Transactions June 1 The owner opened a bank account for the business with a deposit of $24,400. This is capital provided by him. 1 Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $31,600 and computer equipment for the shop from Computer Wizards for $4,400. These were paid for with a loan of $30,120 from the bank and cheque for $5,880 from the business bank account. The bank loan is repayable over 3 years. 1 Paid $3,600 for a 1-year insurance policy covering fire, theft, and public liability. 2 Purchased inventory (skateboards and protective gear) from Excitement plus for $18,000 on terms on net 30. 5 Paid $1,500 to Local Newspapers for advertising for the shop for the month. 6 Cash sale of a skateboard and protective gear for $500 (cost of sales $150). 7 Purchased surfboards and wetsuits from Surf Imports for $16,260 on terms of 10/10, n/30. 8 Returned some protective gear to Excitement Plus that was faulty and received an adjustment note (credit note) from them for $200. 9 Credit sale to Serious Fun of skateboards and protective gear for $4,400 (cost of sales $1,770). This customer was given terms of 5/10, n/30. 11 Paid Surf Imports the amount owing to them less the prompt payment discount. 12 Credit sale to Surfing World of various inventory items for $6,710 (cost of sales $3,210). Terms net 30. 13 Cash purchase of stationery from Officeworks for $290. 14 Credit sale to Academy Diving School of 15 wetsuits at a discounted price of $280 each on terms of net 15. Cost of sales $2,220. 18 Received a cheque from Serious Fun for the amount owing by them after deducting the prompt payment discount. 19 Cash sale of inventory to the value of $820 (cost of sales $360). 20 Issued an adjustment note (credit note) to Academy Diving School for 1 wetsuit at $280 each that was not the size they required. The cost of the wetsuit to us was $200 and it was put back into inventory. 24 Paid Excitement Plus $5,400 of the amount owing to them. 25 Credit sale to Serious Fun of skateboards for $6,280 (cost of sales $2,000). Terms 5/10, n/30. 26 Purchased wetsuits from Surf Imports for $6,200 on terms of 10/10, n/30. 27 Received and banked a cheque from Academy Diving School for the amount owing by them. 30 The owner cashed a cheque for $1,950 to pay wages to Scott Walker the sales assistant of $900 less PAYG Withholding of $50, and $1,100 drawings for himself. The June transactions above have been journalised and posted. Following are the end of month adjustments (round to the nearest dollar), which are also journalised. a. Depreciation on shop equipment for the month is 20% 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 $126. Date Description Post ref. Debit Credit 20xx June 30 Depreciation expense 600 Accumulated depreciation - shop equipment 600 (Depreciation for the month) 30 Insurance expense 300 Prepaid insurance 300 (Amount of prepaid insurance expired for June) 30 Superannuation expense 90 Superannuation payable 90 (Superannuation payable for June) 30 Interest expense 126 Bank loan 126 (Interest charged to bank loan for June) Post the above adjusting entries to the general ledger below. (Note: Leave blank any answer fields that do not require an answer.) NO. 100 Debit Credit Cash at bank Date Details June 1 Capital 6 Sales revenue 18 Accounts receivable 19 Sales revenue 27 Accounts receivable Date 24,400 June 500 4,180 820 3,920 Details 1 Shop equipment (cost) 1 Prepaid insurance 5 Advertising expense 11 Accounts payable 13 Postage and stationery expense 24 Accounts payable 30 Wages expense 30 Drawings 5,880 3,600 1,500 14,634 290 5,400 850 1,100 No. 110 Details Debit Credit Accounts receivable Date June 9 Sales revenue 12 Sales revenue 14 Sales revenue 25 Sales revenue Date 4,400 June 6,710 4,200 6,280 Details 18 Cash at bank 18 Discount allowed 20 Sales returns and allowances 27 Cash at bank 4,180 220 280 3,920 No. 120 Inventory Date June Details Debit Details Credit 2 Accounts payable 7 Accounts payable 20 Cost of sales 26 Accounts payable Date 18,000 June 16,260 200 6,200 6 Cost of sales 8 Accounts payable 9 Cost of sales 12 Cost of sales 14 Cost of sales 19 Cost of sales 25 Cost of sales 150 200 1,770 3,210 2,220 360 2,000 No. 130 Prepaid Insurance Date Details Debit Details Credit Date 3,600 June June 1 Cash at bank No. 171 Details Debit Details Credit Shop equipment (cost) Date June 1 Bank loan 1 Cash at bank Date 30,120 5,880 No. 172 Accumulated depreciation - shop equipment Date Details Debit Date Details Credit June No. 200 Details Debit Details Credit Accounts payable Date June 8 Inventory 11 Cash at bank 11 Discount received 24 Cash at bank Date 200 June 14,634 1,626 5,400 2 Inventory 7 Inventory 26 Inventory 18,000 16,260 6,200 No. 210 PAYG withholding payable Date Details Debit Details Credit Date June 30 Wages expense 50 No. 220 Superannuation payable Date Details Debit Date Details Credit June No. 230 Bank loan Date Details Debit Credit Date June Details 1 Shop equipment (cost) 30,120 No. 300 Capital Date Details Debit Details Credit Date June 1 Cash at bank 24,400 No. 310 Drawings Date June Details Debit Date Details Credit 30 Cash at bank 1,100 No. 400 Sales revenue Date Details Debit Credit Date June Details 6 Cash at bank 9 Accounts receivable 12 Accounts receivable 14 Accounts receivable 19 Cash at bank 25 Accounts receivable 500 4,400 6,710 4,200 820 6,280 No. 410 Sales returns and allowances Date Details June 20 Accounts receivable Debit Date Details Credit 280 Discount received No. 420 Date Details Debit Details Credit Date June 11 Accounts payable 1,626 No. 500 Details Debit Details Credit 20 Inventory 200 Cost of sales Date June 6 Inventory 9 Inventory 12 Inventory 14 Inventory 20 Inventory 25 Inventory Date 150 June 1,770 3,210 2,220 360 2,000 No. 600 Advertising expense Date June 5 Cash at bank Details Debit Date Details Credit 1,500 No. 610 Depreciation expense Date Details Debit Date Details Credit June No. 620 Discount allowed Date Details June 18 Accounts receivable Debit Date Details Credit 220 No. 640 Insurance expense Date Details Debit Date Details Credit June No. 650 Interest expense Date Details Debit Date Details Credit June No. 660 Postage and stationery expense Date June 13 Cash at bank Details Debit Date Details Credit 290 No. 670 Superannuation expense Date Details Debit Date Details Credit June No. 690 Debit Date Details Credit Wages expense Date Details June 30 Cash at bank 30 PAYG withholding payable 850 50