Question
QUESTION 1 - This question has 1 part (11 marks = 22 minutes) DavidrunsanopticalstoreDOnlyOpt,wherehesellssunglassesandeyeglassframes,aswellasprovidinga comprehensiveeyehealthandvisionexam.ThebusinessisapartnershipbetweenDavidandhisbrother,Daniel. Their price list and unit costs (if applicable) are shown
QUESTION 1- This question has 1 part (11 marks = 22 minutes)
Davidrunsanopticalstore"DOnlyOpt",wherehesellssunglassesandeyeglassframes,aswellasprovidinga comprehensiveeyehealthandvisionexam.ThebusinessisapartnershipbetweenDavidandhisbrother,Daniel.
Their price list and unit costs (if applicable) are shown below.
Product and Service
Price List ($)
Unit Cost ($)
Eye health and vision exam
$86.90 (GST Inclusive)
-
Eyeglass frame
$31.90 (GST Inclusive)
$15.40 (GST Inclusive)
Sunglasses
$184.80 (GST Inclusive)
$ 93.50 (GST Inclusive)
DOnlyOptisregisteredforGST,andthefollowingtransactionsoccurredduringthelastthree(3)daysofNovember 2019.
28Purchased35framesoncredit,2/10net30;thebusinesscanopttoeitherreceive2%discountforpayment tothesupplierwith10daysorwithoutanydiscountin30days.
28Providedatotalof$2,085.60(GSTInclusive)ofeyevisionexamination. Paymentreceivedincashimmediatelyaftertheexamination.
28Thebusinesssold7eyeglassframesand3sunglasses.Paymentreceivedincash.
29Davidaccidentallyusehisbusinessdebitcardtopurchaseabirthdaycakeforhisfriend. Thecakecost$33(GSTInclusive).
29Sold15sunglassestohisfriend,George,forhisweddingattheendoftheyear2019.Davidhadmadea creditsalearrangementwithGeorgetoallowGeorgetopaythefullamountonthe20thofDecember2019.
29 The business returned 4 faulty eyeglass frames purchased on the 28thof November 2019.
29ThebusinesspurchasedsomefreshfruitsforstaffconsumptionfromColestotalling$13.20. (Account: MiscellaneousExpense)
30ReceivedutilitiesbillforthemonthofNovember2019$2,915(GSTInclusive)andpaidimmediately.
30RecordedtheamountofofficesuppliesconsumedthroughoutthemonthofNovember. Thebusinesspurchased$770(GSTInclusive)ofofficesuppliesonthe4thofNovember.
OpeningbalanceoftheOfficeSuppliesaccounton1November2019was$550(DR),butonly$120ofoffice suppliesremainedattheendofthemonth.
30 Recorded unpaid interest expense of $550.
30Paidstaffsalariesforthefortnighttotalling$10,068withcash. (Grosssalaries$13,454;PAYG$3,386)
Required:
Record the transactions provided above in the general journal provided.
(11 marks = 22 minutes)
Please use the account(s) listed on the Chart of Accounts on the following page.
Chart of accounts
Account
No
Account Name
101
Cash at bank
102
Accounts receivable
103
Inventory
104
Office supplies
105
Prepaid insurance
111
GST paid
151
Shop fittings
152
Accumulated depreciation-Shop fittings
155
Computer equipment
156
Accumulated depreciation-computer
158
Delivery van
159
Accumulated depreciation-Delivery van
200
Accounts payable
210
Sales commission payable
215
Interest payable
222
GST collected
223
PAYG Withheld
250
Bank loan
301
Capital
302
Drawings
401
Sales revenue
402
Service revenue
501
Cost of goods sold
600
Office supplies expense
601
Salaries expense
602
Advertising expense
603
Delivery expense
604
Sales commissions expense
605
Rent Expense
606
Interest expense
607
Insurance expense
608
Utilities expense
609
Depreciation expense - Shop fittings
610
Depreciation expense - Computer
611
Depreciation expense- Delivery van
612
Miscellaneous expense
Date
Account Titles (Details)
Debit
Credit
Date
Account Titles (Details)
Debit
Credit
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