory - food	$1,775
	Inventory - packaging	$3,825