john began an Upholstery cleaning business on October 1,2020 and engaged in the following transactions during the month: Began business by depositing 12,000 in a Clean & Premium ltd bank oct 1 : account oct 2 :Ordered Cleaning supplies 3,000 oct 3: Purchased cleaning equipment for 2,800. oct 4 : Made two months' van lease payment in advance, 1,200 Received the cleaning supplies ordered on (Oct 2) oct 7: and agreed to pay half the amount in 10 days, and the rest in 30 days oct 9: Paid for repairs on the van with cash, 1,080 oct 12 : Received cash for cleaning upholstery, 960. oct 17: Paid half the amount owed on supplies purchased on Oct 7, 1,500. oct 21 : Billed customers for cleaning upholstery, 1,340 oct 24 :Paid cash for additional repairs on the van, RM80 oct 27 : Received 600 from the customers billed on October 21. oct 31 Made a cash withdrawal of 700. you are Required to A : Prepare the general journal based on the above transactions. B: Post the entries to the ledger account.
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
john began an Upholstery cleaning business on October 1,2020 and engaged in the
following transactions during the month:
Began business by depositing 12,000 in a Clean & Premium ltd bank
oct 1 : account
oct 2 :Ordered Cleaning supplies 3,000
oct 3: Purchased cleaning equipment for 2,800.
oct 4 : Made two months' van lease payment in advance, 1,200
Received the cleaning supplies ordered on (Oct 2)
oct 7: and agreed to pay half the amount in 10 days, and the rest in 30 days
oct 9: Paid for repairs on the van with cash, 1,080
oct 12 : Received cash for cleaning upholstery, 960.
oct 17: Paid half the amount owed on supplies purchased on Oct 7, 1,500.
oct 21 : Billed customers for cleaning upholstery, 1,340
oct 24 :Paid cash for additional repairs on the van, RM80
oct 27 : Received 600 from the customers billed on October 21.
oct 31 Made a cash withdrawal of 700.
you are Required to
A : Prepare the general journal based on the above transactions.
B:
PLEASE DO THE REQUIREMENT A AND B THANK YOU VERY MUCH SIR
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