Tutorial 4

Problem 1: Transactions

On January 2019, Miss Nancy opens an office management services business. The trial balance for January transaction incurred as follows:-

Miss Nancy
Trial Balance as at 31 Jan 2019
Account	Debit	Credit
Cash Account	6,820
Equipment	50,000
Office rent	400
Capital Account		55,000
Service revenue		5,850
Drawing	1,000
Salaries expenses	2,000
Advertising Expenses	250
Account payable		820
Account receivable	1,200
	61,670	61,670

Additional information provided by Miss Nancy as follow:-

1. Miss Nancy forget to record the received of 12000 from Triple AAA company for a 3 month service payment in advance (Jan, Feb and March).

2. Provided 2000 of office management services on account to customers.

3. Depreciation on equipment at 10% per year.

4. Miss Nancy have not record another 2 month of office rent payment in advance.

5. Advertising expenses for the month are 1,000, but Miss Nancy only paid 25% of advertising expenses.

6. Miss Nancy did not record January intern salary 500 as it will be paid on 1st February.

Required

1) Prepare the Journal entry for the additional information provided by Miss Nancy.

2) Prepare the Worksheet 10 Column.

Question 2

Rosalinda began professional practice as a junior accountant on Jan 1 2019. During Jan 2019, She prepared a monthly Trial balance as follow:-

Rosalinda
Trial balance as at 31 January 2019
Account	Debit	Credit
Cash Account	544,600
Equipment account	140,000
Capital		620,000
Rent expenses	15,000
Account payable		5,600
Services revenue		139,000
Account receivable	52,000
salaries expenses	6,900
Drawing	500
Electrical bill	1,800
Water bill	3,800
	764,600	764,600

Additional information:-

1. Depreciation on equipment at 10% per annum.

2. Rent expenses recorded for 6 month.

3. RM 39,000 from service revenue is the payment in advance by customer.

4. Interest received 5,000 are not recorded in any book.

5. Pending payment of intern salaries amounted 1100.

6. Investments by owner on 5th Jan, amounted 300,000 that give 10% dividend return are not recorded in any book.

7. Jan 10, approved borrowed 100,000 at a rate of 8% per year. Interest is due every 1st of the month.

Required

1) Prepare the Journal entry for the additional information provided by Miss Nancy.

2) Prepare the Worksheet 10 Column.