P5-2A

General Journal
Date
April, 2

Account Titles And Explanation

Merchandise Inventory
Account Payable

Ref
120
201

Debit

6,900

April, 4

Account Receivable
Sales
Cost of Goods Sold
Merchandise Inventory

112
401
505
120

5,500

4,100

April, 5

Freight-out
Cash

644
101

240

April, 6

Account Payable
Merchandise Inventory

201
120

500

April, 11

Account Payable ( 6.900 - 500)

201

6,400

Merchandise Inventory ( 6.400 x 1%)

120

Cash

101

April, 13

Cash
Sales Discounts ( 5.500 x 1%)
Account Receivable

101
414
112

5,445
55

April, 14

Merchandise Inventory
Cash

120
101

3,800

April, 16

Cash
Merchandise Inventory

101
120

500

April, 18

Merchandise Inventory
Account Payable

120
201

4,500

April, 20

Merchandise Inventory
Cash

120
201

100

April, 23

Cash
Sales
Cost of Goods Sold
Merchandise Inventory

101
401
505
120

6,400

5,120

April, 26

Merchandise Inventory
Cash

120
101

2,300

April, 27

Account Payable

201

4,500

April, 29

April, 30

Merchandise Inventory ( 4.500 x 2%)

Cash

120
101

Sales Returns and Allowances

Cash
Merchandise Inventory
Cost of Goods Sold

412
101
120
505

90

30

Account Receivable
Sales
Cost of Goods Sold
Merchandise Inventory

112
401
505
120

3,700

2,800

OLAF DISTRIBUTING COMPANY

Income Statement (Partial)
For Three Months Ended April 30, 2011
Debit
Sales Revenues
Sales
Sales Return and Allowance
Sales Discounts
Nett Sales
Cost of Goods Sold
Gross Profit

Credit
15,600

90
55
15,455

11,990

3,465

J1

General Ledger

Credit
6,900

5,500
4,100

240

500

Date
April, 1
5
11
13
14
16
20
23
26
27
29

Explanation
Balance

Cash
Ref
J1
J1
J1
J1
J1
J1
J1
J1
J1
J1

Debit

Credit

240
6,336

5,445
3,800

500

100

6,400
2,300
4,410

90

General Ledger
Account Receivable

64

Date

6,336

April, 4
13
30

500

4,500

100

6,400

Ref

Debit

J1
J1
J1

5,500

Credit
5,500

3,700

General Ledger

5,500

3,800

Explanation

Date
April, 2
4
6
11
14
16
18
20
23
26
27
29
30

Merchandise Inventory
Explanation
Ref
Debit
J1
6,900
J1
J1
J1
J1
3,800
J1
J1
4,500
J1

100
J1
J1
2,300
J1
J1

30
J1

###

General Ledger

2,300

Account Payable
Explanation
Ref
Debit
J1
J1

500
J1
6,400

Date
April, 2
6
11

Credit
4,100

500

64

500

5,120

90

2,800

Credit
6,900


90
4,410

###
###

###
###

18
27

J1
J1

4,500
4,500

General Ledger
No.101
Balance

9,000

8,760

2,424

7,869

4,069

4,569

4,469
10,869

8,569

4,159

4,069

Date
April, 1

M.Olaf, Capital
Explanation
Ref
Debit
Balance

Credit

General Ledger
Date
April, 4
23
30

Explanation

Sales
Ref
J1
J1
J1

Debit

Credit
5,500
6,400
3,700

General Ledger
Date
April, 29

Sales Return and Allowance

Explanation
Ref
Debit
J1

Credit

90

No. 112

General Ledger

Balance

1,000
3,700

Date
April, 13

Sales Discounts
Explanation
Ref
Debit
J1

55

Credit

General Ledger
No. 120
Balance

6,900

2,800

2,300

2,236

6,036

5,536
10,036
10,136

5,016

7,316

7,226

7,256

4,456

No. 201
Balance

6,900

6,400

Date
April, 4
23
29
30

Cost of Goods Sold

Explanation
Ref
Debit
J1
4,100
J1
5,120
J1
J1
2,800

Credit

30

General Ledger
Date
April, 5

Freight-out
Explanation
Ref
Debit
J1

240

Credit

4,500
-

No. 301
Balance
9,000

No. 401
Balance
5,500
11,900
15,600

No. 412
Balance

90

No. 414
Balance

55

No. 505
Balance
4,100
9,220
9,190
11,990

No. 644
Balance

240

P5-3A

General Journal
Date
Dec, 31

Account Titles And Explanation

Depreciation Expense-Building
Accumulated Depreciation-Building

Ref

Debit
$ 10,400

Dec, 31

Depreciation Expense-Equipment
Accumulated Depreciation-Equipment

13,300

Dec, 31

Insurance Expense
Prepaid Insurance

7,200

Dec, 31

Interest Expense
Interest Payable

8,000

Dec, 31

Property Tax Expense

Property Taxes Payable

4,800

Dec, 31

Sales Comission Expense

Sales Comission Payable

4,300

Dec, 31

Utilities Expense
Utilities Expense Payable

1,000

MAINE DEPARTMENT STORE

Income Statement
For The Year Ended December 31, 2011
Debit
Credit
Sales Revenues
Sales
$ 628,000
Sales Return and Allowances
$
8,000
Nett Sales
$ 620,000
Cost of Goods Sold

$ 412,700

Gross Profit
Operating Expenses
Sales Salaries Expense
Sales Commision Expense
Depreciation Expense-Equipment
Utilities Expense
Insurance Expense
Office Salaries Expense
Depreciation Expense-Building

$207,300

$
$
$
$
$
$
$

76,000
14,500
13,300
12,000
7,200
32,000
10,400

Property Tax Expense

Total Operating Expenses

$
4,800
$170,200

Income From Operations

(Gross Profit - Operating Expenses)

$ 37,100

Other Income and Expenses

Interest Revenue
Interest Expense

$
$

Nett Income

4,000

11,000
$ 30,100

MAINE DEPARTMENT STORE

Credit
$ 10,400

$ 13,300

Retained Earnings Statement

For The Year Ended December 31, 2011
Debit
Retained Earnings, January 1
Nett Income
Dividens
$ 28,000
Retained Earnings, December 31

7,200

MAINE DEPARTMENT STORE

$

8,000

4,800

4,300

1,000

Statement of Financial Position

December 31, 2011
Debit
Assets
Current Assets
Cash
Account Receivable
Merchandise Inventory
Prepaid Insurance
Total Current Assets
Property, Plant, and Equipment
Building
Accumulated Depreciation-Building
Equipment
Accumulated Depreciation-Equiment
Total
Total Assets
Equity and Liabilities
Current Liabilities
Account Payable
Mortgage Payable due next year
Interest Payable
Property Taxes Payable
Sales Commissions Payable
Utilities Expense Payable
Total Current Liabilities
Non Current Liabilities
Mortgage Payable
Total Liabilities

$ 23,800
$ 50,300
$ 75,000
$
2,400
$151,500

$ 190,000
$ 110,000
$204,600
$356,100

(Non C. Liabilities + Current Liabilities)

Equity
Share Capital-Ordinary
Retained Earnings
Total Equity
Total Equity and Liabilities

RE

Closing Entries

nt
2011

Date
Dec, 31
Credit
$ 60,000
$ 30,100
$

Income Summary
Sales Returns and Allowances
Cost of Goods Sold
Office Salaries Expense
Sales Salaries Expense
Sales Commissions Expense
Property Tax Expense
Utilities Expense
Depreciation Expense-Building
Depreciation Expense-Equipment
Insurance Expense
Interest Expense

Dec, 31

Income Summary
Nett Income

Dec, 31

Retained Earnings
Dividens

RE

ion
Credit

52,500

42,900

$ 79,300
$ 20,000
$
8,000
$
4,800
$
4,300
$
1,000
$117,400

60,000

$177,400

Sales
Interest Revenue
Income Summary

Dec, 31
62,100

Account Titles And Explanation

$ 116,600
$ 62,100
$178,700
$356,100

Entries
Ref

Debit

Credit
$ 628,000
$
4,000

$ 632,000
$ 601,900
$
8,000
$ 412,700
$ 32,000
$ 76,000
$ 14,500
$
4,800
$ 12,000
$ 10,400
$ 13,300
$
7,200
$ 11,000
$

30,100

28,000

30,100

28,000

P5-4A

General Journal
Date
April, 2

April, 6

April, 8

April, 10

April, 11

April, 13

April, 14

April, 15

April, 17

April, 18

April, 20

April, 21

J1

Account Titles And Explanation

Merchandise Inventory
Accounts Payable

Ref
120
201

Debit

840

Merchandise Inventory
Cash

120
101

Accounts Receivable
Sales
Cost of Goods Sold
Merchandise Inventory

112
401
505
120

1,150

Accounts Payable
Merchandise Inventory

201
120

Merchandise Inventory
Cash

120
101

Accounts Payable ( 840 - 40)

Merchandise Inventory ( 800 x 2%)
Cash

201
120
101

Merchandise Inventory

120

Accounts Payable

201

Cash
Merchandise Inventory

101
120

Merchandise Inventory
Cash

120
101

Accounts Receivable
Sales
Cost of Goods Sold
Merchandise Inventory

112
401
505
120

810

530

Cash
Accounts Receivable

101
112

Accounts Payable
Merchandise Inventory ( 900 x 3%)

201
120

Credit

840

40

40

1,150

790

790

40

420

16
784

900

50

30

810

530

500

27

40

420

800

900

50

30

500

900

April, 27

April, 30

Cash

101

Sales Return and Allowances

Accounts Receivable

412
112

Cash
Accounts Receivable

101
112

Credit

4,200
1,960

30

660

660

Trial Balance
April 30, 2011
Cash
Account Receivable
Merchandise Inventory
J.Li Tennis Shop, Capital
Sales
Sales Returns and Allowances
Cost of Goods Sold
Total

873

30

J.LI TENNIS SHOP

Debit

1,563

770

2,477

30
1,320
6,160 6,160

General Ledger
Date
April, 1
6
11
13
15
17
20
21
30

660

No.101
Balance
2,500
2,460
2,040
1,256
1,306
1,276
1,776

903
1,563

Accounts Receivable
Explanation
Ref
Debit
J1
1,150
J1

810
J1
J1
J1

No.112
Balance
1,150
1,960
1,460
1,430

770

Explanation
Balance

Cash
Ref
J1
J1
J1
J1
J1
J1
J1
J1

Debit

Credit

40
420
784

30

873

50

500

General Ledger
Date
April, 8
18
20
27
30

Credit

500
30
660

General Ledger
Merchandise Inventory
Date
April, 1
4
6
8
10
11
13
14
15
17
18
21

Explanation

Ref

No.120

Debit

Credit

Balance
J1
J1
J1
J1
J1
J1
J1
J1
J1
J1
J1

840
40

790
40

16

50

530
27

420

900

30

Balance

1,700
2,540
2,580
1,790
1,750
2,170
2,154
3,054
3,004
3,034
2,504
2,477

General Ledger
Date
April, 4
10
13
14
21

Accounts Payable
Explanation
Ref
Debit
J1
J1

40
J1

800
J1
J1

900

No.201
Credit
Balance

840
840

800

900
900

General Ledger
Date
April, 1

J.Li, Capital
Explanation
Ref
Balance

Debit

Credit

No.301
Balance
4,200

General Ledger
Date
April, 8
18

Date
April, 27

Explanation

Sales
Ref
J1
J1

Debit

Sales and Returns Allowances

Explanation
Ref
Debit

Credit
1,150

810

No.401
Balance
1,150
1,960

Credit

No.412
Balance

30

30

General Ledger
Date
April, 8
18

Cost of Goods Sold

Explanation
Ref
Debit
J1
J1

Credit

790

530

No.505
Balance

790
1,320