Question

y to record them e of 2000 sharofs par vale ordinary $10 per includes A. Credit to Ordinary shes for 20 000 B. Debito Onder deres for S2 Paldin Capitalismo PV-Oiary for D. De Pads Capital is of Pu Weny RS Part II Problems Analysis (20+10+8+12+10+10=70 Marks) 1. Adjusting date of CAK Internet at June 30, 2018 med service reventioned, 5300. Head rent still in force, $2,100 . Supplies used during the month, epreciation for the month $400 And salary expense $1,500 d Chasse and pod the person. Flest 100 dinary shares scanding of the Ho u se SiSvidnostning ordinary Whares would A. S1.50 C . 500 Requirements (1) lomalu adjusting journal entries (5 Marks) (2) Completing the following worksheet ( Marks Prepare closing entries. (4 Marks) Prepare come statement and halance sheet. Marks CAK INTERNET Worksheet June 10, 2018 TRIAL BALANCE ADJUSTMENTS DERIT CREDIT DEBIT CREDIT 159.100 The only one ADJUSTED TRIAL BALANCE DEBIT CREDIT Kad R de com Kaip ad s RS, k ay ban way I w S6 000. During 400 r sand incurred 4 200 is expect inh der the closing entries are made, on becamber I will be CH.00 D. $2,00 K $3,800 Answer Sheet for Part I (20 Marks/2' Each) Cak, capital 4,000 20.000 123 17.000 Den en $61.000 $61,000

Answer 1

Cak Internet Adjusting Enteries Trans. Particulars a. Unearned Service Revenue a/c To Service Revenue (Service Revenue earned) Dr. Debit in $ Credit in $ 9000 9000 6. Dr. 200 Rent Expense a/c To Prepaid Rent (Rent expensed) 200 Dr. 900 Supplies Expense a/c To Supplies (Supplies Expensed) 900 d. 400 Depreciation Expense - Equip a/c Dr. To Accum. Depre - Equip (Depreciation charged to Equip) 400 1500 Salaries and Wages Expense a/c Dr. To Salaries and Wages Payable (Salary expense accrued) 1500 Dr. Closing Enteries Date Particulars 30.6.2018 Income Summary a/c To Salary Expense To Rent Expense To Depreciation Expense To Supplies Expense (Expense accounts closed) Debit in $ Credit in $ 6000 4500 200 400 900 Dr. 26000 30.6.2018 Service Revenue a/c To Income Smmary (Revenue accounts closed) 26000 Dr. 20000 30.6.2018 Income Summary a/c To Retained Earnings (Profits transferred) 20000

Trial Balance For the period ending 30.6.2018 Particulars Cash Accounts Receivable Prepaid Rent Supplies Equipment Accumulated Depreciation Accounts Payable Salary Payable Unearned Service Revenue Retained Earnings Cak, Capital Service Revenue Salary Expense Rent Expense Depreciation Expense Supplies Expense Totals Unadjusted Adjustments Adjusted Debit in $ Credit in $ Debit in $ Credit in $ Debit in $ Credit in $ 9100 9100 15000 15000 2300 200 2100 1000 900 100 30600 30600 3800 400 4200 6400 6400 1500 1500 9800 9000 800 4000 4000 20000 20000 17000 9000 26000 3000 1500 4500 200 200 400 400 900 900 61000 61000 12000 12000 62900 62900 26000 Statement of Income For the period ending 30.6.2018 Service Revenue Less: Salary Expense Rent Expense Depreciation Expense Supplies Expense Net Income 4500 200 400 900 6000 20000 Statement of Retained Earnings For the period ending 30.6.2018 Beginning Balance Net Income 4000 20000 24000

Amounts in $ Amounts in $ Balance sheet As at 30.6.2018 Assets Current Assets Cash Accounts Receivable Prepaid Rent Supplies Amounts in $ Amounts in $ Liabilities Current Liabilities 9100 Accounts Payable 15000 Salary Payable 2100 Unearned Service Revenue 100 26300 6400 1500 800 8700 Non Current Assets Equipment Accumulated Depreci Total Assets 30600 -4200 Owner's Equity Cak, Capital 26400 Retained Earnings 52700 Total Liabilities & Equity 20000 24000 44000 52700