Financial Accounting job for Accountguru

P2-29

Vernon Yung
JOURNAL
Date	Account			Debit	Credit
Jul. 1	Cash			$68,000
	Yong Capital				$68,000
	(To record capital contributed in cash)
Jul. 5	Rent Expense			$560
	Cash				$560
	(To record rent paid for medical equipment)
July. 9	Land			$16,000
	Cash				$16,000
	(To record purchase of land)
July. 10	Office Supplies			$1,600
	Accounts Payable				$1,600
	(To purchase of office supplies)
July. 19	Cash			$23,000
	Notes payable				$23,000
	(Borrowed from bank agianst notes payable)
July. 22	Accounts Payable			$1,300
	Cash				$1,300
	(To record payment made on account)
July. 28	Advertising Expense			$240
	Advertising Payable				$240
	(To record advertising expense payable in August)
July. 31	Cash			$6,500
	Accounts receivable			$5,800
	Service Revenue				$12,300
	(To record sales for the month)
July. 31	Salaries Expense			$2,500
	Rent expense			$1,000
	Utilities Expense			$400
	Cash				$3,900
	(To record payment of expenses)
July. 31	Cash			$1,140
	Unearned revenue				$1,140
	(To record unearned revenue for the service to be rendered next month)
July. 31	Yong Withdrawal			$7,000
	Cash				$7,000
	(To record cash withdrawal by yung)
2. Post the Journal entries to T- Accounts
T- ACCOUNTS
Cash
Jul. 1	$68,000	Jul. 5	$560
July. 19	$23,000	July. 9	$16,000
July. 31	$6,500	July. 22	$1,300
July. 31	$1,140	July. 31	$3,900
		July. 31	$7,000
Bal.	$69,880
Accounts Receivable
July. 31	$5,800
Bal.	$5,800
Office Supplies
July. 10	$1,600
Bal.	$1,600
Land
July. 9	$16,000
Bal.	$16,000
Accounts Payable
July. 22	$1,300	July. 10	$1,600
		Bal.	$300
Advertising Payable
		July. 28	$240
		Bal.	$240
Unearned Revenue
		July. 31	$1,140
		Bal.	$1,140
Notes Payable
		July. 19	$23,000
		Bal.	$23,000
Yung Capital
		Jul. 1	$68,000
		Bal.	$68,000
Yung Withddrawal
July. 31	$7,000
Bal.	$7,000
Service revenue
		July. 31	$12,300
		Bal.	$12,300
Salaries Expense
July. 31	$2,500
Bal.	$2,500
Rent Expense
Jul. 5	$560
July. 31	$1,000
Bal.	$1,560
Utilities Expense
July. 31	$400
Bal.	$400
Advertising Expense
July. 28	$240
Bal.	$240
3. Prepare the trial balance as of July. 31, 2015
TRIAL BALANCE
Trial balance as of July. 31, 2015
Account		Debit	Credit
Cash		$69,880
Accounts Receivable		$5,800
Office Supplies		$1,600
Land		$16,000
Accounts Payable			$300
Advertising Payable			$240
Unearned Revenue			$1,140
Notes Payable			$23,000
Yung Capital			$68,000
Yung Withddrawal		$7,000
Service revenue			$12,300
Salaries Expense		$2,500
Rent Expense		$1,560
Utilities Expense		$400
Advertising Expense		$240
Totals		$104,980	$104,980

P2-43

Davis
JOURNAL
Date	Account			Debit	Credit
Dec. 2	Cash			$18,000
	Davis Capital				$18,000
	(To record capital contributed in cash)
Dec. 2	Rent Expense			$550
	Cash				$550
	(To record rent paid for office)
Dec. 3	Equipment			$1,800
	Cash				$1,800
	(To record purchase of Computer)
Dec. 4	Furniture			$4,200
	Accounts Payable				$4,200
	(To purchase of office Furniture)
Dec. 5	Office Supplies			$900
	Account payable				$900
	(Purchased Office supplies on account)
Dec. 9	Accounts Receivable			$1,500
	Service revenue				$1,500
	(To record servoces performed on account)
Dec. 12	Utilities Expense			$250
	Cash				$250
	(Paid Utilites expense)
Dec. 18	Cash			$1,100
	Service Revenue				$1,100
	(To record cash received for services)
Dec. 21	Cash			$1,400
	Unearned revenue				$1,400
	(To record unearned revenue for the service to be rendered in future)
Dec. 21	No - Entry
Dec. 26	Accounts Payable			$400
	Cash				$400
	(To record payment on account)
Dec. 28	Cash			$300
	Accounts receivable				$300
	(To record payment received on account)
Dec. 30	Davis Withdrawal			$1,400
	Cash				$1,400
	(To record cash withdrawal by Davis)
2. & 3 Open T- Account and Post the Journal entries to T- Accounts
T- ACCOUNTS
Cash
Dec. 2	$18,000	Dec. 2	$550
Dec. 18	$1,100	Dec. 3	$1,800
Dec. 21	$1,400	Dec. 12	$250
Dec. 28	$300	Dec. 26	$400
		Dec. 30	$1,400
Bal.	$16,400
Accounts Receivable
Dec. 9	$1,500	Dec. 28	$300
Bal.	$1,200
Office Supplies
Dec. 5	$900
Bal.	$900
Equipment
Dec. 3	$1,800
Bal.	$1,800
Furniture
Dec. 4	$4,200
Bal.	$4,200
Accounts Payable
Dec. 26	$400	Dec. 4	$4,200
		Dec. 5	$900
		Bal.	$4,700
Unearned Revenue
		Dec. 21	$1,400
		Bal.	$1,400
Davis Capital
		Dec. 2	$18,000
		Bal.	$18,000
Davis Withddrawal
Dec. 30	$1,400
Bal.	$1,400
Service revenue
		Dec. 9	$1,500
		Dec. 18	$1,100
		Bal.	$2,600
Rent Expense
Dec. 2	$550
Bal.	$550
Utilities Expense
Dec. 12	$250
Bal.	$250
4. Prepare the trial balance as of July. 31, 2015
TRIAL BALANCE
Trial balance as of July. 31, 2015
Account		Debit	Credit
Cash		$16,400
Accounts Receivable		$1,200
Office Supplies		$900
Equipment		$1,800
Furniture		$4,200
Accounts Payable			$4,700
Unearned Revenue			$1,400
Davis Capital			$18,000
Davis Withddrawal		$1,400
Service revenue			$2,600
Rent Expense		$550
Utilities Expense		$250
Totals		$26,700	$26,700
5. Prepare Income Statement for the month ended December 31, 2014
Davis Consulting
Income Statement
for the month ended December 31, 2014
Service revenue			$2,600
Less: Operating Expenses
Rent Expense		$550
Utilities Expense		$250
Total Operating Expenses			$800
Net Income			$1,800
6. Prepare Statement of owner's Equity for the month ended December 31, 2014
Davis Consulting
Statement of Owner's Equity
for the month ended December 31, 2014
Balance Beginning			0
Add:
Investment by owner		$18,000
Net Income		$1,800	$19,800
			$19,800
Less: Withdrawal			$1,400
Balance Ending			$18,400
7. Prepare Balance Sheet as of Decemebr 31, 2014
Davis Consulting
Balance Sheet
As on December 31, 2014
Assets
Current Assets
Cash		$16,400
Accounts Receivable		$1,200
Office Supplies		$900
Total Current Assets			$18,500
Property, Plant and Equipment
Equipment		$1,800
Furniture		$4,200
Total Property, Plant and Equipment			$6,000
Total Assets			$24,500
Liabilites & Owner's Equity
Current Liabilites
Accounts Payable		$4,700
Unearned Revenue		$1,400
Total Current Liabilites			$6,100
Owner's Equity
Davis Capital			$18,400
Total Liabilites & Owner's Equity			$24,500
8. Calculate the debt ratio
Debt Ratio		= Total Liabilties / Total Assets
		= $6,100 / 24,500
		0.25

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B

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Date

Jul. 1

Cash

Yong Capital

(To record capital contributed in

cash)

Account

Vernon Yung

JOURNAL