1) Record the following transactions in the general journal using good form:

Oct 1 cash register tape shows cash sales of $2,500.

Oct 2 cheque received from Jeff Smith for $750 to pay previously issued invoice.

Oct 9 sold merchandise to Trevor Taylor for $300 on account.

Oct 10 cheque received from Drew Temple, the owner, for $5,500 as investment into business.

Oct 12 bank deposited $15,000 into the chequing account for a bank loan.

Oct 15 cash sales for day amounted to $2,200.

Oct 18 cheque received from Trevor Taylor for $300 to pay invoice.

Oct 30 owner withdrew $1,200 for personal car repairs.

2) Calculate the yearly depreciation for the following four assets using the straight-line method:

a) $250,000 piece of equipment expected to last five years with no residual value

b) $16,000 piece of equipment expected to last five years with no residual value

c) $1,000,000 building expected to last 25 years with $100,000 residual value

d) $60,000 vehicle expected to last six years with $15,000 residual value

3) Prepare an income statement for Tiki Massage for December 2022 using the following figures:

Utility expense $100

Other expenses $80

Supplies expense $200

Service revenue $6,200

Salary expense $2,200

Rent expense $750

4) Use the following trial balance to produce an Income Statement and a Balance Sheet for Foster Plumbing for the year ended December 31, 2022

Foster Plumbing

Trial balance

December 31, 2022

Account	DR	CR
Cash	9,360
Accounts Receivable	28,000
Vehicle - net	74,000
Equipment - net	7,500
Accounts Payable		1,800
Loan		15,000
Owners Equity		81,000
Revenue		195,000
Advertising expense	2,860
Automobile Expenses	7,400
Bank Fees	800
Depreciation	10,880
Insurance Expense	6,300
Rent Expense	13,200
Telephone Expense	1,500
Wage Expense	131,000
	292,800	292,800