Journalise end of year entries for company

Tran from the bou. There me 1 The owner para a bank accountries and post of us. This is capital provided by him 1 Purch die standing one om Shop Day Poy Listor 535.000 ore computer for the shorter Wert for 55.000 These were for who of 538.000 from the board anver 2 Poid 5.0 Learning frethet. and public by 3 Purchase order on 4,000 to Nach cards and more for 2,000 of 90, Credit seleto Serious Forester and protective gear for $5.500 contate 52,700). The customer was given terme, . Galled and Breasts 1324) Il Cash people smerome Post for 5190 12 Grade me to Sating wone maryam for 13.00 iet of sales 4,000). Terms 1z Mus ncle #streets 1524tv tut motz (t moet | f he 3:16, Berdachegaron Store were then die prosent at 1.9 Grade ke te Academy Daving School at stats adecurtad price or use each on terms of net is. Cost of use 5,22 23 Poid Beclemata 3,000 senting to the what we neying how that was not the they on. The wwwwww 24 Purch who suff.000, 2 Gradite to Sarione 2100 4100). Tamet, 27 Recewed and breather Ding School for the mounting by the Der here to the rest wine hata w Statement RETRE Sewer Learns and once Helseseve Grow profit Othe Advertising Depreciation par Discount Postage and staneye Super Top * Questions) ( , ) Question 8 (Note: Although this question is based on the Skate Surf business the accounts, amounts and transactions involved may differ between questions. Please read each question separately.) Skate 'n' Surf began operations on 1 June, buying and selling surfboards, skateboards, wetsuits and the protective gear for skateboarding. The structure of the business is that of a sole trader. The business employed a sales assistant during the month who is to be paid fortnightly. Tax is deducted from the employee's wages (PAYG withholding tax) and remitted to the Australian Taxation Office (ATO) on a quarterly basis. The business has not registered with the ATO for the goods and services tax (GST) and has elected to use the accrual basis of accounting Accounting records The business records all transactions in the general journal. These transactions are then posted to the appropriate account(s) in the general ledger and the accounts receivable or accounts payable subsidiary ledgers, where separate accounts are maintained for each customer or supplier. Chart of accounts The chart of accounts for Skate 'n' Surf contains the accounts and account numbers below. 100 Cash at bank 110 Accounts receivable 120 Inventory 130 Prepaid insurance 171 Shop equipment (cost) 172 Accumulated depreciation - shop equipment 200 Accounts payable 210 PAYG withholding payable 220 Superannuation payable 230 Bank loan 300 Capital 310 Drawings 320 Profit or loss summary 400 Sales revenue 410 Sales returns and allowances 420 Discount received 500 Cost of sales 600 Advertising expense 610 Depreciation expense 620 Discount allowed 630 Electricity expense 640 Insurance expense 650 Interest expense 660 Postage and stationery expense 670 Superannuation expense 580 Telephone expense 590 Wages expense une 1 ransactions The owner opened a bank account for the business with a deposit of $35,000. This is capital provided by him. Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $35,000 and computer equipment for the shop from Computer Wizards for $5,000. These were paid for with a loan 1 8 B 12 of $38,000 from the bank and cheque for $2.000 from the business bank account. The bank loan is repayable over 4 years 2 Paid $5,040 for a 1-year insurance policy covering fire, theft, and public liability 2 Paid $1,090 to Local Newspapers for advertising for the shop for the month. Purchased Inventory (skateboards and protective gear) from Excitement Plus for $24,000 on terms on 5 net 30. Purchased surfboards and wetsuits from Surf Imports for $21,000 on terms of 10/10, 1/30. Credit sale to Serious Fun of skateboards and protective gear for $5,500 (cost of sales $2,700). This customer was given terms of 5/10, 1/30 Cash sale of a skateboard and protective gear for $590 (cost of sales $220). 11 Cash purchase of postage stamps and stationery from Australia Post for $190. 12 Credit sale to Surfing World of various inventory items for $7,940 (cost of sales $4,900). Terms net 30. Returned some protective gear to Excitement plus that was faulty and received an adjustment note (credit note) from them for $180. Received a cheque from Serious Fun for the amount owing by them after deducting the prompt payment discount 14 Paid Surf Imports the amount owing to them less the prompt payment discount 17 Credit sale to Academy Diving School of 15 wetsuits at a discounted price of $390 each on terms of net 15. Cost of sales $5,100. 23 Paid Excitement Plus $3,800 of the amount owing to them. Issued an adjustment note (credit note) to Academy Diving School for 1 wetsuit at $390 each that 24 was not the size they required. The cost of the wetsuit to us was $340 and it was put back into inventory. 24 Purchased wetsuits from Surf Imports for $6,600 on terms of 10/10, 1/30. 25 Credit sale to Serious Fun of skateboards for $8,200 (cost of sales $4,100). Terms 5/10, 1/30 27 Received and banked a cheque from Academy Diving School for the amount owing by them. 30 A repayment of $1,000 was made on the bank loan. 30 The owner cashed a cheque for $550 to pay wages to Scott Walker the sales assistant of $600 less PAYG Withholding of $50. 13 The end of month adjustments are below. a. Depreciation on shop equipment for the month is 10% p.a. prime cost (straight line). b. One-twelfth of the insurance expired. c. Superannuation payable for the month is 10% of the gross wages paid. d. Interest charged on the bank loan for the month was $160. The transactions above have been journalised and posted. The statement or profit or loss for June is below. Skate 'n' Surf Statement of profit or loss for the period 1 June to 30 June 20xx Revenue Sales revenue Sales revenue 28,080 Less: Sales returns and allowances 390 Net sales revenue 27,690 Less: Cost of sales 16,680 Gross profit 11,010 Other revenue: Discount received 2,100 13,110 Expenses Advertising expense 1,090 Depreciation expense 333 Discount allowed 275 Insurance expense 420 Interest expense 160 Postage and stationery expense 190 Superannuation exepnse 57 600 Wages expense Total expenses Net profit/(loss) 3,125 $9,985 * Question 8 Journalise end-of-year closing entries. (Note: Enter debit entries first, followed by credit entries in the general journal. Credit account titles are automatically indented when the amount is entered. Do not indent manually. Leave blank any answer fields that do not require an answer. Enter accounts following the order of accounts given in the statement of profit or loss.) Date Credit Details Post rel Debit 20xx June (To dose revenue accounts) (To close expense accounts) (To dlose profit to capital account)