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Requirement A only. Greta's Furniture Pty Ltd has the following opening account balances in its general and subsidiary led January. All accounts have normal debit
Requirement A only.
Greta's Furniture Pty Ltd has the following opening account balances in its general and subsidiary led January. All accounts have normal debit and credit balances. General Ledger Account Number Account Title January 1 Opening Balance 101 112 115 120 125 130 157 158 201 Cash Accounts Receivable Commisions Receivable Inventory Office Supplies Prepaid Insurance Equipment Accumulated Depreciation - Equipment Accounts Payable P. Greta, Capital P 64,350.00 23,400.00 70,200.00 32,400.00 1,800.00 3,600.00 11,610.00 2,700.00 63,000.00 141,660.00 301 Jan. 8 9 9 12 13 16 3 Sell inventory on credit to The Furniture Warehouse P5,580, invoice no. 510, and Beautiful Homes Ltd 23,240, invoice no. 511. 5 Purchase inventory from Walden & Co. P5,400 and D. Landell P3,960. 7 Receive cheques for P7200 from Lowell Chairs and P3,600 from Table Tops Ltd. Discount allowed 272 and P36, respectively. Pay freight on inventory purchased P324. Send cheques to Lee Importers for P16,200 and Nordin Office Furniture for P19,800. Discount received P162 and P297 respectively. Issue credit note for P540 to Beautiful Homes Ltd for inventory returned (goods were not damaged and were returned to inventory). 10 Summary cash sales total P27,900. 11 Sell inventory on credit to Couch City for 12,340, invoice no. 512, and to Lowell Chairs 21,620, invoice no. 513. Pay rent of P1,800 for January. Receive payment in full from The Furniture Warehouse and Beautiful Homes Ltd. 15 Withdraw 11,440 cash by P. Greta for personal use. Purchase inventory from Nordin Office Furniture forp$27,000, from Lee Importers for P25,560, and from Walden & Co. for P2,700. 17 Pay P720 cash for office supplies. 18 Return P360 of inventory to Lee Importers and receive credit 20 Summary cash sales total P31,500. 21 Send cheque to Ikeah in payment of balance due. 21 Receive payment in full from Lowell Chairs, discount allowed P162. 22 Sell inventory on credit to The Furniture Warehouse for P3,060, invoice no. 514, and to Couch City for P1,440, invoice no. 515. 23 Send cheques to Nordin Office Furniture and Lee Importers in full payment. 25 Sell inventory on credit to Table Tops Ltd for P6,300, invoice no. 516, and to Beautiful Homes Ltd for P10,980, invoice no. 517. 27 Purchase inventory from Nordin Office Furniture for P26, 100, from D. Landell for P2,160, and from Walden & Co. for P5,040. 28 Pay P360 cash for office supplies. Summary cash sales total 38,340. 31 Pay sales salaries of P7,740 and office salaries of P4,680. 31 Received P70,200 commission revenue owing at the end of December 2017. 31 The chart of accounts includes the following accounts: 306 P. Greta Drawings, 350 Profit or Loss Summary, 401 Sales, 412 Sales Returns and Allowances, 415 Discount Received, 417 Commissions Revenue, 510 Purchases, 512 Purchases Returns and Allowances, 516 Freight Inwards, 627 Sales Salaries Expense, 711 Depreciation Expense, 722 Insurance Expense, 725 Discount Allowed, 727 Office Salaries Expense, 728 Office Supplies Expense and 729 Rent Expense. Required (a) Record the January transactions in the appropriate journal: sales, purchases, cash receipts, cash payments and general. (b) Post the journals to the general and subsidiary ledgers. New accounts should be added and numbered in an orderly fashion as needed. (c) Prepare a trial balance as at 31 January 2018 using a worksheet. Complete the worksheet using the following additional information. 1. Office supplies at 31 January total P900. 2. Insurance cover expires on 31 October 2018. 3. Annual depreciation on the equipment is P2,700. 4. Commissions revenue of P39,600 has accrued during January. 5. Inventory at 31 January is P28,800. (d) Prepare a fully classified statement of profit or loss for January and a classified statement of financial position at the end of January (e) Prepare and post the adjusting and closing entries. (1) Prepare a post-closing trial balance, and determine whether the subsidiary ledgers agree with the control accounts in the general ledger Step by Step Solution
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