In: Accounting
Chart of Accounts and Opening Balances 1st November
Account Number |
Account Name |
Debit |
Credit |
110 |
Cash at Bank |
18,835 |
|
120 |
Accounts receivable |
16,140 |
|
121 |
Allowance for Doubtful Debts |
646 |
|
130 |
Prepaid Insurance |
||
140 |
Prepaid Rent |
3000 |
|
150 |
Office Supplies |
950 |
|
160 |
Inventory |
19,000 |
|
180 |
Delivery Van |
||
181 |
Accumulated Depreciation – Delivery Van |
||
200 |
Accounts Payable |
16,995 |
|
220 |
Wages Payable |
377 |
|
230 |
GST Clearing |
1,045 |
|
250 |
Superannuation Payable |
756 |
|
300 |
Capital |
38,106 |
|
310 |
Drawings |
||
350 |
Income Summary |
||
410 |
Sales Revenue |
||
412 |
Sales Discounts |
||
415 |
Services Revenue |
||
420 |
Interest Revenue |
||
500 |
Cost of Sales |
||
512 |
Bad debts expense |
||
515 |
Bank Charges |
||
521 |
Depreciation expense – Delivery Van |
||
530 |
Electricity and Gas Expense |
||
540 |
Insurance Expense |
||
560 |
Office Supplies Expense |
||
565 |
Rent Expense |
||
570 |
Superannuation expense |
||
590 |
Wages Expense |
All account balances at 1st November are normal in nature.
Subsidiary Ledgers
Accounts Receivable Subsidiary Ledger
As at 1 November
Cayden’s Coffee Club |
4,000 |
H. Proctor |
12,140 |
16,140 |
Accounts Payable Subsidiary Ledger
As at 1 November
Arabica Pty Ltd |
6,765 |
Crema Supplies Pty Ltd |
10,230 |
16,995 |
Inventory on Hand
As at 1 November
Units on Hand |
Cost per Unit |
Total |
|
Espresso Sprint |
40 |
320 |
12,800 |
Espresso Deluxe |
10 |
620 |
6,200 |
$19,000 |
NOVEMBER TRANSACTIONS
The transactions for Perfecto Coffee during November are listed below.
Note: All amounts are GST-inclusive where applicable.
Credit sales are made on credit terms of 2/10, n/30
Round all amounts to the nearest dollar.
Date |
Details |
|
1. |
November 1 |
Purchased a delivery van for $33,000 from Holland Autos on credit. Terms are n/60. Invoice number 15448. |
2. |
November 1 |
Paid insurance for 5 months in advance - $2,200 – chq 71. |
3. |
November 1 |
Paid Arabica Pty Ltd in full for outstanding account balance at 1st November – no discounts applicable - chq 72. |
4. |
November 2 |
Sold 10 Espresso Sprint machines for cash - $6,050. |
5. |
November 6 |
Purchased office supplies for cash - $330- chq 73. |
6. |
November 9 |
Received amount owed by Cayden’s Coffee Club for October invoices less the discount. |
7. |
November 9 |
Paid fortnightly wages of $1,760 – chq 74. ($1,383 relates to November wages; $377 relates to the wages accrued for October) |
8. |
November 12 |
Received payment from H. Proctor for part of the November balance - $2,140. There was no discount allowed. |
9. |
November 14 |
Purchased 15 Espresso Deluxe coffee machines from Arabica Pty Ltd for $10,395. Terms 3/10, n/30, Inv. 5430. |
10. |
November 15 |
Sold 17 Espresso Sprint machines to Cayden’s Coffee Club for $10,285, Inv. 4564. |
11. |
November 16 |
Invoiced Cayden’s Coffee Club for Barista training, Inv. 4565 for $3,300. |
12. |
November 16 |
The owner withdrew cash of $2,350 - chq 75. |
13. |
November 20 |
Paid the 1st November amount owing to Crema Supplies Pty Ltd with chq 76. No discounts were applicable. |
14. |
November 22 |
Paid electricity and gas bill, $390 – chq 77. |
15. |
November 23 |
Paid fortnightly wages of $1,760 – chq 78. |
16. |
November 23 |
Paid superannuation contributions owing from October of $756 – chq 79. |
17. |
November 24 |
Received payment from Cayden’s Coffee Club for invoice 4564, less the applicable discount. |
18. |
November 26 |
Sold to H. Proctor, 10 Espresso Deluxe machines - $9,350, inv. 4566. |
19. |
November 26 |
Purchased 20 Espresso Sprints coffee machines from Crema Supplies Pty Ltd for $7084. Terms 2/10, n/30, inv. 1389. |
20. |
November 30 |
Recorded bank charges of $40 and interest earned of $22. |
Instructions for Completion of Practice Set
A. Open all general ledger accounts by inserting the opening balances at 1 November as shown in the Chart of Accounts on page 3. For example, the balance of account 110 - Cash at Bank is $18,835 debit. Write “Opening Balance” in the “Details” column, and place $18,835 in the “Debit” balance column.