Ledger accounts

entries 1 to 19

entries 20-25

business is that of a sole trader Skate W Surt began operations on 1 June, buying and selling surfboards, skateboards, wetsuits and the protective gear for skateboarding. The structure or The best rests employed a sales and tast during the month who is to be paid fortnightly. Tax deducted from the employee's wages (PAYG wthholding tax The business has not registered with the ATO for the goods and services tax (GST) and has elected to use the accrual basis of accounting. Accounting records The business records al transactions in the general Journal. These transactions are the posted to the appropriate account in the general ledger. The ac receivable and accounts payable subsidiary ledgers are provided for information only, you are not required to post to these ledgers. Chart of accounts The chart of accounts for Skate Surf contains the accounts and account numbers below. 100 Cash at bank 110 Accounts receivable 120 Inventory 1.30 Prepaid insurance 171 Shop equipment (cost) 172 Accumulated depreciation - shop equipment 200 Accounts payable 210 PAYG withholding payable 220 Superannuation payable 230 Bank loan 300 Capital 310 Drawings 320 Profit or less summary 400 Sales revenue 410 Sales returns and allowances 420 Discount received 500 Cost of sales 600 Advertising expense 610 Depreciation expense 620 Discount allowed 630 Electricity expense 640 Insurance expense 650 Interest expense 660 Postage and stationery expense 670 Superannuation expense 680 Telephone expense 690 Wages expense Transactions June 1 The owner opened a bank account for the business with a deposit of $29,000. This is capital provided by him. 1 Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $27,000 and computer equipment for the shop from Com Wizards for $3,500. These were paid for with a loan of $27,000 from the bank and cheque for $3,500 from the business bank account. The bank lo repayable over 3 years 2 Purchased Inventory (skateboards and protective gear) from Excitement plus for $24,000 on terms on net 30. 5 Cash purchase of stationery from Officeworks for $300. 7 Purchased surfboards and wetsuits from Surf Imports for $19,000 on terms of 10/10, 1/30. 9 Paid Surf Imports the amount owing to the less the prompt payment discount. 11 Paid $3,600 for a 1-year insurance policy covering fire, theft, and public liability. 12 Paid $1,500 to Local Newspapers for advertising for the shop for the month 13 Credit sale to Serious fun of skateboards and protective gear for $4,000 cost of sales $2,000). This customer was given terms of S/10, 1/30 14 Credit sale to Surfing World of various inventory items for $7,000 (cost of sales $3,500). Terms net 30. 17 Credit sale to Academy Diving School of 10 wetsuits at a discounted price of $270 each on terms of net 15. Cost of sales $2.500 18 Returned some protective gear to Excitement Plus that was faulty and received an adjustment note (credit note) from them for $180. 18 Received a cheque from Serious Fun for the amount owing by the after deducting the prompt payment discount. 19 issued an adjustment note (credit note) to Academy Diving School for 3 wetsuits at $270 each that was not the size they required. The cost of the wetsuits to us was $350 and they were put back into inventory. 20 Cash sale of Inventory to the value of $900 (cost of sales $450). 23 Paid Excitement Plus $2,000 of the amount owing to them. 25 Credit sale to Serious Fun of skateboards for $7,000 (cost of sales $3,700). Terms 5/10, 1/30 26 Received and banked a cheque for $4,500 from Surfing World in part payment of the amount owing by them. 27 Purchased wetsuits from Surf Imports for $7,500 on terms of 10/10,30 30 Paid Telstra $150 for telephone expenses. 30 The owner cashed a cheque for $790 to pay wages to Scott Walker the sales assistant of $850 less PAYG Withholding of $60. The entries have been journalised below. 27.000 3.500 24,000 24 000 300 7 inventory 19.000 19.000 Od purchase of 19.000 17.100 1.900 Discounted 3.600 3.600 1,500 1,500 4,000 Oh than (1 year ance policy 12 Ang Cashback Advert for the month 13 courte Sales revenue (Creditle one of 30) 13 Cost of wentory Adjustertory) 14 Account 2,000 2.000 7,000 7.000 Credite on terms of ret) 34 Costosas 3.500 3,500 Adventory 17 Acontece 2,700 2.700 (Credit salonem of net 15) 17 Cost of Brventory 2.500 2.500 180 38 Accounts Inventory 180 18 Cash 3,800 200 4,000 Accounts receivable Payment received less prompt payment discount) 19 Sales returns and women 810 810 350 350 900 900 (Wetsuits returned by customer put back to inventory 19 Inventory Cost of sales (Adjust inventory 20 Cash at bank Sales revenue (Cash) 20 Cost of wales Inventory (Adjust inventory 23 Accounts payable Cash at han Purt payment of amount 25 Accounts recebe 450 450 2.000 2,000 7,000 7.500 Sales revenue 7,000 (Credit sale on terms of S/10, 1/30) 25 Cost of sales 3,700 Inventory 3,700 (Adjust inventory) 26 Cash at bank 4,500 Accounts receivable 4,500 (Payment received from customer) 27 Inventory 7,500 Accounts payable (Credit purchase on terms of 10/10, 1/30) 30 Telephone expense 150 Cash at bank 150 (Pay telephone expense) 30 Wages expense 850 Cash at bank 790 PAYG withholding payable 60 (Wages paid to Scott Walker) Post to the general ledger accounts. The accounts receivable and accounts payable subsidiary ledgers are provided for information only. Accounts receivable subsidiary ledger Academy Diving School Acct code ADI Date Explanation Debit Credit Balance June 17 Invoice 2,700 2,700 Dr 19 Adjustment note 810 1,890 Dr Serious Fun Acct codet SFU Date Explanation Debit Credit Balance June 13 Invoice 4,000 4,000 Dr 18 Receipt 4,000 0 25 Invoice 7,000 7,000 Dr Surfing World Acct code: SWO Date Explanation Debit Credit Balance June 14 Invoice 7,000 7,000 Dr 26 Receipt 4,500 2,500 Dr Accounts payable subsidiary ledger Excitement Plus Acct code EPL Date Explanation Debit Credit Balance June 2 Invoice 24,000 24,000 18 Adjustment note 180 23,820 23 Payment 2,000 21,820 Surf Imports Acct codes SIM Date Explanation Debit Credit Balance June 7 Invoice 19,000 19,000 9 Payment 19,000 0 27 Invoice 7,500 7,500 (Note: For any ONE specific transaction containing multiple entries enter accounts in descending amounts. For example, if a transaction has this instance, please post the two accounts in the general ledger in descending amount order to indicate the accounts involved in that transe Leave blank any answer fields that do not require an answer.) 30.500 3,600 Date Description Postret. Debit Credit 20XX June 1 Cash at bank 29,000 Capital 29,000 (Owner's capital contribution) 1 Shop equipment (cost) Bank loan 27,000 Cash at bank 3,500 (Display stands, shelving and computer for shop loan repayable over 3 years) 2 Inventory 24,000 Accounts payable 24,000 (Inventory purchase on terms of net 30) 5 Postage and stationery expense 300 Catch at bank 300 (Cash purchase of stationery) 7 Drventory 19,000 Accounts payable 19,000 (Credit purchase on terms of 10/10, 1/30) 9 Accounts payable 19,000 Cash at bank 17.100 Discount received 1,900 (Supplier paid less prompt payment discount) 11 Prepaid insurance Cash at bank 3,600 (1 year insurance policy) 12 Advertising expense 1,500 Cash at bank 1,500 (Advertising for the month) 13 Accounts receivable 4,000 Sales revenue 4,000 (Credit sale on terms of 5/10, 1/30) 13 Cost of sales 2,000 Inventory 2,000 (Adjust inventory) 14 Accounts receivable 7,000 Sales revenue 7,000 (Credit sale on terms of net 30) 14 Cost of sales 3,500 Inventory 3,500 (Adjust inventory) 17 Accounts receivable 2,700 Sales revenue 2,700 (Crede sale on terms of net 15) 17 Cost of sales 2,500 Inventory 2,500 (Adjust inventory) 18 Accounts payable 180 Inventory 180 (Faulty protective gear returned to supplier) 18 Cash at bank 3,800 Discount allowed 200 Accounts receivable 4,000 (Payment received less prompt payment discount) 19 Sales returns and allowances 810 Accounts receivable 310 (Wetsuits returned by customer put back into inventory) 19 Inventory Cost of sales 350 (Adjust inventory) Cach 900 350 900 900 450 450 20 Cash at bank Sales revenue (Cash sale) 20 Cost of sales Inventory (Adjust inventory) 23 Accounts payable Cash at bank (Part payment of amount owing) 25 Accounts receivable 2,000 2,000 7,000 business is that of a sole trader Skate W Surt began operations on 1 June, buying and selling surfboards, skateboards, wetsuits and the protective gear for skateboarding. The structure or The best rests employed a sales and tast during the month who is to be paid fortnightly. Tax deducted from the employee's wages (PAYG wthholding tax The business has not registered with the ATO for the goods and services tax (GST) and has elected to use the accrual basis of accounting. Accounting records The business records al transactions in the general Journal. These transactions are the posted to the appropriate account in the general ledger. The ac receivable and accounts payable subsidiary ledgers are provided for information only, you are not required to post to these ledgers. Chart of accounts The chart of accounts for Skate Surf contains the accounts and account numbers below. 100 Cash at bank 110 Accounts receivable 120 Inventory 1.30 Prepaid insurance 171 Shop equipment (cost) 172 Accumulated depreciation - shop equipment 200 Accounts payable 210 PAYG withholding payable 220 Superannuation payable 230 Bank loan 300 Capital 310 Drawings 320 Profit or less summary 400 Sales revenue 410 Sales returns and allowances 420 Discount received 500 Cost of sales 600 Advertising expense 610 Depreciation expense 620 Discount allowed 630 Electricity expense 640 Insurance expense 650 Interest expense 660 Postage and stationery expense 670 Superannuation expense 680 Telephone expense 690 Wages expense Transactions June 1 The owner opened a bank account for the business with a deposit of $29,000. This is capital provided by him. 1 Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $27,000 and computer equipment for the shop from Com Wizards for $3,500. These were paid for with a loan of $27,000 from the bank and cheque for $3,500 from the business bank account. The bank lo repayable over 3 years 2 Purchased Inventory (skateboards and protective gear) from Excitement plus for $24,000 on terms on net 30. 5 Cash purchase of stationery from Officeworks for $300. 7 Purchased surfboards and wetsuits from Surf Imports for $19,000 on terms of 10/10, 1/30. 9 Paid Surf Imports the amount owing to the less the prompt payment discount. 11 Paid $3,600 for a 1-year insurance policy covering fire, theft, and public liability. 12 Paid $1,500 to Local Newspapers for advertising for the shop for the month 13 Credit sale to Serious fun of skateboards and protective gear for $4,000 cost of sales $2,000). This customer was given terms of S/10, 1/30 14 Credit sale to Surfing World of various inventory items for $7,000 (cost of sales $3,500). Terms net 30. 17 Credit sale to Academy Diving School of 10 wetsuits at a discounted price of $270 each on terms of net 15. Cost of sales $2.500 18 Returned some protective gear to Excitement Plus that was faulty and received an adjustment note (credit note) from them for $180. 18 Received a cheque from Serious Fun for the amount owing by the after deducting the prompt payment discount. 19 issued an adjustment note (credit note) to Academy Diving School for 3 wetsuits at $270 each that was not the size they required. The cost of the wetsuits to us was $350 and they were put back into inventory. 20 Cash sale of Inventory to the value of $900 (cost of sales $450). 23 Paid Excitement Plus $2,000 of the amount owing to them. 25 Credit sale to Serious Fun of skateboards for $7,000 (cost of sales $3,700). Terms 5/10, 1/30 26 Received and banked a cheque for $4,500 from Surfing World in part payment of the amount owing by them. 27 Purchased wetsuits from Surf Imports for $7,500 on terms of 10/10,30 30 Paid Telstra $150 for telephone expenses. 30 The owner cashed a cheque for $790 to pay wages to Scott Walker the sales assistant of $850 less PAYG Withholding of $60. The entries have been journalised below. 27.000 3.500 24,000 24 000 300 7 inventory 19.000 19.000 Od purchase of 19.000 17.100 1.900 Discounted 3.600 3.600 1,500 1,500 4,000 Oh than (1 year ance policy 12 Ang Cashback Advert for the month 13 courte Sales revenue (Creditle one of 30) 13 Cost of wentory Adjustertory) 14 Account 2,000 2.000 7,000 7.000 Credite on terms of ret) 34 Costosas 3.500 3,500 Adventory 17 Acontece 2,700 2.700 (Credit salonem of net 15) 17 Cost of Brventory 2.500 2.500 180 38 Accounts Inventory 180 18 Cash 3,800 200 4,000 Accounts receivable Payment received less prompt payment discount) 19 Sales returns and women 810 810 350 350 900 900 (Wetsuits returned by customer put back to inventory 19 Inventory Cost of sales (Adjust inventory 20 Cash at bank Sales revenue (Cash) 20 Cost of wales Inventory (Adjust inventory 23 Accounts payable Cash at han Purt payment of amount 25 Accounts recebe 450 450 2.000 2,000 7,000 7.500 Sales revenue 7,000 (Credit sale on terms of S/10, 1/30) 25 Cost of sales 3,700 Inventory 3,700 (Adjust inventory) 26 Cash at bank 4,500 Accounts receivable 4,500 (Payment received from customer) 27 Inventory 7,500 Accounts payable (Credit purchase on terms of 10/10, 1/30) 30 Telephone expense 150 Cash at bank 150 (Pay telephone expense) 30 Wages expense 850 Cash at bank 790 PAYG withholding payable 60 (Wages paid to Scott Walker) Post to the general ledger accounts. The accounts receivable and accounts payable subsidiary ledgers are provided for information only. Accounts receivable subsidiary ledger Academy Diving School Acct code ADI Date Explanation Debit Credit Balance June 17 Invoice 2,700 2,700 Dr 19 Adjustment note 810 1,890 Dr Serious Fun Acct codet SFU Date Explanation Debit Credit Balance June 13 Invoice 4,000 4,000 Dr 18 Receipt 4,000 0 25 Invoice 7,000 7,000 Dr Surfing World Acct code: SWO Date Explanation Debit Credit Balance June 14 Invoice 7,000 7,000 Dr 26 Receipt 4,500 2,500 Dr Accounts payable subsidiary ledger Excitement Plus Acct code EPL Date Explanation Debit Credit Balance June 2 Invoice 24,000 24,000 18 Adjustment note 180 23,820 23 Payment 2,000 21,820 Surf Imports Acct codes SIM Date Explanation Debit Credit Balance June 7 Invoice 19,000 19,000 9 Payment 19,000 0 27 Invoice 7,500 7,500 (Note: For any ONE specific transaction containing multiple entries enter accounts in descending amounts. For example, if a transaction has this instance, please post the two accounts in the general ledger in descending amount order to indicate the accounts involved in that transe Leave blank any answer fields that do not require an answer.) 30.500 3,600 Date Description Postret. Debit Credit 20XX June 1 Cash at bank 29,000 Capital 29,000 (Owner's capital contribution) 1 Shop equipment (cost) Bank loan 27,000 Cash at bank 3,500 (Display stands, shelving and computer for shop loan repayable over 3 years) 2 Inventory 24,000 Accounts payable 24,000 (Inventory purchase on terms of net 30) 5 Postage and stationery expense 300 Catch at bank 300 (Cash purchase of stationery) 7 Drventory 19,000 Accounts payable 19,000 (Credit purchase on terms of 10/10, 1/30) 9 Accounts payable 19,000 Cash at bank 17.100 Discount received 1,900 (Supplier paid less prompt payment discount) 11 Prepaid insurance Cash at bank 3,600 (1 year insurance policy) 12 Advertising expense 1,500 Cash at bank 1,500 (Advertising for the month) 13 Accounts receivable 4,000 Sales revenue 4,000 (Credit sale on terms of 5/10, 1/30) 13 Cost of sales 2,000 Inventory 2,000 (Adjust inventory) 14 Accounts receivable 7,000 Sales revenue 7,000 (Credit sale on terms of net 30) 14 Cost of sales 3,500 Inventory 3,500 (Adjust inventory) 17 Accounts receivable 2,700 Sales revenue 2,700 (Crede sale on terms of net 15) 17 Cost of sales 2,500 Inventory 2,500 (Adjust inventory) 18 Accounts payable 180 Inventory 180 (Faulty protective gear returned to supplier) 18 Cash at bank 3,800 Discount allowed 200 Accounts receivable 4,000 (Payment received less prompt payment discount) 19 Sales returns and allowances 810 Accounts receivable 310 (Wetsuits returned by customer put back into inventory) 19 Inventory Cost of sales 350 (Adjust inventory) Cach 900 350 900 900 450 450 20 Cash at bank Sales revenue (Cash sale) 20 Cost of sales Inventory (Adjust inventory) 23 Accounts payable Cash at bank (Part payment of amount owing) 25 Accounts receivable 2,000 2,000 7,000