Question

Assignments Required: Making journal entries for each transaction in chronological order. The 2019 Balance Sheet of the Victoria Co. is as follows: Victoria Co. Balance Sheet As of December 31, 2019 Cash Notes Receivable Accounts Receivable Less: Allowance for Doubtful A/Cs Inventories Office Supplies Prepaid Insurance Prepaid Rent Total Current Assets Long-term Investments Investments in securities Land for future development Property, Plant, and Equipment Land Buildings Less: Accu. Depreciation Intangible Assets Capitalized Development Costs Goodwill Other Intangible Assets Total Non-Current Assets Total Assets 85,000 Notes Payable 34,590 Accounts Payable 35,000 Unearned Revenue (2,930) Property Tax Payable 65,000 Interest Payable 0 Income Tax Payable 540 Salary and Wages Payable 4,800 Utilities Payable 222,000 Total Current Liabilities Provisions Related to Pensions 180,000 Bonds Payable 60,000 Total Non-Current Liab. Total Liabilities 145,000 Common Stock 800,000 Paid-in capital - Common Stock (240,000) Preferred Stock Paid-in-capital - Preferred Stock 15000 Retained Earnings 120.000 Accu. Other Comp. Income 18,000 Less: Treasury Stock 1,128,000 Total Shareholders' Equity 1,350,000 Total Liab. and Total Equity 150,000 125,000 1,000 0 3,500 13,000 6,500 12,000 311,000 93,100 300,000 393,100 704,100 240,000 96,000 97,000 7,400 210,500 5,000 (10,000) 645,900 1,350,000

Answer 1

Solution:

Journal Entries
Date	Particulars	Debit	Credit
08-Jan	Bank A/c                                                                               Dr.	35,000
	To Accounts Receivable		35,000
15-Jan	Accounts Payable A/c                                                     Dr.	1,25,000
	To Cash A/c		1,25,000
18-Jan	Bank A/c                                                                               Dr.	35,000
	To Notes Receivables A/c		34,590
	To interest Received A/c		410
25-Jan	Utilities Payable A/c                                                       Dr.	12,000
	Income Tax Payable A/c                                                Dr.	13,000
	Salaries and Wages Payable A/c                                Dr.	6,500
	To Cash A/c		31,500
26-Jan	Purchases A/c                                                                    Dr.	2,10,000
	To Accounts Payable A/c (Charles)		90,000
	To Accounts Payable A/c (Georgia)		1,20,000
04-Feb	Accounts Payable A/c (Charles)	90,000
	Accounts Payable A/c (Georgia)	1,20,000
	To Cash A/c		2,04,600
	To Purchase Discount A/c		5,400
13-Feb	Accounts Receivable A/c (Franklin)                          Dr.	1,10,000
	Accounts Receivable A/c (Thompson)                     Dr.	1,50,000
	To Sales A/c		2,60,000
15-Feb	Sales Return A/c                                                                Dr.	6,000
	To Accounts Receivable (Franklin)		6,000
20-Feb	Cash A/c                                                                                Dr.	2,48,920
	Sales Discount A/c                                                            Dr.	5,080
	To Accounts Receivable (Franklin)		1,04,000
	To Accounts Receivable A/c (Thompson)		1,50,000
28-Feb	Rent A/c                                                                               Dr.	4,800
	To Prepaid Rent A/c		4,800
01-Mar	Notes Payables A/c                                                         Dr.	1,50,000
	Interest Expenses A/c                                                    Dr.	4,000
	Interest Payable A/c                                                       Dr.	3,500
	To Cash A/c		1,57,500
01-Mar	Rent A/c                                                                               Dr.	25,000
	Prepaid Rent A/c                                                              Dr.	5,000
	To Cash A/c		30,000
15-Apr	Office Supplies A/c                                                         Dr.	8,000
	To Cash A/c		8,000
15-Apr	Supplies Expense A/c                                                     Dr.	8,000
	To Office Supplies A/c		8,000
05-Jun	Retained Earnings A/c                                                  Dr.	30,000
	To Dividend Payable A/c		30,000
30-Jun	Dividend Payable A/c                                                  Dr.	30,000
	To cash A/c		30,000
01-Jul	Cash A/c                                                                             Dr.	2,50,000
	To Notes Payable A/c		2,50,000
15-Jul	No Enrty
01-Aug	Land A/c                                                                             Dr.	30,000
	To Common Stock A/c		30,000
08-Sep	Utilities Expense A/c                                                  Dr.	12,000
	To Cash A/c		12,000
07-Oct	Accounts Receivable A/c (Utah)                              Dr.	2,20,000
	To Sales A/c		2,20,000
16-Oct	Cash A/c                                                                            Dr.	2,17,800
	Sales Discount A/c                                                        Dr.	2,200
	To Accounts Receivable (Utah)		2,20,000
09-Nov	Purchases A/c                                                                 Dr.	60,000
	To Accounts Payable (Pensacola)		60,000
12-Nov	Accounts Payable (Pensacola)                                Dr.	3,000
	To Purchase Return A/c		3,000
18-Nov	Accounts Payable (Pensacola)                               Dr.	57,000
	To Cash A/c		55,290
	To Purchase Discount A/c		1,710
27-Dec	Income Tax A/c                                                            Dr.	12,500
	Property Tax A/c                                                         Dr.	6,600
	To Cash A/c		19,100
28-Dec	Accounts Receivable (Kent)                                  Dr.	90,000
	To Sales A/c		90,000
29-Dec	Purchases A/c                                                               Dr.	1,60,000
	To Accounts Payable (Harmann)		1,60,000
31-Dec	Cash A/c                                                                          Dr.	3,66,000
	To Sales A/c		3,66,000
31-Dec	Salary A/c                                                                       Dr.	1,20,000
	To Salaries Payable A/c		15,000
	To Cash A/c		1,05,000
31-Dec	Depreciation A/c                                                        Dr.	80,000
	To Accumulated Depreciation A/c		80,000
31-Dec	Prepaid Utilities A/c                                                  Dr.	18,000
	To Cash A/c		18,000
31-Dec	Revenue A/c                                                                Dr.	12,000
	To Unearned Revenue A/c		12,000
31-Dec	Interest Expense A/c                                                  Dr.	6,250
	To Interest Payable A/c		6,250
31-Dec	Unearned Revenue A/c                                               Dr.	1,000
	To Revenue A/c		1,000
31-Dec	Insurance A/c                                                                 Dr.	4,800
	To Prepaid Insurance A/c		4,800
31-Dec	Bad Debt A/c                                                                 Dr.	11,134
	To Accounts Receivable		11,134