Journal Entries, T-Accounts and Trial Balance Exercise

You are required to enter the following transactions for May 19-5. The accounts are then to be balanced off and a trial balance extracted as at 31 May 19-5:

May 1 R. Groves started firm by depositing $15,000 into a bank account
2 Bought motor van on credit from K. Fung & son $3,400
2 Bought shop fittings by cheque $600
3 Bought goods on credit from K. Hollar Ltd $1,350; C. DeSousa $810; P. Tucker $180; C. Ross Ltd $440
4 Paid rent by cheque $80
5 Received loan of $300 in cash from D. Kong
5 Sold goods on credit to H. Tai & Partners $500; P. Nunes $373; D. Price $140; P. Wong Ltd $390
6 Bought office equipment on credit from Arthur Young & Co $740
7 Cash sale $260
8 Paid wages in cash $90
9 Bought office stationary for cash $28
11 Sold goods on credit to D. Price $80; L. Gran & Son $115
12 We returned goods to C. Desouza $54; C. Ross Ltd $60
13 Paid K. Fung & son $3,400 by cheque
14 Bought office stationery on credit from Rowland Supplies $150
15 Bought goods on credit from P. Tucker $310; R. Grizzle $770
16 Goods returned by P. Nunes $11; P. Wong Ltd $45
17 We paid K. Hollar Ltd $1,350 by cheque
18 Paid wages in cash $95
19 Repaid part of D. Kong's loan by cheque $120
20 Cheques received from D. Price $80; P. Wong Ltd $345
21 R. Groves took $100 drawings in cash
22 Some of the shop fittings were unsuitable and were sold for $60 cash
24 Bought another motor van paying by cheque immediately $3,700
26 Paid wages in cash $110
28 Bought goods for cash $90
31 Paid P. Tucker by cheque $400

Comments for Journal Entries, T-Accounts and Trial Balance Exercise

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by: Jhuztine

May 8 entry:
(debit) Salaries expense xxx
(credit) Cash xxx

by: Leonard

To the person asking about the May 7 Cash sales:

Debit Cash, Credit Sales Revenue.

by: Anonymous

is there a memorandum available that we can check our workings against?

by: Anonymous

How do I check the correct answers

I am so grateful to have been helped with the basic principles
by: Anonymous

I wish there was a solution to the exercise

Trial balance
by: Anonymous

How do I work out this: may 7 cash sales $260

Click here to add your own comments

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