You are required to use the Xero application to record the following transactions for the first month of operation of Bikes R Us. Manual recording of the transactions in part A is not accepted.

 

To submit this task, you are required to prepare and submit the following documents. 

 

1. A journal report for September 2023. Order the journal report by the date of the transaction.
2. A Trial balance as of 30 September 2023.
3. A Balance Sheet as of 30 September 2023.
4. A profit and Loss statement for 30 September 2023.
5. A written report evaluating the financial performance of the company during its first month of operation.

 

PART B 

Record the following transactions manually for the month of September, and prepare trial balance, balance sheet and income statement for September 2023. 

 

 

Bikes R Us is a recently formed company that commenced business on 1^st September 2023. On 1 September their ledger balances were as follows:

 

Account Name	Balance $
Cash at Bank	$200,000
Owners Capital Contributed	$200,000

 

Bikes R Us buy andsell three bike modelsas described below.All prices include GST. Bikes R Us use a perpetual inventory system.

 

Bike	Buy price(incl. GST)	Sell Price(incl. GST)	Supplier
Hybrid Bike	$220	$594	Bikes Unlimited, Melbourne
Road Bike	$165	$286	Bikes Unlimited, Melbourne
BMX Bike	$88	$198	BMX World, Bundoora

Details of inventory items

 

During the month of September, the following transactions occurred:

 

Date	Details
1st September	Bikes R Us Purchased 30 hybrid and20 road bikes from Bikes Unlimited on credit. They delivered the bikes on the same date along with an invoice numbered Inv0034.
2nd September	Bikes R Us returned 3 faulty hybrid and 2 faulty road bikes to Bikes Unlimited and received credit.
2nd September	Bikes R Us Purchased 15 BMX bikes from BMX World on credit.They deliverr the bikes on the same date along with an invoice numbered Inv0158.
3rd September	Bikes R US returned 4 faulty BMX bikes to BMX World and received credit.
6th September	Sold 5 hybrid bikes,8 road bikes, and 2 BMX to Smiths Bicycles, Fitzroy, terms 2/15, n/30. You deliver the bikes on the same date.
7th September	Bikes r Us granted credit to Smiths Bicycles, Fitzroy for 2 hybrid bikes returned.
8th September	Sold 10 hybrid bikes to Lotsa Bikes ,terms 3/15, n/30.
9th September	Bikes R US granted credit to Lots a bikes, for 2 hybrid bikes returned.
9th September	Bikes R Us paid Bikes Unlimited in full.
10th September	Bikes R Us paid BMX world in full.
12th September	Bikes R Us received payment in full from Smiths Bicycles Fitzroy, less discount.
14th September	Bikes R Us received payment in full from Lotsa Bikes, less discount.
25th September	Bikes R Us purchased 10 hybrid and5 road bikes from Bikes Unlimited. Bikes R Us paid 40% of the required amount and agreed pay the rest on 25th October.
28th September	Bikes R Us Sold 15 hybrid bikes to Lotsa Bikes. Lotsa Bikes paid 30% of the required amount and agreed to pay the rest on 28th October.
30th September	Paid $3,300 incl. GST for a month's rent of your shop.

 

Use XERO to:

1. Make a Trial Balance as of 30 September.
2. Make a Statement of Profit or Loss for September 2023.
3. Make a Statement of Financial Position as of 30 September 2023.
4. Evaluate the financial performance of Bike R US during its first month of operation