FAIRY TAIL TRADING

JOURNAL ENTRIES
APRIL 2022
101 CASH
102 PREPAID EXPENSE Date Account Titles and Explana PR
103 ACCOUNTS RECEIVABLE APRIL 1 CASH 101
104 SUPPLIES DRAGNEEL, CAPITAL 301
105 PPE Initial cash investment of owner.
PPE 105
201 ACCOUNTS PAYABLE DRAGNEEL, CAPITAL 301
202 NOTES PAYABLE Initial investment of motorcycle and machineries.
2 SUPPLIES 104
301 DRAGNEEL, CAPITAL CASH 101
Acquisition of supplies.
401 PURCHASES PURCHASES 401
402 PRA ACCOUNTS PAYABLE 201
403 PURCHASE DISCOUNT Acquired merchandise from Erza Scarlet, 2/10, 1/20.
404 FREIGHT IN 3 PREPAID EXPENSE 102
405 FREIGHT OUT CASH 101
406 SALARIES EXPENSE Payment of rent in advance.
407 ADVERTISING EXPENSE 4 FREIGHT IN 404
408 UTILITIES EXPENSE ACCOUNTS PAYABLE 201
Freight bill for April 2 transaction.
501 SALES CASH 101
502 SRA SALES 501
Cash sales to Gray Fullbuster.
5 PPE 105
ACCOUNTS PAYABLE 201
NOTES PAYABLE 202
Acquired vehicle, with cash payment and the balance on a
6 PURCHASES 401
ACCOUNTS PAYABLE 201
Credit purchases from Lucy, 2/10 n/30, and Wendy, 3/5 n
ACCOUNTS PAYABLE 201
PRA 402
Returned mdse to Erza Scarlet.
7 SRA 502
CASH 101
Returned mdse from Gray Fullbuster.
8 PREPAID EXPENSE 102
CASH 101
Payment OF 3-yr insurance of vehicle.
10 CASH 101
NOTES PAYABLE 202
Availment of loan from Landbank.
11 ACCOUNTS RECEIVABLE 103
SALES 501
Sold mdse to Happy Crity, 3/10 n/15
12 ACCOUNTS PAYABLE 201
PURCHASE DISCOUNT 403
CASH 101
Payment to Erza Scarlet, Apr. 2 transaction.
13 FREIGHT OUT 405
CASH 101
Paid freight for shipped mdse to Happy.
15 SALARIES EXPENSE 406
CASH 101
Paid employees' salaries.
17 SRA 502
ACCOUNTS RECEIVABL 103
Returned mdse from Happy.
19 ACCOUNTS PAYABLE 201
CASH 101
Payment to Lucy and Wendy.
23 ADVERTISING EXPENSE 407
CASH 101
Payment of ads.
25 NOTES PAYABLE 202
CASH 101
Paid the balance on Apr 5.
27 CASH 101
ACCOUNTS RECEIVABL 103
Payment from Happy.
30 UTILITIES EXPENSE 408
SALARIES EXPENSE 406
CASH 101
Payment of electricity, water, and salaries.
 GENE

DATE
GJ-1
Debit Credit APRIL 1
967,599.00 2
967,599.00 3
4
795,119.00 7
795,119.00 8
cycle and machineries. 10
5,700.00 12
5,700.00 13
15
64,700.00 19
64,700.00 23
m Erza Scarlet, 2/10, 1/20. 25
25,700.00 27
25,700.00 30

845.00
845.00 DATE

87,500.00 3
87,500.00 8

542,963.00
397,727.00
145,236.00
h payment and the balance on acct.
100,858.00
100,858.00 DATE
y, 2/10 n/30, and Wendy, 3/5 n/30.
6,895.00 11
6,895.00 17
27
5,623.00
5,623.00

89,000.00
89,000.00

425,630.00 DATE
425,630.00
2
 29,500.00
29,500.00
DATE
57,805.00
1,156.10 1
56,648.90 5
pr. 2 transaction.
890.00
890.00 DATE
dse to Happy.
24,100.00 2
24,100.00 4
5
5,000.00 6
5,000.00 6
12
100,858.00 19
100,858.00

5,226.00
5,226.00
DATE
145,236.00
145,236.00 5
10
24,500.00 25
24,500.00

2,520.00
11,780.00 DATE
14,300.00
er, and salaries. 1
3,525,547.00 3,525,547.00 1

DATE

2
6

DATE
 6

DATE

12

DATE

DATE

13

DATE

15
30

DATE

30

DATE

30

DATE

4
11
DATE

7
17
 GENERAL LEDGER
ACCOUNT NUMBER 101 CASH
BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Initial cash investment of owner. GJ-1 967,599.00 967,599.00
Acquisition of supplies. GJ-1 5,700.00 961,899.00
Payment of rent in advance. GJ-1 25,700.00 936,199.00
Cash sales to Gray Fullbuster. GJ-1 87,500.00 1,023,699.00
Returned mdse from Gray Fullbuster. GJ-1 5,623.00 1,018,076.00
Payment OF 3-yr insurance of vehicle. GJ-1 89,000.00 929,076.00
Availment of loan from Landbank. GJ-1 425,630.00 1,354,706.00
Payment to Erza Scarlet, Apr. 2 transactionGJ-1 56,648.90 1,298,057.10
Paid freight for shipped mdse to Happy. GJ-1 890.00 1,297,167.10
Paid employees' salaries. GJ-1 24,100.00 1,273,067.10
Payment to Lucy and Wendy. GJ-1 100,858.00 1,172,209.10
Payment of ads. GJ-1 5,226.00 1,166,983.10
Paid the balance on Apr 5. GJ-1 145,236.00 1,021,747.10
Payment from Happy. GJ-1 24,500.00 1,046,247.10
Payment of electricity, water, and salaries.GJ-1 14,300.00 1,031,947.10

ACCOUNT NUMBER 102 PREPAID EXPENSE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Payment of rent in advance. GJ-1 25,700.00 25,700.00
Payment OF 3-yr insurance of vehicle. GJ-1 89,000.00 114,700.00

ACCOUNT NUMBER 103 ACCOUNTS RECEIVABLE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Sold mdse to Happy Crity, 3/10 n/15 GJ-1 29,500.00 29,500.00
Returned mdse from Happy. GJ-1 5,000.00 24,500.00
Payment from Happy. GJ-1 24,500.00 -

ACCOUNT NUMBER 104 SUPPLIES

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Acquisition of supplies. GJ-1 5,700.00 5,700.00
ACCOUNT NUMBER 105 PPE
BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Initial investment of motorcycle and machiGJ-1 795,119.00 795,119.00
Acquired vehicle, with cash payment and tGJ-1 542,963.00 1,338,082.00

ACCOUNT NUMBER 201 ACCOUNTS PAYABLE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Acquired merchandise from Erza Scarlet, 2GJ-1 64,700.00
Freight bill for April 2 transaction. GJ-1 845.00
Acquired vehicle, with cash payment and tGJ-1 397,727.00
Credit purchases from Lucy, 2/10 n/30, an GJ-1 100,858.00
Returned mdse to Erza Scarlet. GJ-1 6,895.00
Payment to Erza Scarlet, Apr. 2 transactionGJ-1 57,805.00
Payment to Lucy and Wendy. GJ-1 100,858.00

ACCOUNT NUMBER 202 NOTES PAYABLE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Acquired vehicle, with cash payment and tGJ-1 145,236.00
Availment of loan from Landbank. GJ-1 425,630.00
Paid the balance on Apr 5. GJ-1 145,236.00

ACCOUNT NUMBER 301 DRAGNEEL, CAPITAL

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Initial cash investment of owner. GJ-1 967,599.00
Initial investment of motorcycle and machiGJ-1 795,119.00

ACCOUNT NUMBER 401 PURCHASES

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Acquired merchandise from Erza Scarlet, 2GJ-1 64,700.00 64,700.00
Credit purchases from Lucy, 2/10 n/30, an GJ-1 100,858.00 165,558.00

ACCOUNT NUMBER 402 PRA

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Returned mdse to Erza Scarlet. GJ-1 6,895.00

ACCOUNT NUMBER 403 PURCHASE DISCOUNT

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Payment to Erza Scarlet, Apr. 2 transactionGJ-1 1,156.10

ACCOUNT NUMBER 404 FREIGHT IN

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Freight bill for April 2 transaction. GJ-1 845.00 845.00

ACCOUNT NUMBER 405 FREIGHT OUT

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Paid freight for shipped mdse to Happy. GJ-1 890.00 890.00

ACCOUNT NUMBER 406 SALARIES EXPENSE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Paid employees' salaries. GJ-1 24,100.00 24,100.00
Payment of electricity, water, and salaries.GJ-1 11,780.00 35,880.00

ACCOUNT NUMBER 407 ADVERTISING EXPENSE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Payment of ads. GJ-1 5,226.00 5,226.00

ACCOUNT NUMBER 408 UTILITIES EXPENSE

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Payment of electricity, water, and salaries.GJ-1 2,520.00 2,520.00

ACCOUNT NUMBER 501 SALES

BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Cash sales to Gray Fullbuster. GJ-1 87,500.00
Sold mdse to Happy Crity, 3/10 n/15 GJ-1 29,500.00
ACCOUNT NUMBER 502 SRA
BALANCE
ITEM P/R DEBIT CREDIT DEBIT
Returned mdse from Gray Fullbuster. GJ-1 5,623.00 5,623.00
Returned mdse from Happy. GJ-1 5,000.00 10,623.00

2,711,971.10
 TRIAL BALANCE
DEBIT CREDIT
BALANCE CASH 1,031,947.10
CREDIT PREPAID EXPENSE 114,700.00
ACCOUNTS RECEIVABLE -
SUPPLIES 5,700.00
PPE 1,338,082.00
ACCOUNTS PAYABLE 398,572.00
NOTES PAYABLE 425,630.00
DRAGNEEL, CAPITAL 1,762,718.00
PURCHASES 165,558.00
PRA 6,895.00
PURCHASE DISCOUNT 1,156.10
FREIGHT IN 845.00
FREIGHT OUT 890.00
SALARIES EXPENSE 35,880.00
ADVERTISING EXPENSE 5,226.00
UTILITIES EXPENSE 2,520.00
SALES 117,000.00
SRA 10,623.00
PENSE 2,711,971.10 2,711,971.10
BALANCE
CREDIT INCOME STATEMENT

SALES 117,000.00
SRA - 10,623.00
NET SALES 106,377.00
BEGINNING INVENTORY -
PURCHASES 165,558.00
FREIGHT IN 845.00
CEIVABLE PRA - 6,895.00
BALANCE PD - 1,156.10
CREDIT NET PURCHASES 158,351.90
ENDING INVENTORY - 9,523.00
COGS 148,828.90
GROSS PROFIT - 42,451.90
FREIGHT OUT 890.00
SALARIES EXPENSE 35,880.00
ADVERTISING EXPENSE 5,226.00
UTILITIES EXPENSE 2,520.00
TOTAL EXP - 44,516.00
S NET LOSS - 86,967.90
BALANCE
CREDIT
 STATEMENT OF CHANGES IN OWNER'S EQUITY

BALANCE CAPITAL, BEGINNING 1,762,718.00

CREDIT NET LOSS - 86,967.90
CAPITAL, ENDING 1,675,750.10

AYABLE
BALANCE
CREDIT
64,700.00
65,545.00
463,272.00
564,130.00
557,235.00
499,430.00
398,572.00

ABLE
BALANCE
CREDIT
145,236.00
570,866.00
425,630.00

APITAL
BALANCE
CREDIT
967,599.00
1,762,718.00

SES
BALANCE
CREDIT

BALANCE
CREDIT
 6,895.00

SCOUNT
BALANCE
CREDIT
1,156.10

IN
BALANCE
CREDIT

OUT
BALANCE
CREDIT

PENSE
BALANCE
CREDIT

EXPENSE
BALANCE
CREDIT

PENSE
BALANCE
CREDIT

BALANCE
CREDIT
87,500.00
117,000.00
BALANCE
CREDIT

2,711,971.10
 BALANCE SHEET

ASSETS
CURRENT
CASH 1,031,947.10
PREPAID EXPENSE 114,700.00
ACCOUNTS RECEIVABLE -
SUPPLIES 5,700.00
INVENTORIES 9523
NONCURRENT
PPE 1,338,082.00
TOTAL ASSETS 2,499,952.10

LIABILITIES
ACCOUNTS PAYABLE 398,572.00
NOTES PAYABLE 425,630.00
TOTAL LIABILITIES 824,202.00

OWNER'S EQUITY
DRAGNEEL, CAPITAL 1,675,750.10
- TOTAL LIABILITIES AND EQUITY 2,499,952.10

CLOSING ENTRIES

PRA 6,895.00
PURCHASE DISCOUNT 1,156.10
SALES 117,000.00
INVENTORY, END 9523
INCOME SUMMARY 134,574.10
To close temporary accounts with credit balance.

INCOME SUMMARY 221,542.00

PURCHASES 165,558.00
FREIGHT IN 845.00
FREIGHT OUT 890.00
SALARIES EXPENSE 35,880.00
ADVERTISING EXPENSE 5,226.00
UTILITIES EXPENSE 2,520.00
SRA 10,623.00
To close temporary accounts with debit balance.

DRAGNEEL, CAPITAL 86,967.90

INCOME SUMMARY 86,967.90
To close the net loss.
 STATEMENT OF CASH FLOW

CASH FLOW FROM OPERATING ACTIVITIES

INFLOW
PAYMENT FROM CUSTOMER 112,000.00
OUTFLOW
Acquisition of supplies. 5,700.00
Payment of rent in advance. 25,700.00
REFUND TO CUSTOMER 5,623.00
PAYMENT OF INSURANCE 89,000.00
PAYMENT TO SUPPLIER 302,742.90
PAYMENT OF FREIGHT 890.00
PAYMENT OF SALARIES AND UTILITIES 38,400.00
PAYMENT OF ADS 5,226.00
- 361,281.90

CASH FLOW FROM INVESTING ACTIVITIES

INFLOW
0
OUTFLOW
ACQUIRED VEHICLE - -

CASH FLOW FROM FINANCING ACTIVITIES

INFLOW
INVESTMENT 967,599.00
BORROWING 425,630.00
OUTFLOW 0 1,393,229.00
1,031,947.10