1. establish a chart of accounts, record supplier and customer balances, enter inventory balances and record opening ledger account balances

2. Record the transactions and adjusting entries using the correct module for the month ending 30th August 2020.

3. Trial Balance as at 31st July 2020 (after recording the opening balances).Produce with ledger account numbers.

5. Trial Balance as at 31 st August 2020 (after all adjustments). Include ledger account numbers within the trial balance.

7. The Income Statement for the month ended 31 st August 2020.

8. Balance Sheet as at 31 st August 2020.

- journal entries and adjustments

how do i do the trial balance and journal entries? i have provided all details of the question

jornal entries and adjustment

In completing this assignment, you are required to record each transaction carefully, understand how the software records these transactions in both the general and subsidiary ledgers and uses such information to create reports. Seven Days Fitness (ABN 53 004 085 616), 470 Brisbane Street, North Melbourne, 3051. The owner, Adeline Ridley, has worked in the fitness industry for many years, purchasing this Seven Days Fitness business in 2018. The business operates from a rented shopfront where she has a five-year rental agreement at a set price of $1,760 per calendar month (including GST). Rent is usually paid on the first of each month for the relevant month. Seven Days Fitness has two income streams - selling two popular products - Rowing machines and Exercise bikes and secondly providing fitness training for groups. Seven Days Fitness's principal customers for inventory sales are medium-sized organisations who have office-based gyms but from time to time, the business also sells to the public. Seven Days Fitness has operated the business using a manual accounting system since purchasing the business in 2018. As SevenDays Fitness's accountant, you recommend the business convert from a manual recording system to a computerised accounting recording system using MYOB from August 2020. All purchases of inventory are from local suppliers who supply inventory to Seven Days Fitness free of delivery charge. Specific Information: Seven Days Fitness purchases all its inventory on credit and sells inventory on credit to her business customers. From time to time, she sells inventory for cash to the public, and all fitness classes are also strictly on a cash basis. Customer account balances as at: July 31, 2020 Name Address Date of Last Invoice Account Balance $5,610 Offline Education Organisation Village Fair 542 City Road, Melboume July 25th ABN - 50 999 555 666 July 29th $6,765 601 Suburb Street, South Melbourne ABN - 92 555 888 111 3 All credit customers are offered the following terms: 2.5%/ 15 days, net 30. Suppliers account balances as at: July 31, 2020 Name Address Terms Account Balance $5,505 Rower Gears Ltd. Cycle Bazaar 1 Scull Street, Brunswick ABN - 50 596 794 363 14 Gove Street, North cote 3%/ 15 days, net 30. 2%/ 15 days, net $3,834 Cycle Bazaar $3,834 14 Gove Street, North cote ABN - 20 888 560 222 2%/ 15 days, net 30. Each of the above account balances for suppliers represents deliveries of inventory received on July 27th Goods and Services Tax: Sales and Purchases Seven Days Fitness charges GST on all sales and is charged GST on all purchases of inventory. For all business expenses other than bank interest, bank fee and Wages, the GST rate is 10%. All sales are on credit, except where specifically stated, and all business expenses are paid with cash unless stated otherwise. Employee: Fitness Classes Seven Days Fitness has only one casual employee, Josie Barker. Josie Barker conducts fitness classes for groups. For each class, Josie's gross wage is $100 per class, regardless of the number of participants. PAYG tax is with held at 15%. Josie Barker is paid in arrears twice per month - on the 12th and 26th. Wages Payable as at July 31, 2020 is $510. . Inventory: July 31st 2020 The following is a list of inventories on hand and the suppliers as at 31st July 2020. Quantity Item Description Last Last Supplier Each of the above items of inventory are quoted net of GST. On each item, an additional 10% GST is charged on the sales price, and 10% GST is paid on the cost price. Exercise Classes: Seven Days Fitness conducts regular fitness classes in-house to groups of no more than 20 per group. Client groups pay Seven Days Fitness $440 per class which lasts for one hour. The price of $440 includes GST. Bank Loan:ANZ bank Seven Days Fitness pays $1,157.50 per month for the bank loan. This amount includes interest and principal payments. The monthly interest is fixed at $357.50. Prepaid Insurance: On November 18 2019, Seven Days Fitness paid $3,000 (exclude GST) in advance for 1 year insurance, Trial Balance as at July 31st, 2020. Credit General Ledger Accounts Cheque Account Inventory Prepaid Insurance Accounts Receivable Accounts Payable Motor Vehicle Arrumilated Danreciation on MV's. Debit 19,456 8,160 750 12,375 9,339 25,000 5,625 Seven Days Fitness pays $1,157.50 per month for the bank loan. This amount includes interest and principal payments. The monthly interest is fixed at $357.50. Prepaid Insurance: On November 1st 2019, Seven Days Fitness paid $3,000 (exclude GST) in advance for 1 year insurance. Trial Balance as at July 31st, 2020. Credit Debit 19,456 8,160 750 12,375 9,339 25,000 5,625 General Ledger Accounts Cheque Account Inventory Prepaid Insurance Accounts Receivable Accounts Payable Motor Vehicle Accumulated Depreciation on MV's. Office Equipment Acc. Depreciation on Office Equipment Owner's Capital GST Collected GST Paid Bank Loan - ANZ Bank, City Branch PAYG With holding Payable Wages Payable Accrued Energy Bill -TRU Energy 12,000 3,200 40,131 1,125 849 18,400 90 510 170 $78,590 $78,590 Transactions during August 2020: 1 1 N 3 4 5 6 7 8 Paid Rent for business premises for August - $1,760 (Including GST). Bank loan and interest paid - $1,157.50. Purchases of inventory from both suppliers: from Rower Gears Ltd - 10 Rowing machines, and from Cycle Bazaar - 12 Exercise Bikes. All inventory was received within 24 hours. Paid Tru Energy for July energy bill - $170.00 (Including GST) Credit Sales of inventory to Village Fair - 6 Rowing machines and 4 Exercise Bikes. Received payment from all Customers for amounts owing on July 31st Discounts for early settlement were made to customers paying within the discount period. Paid all suppliers in full for July account balances. Discount needs to be applied for payments within the discount period. Credit sales to Offline Education Organisation 10 Rowing machines and 7 Exercise Bikes. Cash customers paid for 25 hours of Fitness classes. All classes will be completed over the next 12 days. (Since the classes will be completed in August, this transaction can be accounted/recorded as income directly rather than uneared income). Paid for motor vehicle fuel - $99 (Including GST) for the month of August Paid for office stationery expenses - $220.00 (Including GST) for the month of August. Wages paid to Josie (the fitness instructor) for 10 classes completed in August as well as the wages owing for July. (Note: Do not use the payroll section of MYOB, instead record the wages expense and PAYG tax withheld as a cash payment. Use the spend money section to pay wages). Adeline (owner) withdraws cash drawings of $500.00. Adeline takes home an exercise bike as drawings. Paid for motor vehicle fuel - $132.00 (Including GST) for the month of August. Wages paid to Josie for another 15 classes completed in August. (Note: Do not use the employee section of MYOB, instead record the wages expense and PAYG tax withheld as a cash payment. Use spend money section to pay wages). The monthly bank statement received from ANZ Bank for August showed the following: 9 10 12 14 23 25 26 30 Bank fees - $20.00. (GST exempt). Direct Debit (on August 1) from MBC Advertising for $178.00 (Including GST). This advertising is for the month of August 2020. In previous months, MBC used to send the Invoice 6 directly to Seven Days Fitness, but it is now a direct debit from the account. Paid for accounting fees for the month of August. 30 Assume that you have provided bookkeeping work for Seven Days Fitness. They have paid for your accounting fees for August. The amount that they paid is decided based on your student ID number's last 3 digits. Create the customer card using your name and enter it at the 'card' area in 'Spend Money' section. For example, Paul is a student of this unit and his student ID number is S3819774, then Paul should record $774 (excluding GST) as the accounting fees for August (the last 3 digits of his student number). He shall include his name - Paul at the 'card' area in 'Spend Money' section. Please note that it is a must that you use your own student number to decide your accounting fees. Balance Day Adjustments at August 31th, 2020. Some of the necessary adjustments are to be found in the transactions above. Other adjustments are listed below: 1) All Non-Current Assets (Motor Vehicle and Office Equipment) to be Balance Day Adjustments at August 31th, 2020. Some of the necessary adjustments are to be found in the transactions above. Other adjustments are listed below: 1) All Non-Current Assets (Motor Vehicle and Office Equipment) to be depreciated at 20% per annum Straight Line on cost. 2) Insurance expense was prepaid on November 1, 2019 for 1 year. 3) An energy bill from Tru Energy for August $198.00(Including GST) has not been recorded or paid yet. Accounts List 1-0000 1-1000 Header Header Detail 1-1110 1-1200 1-1300 1-1400 Assets Current Assets Cheque Account Accounts Receivable Inventory Prepaid Insurance Non-current Assets Motor Vehicle Motor Vehicle at Cost Motor Vehicle Acc Dep 1-3000 1-3100 Detail Detail Detail Header Header Detail Detail 1-3110 1-3120 7 1-3200 1-3210 1-3220 Office Equipment Header Office Equipment at Cost Detail Office Equipment Acc Dep Detail 1-3210 1-3220 Office Equipmentat Cost Detail Office Equipment Acc Dep Detail 2-0000 2-1000 2-1200 2-1300 2-1310 2-1330 Liabilities Current Liabilities Accounts Payable GST Liabilities GST Collected GST Paid Payroll Liabilities Wages Payable PAYG Withholding Payable Accrued Energy Bill Non-current Liabilities Bank Loan Header Header Detail Header Detail Detail Header Detail Detail 2-2400 2-2410 2-2420 2-3000 2-4000 Detail Header Detail 2-4100 3-0000 3-1000 3-1100 3-1200 3-9000 Equity Owner's Equity Owner's Capital Owner's Drawings Current Year Earnings Header Header Detail Detail Detail 4-0000 4-1000 4-2000 Income Sales - Products Fitness Training Fees Header Detail Detail 5-0000 5-1000 5-3000 Cost of Sales Cost of Sales Inventory Loss/Gain Header Detail Detail 6-0000 6-0040 Expenses Accounting Fees Header Detail 6-0000 6-0040 6-1000 6-1010 6-1100 6-1210 Expenses Accounting Fees Advertising Bank Fees Depreciation Expense Discounts Given Header Detail Detail Detail Detail Detail 6-1220 6-1400 6-1450 6-1550 6-1850 6-1930 6-2100 6-2400 Discounts Received Insurance Bank Interest Fuel Costs Office Stationery Wages & Salaries Rent Energy Costs Detail Detail Detail Detail Detail Detail Detail Detail Note: Where possible, delete or hide accounts not required. Accounts which are linked accounts cannot be deleted. Important information relating to accounts' code. The way you picked the accounts list provided by MYOB software could change the account numbers. The assignment requires you to use 1-1200 for Accounts Receivable. However, in the case that you cannot use 1-1200, as that number is already used for another linked account - payroll. It is okay to use a different number In completing this assignment, you are required to record each transaction carefully, understand how the software records these transactions in both the general and subsidiary ledgers and uses such information to create reports. Seven Days Fitness (ABN 53 004 085 616), 470 Brisbane Street, North Melbourne, 3051. The owner, Adeline Ridley, has worked in the fitness industry for many years, purchasing this Seven Days Fitness business in 2018. The business operates from a rented shopfront where she has a five-year rental agreement at a set price of $1,760 per calendar month (including GST). Rent is usually paid on the first of each month for the relevant month. Seven Days Fitness has two income streams - selling two popular products - Rowing machines and Exercise bikes and secondly providing fitness training for groups. Seven Days Fitness's principal customers for inventory sales are medium-sized organisations who have office-based gyms but from time to time, the business also sells to the public. Seven Days Fitness has operated the business using a manual accounting system since purchasing the business in 2018. As SevenDays Fitness's accountant, you recommend the business convert from a manual recording system to a computerised accounting recording system using MYOB from August 2020. All purchases of inventory are from local suppliers who supply inventory to Seven Days Fitness free of delivery charge. Specific Information: Seven Days Fitness purchases all its inventory on credit and sells inventory on credit to her business customers. From time to time, she sells inventory for cash to the public, and all fitness classes are also strictly on a cash basis. Customer account balances as at: July 31, 2020 Name Address Date of Last Invoice Account Balance $5,610 Offline Education Organisation Village Fair 542 City Road, Melboume July 25th ABN - 50 999 555 666 July 29th $6,765 601 Suburb Street, South Melbourne ABN - 92 555 888 111 3 All credit customers are offered the following terms: 2.5%/ 15 days, net 30. Suppliers account balances as at: July 31, 2020 Name Address Terms Account Balance $5,505 Rower Gears Ltd. Cycle Bazaar 1 Scull Street, Brunswick ABN - 50 596 794 363 14 Gove Street, North cote 3%/ 15 days, net 30. 2%/ 15 days, net $3,834 Cycle Bazaar $3,834 14 Gove Street, North cote ABN - 20 888 560 222 2%/ 15 days, net 30. Each of the above account balances for suppliers represents deliveries of inventory received on July 27th Goods and Services Tax: Sales and Purchases Seven Days Fitness charges GST on all sales and is charged GST on all purchases of inventory. For all business expenses other than bank interest, bank fee and Wages, the GST rate is 10%. All sales are on credit, except where specifically stated, and all business expenses are paid with cash unless stated otherwise. Employee: Fitness Classes Seven Days Fitness has only one casual employee, Josie Barker. Josie Barker conducts fitness classes for groups. For each class, Josie's gross wage is $100 per class, regardless of the number of participants. PAYG tax is with held at 15%. Josie Barker is paid in arrears twice per month - on the 12th and 26th. Wages Payable as at July 31, 2020 is $510. . Inventory: July 31st 2020 The following is a list of inventories on hand and the suppliers as at 31st July 2020. Quantity Item Description Last Last Supplier Each of the above items of inventory are quoted net of GST. On each item, an additional 10% GST is charged on the sales price, and 10% GST is paid on the cost price. Exercise Classes: Seven Days Fitness conducts regular fitness classes in-house to groups of no more than 20 per group. Client groups pay Seven Days Fitness $440 per class which lasts for one hour. The price of $440 includes GST. Bank Loan:ANZ bank Seven Days Fitness pays $1,157.50 per month for the bank loan. This amount includes interest and principal payments. The monthly interest is fixed at $357.50. Prepaid Insurance: On November 18 2019, Seven Days Fitness paid $3,000 (exclude GST) in advance for 1 year insurance, Trial Balance as at July 31st, 2020. Credit General Ledger Accounts Cheque Account Inventory Prepaid Insurance Accounts Receivable Accounts Payable Motor Vehicle Arrumilated Danreciation on MV's. Debit 19,456 8,160 750 12,375 9,339 25,000 5,625 Seven Days Fitness pays $1,157.50 per month for the bank loan. This amount includes interest and principal payments. The monthly interest is fixed at $357.50. Prepaid Insurance: On November 1st 2019, Seven Days Fitness paid $3,000 (exclude GST) in advance for 1 year insurance. Trial Balance as at July 31st, 2020. Credit Debit 19,456 8,160 750 12,375 9,339 25,000 5,625 General Ledger Accounts Cheque Account Inventory Prepaid Insurance Accounts Receivable Accounts Payable Motor Vehicle Accumulated Depreciation on MV's. Office Equipment Acc. Depreciation on Office Equipment Owner's Capital GST Collected GST Paid Bank Loan - ANZ Bank, City Branch PAYG With holding Payable Wages Payable Accrued Energy Bill -TRU Energy 12,000 3,200 40,131 1,125 849 18,400 90 510 170 $78,590 $78,590 Transactions during August 2020: 1 1 N 3 4 5 6 7 8 Paid Rent for business premises for August - $1,760 (Including GST). Bank loan and interest paid - $1,157.50. Purchases of inventory from both suppliers: from Rower Gears Ltd - 10 Rowing machines, and from Cycle Bazaar - 12 Exercise Bikes. All inventory was received within 24 hours. Paid Tru Energy for July energy bill - $170.00 (Including GST) Credit Sales of inventory to Village Fair - 6 Rowing machines and 4 Exercise Bikes. Received payment from all Customers for amounts owing on July 31st Discounts for early settlement were made to customers paying within the discount period. Paid all suppliers in full for July account balances. Discount needs to be applied for payments within the discount period. Credit sales to Offline Education Organisation 10 Rowing machines and 7 Exercise Bikes. Cash customers paid for 25 hours of Fitness classes. All classes will be completed over the next 12 days. (Since the classes will be completed in August, this transaction can be accounted/recorded as income directly rather than uneared income). Paid for motor vehicle fuel - $99 (Including GST) for the month of August Paid for office stationery expenses - $220.00 (Including GST) for the month of August. Wages paid to Josie (the fitness instructor) for 10 classes completed in August as well as the wages owing for July. (Note: Do not use the payroll section of MYOB, instead record the wages expense and PAYG tax withheld as a cash payment. Use the spend money section to pay wages). Adeline (owner) withdraws cash drawings of $500.00. Adeline takes home an exercise bike as drawings. Paid for motor vehicle fuel - $132.00 (Including GST) for the month of August. Wages paid to Josie for another 15 classes completed in August. (Note: Do not use the employee section of MYOB, instead record the wages expense and PAYG tax withheld as a cash payment. Use spend money section to pay wages). The monthly bank statement received from ANZ Bank for August showed the following: 9 10 12 14 23 25 26 30 Bank fees - $20.00. (GST exempt). Direct Debit (on August 1) from MBC Advertising for $178.00 (Including GST). This advertising is for the month of August 2020. In previous months, MBC used to send the Invoice 6 directly to Seven Days Fitness, but it is now a direct debit from the account. Paid for accounting fees for the month of August. 30 Assume that you have provided bookkeeping work for Seven Days Fitness. They have paid for your accounting fees for August. The amount that they paid is decided based on your student ID number's last 3 digits. Create the customer card using your name and enter it at the 'card' area in 'Spend Money' section. For example, Paul is a student of this unit and his student ID number is S3819774, then Paul should record $774 (excluding GST) as the accounting fees for August (the last 3 digits of his student number). He shall include his name - Paul at the 'card' area in 'Spend Money' section. Please note that it is a must that you use your own student number to decide your accounting fees. Balance Day Adjustments at August 31th, 2020. Some of the necessary adjustments are to be found in the transactions above. Other adjustments are listed below: 1) All Non-Current Assets (Motor Vehicle and Office Equipment) to be Balance Day Adjustments at August 31th, 2020. Some of the necessary adjustments are to be found in the transactions above. Other adjustments are listed below: 1) All Non-Current Assets (Motor Vehicle and Office Equipment) to be depreciated at 20% per annum Straight Line on cost. 2) Insurance expense was prepaid on November 1, 2019 for 1 year. 3) An energy bill from Tru Energy for August $198.00(Including GST) has not been recorded or paid yet. Accounts List 1-0000 1-1000 Header Header Detail 1-1110 1-1200 1-1300 1-1400 Assets Current Assets Cheque Account Accounts Receivable Inventory Prepaid Insurance Non-current Assets Motor Vehicle Motor Vehicle at Cost Motor Vehicle Acc Dep 1-3000 1-3100 Detail Detail Detail Header Header Detail Detail 1-3110 1-3120 7 1-3200 1-3210 1-3220 Office Equipment Header Office Equipment at Cost Detail Office Equipment Acc Dep Detail 1-3210 1-3220 Office Equipmentat Cost Detail Office Equipment Acc Dep Detail 2-0000 2-1000 2-1200 2-1300 2-1310 2-1330 Liabilities Current Liabilities Accounts Payable GST Liabilities GST Collected GST Paid Payroll Liabilities Wages Payable PAYG Withholding Payable Accrued Energy Bill Non-current Liabilities Bank Loan Header Header Detail Header Detail Detail Header Detail Detail 2-2400 2-2410 2-2420 2-3000 2-4000 Detail Header Detail 2-4100 3-0000 3-1000 3-1100 3-1200 3-9000 Equity Owner's Equity Owner's Capital Owner's Drawings Current Year Earnings Header Header Detail Detail Detail 4-0000 4-1000 4-2000 Income Sales - Products Fitness Training Fees Header Detail Detail 5-0000 5-1000 5-3000 Cost of Sales Cost of Sales Inventory Loss/Gain Header Detail Detail 6-0000 6-0040 Expenses Accounting Fees Header Detail 6-0000 6-0040 6-1000 6-1010 6-1100 6-1210 Expenses Accounting Fees Advertising Bank Fees Depreciation Expense Discounts Given Header Detail Detail Detail Detail Detail 6-1220 6-1400 6-1450 6-1550 6-1850 6-1930 6-2100 6-2400 Discounts Received Insurance Bank Interest Fuel Costs Office Stationery Wages & Salaries Rent Energy Costs Detail Detail Detail Detail Detail Detail Detail Detail Note: Where possible, delete or hide accounts not required. Accounts which are linked accounts cannot be deleted. Important information relating to accounts' code. The way you picked the accounts list provided by MYOB software could change the account numbers. The assignment requires you to use 1-1200 for Accounts Receivable. However, in the case that you cannot use 1-1200, as that number is already used for another linked account - payroll. It is okay to use a different number