Texts: Chapter 5 - Comprehensive Problem 2
Golfing School is a business owned by Ted Craig. The Balance Sheet accounts of the business are as follows:
Assets
Bank
A/R - L. Troop
A/R - P. Moores
Equipment
Total Assets
Liabilities
A/P - Jack's Repair Shop $1,600
Owner's Equity
T. Craig, Capital
Total L & OE
$1,600
Instructions:
A. Set up Ted's Golfing School financial position in the T-accounts template. Income statement accounts will need to be set up as you do transactions.
B. Calculate the amount for the OE account "T. Craig, Capital"
C. Record the accounting entries for the transactions listed below
D. Calculate the account balances
E. Create a trial balance using the TB template as of July 31, 2023
F. Create a balance sheet using the BS template as of July 31, 2023
G. Create an income statement using the IS template for the year ending July 31, 2023
December
1. Received $300 cash from customers for golf lessons.
2. Issued a bill for $95 to L. Troop for lessons that will be paid later.
3. Paid $1,400 cash to United Realty for the monthly rent.
4. Received $50 cash from P. Moores to be applied to amount outstanding.
5. Received a $175 bill from Jack's Repair Shop for repairing equipment.
6. Received $2,000 cash from customers for lessons.
7. Issued another $45 bill to L. Troop for lessons.
8. Received $100 cash from P. Moores to pay balance owed.
9. Received a $500 bill for equipment bought from Jack's Repair Shop.
10. Paid $90 for electricity and water (utilities).
11. Paid $300 to Jack's Repair Shop to reduce the balance owing.
12. Paid $355 cash to the Gazette for advertising.
Chapter 5 - Comprehensive Problem 2
Golfing School is a business owned by Ted Craig. The Balance Sheet accounts of the business are as follows:
Assets
Bank
A/R - L. Troop
A/R - P. Moores
Equipment
Total Assets
Liabilities
A/P - Jack's Repair Shop
$3,000
$250
$150
$4,700
$8,100
$1,600
Owner's Equity
T. Craig, Capital
Total L & OE
$6,500
$8,100
Instructions:
1. Set up Ted's Golfing School financial position in the T-accounts template. Income statement accounts will need to be set up as you do transactions.
2. Calculate the amount for the OE account "T. Craig, Capital".
3. Record the accounting entries for the transactions listed below.
4. Calculate the account balances.
5. Create a trial balance using the TB template as of July 31, 2023.
6. Create a balance sheet using the BS template as of July 31, 2023.
7. Create an income statement using the IS template for the year ending July 31, 2023.
December
1. Received $300 cash from customers for golf lessons.
2. Issued a bill for $95 to L. Troop for lessons that will be paid later.
3. Paid $1,400 cash to United Realty for the monthly rent.
4. Received $50 cash from P. Moores to be applied to amount outstanding.
5. Received a $175 bill from Jack's Repair Shop for repairing equipment.
6. Received $2,000 cash from customers for lessons.
7. Issued another $45 bill to L. Troop for lessons.
8. Received $100 cash from P. Moores to pay balance owed.
9. Received a $500 bill for equipment bought from Jack's Repair Shop.
10. Paid $90 for electricity and water (utilities).
11. Paid $300 to Jack's Repair Shop to reduce the balance owing.
12. Paid $355 cash to the Gazette for advertising.
