Please use following information to use an accounting worksheet to analyse transactions and perform balance-day adjustments for the months activities. An example form is provided.
EXAMPLE FORM.
The business has the following opening balances: Medical Supplies Office Supplies Medical Equipment Bank Loan (due 2022) Account Payable Motor Vehicle Account Receivable Cash At Bank $1.975 $697 $38.100 $28,784 $7,304 $31.146 $19,158 $12.839 Additional Information: Closing stock of medical supplies on 30/6 (S) Closing stock of office supplies on 30/6 ($) Medical equipment scrap value (S) Medical equipment useful life (years) Rent paid for (months) Insurance paid for (months) Motor vehicle scrap value (S) Motor vehicle useful life (years) Bank loan interest rates (% per year) 2,380 822 2.929 3 5 4 2,101 3 8 Amount $2.205 $1.971 Amount $4,067 $2.599 $360 S346 $1,331 $1,443 $1,487 $131 $468 S2.195 $484 $180 S670 S870 Transactions: Date Description 1-Jun Paid General Insurance 4-Jun Receive Payment from Account Customers 6-Jun Purchase office supplies - Account 8-Jun Vaccination - Cash 9-Jun Receive Payment from Account Customers 11-Jun Cash Withdrawals by Owner 11-Jun Advertising Expense - Cash 13-Jun Advertising Expense - Account 15-Jun Purchase office supplies - Account 15-Jun Staff Wages 15-Jun Pet consultation - Cash 16-Jun Purchase medical supplies - Account 17-Jun Vaccination - Cash 21-Jun Payment to Account Payable 25-Jun Desexing - Cash 26-Jun Pet consultation - Account 28-Jun Advertising Expense - Cash 29-Jun Staff Wages Date Description 3-Jun Rent of Business Premises 4-Jun Desexing - Cash 6-Jun Purchase medical supplies - Cash 8-Jun Staff Wages 9-Jun Motor Vehicle Expenses 11-Jun Pet consultation - Cash 13-Jun Sundry Expenses 14-Jun Vaccination - Account 15-Jun Payment to Account Payable 15-Jun Sundry Expenses 15-Jun Advertising Expense - Account 17-Jun Cash Withdrawals by Owner 20-Jun Motor Vehicle Expenses 22-Jun Staff Wages 25-Jun Pet consultation - Account 27-Jun Additional cash contributed by owner 29-Jun Vaccination - Account $413 $1,281 $157 $1,443 S2.031 $733 $585 $434 $1.027 S244 $503 $1,443 $2.865 $1,431 $1,336 $2.687 $462 $998 $1,443 Comments: This business was purchased on 1 June 2020. The current date is July 2020, therefore you are preparing financial statements for the period ending 30 June 2020. You will need to refer to the Additional Information section for your adjusting entries. There is no requirement to make adjusting entries for unearned income. The business is staffed 7 days/week and the level of staffing does not vary day to day. Therefore, the cost of wages does not vary by day of the week. Wages are paid for work performed up to the day before the day of payment. For example, wages owing for work performed on days 1 to 7 are paid on day 8. The rent and insurance periods start on 1 June. Unless otherwise indicated, all transactions are on a cash basis. Where an item description includes the word "Account", it means the transaction was on credit, not cash. It is essential that you understand the real world meaning of the transaction descriptions: if the meaning of any one of them is not clear, post a question on the Assignments discussion forum. In completing the assignment, use one general Accounts Receivable for all debtors and one general Accounts Payable for all creditors. Recognise all prepayments initially as assets. Your Balance Sheet should show assets and liabilities divided into current and non-current. Show three types of revenue, namely pet consultation, vaccination and desexing fees. All revenues received were for the month of June, BALANCE SHEET INCOME STATEMENT NOTES DATE ASSETS LIABILITIES EQUITY INCOME EXPENSE Pre- payments Vehicles Cash Vehicle Office Acc. Dep'n Supplies Equip't Office Acc dep'n A/Rec A/Pay Accrued expenses Capital Bank loan Drawings olbalances Unadjusted month end balances SO $0 SO $0 $0 so $0 $0 $0 $0 $0 $0. $0 $0 $0 Adjusting Entries c/balances $0 $0 $0 $ $0 $0 $0 SO $0 $0 0 $0 $0 $0 $0 $0 $ $0 The business has the following opening balances: Medical Supplies Office Supplies Medical Equipment Bank Loan (due 2022) Account Payable Motor Vehicle Account Receivable Cash At Bank $1.975 $697 $38.100 $28,784 $7,304 $31.146 $19,158 $12.839 Additional Information: Closing stock of medical supplies on 30/6 (S) Closing stock of office supplies on 30/6 ($) Medical equipment scrap value (S) Medical equipment useful life (years) Rent paid for (months) Insurance paid for (months) Motor vehicle scrap value (S) Motor vehicle useful life (years) Bank loan interest rates (% per year) 2,380 822 2.929 3 5 4 2,101 3 8 Amount $2.205 $1.971 Amount $4,067 $2.599 $360 S346 $1,331 $1,443 $1,487 $131 $468 S2.195 $484 $180 S670 S870 Transactions: Date Description 1-Jun Paid General Insurance 4-Jun Receive Payment from Account Customers 6-Jun Purchase office supplies - Account 8-Jun Vaccination - Cash 9-Jun Receive Payment from Account Customers 11-Jun Cash Withdrawals by Owner 11-Jun Advertising Expense - Cash 13-Jun Advertising Expense - Account 15-Jun Purchase office supplies - Account 15-Jun Staff Wages 15-Jun Pet consultation - Cash 16-Jun Purchase medical supplies - Account 17-Jun Vaccination - Cash 21-Jun Payment to Account Payable 25-Jun Desexing - Cash 26-Jun Pet consultation - Account 28-Jun Advertising Expense - Cash 29-Jun Staff Wages Date Description 3-Jun Rent of Business Premises 4-Jun Desexing - Cash 6-Jun Purchase medical supplies - Cash 8-Jun Staff Wages 9-Jun Motor Vehicle Expenses 11-Jun Pet consultation - Cash 13-Jun Sundry Expenses 14-Jun Vaccination - Account 15-Jun Payment to Account Payable 15-Jun Sundry Expenses 15-Jun Advertising Expense - Account 17-Jun Cash Withdrawals by Owner 20-Jun Motor Vehicle Expenses 22-Jun Staff Wages 25-Jun Pet consultation - Account 27-Jun Additional cash contributed by owner 29-Jun Vaccination - Account $413 $1,281 $157 $1,443 S2.031 $733 $585 $434 $1.027 S244 $503 $1,443 $2.865 $1,431 $1,336 $2.687 $462 $998 $1,443 Comments: This business was purchased on 1 June 2020. The current date is July 2020, therefore you are preparing financial statements for the period ending 30 June 2020. You will need to refer to the Additional Information section for your adjusting entries. There is no requirement to make adjusting entries for unearned income. The business is staffed 7 days/week and the level of staffing does not vary day to day. Therefore, the cost of wages does not vary by day of the week. Wages are paid for work performed up to the day before the day of payment. For example, wages owing for work performed on days 1 to 7 are paid on day 8. The rent and insurance periods start on 1 June. Unless otherwise indicated, all transactions are on a cash basis. Where an item description includes the word "Account", it means the transaction was on credit, not cash. It is essential that you understand the real world meaning of the transaction descriptions: if the meaning of any one of them is not clear, post a question on the Assignments discussion forum. In completing the assignment, use one general Accounts Receivable for all debtors and one general Accounts Payable for all creditors. Recognise all prepayments initially as assets. Your Balance Sheet should show assets and liabilities divided into current and non-current. Show three types of revenue, namely pet consultation, vaccination and desexing fees. All revenues received were for the month of June, BALANCE SHEET INCOME STATEMENT NOTES DATE ASSETS LIABILITIES EQUITY INCOME EXPENSE Pre- payments Vehicles Cash Vehicle Office Acc. Dep'n Supplies Equip't Office Acc dep'n A/Rec A/Pay Accrued expenses Capital Bank loan Drawings olbalances Unadjusted month end balances SO $0 SO $0 $0 so $0 $0 $0 $0 $0 $0. $0 $0 $0 Adjusting Entries c/balances $0 $0 $0 $ $0 $0 $0 SO $0 $0 0 $0 $0 $0 $0 $0 $ $0
