Date of Submission JUNE 02//202……………………………INS MESAY G.

Assignment #1
Individual Assignment (10 Pts) on Journalizing, posting and preparing trial balance.
The following are selected business transactions for business called W/o Mihret Company
during its first year of operation.

The assets and liabilities of White dry cleaners on December 1, 2016 of the current year are as
follows: Cash Br.1,000, Accounts Receivable, Br.2,200, Supplies Br. 850, Equipment Br. 3,500,
Land Br. 11,450. Accounts Payable, Br 4,030. A white dry cleaner is a sole proprietor owned and
managed by W/o Mihret. Currently the building, and delivery truck, is being rented, pending
expansion to new facilities. Another company at wholesale rates of does the company work of
dry cleaning. Business transactions during December are summarized as follows.

1. Received cash from customers for dry cleaning service Br. 4,928.
2. Paid creditors on account Br. 1,755.
3. Received cash from W/o Mihret as additional investment Br. 3,700.
4. Paid rent for the month Br. 1,200.
5. Charged customers for dry cleaning service delivered on account Br.1, 025.
6. Purchased supplies on account, Br. 245
7. Received cash from customers on account Br. 2,000
8. Received a monthly bill for electricity for the month December(To be paid on January
2, Br. 1,635,
9. Paid the following: Wages expense, Br. 850, Truck Expense, Br. 250, Utilities Expense,
Br.325, miscellaneous expense.Br. 75
10. W/o Mihret the owner withdraws cash Br. 1,800 for her personal use.
11. Determined by taking an inventory count, the cost of supplies used during the month Br.
115.
Required:

1. Journalize the above transactions using General Journal.

2. Post from Journal to Ledger.
3. Prepare trial balance.
4. Prepare the income statement and statement of owner’s equity of the company for the year
ended December 31, 2016.
5. Prepare the balance sheet of the company at December 31, 2016.
6. Prepare the statement of cash flows of the company for the year ended December 31, 2016.