General Journal, Geberal ledger, and Inventory Valuation
Paste B I U IM Open recovered workbooks? Your recent changes were saved. Do you want to continue F20 X fx B D E F G H 1 Case: DITO Shoppee - Solutions 2 3 DITO Shoppee owned by Graham Smith, is a freestyle clothing retailer. You were hired to account the transactions and report 4 the status of the business. They use the perpetual inventory system and use the weighted average method to determine value for the inventory. Its balance sheet as at January 31, 2021, is presented below. 6 7 8 9 10 DITO Shoppee 11 Classified Balance Sheet 12 As at January 31, 2021 13 Assets 14 Cash $32 400 15 Accounts Receivable 16 820 16 Merchandise Inventory 37 200 17 Prepaid Insurance 3200 18 Total Current Assets 89 620 19 Long-Term Assets 20 Equipment 145 000 21 Accumulated Depreciation -40.000 105 000 22 Total Assets $194 620 23 24 Liabilities 25 Current Liabilities 26 Accounts Payable $13 100 27 Uneamed Revenue $9 200 28 Salaries Payable $3400 29 Current Portion of Bank Loan 10560 30 Total Current Liabilities $36 260 31 Non-Current Labates 32 Non-Current Portion of Bank Loan 19.440 33 Total Liabilities $55 700 34 35 Shareholders' Equity 36 Common Shares 72 000 37 Retained Earings 66920 38 Total Shareholders' Equity 138 920 39 Total abilities & Equity $194 620 40 50 The bank loan has an annual interest rate of 8% and has monthly principal payment of $880 51 VALUEI 52 53 ab Calibri (Body) v 10 ' ' Paste BIU v Av HEH Open recovered workbooks? Your recent changes were saved. Do you want to continue worki B22 fx =CONCATENATE("The remaining balance of the petty cash account B D E F G H 1 Transactions for the month of February: 2 900 28 2314 1120 3 Feb 1 Pald rent for February amounting to $520, Cheque #2314 4 Feb 1 DITO Shoppee decided to establish a petty cash fund for the office. A cheque #12315 of $500 was issued 5 and cashed. 6 Purchased merchandise from Canadian Polo Inc. on account, invoice #425; 800 units at $25 each. Terms 7 Feb 5 of the purchase were 4/10, net 30, FOB Destination. The seller paid the shipping cost amounting to $55. 8 Update the inventory table after each purchase. 9 Sold mechandise to Lee, 750 units at $95 each with invoice 1120. The invoice terms were 3/10, net 30, 10 Feb 7 FOB Destination. DITO Shoppee paid the $40 to ship the goods to Lee. They used petty cash fund to pay. 11 Update the inventory table after each sale. 12 some of goods purchased from Canadian Polo Inc. was defective. Canadian Polo Inc. agreed to a 30% Feb 9 13 allowance on the total purchased. 14 Feb 12 Paid total liability with a cheque #2316 to Canadian Polo Inc. for the February 6 purchased. 15 16 Feb 17 Lee paid invoice #1120 on time and took advantage of the early payment discount. 17 18 Feb 18 Bought inventory from Coleman with cheque 112317,900 units at $28 per unit. Sold 200 units at $90 each with invoice #1121 to Guess. The invoice term 3/10, net 30, FOB shipping Feb 20 point 21 Feb 20 Received $1000, from Prinsted Shirt Inc for a sale on account last month. 22 The remaining balance of the petty cash account was $245. Total expenses incurred using the petty cash fund this month amounting to $250. In this amount, it includes the shipping cost incurred on Feb 7 and Feb 25 the other costs are for the office supplies expense. Prepare the entry to replenish the petty cash fund with Chau2318 Feb 28 Prepared the payroll for February to be paid on March S. Gross pay is $12300.. CPP is $627., El is $231. and income tax is $2460. The employer matches CPP contributions and pays 1.4 times the El deduction. Use the general Journal to record this. The cheque will be prepared later. Made monthly bank loan payment of $1080, which includes $880, principal and $200, interest. 30 Feb 28 31 32 33 Record the transactions above in the general journal. 34 35
