Complete Accounting Cycle Exercise
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4.1 Jan Jansen opened Jan's Window Wasing on July 1, 2002. During July the following transactions were completed. July
1 Invested $8,000 cash in business. 1 Purchased used truck for $6,000, paying $3,000 cash and the balance on account. 3 Purchased cleaning supplies for $900 on account. 5 Paid $1,200 cash on one‐year insurance plicy effective March 1. 12 Billed customers $2,500 for cleaning servies. 18 Paid $1,000 cash on amount owed on truck and $500 on amount owed on cleaning supplies. 20 Paid $1,200 cash for employee salaries. 21 Collected $1,400 cash from customers billed on July 12. 25 Billed customers $3,000 for cleaning services. 31 Paid gas and oil for month on truck $200. 31 Withdrew $600 cash for personal use. The chart of accounts for Jan's Window Washing contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Cleaning Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated depreciation‐Equipment, No. 201 Accounts Payable, No. 212 Salaries Payable, No. 301 Jan Jansen, Capital, No. 306 Jan Jansen, Drawing, No. 350 Income Summary, No. 400 Fees Earned, No. 633 Gas & Oil Expense, No. 634 Cleaning Supplies Expense, No. 711 Depreciation Expense, No.722 Insurance Expense, No. 726 Salaries Expense.
Instructions: a.
Journalize and post the July transactions. Use J1 for the Journal and the three column form of account.
b.
Prepare a trial balance at July 31 on a work sheet.
c.
Enter the following adjustments on the work sheet and complete the work sheet. 1 Earned but unbilled fees at July 31 was $1,100. 2 Depreciatoin on equipment for the month was $200. 3 One‐twelfth of the insurance expired. 4 An inventory count shows $600 of cleaning supplies on hand at July 31. 5 Accured but unpaid employee salaries were $500.
d.
Prepare the Income Statement and Owner's Equity Statement for July and a Classisfied Balance Sheet at July 31.
e.
Journalize and post adjusting entries. Use page J2 for the Journal.
f.
Journalize and post closing entries and completed closing process. Use page J3 for the Journal.
g.
Prepare a Post‐Closing Trial Balance at July 31.
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1
a
General Journal Date July 1
Account Title and Explantion Cash Jan Jansen, Capital
J1 Ref.
Debit
101 301
8,000
157 101 201
6,000
128 201
900
130 101
1,200
112 400
2,500
201 101
1,500
736 101
1,200
101 112
1,400
112 400
3,000
633 101
200
306 101
600
Credit
8,000
(Invested cash in the business) 1
Equipment Cash Accounts Payable
3,000 3,000
(Purchased use truck paid half of amount) 3
Cleaning Supplies Accounts Payable
900
(Purchased cleaning supplies on account) 5
Prepaid Insurance Cash
1,200
(Paid cash for one‐year insurance policy) 12
Accounts Receivable Fees Earned
2,500
(Billed customer for cleaing services) 18
Accounts Payable Cash
1,500
(Paid cash amount owed on truck and supplies) 20
Salaries Expense Cash
1,200
(Paid salries for employee) 21
Cash Accounts Receivable
1,400
(Collected cash from customer bill on July 12) 25
Accounts Receivable Fees Earned
3,000
(Billed customeer for cleaning services) 31
Gas & Oil Expense Cash
200
(Paid cash for gas and oil bill) 31
Jan Jansen, Drawing Cash
600
(Owner withdrew for personal use)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 a
Page 1 of 2
General Ledger Cash Date July, 1 1 5 18 20 21 31 31
Explanation
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Date July, 12 21 25
Explanation
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services
J1 J1 J1
Debit 2,500
Credit 1,400
3,000
Cleaning Supplies Date July, 3
Explanation
Ref.
Purchased cleaning supplies on credit
July, 5
Explanation
No. 128 Balance 900
Debit 1,200
Credit
No. 130 Balance 1,200
Debit 6,000
Credit
No. 157 Balance 6,000
900
J1
Ref.
Paid cash for one‐year insurance policy
J1
Equipment Date July, 1
Explanation Purchase use truck
Ref. J1
Accumulated Depreciation‐Equipment Date
Explanation
Date
Explanation
Ref.
Debit
Credit
Debit
Credit 3,000 900
Accounts Payable July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
1,500
Salaries Payble Date
4.1 a
Explanation
Ref.
No. 112 Balance 2,500 1,100 4,100
Credit
Debit
Prepaid Insurance Date
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
Debit
Credit
No. 158 Balance
No. 201 Balance 3,000 3,900 2,400
No. 212 Balance
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Date July, 1
Explanation
Ref.
Invested cash in the business
Debit
Credit 8,000
J1
Jan Jansen, Drawing Date July, 31
Explanation
Ref.
Owner withdrew for personal use
Debit
Credit 600
J1
Income Summary Date
Explanation
Ref.
Date
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services
Credit
Debit
Credit 2,500 3,000
No. 400 Balance 2,500 5,500
Debit
Credit
Debit
J1 J1
Gas and Oil Expense Date July, 31
Explanation
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Date
Explanation
Date
Explanation
Date
Explanation
Date
Explanation
Ref.
Credit
No. 634 Balance
Debit
Credit
No. 711 Balance
Debit
Credit
No. 722 Balance
Debit 1,200
Credit
Insurance Expense Ref.
Salaries Expense July, 20
4.1 a
Paid cash for employee salries
Ref. J1
No. 633 Balance 200
Debit
Depreciation Expense Ref.
No. 306 Balance 600
No. 350 Balance
Fees Earned July, 12 25
No. 301 Balance 8,000
No. 726 Balance 1,200
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Jan's Window Washing Work Sheet For the month ended July, 31 Account Title Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Equipment
Trial Balance Dr. 1,700 4,100 900 1,200 6,000
H. Kohl, Capital
Salaries Expense Total
Cr.
(1) 1,100 (4) 300 (3) 100
600 5,500
Fees Earned Gas and Oil Expense
Dr.
2,400 8,000
Accounts Payable H. Kohl, Drawing
Cr.
Adjustment
200 1,200 15,900
(1) 1,100 (5) 400
Insurance Expense Cleaning Supplies Expense Salaries Payable Total Net Income Total
4.1 b and c
Balance Sheet Dr. 1,700 5,200 600 1,100 6,000
Cr.
2,400 8,000 600
15,900 (2) 200
Accumulated depre. Equip. Depreciation Expense
Adjusted Trial Income Statement Balance Dr. Cr. Dr. Cr. 1,700 5,200 600 1,100 6,000 2,400 8,000 600 6,600 6,600 200 200 1,600 1,600
(2) 200 (3) 100 (4) 300
200 200 100 300
2,100
(5) 400 2,100
17,600
200 200 100 300
400 17,600
2,400 4,200 6,600
6,600
15,200
6,600
15,200
400 11,000 4,200 15,200
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 1 of 2
Jan's Window Washing Income Statemet For the month ended July, 31 Revenues $ 6,600
Fees Earned
Expenses Gas & Oil Expense Salaries Expense Depreciation Expense Insurance Expense Cleaning Supplies Expense
$ 200 $ 1,600 $ 200 $ 100 $ 300
Total Expenses
$ 2,400
Net Income
$ 4,200
Jan's Window Washing Statement of Owner's Equity For the month ended July, 31
4.1 d
Jan Jansen, Capital July 1 Add: Investments Net Revenue
$ ‐ $ 8,000 $ 4,200 $ 12,200
Less: Drawings
$ 600
Jan Jansen, Capital July 31
$ 11,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan's Window Washing Balance Sheet For the month ended July, 31 Assets Current Assets Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Total Current Assets Property, Plant, and Equipment Equipment Less: Accumulated depreciation‐equipment
$ 1,700 $ 5,200 $ 600 $ 1,100 $ 8,600 $ 6,000 $ 200
Total Assets
$ 5,800 $ 14,400
Liabilities and Owner's Equipty Current Liablities Accounts Payable Salaries Payable Total Current Liablities
$ 2,800
Total Liablities
$ 2,800
Owner's Equity Jan Jansen, Capital
Total Liabilities and Owner's Equity
4.1 d
$ 2,400 $ 400
$ 11,600 $ 14,400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 e
General Journal Date July, 31 1
Account Title and Explantion Adjusting Entry Accounts Receivable Fees Earned
J2 Ref.
Debit
112 400
1,100
711 158
200
722 130
100
634 128
300
726 212
400
Credit
1,100
(To record accrued reveneu) 2
Depreciation Expense Accumulated depre. Equipment
200
(To record monthly depreciation on equipment) 3
Insurance Expense Prepaid Insurance
100
(To record insurance expired) 4
Cleaning Supplies Expense Cleaning Supplies
300
(To record Supplies used) 5
Salaries Expense Salaries Payable
400
(To record accued salaries)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1
Page 1 of 2
General Ledger Cash Explanation
Date July, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Explanation
Date July, 12 21 25 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj. Entry
J1 J1 J1 J2
Debit 2,500
Credit 1,400
3000 1,100
Cleaning Supplies Explanation
Date July, 3 31
Ref.
Purchased cleaning supplies on credit Adj. Entry
Debit
300
100
No. 130 Balance 1,200 1,100
Credit
Prepaid Insurance Explanation
Date July, 5 31
Ref.
Paid cash for one‐year insurance policy Adj. Entry
J1 J2
Debit 1,200
Credit
Equipment Explanation
Date July, 1
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 200
Accumulated Depreciation‐Equipment Explanation
Date July, 31
Adj. Entry
Ref.
Debit
200
J2
Accounts Payable Explanation
Date July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 3,000 900
No. 201 Balance 3,000 3,900 2,400
Credit
No. 212 Balance 400
1,500
Salaries Payble Explanation
Date July, 31
4.1 e
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,500 1,100 4,100 5,200 No. 128 Balance 900 600
900
J1 J2
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Explanation
Date July, 1
Ref.
Invested cash in the business
Debit
Credit 8,000
J1
Jan Jansen, Drawing Explanation
Date July, 31
Ref.
Owner withdrew for personal use
Debit
Credit 600
J1
Income Summary Explanation
Date
Ref.
July, 12 25 31
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry
Credit
Debit
Credit 2,500 3,000 1,100
No. 400 Balance 2,500 5,500 6,600
Debit
Credit
No. 633 Balance 200
Credit
No. 634 Balance 300
Credit
No. 711 Balance 200
Credit
No. 722 Balance 100
Debit
J1 J1 J2
Gas and Oil Expense Explanation
Date July, 31
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Explanation
Date July, 31
Ref.
Adj. Entry
Debit 300
J2
Depreciation Expense Explanation
Date July, 31
Ref.
Adj. Entry
Debit 200
J2
Insurance Expense Explanation
Date July, 31
Ref.
Adj. Entry
J2
Debit 100
Salaries Expense Date July, 20 31
4.1 e
Explanation Paid cash for employee salries Adj. Entry
Ref. J1 J2
No. 306 Balance 600
No. 350 Balance
Fees Earned Date
No. 301 Balance 8,000
Debit 1,200 400
Credit
No. 726 Balance 1,200 1,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 f
General Journal Date July, 31 31
Account Title and Explantion Closing Entry (1) Fees Earned Income Summary
J3 Ref.
Debit
400 350
6,600
350 633 634 711 722 726
2,400
350 301
4,200
301 306
600
Credit
6,600
(To closing Revenue account)
(2) 31
Income Summary Gas & Oil Expense Cleaning Supplies Expense Depreciation Expense Insurance Expense Salaries Expense
200 300 200 100 1,600
(To close Expenses account)
(3) 31
Income Summary Jan Jansen, Capital
4,200
(To close net income to capital)
(4) 31
Jan Jansen, Capital Jan Jansen, Drwaing
600
(To close drawing to capital)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 f
Page 1 of 2
General Ledger Cash Explanation
Date July, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Explanation
Date July, 12 21 25 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj. Entry
J1 J1 J1 J2
Debit 2,500
Credit 1,400
3000 1,100
Cleaning Supplies Explanation
Date July, 3 31
Ref.
Purchased cleaning supplies on credit Adj. Entry
Debit
300
100
No. 130 Balance 1,200 1,100
Credit
Prepaid Insurance Explanation
Date July, 5 31
Ref.
Paid cash for one‐year insurance policy Adj. Entry
J1 J2
Debit 1,200
Credit
Equipment Explanation
Date July, 1
Ref.
Purchase use truck
J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 200
Accumulated Depreciation‐Equipment Explanation
Date July, 31
Ref.
Adj. Entry
Debit
200
J2
Accounts Payable Explanation
Date July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 3,000 900
No. 201 Balance 3,000 3,900 2,400
Credit
No. 212 Balance 400
1,500
Salaries Payble Explanation
Date July, 31
4.1 f
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,500 1,100 4,100 5,200 No. 128 Balance 900 600
900
J1 J2
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Explanation
Date July, 1 31 31
Ref.
Invested cash in the business Closing Entry (3) Closing Entry (4)
Debit
J1 J3 J3
Credit 8,000 4,200 600
Jan Jansen, Drawing Explanation
Date July, 31 31
Ref.
Owner withdrew for personal use Closing Entry (4)
Debit
Credit 600
J1 J3
600
Income Summary Explanation
Date July, 31 31 31
Ref.
Closing Entry (1) Closing Entry (2) Closeing Entry (3)
J3 J3 J3
Debit
Credit 6,600
2,400 4,200
Fees Earned Explanation
Date July, 12 25 31 31
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry Closing Entry
J1 J1 J2 J3
Debit
Credit 2,500 3,000 1,100
6,600
Gas and Oil Expense Explanation
Date July, 31 31
Ref.
Paid cash for gas and oil on truck Closing Entry
Debit
July, 31 31
Explanation
Ref.
Adj. Entry Closing Entry
Debit
300
200
No. 711 Balance 200 0
100
No. 722 Balance 100 0
1,600
No. 726 Balance 1,200 1,600 0
Credit
Depreciation Expense Explanation
Date July, 31 31
Ref.
Adj. Entry Closing Entry
Debit
Credit 200
J2 J3
Insurance Expense Explanation
Date July, 31 31
Ref.
Adj. Entry Closing Entry
J2 J3
Debit
Credit 100
Salaries Expense Date July, 20 31 31
4.1 f
Explanation Paid cash for employee salries Adj. Entry Closing Entry
Ref. J1 J2 J3
Debit 1,200 400
No. 400 Balance 2,500 5,500 6,600 0
No. 634 Balance 300 0
300
J2 J3
No. 350 Balance 6,600 4,200 0
200
Credit
Cleaning Supplies Expense Date
No. 306 Balance 600 0
No. 633 Balance 200 0
200
J1 J3
No. 301 Balance 8,000 12,200 11,600
Credit
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 g
Jan's Window Washing Post‐Closing Trial Balance For the month ended July, 31 Debit Cash
$ 1,700
Accounts Receivable
$ 5,200
Cleaning Supplies
$ 600
Prepaid Insurance
$ 1,100
Equipment
$ 6,000
Credit
Accumulated depreciation‐equipment
$ 200
Accounts Payable
$ 2,400
Salaries Payable
$ 400
Jan Jansen, Capital
$ 11,600 $ 14,600
$ 14,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 Helga Hohl opened Helga's Carpet Cleaners on March 1. During, the following transactions were completed. March
1 Invested $10,000 cash in business. 1 Purchased used truck for $6,000, paying $4,000 cash and the balance on account. 3 Purchased cleaning supplies for $1,200 on account. 5 Paid $1,800 cash on one‐year insurance plicy effective March 1. 14 Billed customers $2,800 for cleaning servies. 18 Paid $1,500 cash on amount owed on truck and $500 on amount owed on cleaning supplies. 20 Paid $1,500 cash for employee salaries. 21 Collected $1,600 cash from customers billed on March 14. 28 Billed customers $3,200 for cleaning services. 31 Paid gas and oil for month on truck $200. 31 Withdrew $900 cash for personal use. The chart of accounts for Helga's Carpet Cleaners contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Cleaning Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated depreciation‐Equipment, No. 201 Accounts Payable, No. 212 Salaries Payable, No. 301 H. Kohl, Capital, No. 306 H. Kohl, Drawing, No. 350 Income Summary, No. 400 Fees Earned, No. 633 Gas & Oil Expense, No. 634 Cleaning Supplies Expense, No. 711 Depreciation Expense, No.722 Insurance Expense, No. 726 Salaries Expense.
Instructions: a.
Journalize and post the March transactions. Use J1 for the Journal and the three column form of account.
b.
Prepare a trial balance at March 31 on a work sheet.
c.
Enter the following adjustments on the work sheet and complete the work sheet. 1 Earned but unbilled fees at March 31 was $600. 2 Depreciatoin on equipment for the month was $250. 3 One‐twelfth of the insurance expired. 4 An inventory count shows $400 of cleaning supplies on hand at March 31. 5 Accured but unpaid employee salaries were $500.
d.
Prepare the Income Statement and Owner's Equity Statement for March and a Classisfied Balance Sheet at March 31.
e.
Journalize and post adjusting entries. Use page J2 for the Journal.
f.
Journalize and post closing entries and completed closing process. Use page J3 for the Journal.
g.
Prepare a Post‐Closing Trial Balance at March 31.
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
a
General Journal Date March 1
Account Title and Explantion Cash H. Kohl, Capital
J1 Ref.
Debit
101 301
10,000
157 101 201
6,000
128 201
1,200
130 101
1,800
112 400
2,800
201 101
2,000
726 101
1,500
101 112
1,600
112 400
3,200
633 101
200
306 101
900
Credit 10,000
(Invested cash in the business) 1
Equipment Cash Accounts Payable
4,000 2,000
(Purchase use truck) 3
Cleaning Supplies Accounts Payable
1,200
(Purchased Cleaning Supplies on credit) 5
Prepaid Insurance Cash
1,800
(Paid cash for one‐year insurance policy) 14
Accounts Receivable Fees Earned
2,800
(Billed customer for cleaing services) 18
Accounts Payable Cash
2,000
(Paid amount owed on truck and supplies) 20
Salaries Expense Cash
1,500
(Paid cash for employee salaries) 21
Cash Accounts Receivable
1,600
(Collected cash from customer billed on March 14)
28
Accounts Receivable Fees Earned
3,200
(Billed customer for cleaning services) 31
Gas & Oil Expense Cash
200
(Paid cash for gas and oil on truck) 31
H. Hohl, Drawing Cash
900
(Owner's withdrew for personal use)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Date March, 1 1 5 18 20 21 31 31
Explanation
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Date March, 14 21 28
Explanation
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services
J1 J1 J1
Debit 2,800
Credit 1,600
3,200
Cleaning Supplies Date March, 3
Explanation
Ref.
Purchased cleaning supplies on credit
J1
March, 5
Explanation
Ref.
Paid cash for one‐year insurance policy
J1
Credit
No. 128 Balance 1,200
Debit 1,800
Credit
No. 130 Balance 1,800
Debit 6,000
Credit
No. 157 Balance 6,000
Equipment Date March, 1
Explanation Purchase use truck
Ref. J1
Accumulated Depreciation‐Equipment Date
Explanation
Date
Explanation
Ref.
Debit
Credit
Debit
Credit 2,000 1,200
Accounts Payable March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
2,000
Salaries Payble Date
4.2 a
Explanation
Ref.
No. 112 Balance 2,800 1,200 4,400
Debit 1,200
Prepaid Insurance Date
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
Debit
Credit
No. 158 Balance
No. 201 Balance 2,000 3,200 1,200
No. 212 Balance
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Date March, 1
Explanation
Ref.
Invested cash in the business
Debit
Credit 10,000
J1
H. Kohl, Drawing Date March, 31
Explanation
Ref.
Owner withdrew for personal use
Debit
Credit 900
J1
Income Summary Date
Explanation
Ref.
Date
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services
Credit
Debit
Credit 2,800 3,200
No. 400 Balance 2,800 6,000
Debit
Credit
Debit
J1 J1
Gas and Oil Expense Date March, 31
Explanation
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Date
Explanation
Date
Explanation
Date
Explanation
Date
Explanation
Ref.
Credit
No. 634 Balance
Debit
Credit
No. 711 Balance
Debit
Credit
No. 722 Balance
Debit 1,500
Credit
Insurance Expense Ref.
Salaries Expense March, 20
4.2 a
Paid cash for employee salries
Ref. J1
No. 633 Balance 200
Debit
Depreciation Expense Ref.
No. 306 Balance 900
No. 350 Balance
Fees Earned March, 14 28
No. 301 Balance 10,000
No. 726 Balance 1,500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Helga's Carpet Cleaners Work Sheet For the month ended March, 31 Account Title Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Equipment
Trial Balance Dr. 1,200 4,400 1,200 1,800 6,000
H. Kohl, Capital
Salaries Expense Total
Cr.
(1) 600 (4) 800 (3) 150
900 6,000
Fees Earned Gas and Oil Expense
Dr.
1,200 10,000
Accounts Payable H. Kohl, Drawing
Cr.
Adjustment
200 1,500 17,200
(1) 600 (5) 500
Insurance Expense Cleaning Supplies Expense Salaries Payable Total Net Income Total
4.2 b and c
Balance Sheet Dr. 1,200 5,000 400 1,650 6,000
Cr.
1,200 10,000 900
17,200 (2) 250
Accumulated depre. Equip. Depreciation Expense
Adjusted Trial Income Statement Balance Dr. Cr. Dr. Cr. 1,200 5,000 400 1,650 6,000 1,200 10,000 900 6,600 6,600 200 200 2,000 2,000
(2) 250 (3) 150 (4) 800
250 250 150 800
2,300
(5) 500 2,300
18,550
250 250 150 800
500 18,550
3,400 3,200 6,600
6,600
15,150
6,600
15,150
500 11,950 3,200 15,150
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 1 of 2
Helga's Carpet Cleaners Income Statemet For the month ended March, 31 Revenues $ 6,600
Fees Earned
Expenses Gas & Oil Expense Salaries Expense Depreciation Expense Insurance Expense Cleaning Supplies Expense
$ 200 $ 2,000 $ 250 $ 150 $ 800
Total Expenses
$ 3,400
Net Income
$ 3,200
Helga's Carpet Cleaners Statement of Owner's Equity For the month ended March, 31
4.2 d
H. Kohl, Capital March 1 Add: Investments Net Revenue
$ ‐ $ 10,000 $ 3,200 $ 13,200
Less: Drawings
$ 900
H.Kohl, Capital March 31
$ 12,300
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Helga's Carpet Cleaners Balance Sheet For the month ended March, 31 Assets Current Assets
$ 1,200 $ 5,000 $ 400 $ 1,650 $ 8,250
Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Total Current Assets
Property, Plant, and Equipment Equipment Less: Accumulated depreciation‐equipment
$ 6,000 $ 250
Total Assets
$ 5,750 $ 14,000
Liabilities and Owner's Equipty Current Liablities Accounts Payable Salaries Payable
$ 1,200 $ 500
Total Current Liablities
$ 1,700
Total Liablities
$ 1,700
Owner's Equity
4.2 d
H. Kohl, Capital
$ 12,300
Total Liabilities and Owner's Equity
$ 14,000
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 e
General Journal Date March, 31 1
Account Title and Explantion Adjusting Entry Accounts Receivable Fees Earned
J2 Ref.
Debit
112 400
600
711 158
250
722 130
150
634 128
800
726 212
500
Credit
600
(To record accrued reveneu) 2
Depreciation Expense Accumulated depre. Equipment
250
(To record monthly depreciation on equipment) 3
Insurance Expense Prepaid Insurance
150
(To record insurance expired) 4
Cleaning Supplies Expense Cleaning Supplies
800
(To record Supplies used) 5
Salaries Expense Salaries Payable
500
(To record accued salaries)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Explanation
Date March, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Explanation
Date March, 14 21 28 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj.Entry
J1 J1 J1 J2
Debit 2,800
Credit 1,600
3,200 600
Cleaning Supplies Explanation
Date March, 28 31
Ref.
Purchased cleaning supplies on credit Adj.Entry
J1 J2
Debit 1,200
Date March, 5 31
Ref.
Paid cash for one‐year insurance policy Adj.Entry
J1 J2
Debit 1,800
800
150
No. 130 Balance 1,800 1,650
Credit
Credit
Equipment Explanation
Date March, 3
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 250
Accumulated Depreciation‐Equipment Explanation
Date March, 31
Adj.Entry
Ref.
Debit
250
J2
Accounts Payable Explanation
Date March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 2,000 1,200
No. 201 Balance 2,000 3,200 1,200
Credit
No. 212 Balance 500
2,000
Salaries Payble Explanation
Date March, 31
4.2 e
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,800 1,200 4,400 5,000 No. 128 Balance 1,200 400
Prepaid Insurance Explanation
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Explanation
Date March, 1
Ref.
Invested cash in the business
Debit
Credit 10,000
J1
H. Kohl, Drawing Explanation
Date March, 31
Ref.
Owner withdrew for personal use
Debit
Credit 900
J1
Income Summary Explanation
Date
Ref.
Explanation
Date
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry
Credit
Debit
Credit 2,800 3,200 600
No. 400 Balance 2,800 6,000 6,600
Debit
Credit
No. 633 Balance 200
Credit
No. 634 Balance 800
Credit
No. 711 Balance 250
Credit
No. 722 Balance 150
Debit
J1 J1 J2
Gas and Oil Expense Explanation
Date March, 31
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Explanation
Date March, 31
Ref.
Adj. Entry
Debit 800
J2
Depreciation Expense Explanation
Date March, 31
Ref.
Adj. Entry
Debit 250
J2
Insurance Expense Explanation
Date March, 31
Ref.
Adj. Entry
J2
Debit 150
Salaries Expense Date March, 20 31
4.2 e
Explanation Paid cash for employee salries Adj. Entry
Ref. J1 J2
No. 306 Balance 900
No. 350 Balance
Fees Earned March, 14 28 31
No. 301 Balance 10,000
Debit 1,500 500
Credit
No. 726 Balance 1,500 2,000
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 f
General Journal Date March, 31 31
Account Title and Explantion Closing Entry (1) Fees Earned Income Summary
J3 Ref.
Debit
400 350
6,600
350 633 634 711 722 726
3,400
350 301
3,200
301 306
900
Credit
6,600
(To closing Revenue account)
(2) 31
Income Summary Gas & Oil Expense Cleaning Supplies Expense Depreciation Expense Insurance Expense Salaries Expense
200 800 250 150 2,000
(To close Expenses account)
(3) 31
Income Summary H. Kohl, Capital
3,200
(To close net income to capital)
(4) 31
H. Kohl, Capital H. Kohl, Drwaing
900
(To close drawing to capital)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Explanation
Date March, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Explanation
Date March, 14 21 28 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj.Entry
J1 J1 J1 J2
Debit 2,800
Credit 1,600
3,200 600
Cleaning Supplies Explanation
Date March, 28 31
Ref.
Purchased cleaning supplies on credit Adj.Entry
J1 J2
Debit 1,200
Date March, 5 31
Ref.
Paid cash for one‐year insurance policy Adj.Entry
J1 J2
Debit 1,800
800
150
No. 130 Balance 1,800 1,650
Credit
Credit
Equipment Explanation
Date March, 3
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 250
Accumulated Depreciation‐Equipment Explanation
Date March, 31
Adj.Entry
Ref.
Debit
250
J2
Accounts Payable Explanation
Date March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 2,000 1,200
No. 201 Balance 2,000 3,200 1,200
Credit
No. 212 Balance 500
2,000
Salaries Payble Explanation
Date March, 31
4.2 f
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,800 1,200 4,400 5,000 No. 128 Balance 1,200 400
Prepaid Insurance Explanation
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Date March, 1 31 31
Explanation
Ref.
Invested cash in the business Closing Entry (3) Closing Entry (4)
Debit
J1 J3 J3
Credit 10,000 3,200 900
H. Kohl, Drawing Date March, 31 31
Explanation
Ref.
Owner withdrew for personal use Closing Entry (4)
Debit
Credit 900
J1 J3
900
Income Summary Date March, 31 31 31
Explanation
Ref.
Closing Entry (1) Closing Entry (2) Closing Entry (3)
J3 J3 J3
Debit
Credit 6,600
3,400 3,200
Fees Earned Date March, 14 28 31 31
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry Closing Entry
J1 J1 J2 J3
Debit
Credit 2,800 3,200 600
6,600
Gas and Oil Expense Date March, 31 31
Explanation
Ref.
Paid cash for gas and oil on truck Closing Entry (2)
Debit
Date
Explanation
Ref.
Adj. Entry Closing Entry (2)
Debit
800
250
No. 711 Balance 250 0
150
No. 722 Balance 150 0
2,000
No. 726 Balance 1,500 2,000 0
Credit
Depreciation Expense Date March, 31 31
Explanation
Ref.
Adj. Entry Closing Entry (2)
Debit
Credit 250
J2 J3
Insurance Expense Date March, 31 31
Explanation
Ref.
Adj. Entry Closing Entry (2)
J2 J3
Debit
Credit 150
Salaries Expense Date March, 20 31 31
4.2 f
Explanation Paid cash for employee salries Adj. Entry Closing Entry (2)
Ref. J1 J2 J3
Debit 1,500 500
No. 400 Balance 2,800 6,000 6,600 0
No. 634 Balance 800 0
800
J2 J3
No. 350 Balance 6,600 3,200 0
200
Credit
Cleaning Supplies Expense March, 31 31
No. 306 Balance 900 0
No. 633 Balance 200 0
200
J1 J3
No. 301 Balance 10,000 13,200 12,300
Credit
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 g
Helga's Carpet Cleaners Post‐Closing Trial Balance For the month ended March, 31 Debit Cash
$ 1,200
Accounts Receivable
$ 5,000
Cleaning Supplies
$ 400
Prepaid Insurance
$ 1,650
Equipment
$ 6,000
Credit
Accumulated depreciation‐equipment
$ 250
Accounts Payable
$ 1,200
Salaries Payable
$ 500
H. Kohl, Capital
$ 12,300 $ 14,250
$ 14,250
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
1 Invested $8,000 cash in business. 1 Purchased used truck for $6,000, paying $3,000 cash and the balance on account. 3 Purchased cleaning supplies for $900 on account. 5 Paid $1,200 cash on one‐year insurance plicy effective March 1. 12 Billed customers $2,500 for cleaning servies. 18 Paid $1,000 cash on amount owed on truck and $500 on amount owed on cleaning supplies. 20 Paid $1,200 cash for employee salaries. 21 Collected $1,400 cash from customers billed on July 12. 25 Billed customers $3,000 for cleaning services. 31 Paid gas and oil for month on truck $200. 31 Withdrew $600 cash for personal use. The chart of accounts for Jan's Window Washing contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Cleaning Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated depreciation‐Equipment, No. 201 Accounts Payable, No. 212 Salaries Payable, No. 301 Jan Jansen, Capital, No. 306 Jan Jansen, Drawing, No. 350 Income Summary, No. 400 Fees Earned, No. 633 Gas & Oil Expense, No. 634 Cleaning Supplies Expense, No. 711 Depreciation Expense, No.722 Insurance Expense, No. 726 Salaries Expense.
Instructions: a.
Journalize and post the July transactions. Use J1 for the Journal and the three column form of account.
b.
Prepare a trial balance at July 31 on a work sheet.
c.
Enter the following adjustments on the work sheet and complete the work sheet. 1 Earned but unbilled fees at July 31 was $1,100. 2 Depreciatoin on equipment for the month was $200. 3 One‐twelfth of the insurance expired. 4 An inventory count shows $600 of cleaning supplies on hand at July 31. 5 Accured but unpaid employee salaries were $500.
d.
Prepare the Income Statement and Owner's Equity Statement for July and a Classisfied Balance Sheet at July 31.
e.
Journalize and post adjusting entries. Use page J2 for the Journal.
f.
Journalize and post closing entries and completed closing process. Use page J3 for the Journal.
g.
Prepare a Post‐Closing Trial Balance at July 31.
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1
a
General Journal Date July 1
Account Title and Explantion Cash Jan Jansen, Capital
J1 Ref.
Debit
101 301
8,000
157 101 201
6,000
128 201
900
130 101
1,200
112 400
2,500
201 101
1,500
736 101
1,200
101 112
1,400
112 400
3,000
633 101
200
306 101
600
Credit
8,000
(Invested cash in the business) 1
Equipment Cash Accounts Payable
3,000 3,000
(Purchased use truck paid half of amount) 3
Cleaning Supplies Accounts Payable
900
(Purchased cleaning supplies on account) 5
Prepaid Insurance Cash
1,200
(Paid cash for one‐year insurance policy) 12
Accounts Receivable Fees Earned
2,500
(Billed customer for cleaing services) 18
Accounts Payable Cash
1,500
(Paid cash amount owed on truck and supplies) 20
Salaries Expense Cash
1,200
(Paid salries for employee) 21
Cash Accounts Receivable
1,400
(Collected cash from customer bill on July 12) 25
Accounts Receivable Fees Earned
3,000
(Billed customeer for cleaning services) 31
Gas & Oil Expense Cash
200
(Paid cash for gas and oil bill) 31
Jan Jansen, Drawing Cash
600
(Owner withdrew for personal use)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 a
Page 1 of 2
General Ledger Cash Date July, 1 1 5 18 20 21 31 31
Explanation
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Date July, 12 21 25
Explanation
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services
J1 J1 J1
Debit 2,500
Credit 1,400
3,000
Cleaning Supplies Date July, 3
Explanation
Ref.
Purchased cleaning supplies on credit
July, 5
Explanation
No. 128 Balance 900
Debit 1,200
Credit
No. 130 Balance 1,200
Debit 6,000
Credit
No. 157 Balance 6,000
900
J1
Ref.
Paid cash for one‐year insurance policy
J1
Equipment Date July, 1
Explanation Purchase use truck
Ref. J1
Accumulated Depreciation‐Equipment Date
Explanation
Date
Explanation
Ref.
Debit
Credit
Debit
Credit 3,000 900
Accounts Payable July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
1,500
Salaries Payble Date
4.1 a
Explanation
Ref.
No. 112 Balance 2,500 1,100 4,100
Credit
Debit
Prepaid Insurance Date
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
Debit
Credit
No. 158 Balance
No. 201 Balance 3,000 3,900 2,400
No. 212 Balance
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Date July, 1
Explanation
Ref.
Invested cash in the business
Debit
Credit 8,000
J1
Jan Jansen, Drawing Date July, 31
Explanation
Ref.
Owner withdrew for personal use
Debit
Credit 600
J1
Income Summary Date
Explanation
Ref.
Date
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services
Credit
Debit
Credit 2,500 3,000
No. 400 Balance 2,500 5,500
Debit
Credit
Debit
J1 J1
Gas and Oil Expense Date July, 31
Explanation
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Date
Explanation
Date
Explanation
Date
Explanation
Date
Explanation
Ref.
Credit
No. 634 Balance
Debit
Credit
No. 711 Balance
Debit
Credit
No. 722 Balance
Debit 1,200
Credit
Insurance Expense Ref.
Salaries Expense July, 20
4.1 a
Paid cash for employee salries
Ref. J1
No. 633 Balance 200
Debit
Depreciation Expense Ref.
No. 306 Balance 600
No. 350 Balance
Fees Earned July, 12 25
No. 301 Balance 8,000
No. 726 Balance 1,200
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Jan's Window Washing Work Sheet For the month ended July, 31 Account Title Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Equipment
Trial Balance Dr. 1,700 4,100 900 1,200 6,000
H. Kohl, Capital
Salaries Expense Total
Cr.
(1) 1,100 (4) 300 (3) 100
600 5,500
Fees Earned Gas and Oil Expense
Dr.
2,400 8,000
Accounts Payable H. Kohl, Drawing
Cr.
Adjustment
200 1,200 15,900
(1) 1,100 (5) 400
Insurance Expense Cleaning Supplies Expense Salaries Payable Total Net Income Total
4.1 b and c
Balance Sheet Dr. 1,700 5,200 600 1,100 6,000
Cr.
2,400 8,000 600
15,900 (2) 200
Accumulated depre. Equip. Depreciation Expense
Adjusted Trial Income Statement Balance Dr. Cr. Dr. Cr. 1,700 5,200 600 1,100 6,000 2,400 8,000 600 6,600 6,600 200 200 1,600 1,600
(2) 200 (3) 100 (4) 300
200 200 100 300
2,100
(5) 400 2,100
17,600
200 200 100 300
400 17,600
2,400 4,200 6,600
6,600
15,200
6,600
15,200
400 11,000 4,200 15,200
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 1 of 2
Jan's Window Washing Income Statemet For the month ended July, 31 Revenues $ 6,600
Fees Earned
Expenses Gas & Oil Expense Salaries Expense Depreciation Expense Insurance Expense Cleaning Supplies Expense
$ 200 $ 1,600 $ 200 $ 100 $ 300
Total Expenses
$ 2,400
Net Income
$ 4,200
Jan's Window Washing Statement of Owner's Equity For the month ended July, 31
4.1 d
Jan Jansen, Capital July 1 Add: Investments Net Revenue
$ ‐ $ 8,000 $ 4,200 $ 12,200
Less: Drawings
$ 600
Jan Jansen, Capital July 31
$ 11,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan's Window Washing Balance Sheet For the month ended July, 31 Assets Current Assets Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Total Current Assets Property, Plant, and Equipment Equipment Less: Accumulated depreciation‐equipment
$ 1,700 $ 5,200 $ 600 $ 1,100 $ 8,600 $ 6,000 $ 200
Total Assets
$ 5,800 $ 14,400
Liabilities and Owner's Equipty Current Liablities Accounts Payable Salaries Payable Total Current Liablities
$ 2,800
Total Liablities
$ 2,800
Owner's Equity Jan Jansen, Capital
Total Liabilities and Owner's Equity
4.1 d
$ 2,400 $ 400
$ 11,600 $ 14,400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 e
General Journal Date July, 31 1
Account Title and Explantion Adjusting Entry Accounts Receivable Fees Earned
J2 Ref.
Debit
112 400
1,100
711 158
200
722 130
100
634 128
300
726 212
400
Credit
1,100
(To record accrued reveneu) 2
Depreciation Expense Accumulated depre. Equipment
200
(To record monthly depreciation on equipment) 3
Insurance Expense Prepaid Insurance
100
(To record insurance expired) 4
Cleaning Supplies Expense Cleaning Supplies
300
(To record Supplies used) 5
Salaries Expense Salaries Payable
400
(To record accued salaries)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1
Page 1 of 2
General Ledger Cash Explanation
Date July, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Explanation
Date July, 12 21 25 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj. Entry
J1 J1 J1 J2
Debit 2,500
Credit 1,400
3000 1,100
Cleaning Supplies Explanation
Date July, 3 31
Ref.
Purchased cleaning supplies on credit Adj. Entry
Debit
300
100
No. 130 Balance 1,200 1,100
Credit
Prepaid Insurance Explanation
Date July, 5 31
Ref.
Paid cash for one‐year insurance policy Adj. Entry
J1 J2
Debit 1,200
Credit
Equipment Explanation
Date July, 1
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 200
Accumulated Depreciation‐Equipment Explanation
Date July, 31
Adj. Entry
Ref.
Debit
200
J2
Accounts Payable Explanation
Date July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 3,000 900
No. 201 Balance 3,000 3,900 2,400
Credit
No. 212 Balance 400
1,500
Salaries Payble Explanation
Date July, 31
4.1 e
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,500 1,100 4,100 5,200 No. 128 Balance 900 600
900
J1 J2
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Explanation
Date July, 1
Ref.
Invested cash in the business
Debit
Credit 8,000
J1
Jan Jansen, Drawing Explanation
Date July, 31
Ref.
Owner withdrew for personal use
Debit
Credit 600
J1
Income Summary Explanation
Date
Ref.
July, 12 25 31
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry
Credit
Debit
Credit 2,500 3,000 1,100
No. 400 Balance 2,500 5,500 6,600
Debit
Credit
No. 633 Balance 200
Credit
No. 634 Balance 300
Credit
No. 711 Balance 200
Credit
No. 722 Balance 100
Debit
J1 J1 J2
Gas and Oil Expense Explanation
Date July, 31
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Explanation
Date July, 31
Ref.
Adj. Entry
Debit 300
J2
Depreciation Expense Explanation
Date July, 31
Ref.
Adj. Entry
Debit 200
J2
Insurance Expense Explanation
Date July, 31
Ref.
Adj. Entry
J2
Debit 100
Salaries Expense Date July, 20 31
4.1 e
Explanation Paid cash for employee salries Adj. Entry
Ref. J1 J2
No. 306 Balance 600
No. 350 Balance
Fees Earned Date
No. 301 Balance 8,000
Debit 1,200 400
Credit
No. 726 Balance 1,200 1,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 f
General Journal Date July, 31 31
Account Title and Explantion Closing Entry (1) Fees Earned Income Summary
J3 Ref.
Debit
400 350
6,600
350 633 634 711 722 726
2,400
350 301
4,200
301 306
600
Credit
6,600
(To closing Revenue account)
(2) 31
Income Summary Gas & Oil Expense Cleaning Supplies Expense Depreciation Expense Insurance Expense Salaries Expense
200 300 200 100 1,600
(To close Expenses account)
(3) 31
Income Summary Jan Jansen, Capital
4,200
(To close net income to capital)
(4) 31
Jan Jansen, Capital Jan Jansen, Drwaing
600
(To close drawing to capital)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 f
Page 1 of 2
General Ledger Cash Explanation
Date July, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck paid half of amount Paid cash for one‐year insurance policy Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 8,000
Credit 3,000 1,200 1,500 1,200
1,400 200 600
Accounts Receivable Explanation
Date July, 12 21 25 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj. Entry
J1 J1 J1 J2
Debit 2,500
Credit 1,400
3000 1,100
Cleaning Supplies Explanation
Date July, 3 31
Ref.
Purchased cleaning supplies on credit Adj. Entry
Debit
300
100
No. 130 Balance 1,200 1,100
Credit
Prepaid Insurance Explanation
Date July, 5 31
Ref.
Paid cash for one‐year insurance policy Adj. Entry
J1 J2
Debit 1,200
Credit
Equipment Explanation
Date July, 1
Ref.
Purchase use truck
J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 200
Accumulated Depreciation‐Equipment Explanation
Date July, 31
Ref.
Adj. Entry
Debit
200
J2
Accounts Payable Explanation
Date July, 1 3 28
Purchased use truck paid half of amount Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 3,000 900
No. 201 Balance 3,000 3,900 2,400
Credit
No. 212 Balance 400
1,500
Salaries Payble Explanation
Date July, 31
4.1 f
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,500 1,100 4,100 5,200 No. 128 Balance 900 600
900
J1 J2
No. 101 Balance 8,000 5,000 3,800 2,300 1,100 2,500 2,300 1,700
400
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Jan Jansen, Capital Explanation
Date July, 1 31 31
Ref.
Invested cash in the business Closing Entry (3) Closing Entry (4)
Debit
J1 J3 J3
Credit 8,000 4,200 600
Jan Jansen, Drawing Explanation
Date July, 31 31
Ref.
Owner withdrew for personal use Closing Entry (4)
Debit
Credit 600
J1 J3
600
Income Summary Explanation
Date July, 31 31 31
Ref.
Closing Entry (1) Closing Entry (2) Closeing Entry (3)
J3 J3 J3
Debit
Credit 6,600
2,400 4,200
Fees Earned Explanation
Date July, 12 25 31 31
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry Closing Entry
J1 J1 J2 J3
Debit
Credit 2,500 3,000 1,100
6,600
Gas and Oil Expense Explanation
Date July, 31 31
Ref.
Paid cash for gas and oil on truck Closing Entry
Debit
July, 31 31
Explanation
Ref.
Adj. Entry Closing Entry
Debit
300
200
No. 711 Balance 200 0
100
No. 722 Balance 100 0
1,600
No. 726 Balance 1,200 1,600 0
Credit
Depreciation Expense Explanation
Date July, 31 31
Ref.
Adj. Entry Closing Entry
Debit
Credit 200
J2 J3
Insurance Expense Explanation
Date July, 31 31
Ref.
Adj. Entry Closing Entry
J2 J3
Debit
Credit 100
Salaries Expense Date July, 20 31 31
4.1 f
Explanation Paid cash for employee salries Adj. Entry Closing Entry
Ref. J1 J2 J3
Debit 1,200 400
No. 400 Balance 2,500 5,500 6,600 0
No. 634 Balance 300 0
300
J2 J3
No. 350 Balance 6,600 4,200 0
200
Credit
Cleaning Supplies Expense Date
No. 306 Balance 600 0
No. 633 Balance 200 0
200
J1 J3
No. 301 Balance 8,000 12,200 11,600
Credit
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.1 g
Jan's Window Washing Post‐Closing Trial Balance For the month ended July, 31 Debit Cash
$ 1,700
Accounts Receivable
$ 5,200
Cleaning Supplies
$ 600
Prepaid Insurance
$ 1,100
Equipment
$ 6,000
Credit
Accumulated depreciation‐equipment
$ 200
Accounts Payable
$ 2,400
Salaries Payable
$ 400
Jan Jansen, Capital
$ 11,600 $ 14,600
$ 14,600
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 Helga Hohl opened Helga's Carpet Cleaners on March 1. During, the following transactions were completed. March
1 Invested $10,000 cash in business. 1 Purchased used truck for $6,000, paying $4,000 cash and the balance on account. 3 Purchased cleaning supplies for $1,200 on account. 5 Paid $1,800 cash on one‐year insurance plicy effective March 1. 14 Billed customers $2,800 for cleaning servies. 18 Paid $1,500 cash on amount owed on truck and $500 on amount owed on cleaning supplies. 20 Paid $1,500 cash for employee salaries. 21 Collected $1,600 cash from customers billed on March 14. 28 Billed customers $3,200 for cleaning services. 31 Paid gas and oil for month on truck $200. 31 Withdrew $900 cash for personal use. The chart of accounts for Helga's Carpet Cleaners contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Cleaning Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated depreciation‐Equipment, No. 201 Accounts Payable, No. 212 Salaries Payable, No. 301 H. Kohl, Capital, No. 306 H. Kohl, Drawing, No. 350 Income Summary, No. 400 Fees Earned, No. 633 Gas & Oil Expense, No. 634 Cleaning Supplies Expense, No. 711 Depreciation Expense, No.722 Insurance Expense, No. 726 Salaries Expense.
Instructions: a.
Journalize and post the March transactions. Use J1 for the Journal and the three column form of account.
b.
Prepare a trial balance at March 31 on a work sheet.
c.
Enter the following adjustments on the work sheet and complete the work sheet. 1 Earned but unbilled fees at March 31 was $600. 2 Depreciatoin on equipment for the month was $250. 3 One‐twelfth of the insurance expired. 4 An inventory count shows $400 of cleaning supplies on hand at March 31. 5 Accured but unpaid employee salaries were $500.
d.
Prepare the Income Statement and Owner's Equity Statement for March and a Classisfied Balance Sheet at March 31.
e.
Journalize and post adjusting entries. Use page J2 for the Journal.
f.
Journalize and post closing entries and completed closing process. Use page J3 for the Journal.
g.
Prepare a Post‐Closing Trial Balance at March 31.
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
a
General Journal Date March 1
Account Title and Explantion Cash H. Kohl, Capital
J1 Ref.
Debit
101 301
10,000
157 101 201
6,000
128 201
1,200
130 101
1,800
112 400
2,800
201 101
2,000
726 101
1,500
101 112
1,600
112 400
3,200
633 101
200
306 101
900
Credit 10,000
(Invested cash in the business) 1
Equipment Cash Accounts Payable
4,000 2,000
(Purchase use truck) 3
Cleaning Supplies Accounts Payable
1,200
(Purchased Cleaning Supplies on credit) 5
Prepaid Insurance Cash
1,800
(Paid cash for one‐year insurance policy) 14
Accounts Receivable Fees Earned
2,800
(Billed customer for cleaing services) 18
Accounts Payable Cash
2,000
(Paid amount owed on truck and supplies) 20
Salaries Expense Cash
1,500
(Paid cash for employee salaries) 21
Cash Accounts Receivable
1,600
(Collected cash from customer billed on March 14)
28
Accounts Receivable Fees Earned
3,200
(Billed customer for cleaning services) 31
Gas & Oil Expense Cash
200
(Paid cash for gas and oil on truck) 31
H. Hohl, Drawing Cash
900
(Owner's withdrew for personal use)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Date March, 1 1 5 18 20 21 31 31
Explanation
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Date March, 14 21 28
Explanation
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services
J1 J1 J1
Debit 2,800
Credit 1,600
3,200
Cleaning Supplies Date March, 3
Explanation
Ref.
Purchased cleaning supplies on credit
J1
March, 5
Explanation
Ref.
Paid cash for one‐year insurance policy
J1
Credit
No. 128 Balance 1,200
Debit 1,800
Credit
No. 130 Balance 1,800
Debit 6,000
Credit
No. 157 Balance 6,000
Equipment Date March, 1
Explanation Purchase use truck
Ref. J1
Accumulated Depreciation‐Equipment Date
Explanation
Date
Explanation
Ref.
Debit
Credit
Debit
Credit 2,000 1,200
Accounts Payable March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
2,000
Salaries Payble Date
4.2 a
Explanation
Ref.
No. 112 Balance 2,800 1,200 4,400
Debit 1,200
Prepaid Insurance Date
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
Debit
Credit
No. 158 Balance
No. 201 Balance 2,000 3,200 1,200
No. 212 Balance
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Date March, 1
Explanation
Ref.
Invested cash in the business
Debit
Credit 10,000
J1
H. Kohl, Drawing Date March, 31
Explanation
Ref.
Owner withdrew for personal use
Debit
Credit 900
J1
Income Summary Date
Explanation
Ref.
Date
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services
Credit
Debit
Credit 2,800 3,200
No. 400 Balance 2,800 6,000
Debit
Credit
Debit
J1 J1
Gas and Oil Expense Date March, 31
Explanation
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Date
Explanation
Date
Explanation
Date
Explanation
Date
Explanation
Ref.
Credit
No. 634 Balance
Debit
Credit
No. 711 Balance
Debit
Credit
No. 722 Balance
Debit 1,500
Credit
Insurance Expense Ref.
Salaries Expense March, 20
4.2 a
Paid cash for employee salries
Ref. J1
No. 633 Balance 200
Debit
Depreciation Expense Ref.
No. 306 Balance 900
No. 350 Balance
Fees Earned March, 14 28
No. 301 Balance 10,000
No. 726 Balance 1,500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Helga's Carpet Cleaners Work Sheet For the month ended March, 31 Account Title Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Equipment
Trial Balance Dr. 1,200 4,400 1,200 1,800 6,000
H. Kohl, Capital
Salaries Expense Total
Cr.
(1) 600 (4) 800 (3) 150
900 6,000
Fees Earned Gas and Oil Expense
Dr.
1,200 10,000
Accounts Payable H. Kohl, Drawing
Cr.
Adjustment
200 1,500 17,200
(1) 600 (5) 500
Insurance Expense Cleaning Supplies Expense Salaries Payable Total Net Income Total
4.2 b and c
Balance Sheet Dr. 1,200 5,000 400 1,650 6,000
Cr.
1,200 10,000 900
17,200 (2) 250
Accumulated depre. Equip. Depreciation Expense
Adjusted Trial Income Statement Balance Dr. Cr. Dr. Cr. 1,200 5,000 400 1,650 6,000 1,200 10,000 900 6,600 6,600 200 200 2,000 2,000
(2) 250 (3) 150 (4) 800
250 250 150 800
2,300
(5) 500 2,300
18,550
250 250 150 800
500 18,550
3,400 3,200 6,600
6,600
15,150
6,600
15,150
500 11,950 3,200 15,150
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 1 of 2
Helga's Carpet Cleaners Income Statemet For the month ended March, 31 Revenues $ 6,600
Fees Earned
Expenses Gas & Oil Expense Salaries Expense Depreciation Expense Insurance Expense Cleaning Supplies Expense
$ 200 $ 2,000 $ 250 $ 150 $ 800
Total Expenses
$ 3,400
Net Income
$ 3,200
Helga's Carpet Cleaners Statement of Owner's Equity For the month ended March, 31
4.2 d
H. Kohl, Capital March 1 Add: Investments Net Revenue
$ ‐ $ 10,000 $ 3,200 $ 13,200
Less: Drawings
$ 900
H.Kohl, Capital March 31
$ 12,300
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
Helga's Carpet Cleaners Balance Sheet For the month ended March, 31 Assets Current Assets
$ 1,200 $ 5,000 $ 400 $ 1,650 $ 8,250
Cash Accounts Receivable Cleaning Supplies Prepaid Insurance Total Current Assets
Property, Plant, and Equipment Equipment Less: Accumulated depreciation‐equipment
$ 6,000 $ 250
Total Assets
$ 5,750 $ 14,000
Liabilities and Owner's Equipty Current Liablities Accounts Payable Salaries Payable
$ 1,200 $ 500
Total Current Liablities
$ 1,700
Total Liablities
$ 1,700
Owner's Equity
4.2 d
H. Kohl, Capital
$ 12,300
Total Liabilities and Owner's Equity
$ 14,000
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 e
General Journal Date March, 31 1
Account Title and Explantion Adjusting Entry Accounts Receivable Fees Earned
J2 Ref.
Debit
112 400
600
711 158
250
722 130
150
634 128
800
726 212
500
Credit
600
(To record accrued reveneu) 2
Depreciation Expense Accumulated depre. Equipment
250
(To record monthly depreciation on equipment) 3
Insurance Expense Prepaid Insurance
150
(To record insurance expired) 4
Cleaning Supplies Expense Cleaning Supplies
800
(To record Supplies used) 5
Salaries Expense Salaries Payable
500
(To record accued salaries)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Explanation
Date March, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Explanation
Date March, 14 21 28 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj.Entry
J1 J1 J1 J2
Debit 2,800
Credit 1,600
3,200 600
Cleaning Supplies Explanation
Date March, 28 31
Ref.
Purchased cleaning supplies on credit Adj.Entry
J1 J2
Debit 1,200
Date March, 5 31
Ref.
Paid cash for one‐year insurance policy Adj.Entry
J1 J2
Debit 1,800
800
150
No. 130 Balance 1,800 1,650
Credit
Credit
Equipment Explanation
Date March, 3
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 250
Accumulated Depreciation‐Equipment Explanation
Date March, 31
Adj.Entry
Ref.
Debit
250
J2
Accounts Payable Explanation
Date March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 2,000 1,200
No. 201 Balance 2,000 3,200 1,200
Credit
No. 212 Balance 500
2,000
Salaries Payble Explanation
Date March, 31
4.2 e
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,800 1,200 4,400 5,000 No. 128 Balance 1,200 400
Prepaid Insurance Explanation
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Explanation
Date March, 1
Ref.
Invested cash in the business
Debit
Credit 10,000
J1
H. Kohl, Drawing Explanation
Date March, 31
Ref.
Owner withdrew for personal use
Debit
Credit 900
J1
Income Summary Explanation
Date
Ref.
Explanation
Date
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry
Credit
Debit
Credit 2,800 3,200 600
No. 400 Balance 2,800 6,000 6,600
Debit
Credit
No. 633 Balance 200
Credit
No. 634 Balance 800
Credit
No. 711 Balance 250
Credit
No. 722 Balance 150
Debit
J1 J1 J2
Gas and Oil Expense Explanation
Date March, 31
Ref.
Paid cash for gas and oil on truck
200
J1
Cleaning Supplies Expense Explanation
Date March, 31
Ref.
Adj. Entry
Debit 800
J2
Depreciation Expense Explanation
Date March, 31
Ref.
Adj. Entry
Debit 250
J2
Insurance Expense Explanation
Date March, 31
Ref.
Adj. Entry
J2
Debit 150
Salaries Expense Date March, 20 31
4.2 e
Explanation Paid cash for employee salries Adj. Entry
Ref. J1 J2
No. 306 Balance 900
No. 350 Balance
Fees Earned March, 14 28 31
No. 301 Balance 10,000
Debit 1,500 500
Credit
No. 726 Balance 1,500 2,000
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 f
General Journal Date March, 31 31
Account Title and Explantion Closing Entry (1) Fees Earned Income Summary
J3 Ref.
Debit
400 350
6,600
350 633 634 711 722 726
3,400
350 301
3,200
301 306
900
Credit
6,600
(To closing Revenue account)
(2) 31
Income Summary Gas & Oil Expense Cleaning Supplies Expense Depreciation Expense Insurance Expense Salaries Expense
200 800 250 150 2,000
(To close Expenses account)
(3) 31
Income Summary H. Kohl, Capital
3,200
(To close net income to capital)
(4) 31
H. Kohl, Capital H. Kohl, Drwaing
900
(To close drawing to capital)
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2
Page 1 of 2
General Ledger Cash Explanation
Date March, 1 1 5 18 20 21 31 31
Ref.
Invested Cash in business Purchased truck Paid cash for one‐year insurance Paid account owed on truck and supplies Paid cash for employee salaries Collected cash from customer billed Paid cash for gas and oil on truck Owner's withdrew for personal use
J1 J1 J1 J1 J1 J1 J1 J1
Debit 10,000
Credit 4,000 1,800 2,000 1,500
1,600 200 900
Accounts Receivable Explanation
Date March, 14 21 28 31
Ref.
Billed customer for cleaning services Collected cash from customer bill Billed customer for cleaning services Adj.Entry
J1 J1 J1 J2
Debit 2,800
Credit 1,600
3,200 600
Cleaning Supplies Explanation
Date March, 28 31
Ref.
Purchased cleaning supplies on credit Adj.Entry
J1 J2
Debit 1,200
Date March, 5 31
Ref.
Paid cash for one‐year insurance policy Adj.Entry
J1 J2
Debit 1,800
800
150
No. 130 Balance 1,800 1,650
Credit
Credit
Equipment Explanation
Date March, 3
Purchase use truck
Ref. J1
Debit 6,000
Credit
No. 157 Balance 6,000
Credit
No. 158 Balance 250
Accumulated Depreciation‐Equipment Explanation
Date March, 31
Adj.Entry
Ref.
Debit
250
J2
Accounts Payable Explanation
Date March, 1 3 28
Purchased use truck Purchased cleaning supplies on credit Paid amount owed on truck and supplies
Ref. J1 J1 J1
Debit
Credit 2,000 1,200
No. 201 Balance 2,000 3,200 1,200
Credit
No. 212 Balance 500
2,000
Salaries Payble Explanation
Date March, 31
4.2 f
Adj. Entry
Ref. J2
Debit
No. 112 Balance 2,800 1,200 4,400 5,000 No. 128 Balance 1,200 400
Prepaid Insurance Explanation
No. 101 Balance 10,000 6,000 4,200 2,200 700 2,300 2,100 1,200
500
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
Page 2 of 2
H. Kohl, Capital Date March, 1 31 31
Explanation
Ref.
Invested cash in the business Closing Entry (3) Closing Entry (4)
Debit
J1 J3 J3
Credit 10,000 3,200 900
H. Kohl, Drawing Date March, 31 31
Explanation
Ref.
Owner withdrew for personal use Closing Entry (4)
Debit
Credit 900
J1 J3
900
Income Summary Date March, 31 31 31
Explanation
Ref.
Closing Entry (1) Closing Entry (2) Closing Entry (3)
J3 J3 J3
Debit
Credit 6,600
3,400 3,200
Fees Earned Date March, 14 28 31 31
Explanation
Ref.
Billed customer for cleaing services Billed customer for cleaing services Adj. Entry Closing Entry
J1 J1 J2 J3
Debit
Credit 2,800 3,200 600
6,600
Gas and Oil Expense Date March, 31 31
Explanation
Ref.
Paid cash for gas and oil on truck Closing Entry (2)
Debit
Date
Explanation
Ref.
Adj. Entry Closing Entry (2)
Debit
800
250
No. 711 Balance 250 0
150
No. 722 Balance 150 0
2,000
No. 726 Balance 1,500 2,000 0
Credit
Depreciation Expense Date March, 31 31
Explanation
Ref.
Adj. Entry Closing Entry (2)
Debit
Credit 250
J2 J3
Insurance Expense Date March, 31 31
Explanation
Ref.
Adj. Entry Closing Entry (2)
J2 J3
Debit
Credit 150
Salaries Expense Date March, 20 31 31
4.2 f
Explanation Paid cash for employee salries Adj. Entry Closing Entry (2)
Ref. J1 J2 J3
Debit 1,500 500
No. 400 Balance 2,800 6,000 6,600 0
No. 634 Balance 800 0
800
J2 J3
No. 350 Balance 6,600 3,200 0
200
Credit
Cleaning Supplies Expense March, 31 31
No. 306 Balance 900 0
No. 633 Balance 200 0
200
J1 J3
No. 301 Balance 10,000 13,200 12,300
Credit
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
4.2 g
Helga's Carpet Cleaners Post‐Closing Trial Balance For the month ended March, 31 Debit Cash
$ 1,200
Accounts Receivable
$ 5,000
Cleaning Supplies
$ 400
Prepaid Insurance
$ 1,650
Equipment
$ 6,000
Credit
Accumulated depreciation‐equipment
$ 250
Accounts Payable
$ 1,200
Salaries Payable
$ 500
H. Kohl, Capital
$ 12,300 $ 14,250
$ 14,250
Promotion 9, Year I, Semester II, Stage I, Group D'1, Room E‐107 Mr. Proeun That Tel: 089 92 57 82
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