Your late uncle Dr. Acula has left you 100,000 Vampire Dollars to set up a business selling upcycled musical coffins, which are becoming very popular in your home country. Grow your business and develop your financial competence until you eventually list your business on the Transylvanian Stock Exchange.

REQUIRED :

Record the following business transactions which occurred in December 2020 (using Debit and Credit), including the impact on accounting equation on 31 December 2020.

01/12 Paid rent of $17,400 for the next three months of your business.

02/12 Your business bought 19 units of cello coffin at $3,700 each for cash.

15/12 Your customer ordered 17 units of cello coffin at the selling price of $4,500 each and paid 20% deposit.

You have employed 2 staff at $3,720 each per month, paid in arrears. The business normally pays wages fortnightly. On 23 December, you paid your staff for the 14 days work they have done up till 19 December.

30/12 Your business delivered all cello coffins and the customer received 17 units of cello coffin at the selling price of $4,500 each and each cello coffin costs $3,700. The customer is going to pay the remaining in January 2021.

31/12 The accountant needs to do relevant adjusting journal entries. (Hint: Think of what shall be adjusted as time goes by.)