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In the beginning of September 2 0 2 3 the company received 3 0 0 0 for 6 months of rent in advance. At the

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In the beginning of September 2023 the company received 3000 for 6 months of rent in
advance.
At the end of the month the Company repaid to the Bank credit tranche 1500 and paid
interest charges (interest rate as of 4% p.a.).
Depreciation of machinery equipment for December amounts to 400.
Due to increased credit sales in 2023, at the end of December the company raised its
allowance for bad debts to 2500.
In the beginning of December 2023 the company prepaid 600 cash for insurance for 12
months.
Required:
a) Prepare and enter the opening balance journal on Dec. 1,2023 to T-accounts.
b) Prepare the journal entries for the transactions (1-18) for the month of December and post
them to the T-accounts, opening additional T-accounts as needed.
c) Prepare the closing entries for the temporary accounts and the Income Statement.
d) Prepare the Balance Sheet as at Dec. 31,2023. Closing entries are not required for
permanent accounts.
The Accounting Cycle - Problem Set ABC Company Ltd.
Summary of transactions during December:
Paid outstanding salary payables
Paid outstanding trade creditors in the amount of 400.
Paid outstanding tax payables.
In November 2023 we performed consulting work for 3500 on credit and in December
2023 that work has been fully paid by the customer.
Purchase of 160 of office supplies was done on credit.
We performed consulting work for 1500, for which 400 was immediately paid in cash,
with the remaining amount to be paid in 60 days.
Performed advertisement services for Customer XYZ, for which we will receive 4800 on
3-month credit sale.
At the end of month the Customer XYZ made a claim on the advertisement services and we
agreed to a sales allowance (a reduction of the original selling price) in the amount of 15%.
We performed consulting services for the amount of 160 with cash payment, immediately
received.
Salaries to employees of 2000 were calculated for December to be paid in January.
The cost of office supplies used during December is 1800.
The cost of raw materials inventory used during December is 1500
In the beginning of August 2023 subscription rights for local newspaper magazine of 5000
were paid for 5 months in advance.
Also i have to learn T accounts names for this work, can you show me how to do T accounts titles properly
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