A group of shareholders invested to set up a business called Binh Minh Co.

, who trades Mobile

phones.

1. 1/12 Invest to set up a business $8000

2. 1/12 borrow from B bank $5000

3. 1/12 paid in advance $1200 to rent a space in Dec and Jan.

4. 2/12 purchase equipment for $2100, useful life of 5 years, salvage value = 0.

5. 2/12 Purchase 100 mobiles for $50/unit, paid 60% in cash, the balance will be
paid later

6. 3/12 Received $2000 cash in advance from customer for a work to be

provided in Dec and Jan.

7. 5/12 purchase $50 supplies.

8. 6/12, sold on credit 50 mobiles at $80 each. Sale discount of 2/10, n/40.

9. 7/12, customer returned 3 defective mobiles.

10. 10/12 Customer paid for the amount they owed on 6/12.

11. 31/12 utility expense accounted for $50, not yet paid and recorded.

12. 31/12 Paid interest rising from the bank loans for $30.

13. 31/12 inventory count showed $5 supplies still unused.

Prepare general journal for Binh Minh Co, in December.

Prepare financial statements for Binh Minh Co. for December.

Phong Phu company

1/12 Mr Phong Phu invested $5000 into the company

1/12 Borrowed from bank $10000 in long-term

2/12 Purchased 100 units of inventories at $40/unit, paid in cash

3/12 Acquired a car for $6000, paid partly in cash $2000. The car had
salvage value of 0 and useful life of 10 years

4/12 Sold 50 units at $120 each, received $3500 cash, the balance will be
paid later.

26/12 Mr Phu withdrew $1000 cash

31/12 Salary expense accrued for $1000.

a. Prepare general journal for the company

b. Prepare Income Statement and Balance sheet for the company