Question

Nov. 1 – John Smith invested 20,000 cash in his new business called “Goldsmith”

 Nov. 2 – Goldsmith bought a computer using 1,000 cash

 Nov. 3 – Goldsmith bought supplies for 5,000 to be paid in the near future

 Nov. 4 – John Smith withdrew 2,000 cash from Goldsmith for his personal use

 Nov. 5 – Goldsmith paid 1,000 cash for renting a location

 Nov. 6 – Goldsmith hired a new office assistant

 Nov. 7 – Goldsmith received revenues for 3,000 cash

 Nov. 8 – Goldsmith paid 2,500 cash for the supplies bought on Nov. 3

 Nov. 9 – Goldsmith asked a loan to the TD Bank

 Nov. 10 – TD Bank loaned Goldsmith 10,000 cash

 Nov. 11 – Goldsmith paid 700 cash for the first installment of the loan like this: 500 for interest, and 200 for capital.

 Nov. 12 – Goldsmith paid the utilities bill for 200 cash

 Nov 15 – Goldsmith paid the wage to the office assistant for 1,000 cash

 Nov. 19 – Goldsmith bought a new software for the business for 3,000 cash

 Nov. 21 – Goldsmith provided services to a customer for 5,000, the customer agreed to pay in the future

 Nov. 23 – The customer that was owing money to Goldsmith makes a payment of 1,000 cash

 Nov. 24 – John Smith buys a car for 5,000 cash for his personal use

 Nov. 25 – Goldsmith buys supplies for 2,000 cash

 Nov. 28 – Goldsmith receives 3,000 cash for services provided to customers

 Nov. 30 – Goldsmith pays 1,000 cash to the office assistant for his wage.

(20%) Based on the balances of the T-accounts above please build an unadjusted trial balance for Goldsmith for November 2019, please make sure that the accounts are listed in the following way: First, the assets, then the Liabilities and then the Owner’s Equity.

Answer 1

Unadjusted Trial balance for the month ended Nov 2019
Particulars	Debit	Credit
Cash	17,600
Computer	1,000
Accounts Receivable	1,000
Supplies	7,000
Computer Software	3,000
TD Bank Loan		9,800
Accounts Payable		2,500
Drawings	7,000
Capital		20,000
Revenue		8,000
Rent	1,000
Interest	500
Utilities	200
Salary	2,000
	40,300	40,300

Workings as below:

Journal Entries in the books of Gold Smith
Date	Particulars	Debit	Credit
1-Nov	Cash	20,000
	To Capital		20,000
2-Nov	Computer	1,000
	To Cash		1,000
3-Nov	Supplies	5,000
	To Accounts Payable		5,000
4-Nov	Drawings	2,000
	To Cash		2,000
5-Nov	Rent	1,000
	To Cash		1,000
6-Nov	No Entry
7-Nov	Cash	3,000
	To Revenue		3,000
8-Nov	Accounts payable	2,500
	To Cash		2,500
9-Nov	No entry
10-Nov	Cash	10,000
	To TD Bank Loan		10,000
11-Nov	TD bank Loan	200
	Interest	500
	To Cash		700
12-Nov	Utlities	200
	To Cash		200
15-Nov	Salary	1,000
	To Cash		1,000
19-Nov	Computer software	3,000
	To Cash		3,000
21-Nov	Accounts Receivable	5,000
	To revenue		5,000
23-Nov	Cash	1,000
	To Accounts Receivable		1,000
24-Nov	Drawings	5,000
	To Cash		5,000
25-Nov	Supplies	2,000
	To Cash		2,000
28-Nov	Cash	3,000
	To Accounts Receivable		3,000
30-Nov	Salary	1,000
	To Cash		1,000