Date Particulars F Debit

Jul-01 Cash 101 500,000.00

Maceren capital 301
To record initial investment

Jul-03 Supplies 120 35,000.00

Cash 101
To record supplies bought

Jul-04 Equipment 125 20,000.00

Accounts payable 210
To record equipment bought on account

Jul-05 Purchases 501 50,000.00

Accounts payable 201
To record purchases on account to Sambo, 2/10, n/30

Jul-06 Purchases 501 40,000.00

Accounts payable 201
To record purchases on account to Buzz, 2/10, n/30

Jul-07 Accounts receivable 105 70,500.00

Sales 401
To record sales on account to ZZ, 2/10, n/30

Jul-08 Accounts payable 201 50,000.00

Cash 101
Purchases discount 510
To record payment of account

Jul-08 Freight in 515 2,500.00

Cash 101
To record payment of freight

Jul-11 Sales returns and allowances 405 8,000.00

Accounts receivable 105
To record items received as returns

Jul-12 Accounts payable 201 3,000.00

Purchases returns and allowances 505
To record returned items to supplier

Jul-13 Cash 101 61,250.00

Sales discount 410 1,250.00
Accounts receivable 105
 To record collection of account

Jul-14 Salaries expense 530 20,000.00

Cash 101
To record payment of salaries

Jul-15 Cash 101 40,000.00

Notes payable 205
To record borrowed money

Jul-16 Accounts receivable 105 70,000.00

Sales 401
To record sales on account to Villanueva, 2/10, n/30

Jul-18 Freight out 540 2,000.00

Cash 101
To record payment of freight

Jul-20 Supplies 120 5,600.00

Accounts payable 201
To record supplies bought on account

Jul-25 Cash 101 30,000.00

Sales 401
To record cash sales

Jul-26 Sales returns and allowances 405 4,000.00

Cash 101
To record refund to customers

Jul-28 Maceren drawings 305 25,000.00

Cash 101
To record owner's withdrawal

Jul-30 Salaries expense 530 20,000.00

Rent expense 525 5,500.00
Advertising expense 520 2,500.00
Utilities expense 535 2,000.00
Cash 101
To record payment of various expenses

Jul-31 Merchandise inventory 8,500.00

Income summary
To updated inventory count
 Credit

500,000.00

35,000.00

20,000.00

50,000.00

40,000.00

70,500.00

49,000.00
1,000.00

2,500.00

8,000.00

3,000.00

62,500.00
20,000.00

40,000.00

70,000.00

2,000.00

5,600.00

30,000.00

4,000.00

25,000.00

30,000.00

8,500.00
Account title: Cash Account no.: 101
Date Particulars PR Debit Credit Balance
Debit
Jul-01 Initial investment GJ-1 500,000.00 500,000.00
Jul-03 Bought supplies GJ-1 35,000.00 465,000.00
Jul-08 Payment of account GJ-1 49,000.00 416,000.00
Jul-08 Payment of freight GJ-1 2,500.00 413,500.00
Jul-13 Collection of account GJ-1 61,250.00 474,750.00
Jul-14 Payment of salaries GJ-1 20,000.00 454,750.00
Jul-15 Borrowed money GJ-1 40,000.00 494,750.00
Jul-18 Payment of freight GJ-1 2,000.00 492,750.00
Jul-25 Cash sales GJ-1 30,000.00 522,750.00
Jul-26 Refund to customers GJ-1 4,000.00 518,750.00
Jul-28 Withdrawal GJ-1 25,000.00 493,750.00
Jul-30 Paid various expenses GJ-1 30,000.00 463,750.00

Account title: Accounts receivable Account no.: 105

Date Particulars PR Debit Credit Balance
Debit
Jul-07 GJ-1 70,500.00 70,500.00
Jul-11 GJ-1 8,000.00 62,500.00
Jul-13 GJ-1 62,500.00 -
Jul-16 GJ-1 70,000.00 70,000.00

Account title: Merchandise inventory Account no.: 115

Date Particulars PR Debit Credit Balance
Debit
Jul-31 GJ-2 8,500.00 8,500.00

Account title: Supplies Account no.: 120

Date Particulars PR Debit Credit Balance
Debit
Jul-03 GJ-1 35,000.00 35,000.00
Jul-20 GJ-1 5,600.00 40,600.00

Account title: Equipment Account no.: 125

Date Particulars PR Debit Credit Balance
Debit
Jul-04 GJ-1 20,000.00 20,000.00

Account title: Accounts payable Account no.: 201

Date Particulars PR Debit Credit Balance
Debit
Jul-04 GJ-1 20,000.00
Jul-05 GJ-1 50,000.00
 Jul-06 GJ-1 40,000.00
Jul-08 GJ-1 50,000.00
Jul-12 GJ-1 3,000.00
Jul-20 GJ-1 5,600.00

Account title: Notes payable Account no.: 205

Date Particulars PR Debit Credit Balance
Debit
Jul-15 GJ-1 40,000.00

Account title: Maceren capital Account no.: 301

Date Particulars PR Debit Credit Balance
Debit
Jul-01 GJ-1 500,000.00
Jul-31 GJ-2 25,250.00
Jul-31 GJ-2 25,000.00

Account title: Maceren drawings Account no.: 305

Date Particulars PR Debit Credit Balance
Debit
Jul-28 GJ-1 25,000.00 25,000.00
Jul-31 GJ-2 25,000.00 -

Account title: Sales Account no.: 401

Date Particulars PR Debit Credit Balance
Debit
Jul-07 GJ-1 70,500.00
Jul-16 GJ-1 70,000.00
Jul-25 GJ-1 30,000.00
Jul-31 GJ-2 170,500.00

Account title: Sales returns and allowances Account no.: 405

Date Particulars PR Debit Credit Balance
Debit
Jul-11 GJ-1 8,000.00 8,000.00
Jul-26 GJ-1 4,000.00 12,000.00
Jul-31 GJ-2 12,000.00 -

Account title: Sales discount Account no.: 410

Date Particulars PR Debit Credit Balance
Debit
Jul-13 GJ-1 1,250.00 1,250.00
Jul-31 GJ-2 1,250.00 -

Account title: Purchases Account no.: 501

 Date Particulars PR Debit Credit Balance
Debit
Jul-05 GJ-1 50,000.00 50,000.00
Jul-06 GJ-1 40,000.00 90,000.00
Jul-31 GJ-2 90,000.00 -

Account title: Purchases returns and allowances Account no.:505

Date Particulars PR Debit Credit Balance
Debit
Jul-12 GJ-1 3,000.00
Jul-31 GJ-2 3,000.00

Account title: Purchases discount Account no.: 510

Date Particulars PR Debit Credit Balance
Debit
Jul-08 GJ-1 1,000.00
Jul-31 GJ-2 1,000.00

Account title: Freight in Account no.: 515

Date Particulars PR Debit Credit Balance
Debit
Jul-08 GJ-1 2,500.00 2,500.00
Jul-31 GJ-2 2,500.00 -

Account title: Advertising expense Account no.: 520

Date Particulars PR Debit Credit Balance
Debit
Jul-30 GJ-1 2,500.00 2,500.00
Jul-31 GJ-2 2,500.00 -

Account title: Rent expense Account no.: 525

Date Particulars PR Debit Credit Balance
Debit
Jul-30 GJ-1 5,500.00 5,500.00
Jul-31 GJ-2 5,500.00 -

Account title: Salaries expense Account no.: 530

Date Particulars PR Debit Credit Balance
Debit
Jul-14 GJ-1 20,000.00 20,000.00
Jul-30 GJ-1 20,000.00 40,000.00
Jul-31 GJ-2 40,000.00 -

Account title: Utilities expense Account no.: 535

Date Particulars PR Debit Credit Balance
 Debit
Jul-30 GJ-1 2,000.00 2,000.00
Jul-31 GJ-2 2,000.00 -

Account title: Freight out Account no.: 540

Date Particulars PR Debit Credit Balance
Debit
Jul-18 GJ-1 2,000.00 2,000.00
Jul-31 GJ-2 2,000.00 -

Account title: Income summary Account no.: 600

Date Particulars PR Debit Credit Balance
Debit
Jul-31 GJ-2 157,250.00
Jul-31 GJ-2 140,500.00
Jul-31 GJ-2 8,500.00
Jul-31 GJ-2 25,250.00
1
Balance
Credit

5
Balance
Credit

5
Balance
Credit

0
Balance
Credit

5
Balance
Credit

1
Balance
Credit
20,000.00
70,000.00
 110,000.00
60,000.00
57,000.00
62,600.00

5
Balance
Credit
40,000.00

1
Balance
Credit
500,000.00
525,250.00
500,250.00

5
Balance
Credit

1
Balance
Credit
70,500.00
140,500.00
170,500.00
-

5
Balance
Credit

0
Balance
Credit

1
 Balance
Credit

Balance
Credit
3,000.00
-

0
Balance
Credit
1,000.00
-

5
Balance
Credit

0
Balance
Credit

5
Balance
Credit

0
Balance
Credit

5
Balance
 Credit

0
Balance
Credit

0
Balance
Credit
157,250.00
16,750.00
25,250.00
-
 Maceren Merchandise
Trial Balance
July 31, 2019

Cash 463,750.00
Accounts receivable 70,000.00
Merchandise inventory
Supplies 40,600.00
Equipment 20,000.00
Accounts payable 62,600.00
Notes payable 40,000.00
Maceren capital 500,000.00
Maceren drawings 25,000.00
Sales 170,500.00
Sales returns and allowances 12,000.00
Sales discount 1,250.00
Purchases 90,000.00
Purchases returns and allowances 3,000.00
Purchases discount 1,000.00
Freight in 2,500.00
Advertising expense 2,500.00
Rent expense 5,500.00
Salaries expense 40,000.00
Utilities expense 2,000.00
Freight out 2,000.00
Income summary
Total 777,100.00 777,100.00
 Maceren Merchandise
Statement of Cost of Goods Sold
For the month ended July 31, 2019

Merchandise inventory, beginning

Purchases 90,000.00
Purchases returns and allowances - 3,000.00
Purchases discount - 1,000.00
Freight in 2,500.00
Net purchases 88,500.00
Total Goods Available for Sale 88,500.00
Merchandise inventory, ending - 8,500.00
Cost of Goods Sold 80,000.00
 Maceren Merchandise
Statement of Performance
For the month ended July 31, 2019

Sales 170,500.00
Sales returns and allowances - 12,000.00
Sales discount - 1,250.00
Net sales 157,250.00
Cost of Goods Sold - 80,000.00
Gross profit 77,250.00
Advertising expense 2,500.00
Rent expense 5,500.00
Salaries expense 40,000.00
Utilities expense 2,000.00
Freight out 2,000.00 - 52,000.00
Net income 25,250.00
 Maceren Merchandise
Statement of Equity
For the month ended July 31, 2019

Maceren capital beginning 500,000.00

Net income 25,250.00
Maceren drawings - 25,000.00
Maceren capital ending 500,250.00
 Maceren Merchandise
Statement of Financial Position
As of July 31, 2019

Assets
Current assets:
Cash 463,750.00
Accounts receivable 70,000.00
Merchandise inventory 8,500.00
Supplies 40,600.00
Total current assets 582,850.00

Noncurrent assets:
Equipment 20,000.00
Total noncurrent assets 20,000.00

Total assets 602,850.00

Liabilities and Owner's Equity

Current liabilities
Accounts payable 62,600.00
Notes payable 40,000.00
Total liabilities 102,600.00

Owner's Equity
Maceren capital 500,250.00

Total liabilities and owner's equity 602,850.00

 Maceren Merchandise
Statement of Cash Flows
For the month ended July 31, 2019

Operating activities:
Cash sales 30,000.00
Collection of account 61,250.00
Purchase supplies - 35,000.00
Payment of account - 49,000.00
Payment of freight - 4,500.00
Payment of salaries - 40,000.00
Payment of rent - 5,500.00
Payment of advertising - 2,500.00
Payment of utilities - 2,000.00
Refund to customer - 4,000.00
Net cash flow used in operating activities - 51,250.00

Investing activities:
Borrowed money 40,000.00
Net cash provided by investing activities 40,000.00

Financing activities:
Initial investment 500,000.00
Withdrawal - 25,000.00
Net cash provided by financing activities 475,000.00

Net cash flows 463,750.00

Date Particulars F Debit
Jun-30 Sales 401 170,500.00
Sales returns and allowances 405
Sales discount 410
Income summary 600
To close all income account

Jun-30 Income summary 600 140,500.00

Purchases returns and allowances 505 3,000.00
Purchases discount 510 1,000.00
Purchases 501
Freight in 515
Advertising expense 520
Rent expense 525
Salaries expense 530
Utilities expense 535
Freight out 540
To close all expense account

Jun-30 Merchandise inventory 115 8,500.00

Income summary 600
To update inventory count

Jun-30 Income summary 600 25,250.00

Maceren capital 301
To close income summary

Jun-30 Maceren drawings 305 25,000.00

Maceren capital 301
To close drawings account
 Credit

12,000.00
1,250.00
157,250.00

90,000.00
2,500.00
2,500.00
5,500.00
40,000.00
2,000.00
2,000.00

8,500.00

25,250.00

25,000.00
 Maceren Merchandise
Post Closing Trial Balance
July 31, 2019

Cash 463,750.00
Accounts receivable 70,000.00
Merchandise inventory 8,500.00
Supplies 40,600.00
Equipment 20,000.00
Accounts payable 62,600.00
Notes payable 40,000.00
Maceren capital 500,250.00
Total 602,850.00 602,850.00