Use the following information to design and complete a chart of accounts using three digit account codes
Question:
Use the following information to design and complete a chart of accounts using three digit account codes as per sample in the table below.
Cash in the bank includes a chequing account, savings account, change fund and petty cash fund.
X pays for rent and insurance in advance.
When X started the business he purchased land, a building used for the store, furniture and fixtures, and computer equipment. There have been no additional purchases of capital assets.
Transcribed Image Text:
ACCOUNT ACCOUNT CODE ACCOUNT NAME CODE ACCOUNT NAME 100–199 400-499 Current Assets Equity Accounts Common Stock 101 102 Checking Account Savings Account Petty Cash 400 410 Retained Earnings 103 500-599 501 Revenues Cash Sales 120 Accounts Receivable 125 Allowance for Doubtful Accounts 130 Notes Receivable 502 Credit Sales 150 Inventory Supplies Prepaid Rent Prepaid Insurance Noncurrent Assets 510 Sales Returns & Allowances 511 520 530 160 Sales Discounts 170 Interest Revenue Miscellaneous Revenue Expenses Cost of Goods Sold 180 200-299 600-799 200 600 Land 210 215 Buildings Accumulated Depreciation-Buildings Equipment Accumulated Depreciation-Equipment 611 Wages Expense Commissions Expense Payroll Tax Expense Rent Expense Insurance Expense Supplies Expense Bad Debt Expense Depreciation Expense-Buildings Depreciation Expense-Equipment Depreciation Expense-Furniture & Fixtures Income Tax Expense 612 613 620 230 235 630 240 245 Furniture & Fixtures Accumulated Depreciation-Furniture & Fixtures Other Assets 640 250 650 701 300-399 Liabilities 702 300 310 Accounts Payable Wages Payable Employee Income Tax Payable FICA Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable Accrued Interest Payable Other Liabilities 703 710 321 Summary Accounts Income Summary 322 323 900-999 910 324 330 360
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