Question

I am working on an accounting assignment and am having problems. Firstly,

1.I need to journalize these entries and post the closing entries

2. i need to prepare Dalhanis multi-step income statement and statement of owners equity for August 2010

3. i need to prepare the blance sheet at august 31,2010

4. i need to prepare a post-closing trial balance at august 31,2010

DALHANI makes all credit sales on terms 2/10 n/30 and uses the Perpetual Inventory System

Aug 1 Issued check no 682 for august office rent 2,000
Aug 2 Issued chek no 683 to pay salaries of 3,240, which includes salary payable of 930 from july 31. The company does not use reversing entries.
Aug 2* Issued invoice no 503 for sale on account to R.T. Loeb $600 Dalhani's cost of this merchandise was $190.
Aug 3 Purchased inventory on credit terms of 1/15 n/60 from grant ltd $1,400
Aug 4 recieved net amount of cash on account from fullam corp, $4,116 within the discount period.
Aug 4 sold inventory for cash $2,330 (cost $1,104)
Aug 5 received from park-hee inc. merchandise that had been sold earlier for $550 (cost $174). the wrong merchandise had been sent
Aug 5 issued check no 684 to purchase supplies for cash $780
Aug 6 collected interest revenue of $1,100
Aug 7 issued invoice no 504 for sale on account to k.d. skipper inc $2,400 (cost $760)
Aug 8 issued check no 685 to pay fayda corp $2,600 of the amount owed at july 31st. This payment occurred after the end of the discount period
Aug 11 issued check no 686 to pay grant led the net amount owed from august 3.
Aug 12* received cash from r.t. loeb in full settlement of her account from aug 2nd. r.t. loeb notified dalhani that only one quarter of the goods ordered had been received, but agreed to pay now if dalhani held the remaining goods in his warehouse until september.

* dalhani distributors sold inventory on account to r.t. loeb on august 2 and collected in full on august 12th. loeb indicated that the shipment was incomplete and arranged with dalhani that he would ship the goods to loeb in september. at august 31, $450 of unearned sales revenue needs to be recorded and the cost of this merchandise (142) needs to be removed from cost of goods sold and returned to inventory.

Aug 16 issued check no 687 to pay salary expense of $1,240
Aug 19 purchased inventory for cash $850, issuing check no 688
Aug 22 purchased furniture on credit terms of 3/15 n/60 from beaver corporation, $510
Aug 23 sold inventory on account to fullam corp, issuing invoice no 505 for 9,966 (cost 3,152)
Aug 24 received half the july 31st amount receivable from k.d. skipper inc. after the discount period
Aug 25 issued check no 689 to pay utilities $2,432
Aug 26 purchased supplies on credit terms of 2/10 n/30 from fayda corp $180
Aug 30 returned damaged inventory to company from whom dalhani made the cash purchase on august 19th, receiving cash of $850
Aug 30 granted a sales allowance of $176 to k.d. skipper inc.
Aug 31 purchased inventory on credit terms of 1/10 n/30 from suncrest supply ltd $10,330
Aug 31 issued check no 690 to jack west, owner of dalhani for $1,700

I have balances in my general ledger already of:
cash $4,490
accounts receivable $24,560
interest receivable $0
inventory $41,800
supplies $1,340
prepaid insurance $2,200
note receivable, long term $11,000
furniture $37,270
accumulated amortization-furniture $10,550
accounts payable $10,600
salary payable $930
interest payable $4,320
unearned sales revenue $0
note payable long term $42,000
jack west, capital $54,260
jack west withdrawls $$0
the rest start with $0 balances
income summary
sales revenue
sales discounts
sales returns and allowances
interest revenue
cost of goods sold
salary expense
rent expense
amortization expense-furniture
insurance expense
utilities expense
supplies expense
interest expense

I have adjusting entries
a)accrued interest revenue $1,000
b) supplies on hand $990
c)prepaid insurance expired $550
d) amortization expense $230
e) accrued salary expense $1,030
f) accrued interest expense $1,320
g) unearned sales revenue $450 (refers to august 2 transaction)
h) inventory on hand $47,700

i seem to be getting the workings wrong can you please show me the working on excel so that i can see wherei am going wrong

thanking you

Answer 1

1. In the books of Dalhani:

Date	Account Titles	Debit	Credit
		$	$
Aug 1	Rent Expense	2,000
	Cash		2,000
Aug 2	Salaries Expense	2,310
	Salary Payable	930
	Cash		3,240
Aug 2	Accounts Receivable : R.T. Loeb	600
	Sales Revenue		600
Aug 2	Cost of Goods Sold	190
	Inventory		190
Aug 3	Inventory	1,400
	Accounts Payable : Grant Ltd.		1,400
Aug 4	Cash	4,116
	Sales Discounts	84
	Accounts Receivable : Fullam Corp.		4,200
Aug 4	Cash	2,330
	Sales Revenue		2,330
Aug 4	Cost of Goods Sold	1,104
	Inventory		1,104
Aug 5	Sales Returns and Allowances	550
	Accounts Receivable: Park Hee		550
Aug 5	Inventory	174
	Cost of Goods Sold		174
Aug 5	Supplies	780
	Cash		780
Aug 6	Cash	1,100
	Interest Revenue		1,100
Aug 7	Accounts Receivable : KD Skipper	2,400
	Sales Revenue		2,400
Aug 7	Cost of Goods Sold	760
	Inventory		760
Aug 8	Accounts Payable: Fayda Corp.	2,600
	Cash		2,600
Aug 11	Accounts Payable: Grant Ltd.	1,386
	Inventory		14
	Cash		1,400
Aug 12	Cash	588
	Sales Discounts	12
	Accounts Receivable: R.T Loeb		600
Aug 12	Sales Revenue	450
	Unearned Sales Revenue		450
Aug 12	Inventory	142.50
	Cost of Goods Sold		142.50
Aug 16	Salary Expense	1,240
	Cash		1,240
Aug 19	Inventory	850
	Cash		850
Aug 22	Furniture	510
	Accounts Payable: Beaver Corporation		510
Aug 23	Accounts Receivable : Fullam Corp	9,966
	Sales Revenue		9,966
Aug 23	Cost of Goods Sold	3,152
	Inventory		3,152
Aug 24	Cash	???
	Accounts Receivable: K.D. Skipper Inc.		???
Aug 25	Utilities Expense	2,432
	Cash		2,432
Aug 26	Supplies	180
	Accounts Payable: Fayda Corp.		180
Aug 30	Cash	850
	Inventory		850
Aug 30	Sales Returns and Allowance	176
	Accounts Receivable: K.D. Skipper Inc.		176
Aug 31	Inventory	10,330
	Accounts Payable: Suncrest Supply Ltd.		10,330
Aug 31	Jack West, Withdrawals	1,700
	Cash		1,700