& 08 E Transactions - week 1 ng Transactions - week 1 Now that you have reviewed information about Intermaweb Computer, you are ready to begin the first step in the accounting cycle, recording transactions. On this page of the practice set, you are asked to record transactions that occurred during the first week of June into the company's journals and post the appropriate entries to the ledger accounts. The following transactions occurred throughout the first week of June: Week 1 Date Transaction description Purchased 19 BG90 Plasma Televisions from Pear Technology for $1,089 each, terms net 30. Purchased 11 BlueBerry Phones from Pony for $528 each, terms 2/10, n/30 Paid the full amount owing to JCN Electrical, Cheque No. 744. Payment fell within discount period. Paid the full amount owing to Big Telco, Cheque No. 745. Payment fell within discount period. Purchased 26 DK800 Desktop Computers with cash for $1,430 each, Cheque No. 746. Paid sales staff wages of $13,067 for the week up to and including yesterday, Cheque No. 747. Note that $6,500 of this payment relates to the wages expense incurred during the last week of May. 5 Sold 17 BG90 Plasma Televisions to Hypertronics for $1,727 each, Invoice No. 320. 5 Made cash sale of 13 DK800 Desktop Computers for $2,585 each. AW wa o After completing this practice set page, you should know how to record basic transactions in the journals provided below and understand the posting process in the manual accounting system. Note that you will record the remaining June transactions in the following sections of this practice set. Remember, one purpose of using special journals is to make the posting process more efficient by posting the total of most columns in the special journals after all of the transactions for the period have been recorded. However, some parts of a journal entry are still required to be posted on a daily basis. View the company's accounting policies and proceduresE for details of what is to be posted daily or monthly. WL IR R ] Instructions for week 1 1) Record all week 1 transactions in the relevant journals. Note that special journals must be used where applicable. Any transaction that cannot be recorded in a special journal should be recorded in the general journal. 2) Post entries recorded in the journals to the appropriate ledger accounts according to the company's accounting policies and procedurest. Note that the relevant totals of the special journals will be posted to the general ledger accounts at the end of the month. You will enter this after you prepare the Bank Reconciliation Statement. 3) Update inventory cards on a daily basis. Remember to enter all answers to the nearest whole dollar. When calculating a discount, if a discount is not a whole number, round the discount to the nearest whole dollar. Then, to calculate the cash at bank amount, subtract the discount from the original amount. Additional instructions Displaying selected accounting records: = To save space, not all accounting records (e.g. journals and ledgers) will be displayed on every page. However, on each page you can access all accounting records necessary to answer the questions on that Your progress INTRODUCTION (CTIONS WEEK 2 TRANSACTIONS ~ TRANSACTIONS TRANSACTIONS WEEK S WEEK 4 WEEK 3 BANK END OF MONTH RECONCILIATION POSTING ORNE cLosiNG SCHEDULES ADIUSTING ENTRIES OF ACCOUNTS ENTRIES POST-CLOSING FINANCIAL YOU HAVE TRIAL BALANCE STATEMENTS. NOW FINISHED Completed: 2% (approximately) s page will take: up to 2.5 hours @ Remaining pages will take: up to 18 hours The time frames we provide are a guide only. It may take you more or less time to complete each page. Your grading Your grading outcome (still in progress) Awarded Total Points (prior to this page) 0 0 Points (on this page) - 238 Points (after this page) - 1,043 Total page. . . . ~ Information from previous pages Additional instructions @ perdisco.com IR Displaying selected accounting records: = To save space, not all accounting records (e.g. journals and ledgers) will be displayed on every page. However, on each page you can access all accounting records necessary to answer the questions on that page. = There are several tabs representing different views of the accounting records. The active tab by default is Show All, but you may also select to view just one particular accounting record by selecting the appropriate tab. = If you fill in any accounting records and change the view on the page by selecting a different tab, the information that you have entered will remain in that accounting record and be displayed whenever you can see that accounting record. = Before submitting your answers, we recommend that you click the Show All tab and check that all relevant accounting records have been completed. You are required to complete all relevant accounting records before pressing the Submit answers button. Once submitted, you will not be able to return to the page to re-enter or alter your answers. Journals: = Each transaction recorded in a special journal must be entered in one line. In order to receive full points, you must not split up the relevant transaction into more than one line in the special journal. = For certain transactions in special journals, some accounting textbooks do not always require an account to be chosen under the column labeled Account. In this practice set you are required to select an account for each transaction in the special journals. Specifically, in all special journals, under the column labeled Account, you must select the correct account name for each transaction in order to receive full points. Note that for some transactions, this will mean that the account name selected will correspond to the heading of one of the columns in that special journal. = For each journal, in the Post Ref. column you will need to correctly type the account number of the account you are posting to. In particular, in special journals, some accounting textbooks do not always require a reference to be recorded in the Post Ref. column. In this practice set, in order to receive full points, every transaction entered in a special journal requires an entry in the Post Ref. column. Note that in the special journals, if the account name selected for a transaction corresponds to the heading of one of the columns in that special journal, the post ref is to be recorded as an X. This is because these transactions are not posted on a daily basis. In order to receive full points, you must record only the letter X in the Post Ref. column for these transactions. = You are required to enter the GST component of a transaction as a positive number into the journals. To record an amount in a GST account, you need to enter that amount into the appropriate debit or credit column. = Note that in special journals, the Other Accounts column should not be used to record movements of inventory. = If a cheque number is not required, you need to fill the appropriate input box with an X. = When recording a transaction into the general journal, the amount recorded in one account may be the sum of the amounts recorded in two or more accounts. For example, a journal entry may consist of a debit of $100 to Account A, a credit of $40 to Account B and a credit of $60 to Account C. For these types of transactions, you must not split the transaction into more than one journal entry i.e. (1) Dr Account A $40, Cr Account B $40 and (2) Dr Account A $60, Cr Account C $60. Instead, you must record the $100 debit to Account A in a single line. = There may be entries in the general journal that require posting to both a control account and a subsidiary ledger. In these cases, after you have posted to both ledgers, you should enter the reference for both the general ledger account and the subsidiary ledger account in the Post Ref. column to indicate that you have posted to both accounts. For example, if the reference number for the control account is 110 and the reference number for the subsidiary ledger account is 110-1, you should type '110/110-1' into the Post Ref. column. = General journal entries do NOT require a description of the journal entries. Ledgers: = When posting a transaction to a ledger account, under the Description column, please type the Aacrrintinn of tha trancactinn diractiv inta the fisld Tha evact wardinn daac nat mattar for arading Information from previous pages General instructions &' Policies and procedures' All transactions&' Adjusting_entries information &' balancef - May Schedules of accountst - May Inventory cards&' - May Bank reconciliation - May Bank statementf - June pecial printing information & Transactions - week 1 inventory. If a cheque number is not required, you need to fill the appropriate input box with an X. = When recording a transaction into the general journal, the amount recorded in one account may be the sum of the amounts recorded in two or more accounts. For example, a journal entry may consist of a debit of $100 to Account A, a credit of $40 to Account B and a credit of $60 to Account C. For these types of transactions, you must not split the transaction into more than one journal entry i.e. (1) Dr Account A $40, Cr Account B $40 and (2) Dr Account A $60, Cr Account C $60. Instead, you must record the $100 debit to Account A in a single line. There may be entries in the general journal that require posting to both a control account and a subsidiary ledger. In these cases, after you have posted to both ledgers, you should enter the reference for both the general ledger account and the subsidiary ledger account in the Post Ref. column to indicate that you have posted to both accounts. For example, if the reference number for the control account is 110 and the reference number for the subsidiary ledger account is 110-1, you should type '110/110-1' into the Post Ref. column. = General journal entries do NOT require a description of the journal entries. Ledgers: = When posting a transaction to a ledger account, under the Description column, please type the description of the transaction directly into the field. The exact wording does not matter for grading purposes. For example, it does not matter in an electricity transaction if you type 'Paid for electricity' or 'Paid electricity bill'. = For each ledger, under the Ref. column, you need to select the correct journal from a list in the drop- down box provided in order to receive full points. = If the balance of a ledger account is zero you do not need to select a debit or credit from the drop-down box. = Each transaction posted to the subsidiary ledgers must be entered in one line. In order to receive full points, you must not split up the relevant transaction into more than one line in the subsidiary ledger. Both journals and ledgers: = Most journals and ledgers will have blank rows left at the end of this question. = Some journals and ledgers may not require any entries for this week. = When purchases and sales are recorded in special journals, the corresponding changes in inventory must not be posted to the Inventory account in the general ledger on a daily basis. Inventory cards: = Each transaction recorded in the inventory cards must be entered in a pair of lines provided. You may be required to record a transaction in a single line or two separate lines within the pair of lines provided. Whether one or two lines are required depends on the unit costs of the items involved in that transaction. If a transaction involves items with the same unit cost, you must record that transaction in a single line. Alternatively, if those items have two different unit costs, you are required to use a separate line within the pair of lines provided for each different unit cost. = In order to receive full points, you must not combine two transactions into the one pair of lines. See the Inventory cards ~ May popup below the 'Information from previous pages' heading for an example of how inventory cards are to be completed. = Note that you may enter a positive or negative number into the Units and Total Cost columns but all unit costs must be entered as positive numbers into the Unit Cost columns. If you want to print this page, please read and follow the special printing_information to ensure you can print the special journals in full. rnals General Journal Subsidiary Ledgers General Ledger Invent Show All 5:2E]l @ perdisco.com A1I EC IALIDAIAL (Q=301.salesJournalWeek1) board how inventory cards are to be completed. @ G) @ perdisco.com . Transactions - week 1 = Note that you may enter a positive or negative number into the Units and Total Cost columns but all unit costs must be entered as positive numbers into the Unit Cost columns. If you want to print this page, please read and follow the special printing_information to ensure you can print the special journals in full. (S LR Special Journals Gen SALES JOURNAL ary Ledgers General Ledger Invent Invoice Post Accounts Sales Costof Ref. Receivable Revenue Sales (select) | 9 (select) | ] CASH RECEIPTS JOURNAL (Q=301.salesJournalWeek1) (Q=302.purchasesJournalWeek1) (Q=303.cashReceiptsournalWeek1) Note: In order to receive full points, for each transaction you must select an account under the column labelled 'Account', as indicated under the additional instructions above. Since all transactions in this journal affect the Cash at Bank account, you are asked to enter the name of the appropriate account credited in these transactions into the Account column so that the type of transaction can be determined by the name of the account entered into this column. The two GST columns in this journal refer to the same GST account (being the account that is used to record the GST related to applicable cash receipts). @ perdisco.com Transactions - week 1 board (Q=303.cashReceiptsJournalWeek1) CASH RECEIPTS JOURNAL Note: In order to receive full points, for each transaction you must select an account under the column labelled 'Account', as indicated under the additional instructions above. Since all transactions in this journal affect the Cash at Bank account, you are asked to enter the name of the appropriate account credited in these transactions into the Account column so that the type of transaction can be determined by the name of the account entered into this column. The two GST columns in this journal refer to the same GST account (being the account that is used to record the GST related to applicable cash receipts). Ees Cost of Discount Er1CH Py Accounts Other LRI Allowed Revenue LD CA T ] Pt (Q=304.cashPaymentsJournalWeek1) CASH PAYMENTS JOURNAL Note: In order to receive full points, for each transaction you must select an account under the column labelled 'Account', as indicated under the additional instructions above. Since all transactions in this journal affect the Cash at Bank account, you are asked to enter the name of the appropriate account debited in these transactions into the Account column so that the type of transaction can be determined by the name of the account entered into this column. The two GST columns in this journal refer to the same GST account (being the account that is used to record the GST related to applicable cash payments). (2114 Credit LLErES Other Cash at Expense Accounts Bank (A LLe L No. Ref. L LT o8t Received 0 Lo [ (Q=305.generallournalWeek1) perdisco.com FO C + P Transactions - week 1 Dashboard GENERAL JOURNAL Post Date Account and Explanation Debit Credit Ref. Jun (select) (Select (select) Jun (select Jun (select) (select) (Q=310-110-3.AcctsRec3_week1) SUBSIDIARY LEDGERS Account: ARC - Hypertronics Account No. 110-3 Date Description Ref. Debit Credit Balance May 31 Balance 46,674 DR Jun Jun Jun (Q=310-210-1.AcctsPay1_week1) Account: APC - Pony Account No. 210-1 Date Description Ref. Debit Credit Balance May 31 Balance 5,905 CR Jun Jun Jun (Q=310-210-2.AcctsPay2_week1) Account: APC - JCN Electrical