advanced accounting

Solution.xlsx

JE

1	Bank	50,000.00
			Investment	50,000.00
	* Owner investment
2	Machinery	9,200.00
			Bank	9,200.00
	* Purchase machinery cash
3	Bank	4,150.00
			Sales	4,150.00
	* Sales cash
4	Equipment	18,000.00
			A/P	18,000.00
	* Credit purchase - supplies
5	Bank	8,100.00
			Sales	8,100.00
	* Sales cash
6	Rent	500.00
			Bank	500.00
	* Feb rent payment
7	A/P	350.00
			Bank	350.00
	* Supplier payment (equipment JE-4)
8	Bank	1,400.00
			Sales	1,400.00
	* Sales cash
9.1	Depreciation - machinery	129.17
			Accumulated depreciation machinery	129.17
	*Purchase 9,200$ -use 4 years - residual value 3,000$
9.2	Depreciation - equipment	115.38
			Accumulated depreciation equipment	115.38
	*Purchase 18,000$ -use 13 years - no residual value

		ASSET				LIABILITY				EQUITY
	Bank				A/P				Investment
1	50,000.00	9,200.00	2	7	350.00	18,000.00	4			50,000.00
3	4,150.00	500.00	6					D	50,000.00	0.00	EB
5	8,100.00	350.00	7			17,650.00	EB
8	1,400.00
EB	53,600.00
									Withdrawal
	Machinery										E
2	9,200.00							EB	0.00
EB	9,200.00
									Sales
	Equipment							A	13,650.00	4,150.00	3
4	18,000.00									8,100.00	5
EB	18,000.00									1,400.00	8
										0.00	EB
	Accumulated depreciation - machinery								Rent
		129.17	9.1					6	500.00	500.00	B
								EB	0.00
	Accumulated depreciation - equipment
		115.38	9.2						Depreciation machinery
								9.1	129.17	129.17	B
								EB	0.00
									Depreciation equipment
								9.2	115.38	115.38	B
								EB	0.00
									Income summary
								B	744.55	13,650.00	A
								C	12,905.45
										0.00	EB
									Capital
										12,905.45	C
										50,000.00	D
										62,905.45	EB

Korma India
Trial balance
June.30, 2017
	Account	Debit	Credit
	Bank	53,600.00
	Machinery	9,200.00
	Accumulated depreciation machinery		129.17
	Equipment	18,000.00
	Accumulated depreciation equipment		115.38
	A/P		17,650.00
	Investment		50,000.00
	Withdrawal
	Sales		13,650.00
	Rent	500.00
	depreciation machinery	129.17
	depreciation equipment	115.38
		81,544.55	81,544.55	0.00

Korma India
Income statement
From June.01 to June.30, 2017
	Revenue	13,650.00
	Expense
	Rent	(500.00)
	Accumulated depreciation machinery	(129.17)
	Accumulated depreciation equipment	(115.38)
	Net income	12,905.45

Korma India
Statement of change of equity
From June.01 to June.30, 2017
	Capital, Martin Bellavance, June.01	0.00
	Plus
	Investment	50,000.00
	Profit	12,905.45
	Less
	Withdrawal
	Loss
	Capital, Martin Bellavance, June.30	62,905.45

Korma India
Balance sheet
June.30, 2017
ASSET		LIABILITY
Bank	53,600.00	A/P	17,650.00
Machinery	9,200.00
Accumulated depreciation machinery	(129.17)	Total liability	17,650.00
Net value	9,070.83
		EQUITY
Equipment	18,000.00	Capital Martin Bellavance	62,905.45
Accumulated depreciation equipment	(115.38)	Total Equity	62,905.45
Net value	17,884.62
Total Asset	80,555.45	Total liability & equity	80,555.45

A	Sales	13,650.00
			Income summary	13,650.00
	* June closing sales
B	Income summary	744.55
			Rent	500.00
			Accumulated depreciation machinery	129.17
			Accumulated depreciation equipment	115.38
	* June closing expenses
C	Income summary	12,905.45
			Capital	12,905.45
	* June closing income summary
D	Investment	50,000.00
			Capital	50,000.00
	* June closing investment
E	Capital
			Withdrawal
	* June closing withdrawal