Sisi's Spa Retreat began operations on 1 April 2024. Sisi Liu contributed the capital of the business of $1 500 000 cash. She has asked you to be record keeper for the business on a part‐time basis, and you initially establish the need for the following accounts (and numbers). Additional accounts may need to be added in the near future. GST is ignored.

During April the following transactions were undertaken by the business, including the initial investment by the owner.

Required

(a) Prepare general journal entries for the business for the month of April.

(b) Post these entries to appropriate T accounts and determine their balances.

(c) Provide an analysis for each transaction to explain each entry you have made in A.

Transcribed Image Text:

Cash at bank 100 Accounts receivable 110 Land 120 Building 130 Motor vehicles 150 Spa equipment 170 Accounts payable 220 Mortgage payable 250 Sisi Liu, capital 300 Sisi Liu, drawings 310 Spa retreat income 320