Miolin Dwi Feiby Limbong

2032054

Module 3 - THE BASIC PROCESS IN RECORDING TRANSACTIONS

PROBLEM 3 – 1 ANALYZING ACCOUNTING TRANSACTION

Analyze the accounting transaction and fill up the transaction analysis table and
general journal as shown below:

Transaction: Received a Credit Note from the bank.

BB Bandung Bank Credit Memo

CM-01
To: Your Car, Inc. Date: 10 January 2019

We credit your account for the following:

Particular Amount
Collection of notes receivable including interest of $1,000.
Forty eight thousand dollars $48,000.00

Signature

Transaction Analysis:

Value received:
Accounting element affected: Assets and Revenue
Account to be debited: Cash
Amount to be debited: $48,000
Values parted with: Notes
Account to be credited: Notes Rceivable and interest income
Amount to be credited: $48,0000

GENERAL JOURNAL
PR Page Number
Date Description
Debit Credit
10 January 2019 Cash $48,000
Notes Receiveble $47,000
Interest Revenue $1,000

1
PROBLEM 3-2 ANALYZING ACCOUNTING TRANSACTION

Analyze the accounting transaction and fill up the transaction analysis

table and general journal as shown below:

Transaction: Received a customer’s check for a car sale as of January 5, 200x,

as follows:

Account No. Account Name Check No. 001-001-1000

00073-006-02 ABC Service Date: 10 January 2019

Pay to the order of South Inc. $250,000.00

(Two hundred fifty thousand dollars)
Authorized Signature
BB Bandung Bank
Transaction Analysis:
Value received:
Accounting element affected: Assets and Revenue
Account to be debited: Cash
Amount to be debited: $250,000
Values parted with: Cash Sales of Car
Account to be credited: Sales Revenue
Amount to be credited: $250,000

GENERAL JOURNAL

Page Number
Date Description PR
Debit Credit
10 January 2019 Cash $250,000

Sales Revenue $250,000

PROBLEM 3-3 ANALYZING ACCOUNTING TRANSACTION

Analyze the accounting transaction and fill up the transaction analysis

table and general journal as shown below:

Transaction: Recorded official receipts for cash advances from customers.

SOUTH Inc., Bandung City

Official Receipt No. 100

Received from : South Inc. Date: 10 January 2019

The sum of five hundred dollars in settlement of the following:

Particular Amount
Advance payment for a car. $500.00

Received by: Recorded by:

Cashier/Treasurer

Transaction Analysis:
Value received:
Accounting element affected: Assets and Liability
Account to be debited: Cash
Amount to be debited: $500,000
Values parted with: Advance from Customer
Account to be credited: Advance from Customer
Amount to be credited: $500,000

GENERAL JOURNAL

Page Number
Date Description PR
Debit Credit
10 January 2019 Cash $500,000
Advance from Customer $500,000
PROBLEM 3-4 IDENTIFYING TRANSACTION DOCUMENTS

The following documents were issued and/or received during the day:

1. A check for $5,000 was received from customer as payment for his
previous account.
2. A check of $10,000 was issued by the business to pay its outstanding
account.
3. A charge invoice for $4,000 was received from supplier for purchases of
supplies on account.
4. A credit note of $10,000 was received in the afternoon from the supplier in
number 3 to recognize the valid complaint for the damage on supplies
received in the morning of number 3.
5. A check of $15,000 was received from the owner as his additional
investment.
6. A check of $3,000 was issued to pay the electric bill of the owner for his
house consumption.
7. A debit note for $8,000 bank charges was received from the bank at the
end of the month.
8. A $12,000-credit note was received from the bank representing collection
of maturing note from customer.
9. Received $2,000 Water District statement of account due and payable 10
days from date of the statement.
10. Deposited to the bank $5,000 collection checks.
Required:
1. Indicate the other supporting documents normally coupled with the
underlying source document mentioned. Complete the table presented
below:
Transaction Supplementary
Underlying Documents
No. Documents
1 5,000 check received Sales Invoice
2 10,000 check issued Purchase Invoice
3 4,000 charge invoice Purchase Invoice
4 10,000 credit note from Supplies Note
supplier
5 15,000 check received from Check official recipt
the owner
6 3,000 check issued Electric Bill
7 8,000 debit note from the Debit Memo
bank
8 12,000 credit note from the Credit Memo
bank
9 2,000 statement of account Statement of Account
from the Water Supplier
10 5,000 check received Deposit Slip
 PROBLEM 3-5 IDENTIFYING TRANSACTION DOCUMENTS

1. Based on problem 3-4, complete the table below by placing an (x) mark on
the appropriate column affected to reflect the effect of the transaction.
(Right minus wrong), if an (x) mark is placed inappropriately on any of
the column, such is counted as deductible error.
No. ASSETS LIABILITIES OWNER'S EQUITY REVENUE EXPENSES
  + - + - + - + - + -
1 X X
2 X X
3 X X
4 X X
5 X X X
6 X
7 X X
8 X X
9 X X
10 X X

2. In a separate two-column journal, prepare the journal entries and post

to the T – account the transactions in problem 3-4.

Problem 3 – 5

2. Journal Entries

1) Cash $ 5,000
Accounts Receivable $ 5,000

2) Accounts Payable $ 10,000

Cash $ 10,000

3) Purchase $ 4,000
Accounts Payable $ 4,000

4) Accounts Payable $ 10,000

Purchase return Allowance $ 10,000

5) Cash $ 15,000
Owner’s Capital $ 15,000

6) Owner’s Drawing $ 3,000

Cash $ 3,000

7) Bank Service Charge $ 8,000

Cash $ 8,000

8) Cash $ 12,000
Notes Receivable $ 12,000

9) Utilities Expense $ 2,000

 Accounts Payable $ 2,000

10) Cash $ 5,000

Accounts Receivable $ 5,000

Cash Account Receivable

Owner's Capital
5.000 10.000 $ 5,000
$ 15,000
15.000 3.000 $ 5,000
12.000 8.000 $ 15,000
5.000 $ 10,000

37.000 21.000
16.000

Account Payable Owner's Drawing

Purchase
$ 10,000 $ 4,000 $ 3,000
$ 4,000
$ 10,000 $ 2,000
$ 3,000
$ 4,000
$ 20,000 $ 6,000
$ 14,000

Bank Service Charge Notes Receivable

Purchase return Allowance
$ 8,000 $ 12,000
$ 10,000

$ 8,000 $ 12,000
$ 10,000

Utilities Expense Cash $ 16,000

$ 2,000 Account
Receivable $ (10,000)
$ 2,000 Notes Receivable $ (12,000)
Total Assetes $ (6,000)
 PROBLEM 3-6 RECORDING TO THE GENERAL JOURNAL AND
POSTING TO THE GENERAL LEDGER ACCOUNTS

October Joan Ventara invested $250,000 in an account entitled Global

1 Services. The deposit slip was number #54321.
Invested equipment with an appraised value of $135,000. The
3
appraisal sheet was numbered 10 - 07 - 2003.
Purchased $50,000-worth of equipment by issuing check
5
#012345.
Purchased $15,000-worth of equipment on account from the
8
ABC Suppliers. The invoice number was #56789.
Purchased $65,000-worth of equipment from the XYZ Supply Co.
16 Check #1010 was issued in the amount of P20,000 as a down
payment. Their invoice number was A3344.
Provided $48,000 worth of services to a cash customer. The
18
billing entries were number 214.
Provided $90,000 worth of services to a charge customer. The
20
billing slip was number 234.
Provided $100,000 worth of services to a customer, collecting
30
65% in cash. The billing slip was number 6086.
The economic transactions of Global Services were as follows:

Required:

1. Journalize the above transactions in two-column journal.

2. Post above transactions to their respective ledger accounts.
3. Answer the following:
a. Total assets $ 683,000
b. Total liabilities $ 60,000
c. Total owner’s equity $ 385,000
d. Total revenue $ 238,000

1) Journal Entries

Oct 1 Cash $ 250,000

Joan, Capital $ 250,000
Oct 3 Equipment $ 135,000
Joan, Capital $ 135,000
Oct 5 Equipment $ 50,000
Cash $ 50,000
Oct 8 Equipment $ 15,000
Accounts Payable $ 15,000
Oct 16 Equipment $ 65,000
Cash $ 20,000
Accounts Payable $ 45,000
Oct 18 Accounts Receivable $ 48,000
Service Revenue $ 48,000
Oct 20 Accounts Receivable $ 90,000
Service Revenue $ 90,000
Oct 30 Cash $ 65,000
Accounts Receivable $ 35,000
Service Revenue $ 100,000

2) Ledger ( T Accounts)

Cash Juan, Capital

$ 250,000 $ 50,000   $ 250,000
$ 65,000 $ 20,000   $ 135,000
       
$ 315,000 $ 70,000   $ 385,000
$ 245,000  
Accounts Payable
Equipment   $ 15,000
$ 135,000     $ 45,000
$ 50,000      
$ 15,000     $ 60,000
$ 65,000  
$ 265,000   Service Revenue
  $ 48,000
  $ 90,000
Accounts Receivable
  $ 100,000
$ 48,000  
$ 90,000     $ 238,000
$ 35,000  
$ 173,000  

Cash $ 245,000
Accounts Receivable $ 173,000
Equipment $ 265,000
Total Assets $ 683,000
PROBLEM 3-7 RECORDING AND POSTING TRANSACTIONS

Honey Servicing entered into the following transactions during the month of July
2020:

July Transactions
2 Acquired office supplies on account, $3,600.
3 Paid rent for the month, $2,500.
5 Paid telephone bill for the month, $450.
9 Received cash for services performed on this date, $5,600.
10 Paid of advertising in the local newspaper, $750.
14 Withdrew cash from the business, $2,500.
17 Billed customers for services rendered, $5,250.
19 Made a payment to the creditor for the supplies acquired on the July
2 transaction, $1,600.
23 Paid salary to employee, $850.
27 Received payment from customers, $2,550.
30 Paid electric bill for the month, $600.

Required:

Record and post the transactions in a general journal and general ledger using the
following accounts:

Cash Honey, Drawings Rent expense

Accounts receivable Fees earned Telephone expense
Office supplies on hand Salary expense Electricity expense
Accounts payable Advertising expense

General Journal
Tanggal Deskripsi Debit Credit
July 2 Office Supplies $ 3,600
Accounts Payable $ 3,600
3 Rent Expense $ 2,500
Cash $ 2,500
5 Telephone Expense $ 450
Cash $ 450
9 Cash $ 5,600
Fees Earned $ 5,600
10 Advertising Expense $ 750
Cash $ 750
14 Honey, Drawing $ 2,500
Cash $ 2,500
17 Accounts Receivable $ 5,250
 Fees Earned $ 5,250
19 Accounts Payable $ 1,600
Cash $ 1,600
23 Salary Expense $ 850
Cash $ 850
27 Cash $ 2,550
Accounts Payable $ 2,550
30 Electricity Expense $ 600
Cash $ 600

GENERAL LEDGER

Cash Accounts Payable

$ 5,600 $ 2,500 $ 1,600 $ 3,600
$ 2,550 $ 450   $ 2,550
  $ 750    
  $ 2,500 $ 1,600 $ 6,150
  $ 1,600   $ 4,550
  $ 850
  $ 600
$ 8,150 $ 9,250
  $ 1,100

Fees Earned
  $ 5,600
  $ 5,250
   
  $ 10,850
Telephone Expense Honey, Drawing
$ 450   $ 2,500  
       
$ 450   $ 2,500  

Salary Expense Electricity Expense Rent Expense

$ 850   $ 600   $ 2,500  
  Office Suplies   on Hand        
$ 3,600
850     $ 600   $ 2,500  
   
$ 3,600  
Advertising Expense Account Receivable
$ 750   $ 5,250  
       
$ 750   $ 5,250  
 PROBLEM 3-8 JOURNAL ENTRIES AND CORRECT AMOUNTS

Transactions of Bud’s Computer are as follows:

May
1 Buddy Bud invested $210,000 in an accounting entitled Bud's Computer
Repair Shop. The deposit slip was #100.
3 Purchased repair equipment from the Ocean Park for $30,000. Check #4801
was issued in the amount of $18,000, with the balance being placed on
account. The invoice number was A998.
8 Repaired a customer's computer billing him for $5,000 on billing #690.
10 Repaired a customer's computer for $8,800, of which 80% was collected,
with the balance placed on account. The billing slip was #691. The deposit
slip was #398765.
12 Received and paid the telephone bill by issuing check #4802 in the amount
of $3,000.
13 Purchased repair supplies by issuing check #4803 in the amount of $2,500.
14 Collected the amount due from the customer of billing slip #691. The
deposit was number 459086.
18 Issued check #4804 in the amount of $9,000 to the Ocean Park as a partial
payment for the equipment purchased on May 3.
20 Repaired a customer's computer and collected $6,000. The deposit slip was
#789190; the billing slip was #693.
21 Received electric bill for the month of May in the amount of $1,500.

Required:

1. Give the journal entries of the above transactions.

2. How much is the correct amount of the following:
a. Total cash collections $ 8,800
b. Total cash available $ 190,540
c. Accounts receivable $ 5,000
d. Revenue $ 19,800
e. Expenses $ 4,500
f. Owner’s equity $ 219,300

General Journal
Tanggal Deskripsi Debit Credit
May 1 Cash $ 210,000
Bud, Capital $ 210,000
3 Repair Equipment $ 30,000
Cash $ 18,000
Accounts Payable $ 12,000
8 Account Receivable $ 5,000
Service Revenue $ 5,000
10 Cash $ 7,040
Account Receivable $ 1,760
Service Revenue $ 8,800
12 Telephone Expense $ 3,000
Cash $ 3,000
13 Supplies $ 2,500
Cash $ 2,500
14 Cash $ 1,760
Accounts Receivable $ 1,760
18 Account Payable $ 9,000
Cash $ 9,000
20 Cash $ 6,000
Service Revenue $ 6,000
21 Electricity Expense $ 1,500
Electricity Payable $ 1,500

GENERAL LEDGER

Cash Collection
$ 1,760  
$ 7,040  
$ 8,800  
Cash Available Accounts Receivable
$ 210,000 $ 18,000 $ 5,000  
$ 7,040 $ 3,000 $ 1,760 $ 1,760
$ 6,000 $ 2,500    
  $ 9,000 $ 6,760 $ 1,760
    $ 5,000  
$ 223,040 $ 32,500
$ 190,540

Revenue Owner's Equity

Expenses
  $ 5,000   $ 210,000
$ 3,000  
$ 8,800    
$ 1,500  
  $ 6,000 $ 210,000
$ 4,500  
$ 19,800
Owner’s Equity: 210,000 + 9,300 = $ 219,300