advanced accounting

After several months of planning, Magda Durocher & Martin Paquette started a business called

“Good living”. They decided to split the business results as followed : 85% for Magda, 15% for

Martin. Here are the first month activities (April 1-30, 2020)

1) Purchased supplies on credit, $890

2) Purchased $17,875 of machinery on credit. We believe it’s going to be used for 12 years and residual value would be 3,400$ (straight line method).

3) Sales on credit $1,280

4) Magda deposited $4,000 cash & Martin deposited $1,000 cash in the business bank account

5) Sales on credit $330 to Mr. Hébert

6) Salary payment 2,500$

7) Magda withdraw 500$

8) Record any missing journal entries

PERFORM THE ACCOUTNING CYCLE :

• Je

• T accounts

• Trial balance

• Financial statements

• Closing entries