TOWNE CLEANERS
		TRIAL BALANCE
		NOVEMBER 30, 20XX
			DEBIT		CREDIT
101	Cash		$13,942.00
102	Cash - Payroll Account		0
103	Change Fund		100.00
105	Petty Cash Fund		50.00
110	Accounts Receivable		530.00
115	Office Supplies		68.00
120	Cleaning Supplies		83.00
125	Prepaid Insurance		404.00
150	Delivery Van		18,000.00
151	Accum. Deprec., Delivery Van				$8,750.00
160	Furniture & Fixtures		6,000.00
161	Accum. Deprec., Furniture & Fixtures				3,935.00
165	Cleaning Equipment		24,000.00
166	Accum. Deprec., Cleaning Equipment				9,788.00
170	Office Equipment		4,000.00
171	Accum. Deprec., Office Equipment				1,462.00
201	Accounts Payable				698.00
210	Wages Payable				0
215	Employees' Federal Income Tax Payable				310.12
216	Employees' State Income Tax Payable				77.50
220	FICA Social Security Tax Payable				621.26
225	FICA Medicare Tax Payable				145.29
230	Employees' Medical Insurance Payable				120.00
235	Federal Unemployment Tax Payable				4.50
240	State Unemployment Tax Payable				30.25
245	Note Payable, Delivery Van				4,080.00
301	Patricia Towne, Capital				26,096.00
350	Patricia Towne, Drawing		27,200.00
370	Income Summary		0		0
401	Cleaning Services Income				183,606.00
402	Alterations Income				25,444.00
410	Tuxedo Rental Income				14,230.00
411	Interest Income				39.97
501	Wages Expense		149,881.00
505	Payroll Tax Expense		12,569.89
508	Rent Expense, Building		6,600.00
510	Utilities Expense		2,580.00
515	Advertising Expense		468.00
517	Cash Short/(Over)		84.00
520	Cleaning Equipment Repair Expense		592.00
521	Office Equipment Repair Expense		384.00
530	Contributions Expense		120.00
535	Insurance Expense		660.00
555	Deprec. Expense, Delivery Van		2,750.00
560	Deprec. Expense, Furniture & Fixtures		935.00
565	Deprec. Expense, Cleaning Equipment		2,285.00
570	Deprec. Expense, Office Equipment		465.00
576	Delivery Expense		72.00
577	Delivery Van Operating Expense		1,420.00
580	Interest Expense		648.00
590	Office Supplies Expense		302.00
591	Cleaning Supplies Expense		2,176.00
599	Miscellaneous Expense		69.00
	CONTROL TOTALS		$279,437.89		$279,437.89

TOWN CLEANERS

DECEMBER TRANSACTIONS

Date

11/30 Record Trial Balance amounts from page 4 in the Individual General Ledger Accounts

12/01 Receive invoice from Harbor Cleaning Supplies for cleaning supplies, $125

12/02 Receive and pay for office typewriter repairs by Johns Typewriter for $35, check #321

12/03 Receive invoice from the Chronicle for newspaper advertising, $42

12/04 Contribute $15 to Ventura Holiday Fund, (contributions expense) check #322

12/05 Paid $188 to Harbor Cleaning Supplies for supplies purchased on 11/18, check #323

12/05 Deposit weekly receipts for:

- Cleaning services $1,648.00

- Alterations $226.00

- Tuxedo rentals $493.00

12/06 Receive and deposit $365 from Thai Restaurant for November linen cleaning services previously billed

12/06 Receive invoice from California Power for November gas and electricity, $188

12/06 Owner withdrawal of $400 for personal use, check #324

12/08 Purchase office supplies on account from City Stationers, $38

12/09 Receive and pay invoice from Thrifty Gasoline for November delivery van operating costs, $114, check #325

12/10 Petty cash disbursement of $5.75 for delivery, Voucher #90

12/11 Receive and deposit $165 from Sandra Gallager for alterations previously billed

12/11 Make partial payment on 11/22 invoice to Moores Office Equipment for prior purchase on account, $175, check #326

Date

12/12 Deposit weekly receipts for:

Cleaning services $1,726.00

Alterations $318.00

Tuxedo rentals $85.00

NOTE: Above amounts represent cash register totals. The actual deposit was for

only $2,120, cash on hand, thus there must be a shortage.

12/13 Owner withdrawal of $500 for personal use, check #327

12/13 Remit federal payroll taxes (income taxes and FICA taxes) in the amount of the credit

balances in ledgers for November payrolls. Check #328 payable to America Bank West

12/15 Remit monthly note payment on delivery van of $455 ($400 principal; $55 interest) to Car Cal Credit, check #329

12/16 Record transfer of funds from regular bank account to special payroll bank account for payment of employees, check # 330

12/16 Record the automatic transfer of funds from the CashPayroll account to the employees personal bank accounts. (Auto-pay system)

12/16 Petty cash disbursement for office supplies, $4.20, Voucher #91

12/16 Receive and pay invoice from Carters Repair Services for $48 for repair of cleaning equipment, check #331

12/17 Pay balance of 11/22 invoice to Moores Office Equipment for prior purchase on account $55, check #332

12/18 Invoice Thai Restaurant for linen cleaning services for first half of December, $140

12/18 Pay 12/03 invoices to the Chronicle for newspaper advertising $42, check #333

12/19 Deposit weekly receipts:

-Cleaning Services $1,910.00

-Alterations $273.00

-Tuxedo rentals $230.00

12/19 Purchase cleaning supplies on account from Harbor Cleaning Supplies for $106

12/20 Owner withdrawal of $600 for personal use, check #334

12/22 Receive and pay November telephone bill of $46 from American Telephone, check #335

12/23 Petty cash disbursement of $10 to owner for personal use, Voucher #92

12/23 Receive and pay invoices from Samniis Tire for $19 for services on delivery van, check #336

12/24 Rent tuxedos on account to Tri County Choral for holiday presentation, $765

12/24 Petty cash contribution of $8 to Big Brothers, Voucher #93

12/24 Deposit of weekly receipts for:

-Cleaning services $1,240.00

-Alterations $286.00

-Tuxedo rentals $425.00

Date

12/26 Pay 12/01 invoice to Harbor Cleaning Supplies, $125, check #337

12/26 Pay 12/08 invoice to City Stationers, $38, check #338

12/27 Pay monthly rent to J.D. Smith, Co. for building space, $600, check #339

12/28 Receive annual insurance premium on delivery van from Insurers International for $340

12/28 Receive and deposit $140 from Thai Restaurant in payment of invoice dated 12/18

12/30 Record the transfer of funds from the regular bank account to the special payroll bank account for payment to employees, check #340.

12/30 Record the automatic transfer of funds from the CashPayroll account to the employees personal bank accounts. (Auto-pay system)

12/30 Petty cash disbursement of $9.45 for dry cleaning solution, Voucher #94

12/31 Owner withdrawal of $800 for personal use, check #341

12/31 Reimburse Petty Cash (K. Smith) for transactions recorded in the Petty Cash Payments Record, check #342.

Date

12/31 Remit employees medical insurance withholdings of $120 for month of November to Big Blue, check #343

12/31 Deposit final receipts for December:

- Cleaning services $2,106.00

- Alterations $487.00

- Tuxedo rentals $234.00

12/31 Invoice Thai Restaurant for linen cleaning services for last half of December, $159

12/31 Complete a Bank Reconciliation based upon the information provided, journalize and post the appropriate entries.

TOWNE CLEANERS

CHART OF ACCOUNTS

No. Account Name No. Account Name

ASSETS OWNERS EQUITY

101 Cash 301 Patricia Towne, Capital

102 Cash Payroll Account 350 Patricia Towne, Drawing

103 Change Fund 370 Income Summary

105 Petty Cash Fund

110 Accounts Receivable

370 Income Summary

115 Office Supplies REVENUE

120 Cleaning Supplies

125 Prepaid Insurance 401 Cleaning Service Income

150 Delivery Van 402 Alterations Income

151 Accumulated Depreciation, 410 Tuxedo Rental Income

Delivery Van 411 Interest Income

160 Furniture & Fixtures

161 Accumulated Depreciation, EXPENSES

Furniture & Fixtures

165 Cleaning Equipment 501 Wages Expense

166 Accumulated Depreciation, 505 Payroll Tax Expense

Cleaning Equipment 508 Rent Expense, Building

170 Office Equipment 510 Utilities Expense

171 Accumulated Depreciation, 515 Advertising Expense

Office Equipment 517 Cash Short/(Over)

520 Cleaning Equipment Repair Expense

LIABILITIES 521 Office Equipment Repair Expense

530 Contributions Expense

201 Accounts Payable 535 Insurance Expense

210 Wages Payable 555 Depreciation Expense, Delivery Van

215 Employees Federal Income 560 Depreciation,

Tax Payable Furniture & Fixtures

216 Employees State Income 565 Depreciation Expense,

Tax Payable Cleaning Equipment

220 FICA Social Security Payable 570 Depreciation Expense,

225 FICA Medicare Tax Payable Office Equipment

230 Employees Medical 576 Delivery Expense

Insurance Payable 577 Delivery Van Operating Expense

235 Federal Unemployment 580 Interest Expense

Tax Payable 590 Office Supplies Expense

240 State Unemployment Tax Payable 591 Cleaning Supplies Expense

245 Note Payable, Delivery Van 599 Miscellaneous Expense

Directions:Prepare journal , journalize them and post to general journal (If you can when you post them make them close enough so that i can read them)

TOWNE CLEANERS

YEAR-END TRANSACTIONS FOR DECEMBER

Record the Trial Balance section of the Work Sheet using the General Ledger Account Balances.

Record the following adjustments on the Work Sheet, adding new accounts as necessary:

(Adjustments through November have been previously posted)

Office Supplies inventory is $42 as of December 31

Cleaning Supplies inventory is $115 as of December 31

Depreciation, Delivery Van, for the month of December, $250

Depreciation, Furniture and Fixtures, for the month of December, $85

Depreciation, Cleaning Equipment, for the month of December, $208

Depreciation, Office Equipment, for the month of December, $42

Expired Insurance, for the month of December, $60

Accrued wages for the fast five days of December are $1,072

An Accounts Receivable in the amount of $416 for earned but unbilled cleaning services in December was overlooked and not recorded in the accounting records

Complete the Work Sheet

Prepare the Financial Statements:

Income Statement for year ended December31

Statement of Owners Equity for the year ended December 31

Balance Sheet as of December 31

Journalize and post the Adjusting Entries.

Journalize and post the Closing Entries.

Prepare the Post-Closing Trial Balance as of December 31.