Date Particulars P.R.

Debit Credit

1 1

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Account: No:
DR
Date Particulars P.R. Debit Credit CR Balance

1 1

2 2

3 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

11 11

12 12

13 13

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16 16

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 Acc.
Accounts Debits Credits
No.

1 1

2 2

3 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

11 11

12 12

13 13

14 14

15 15

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37 39

38 38

39 39
 Acc. Trial Balance Adjustments Income Statement Balance Sheet
Accounts
No. DR CR DR CR DR CR DR CR
1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
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19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
 A Company
Income Statement
For the Period Ending Date

Revenue

Revenue A $ 10,000
Revenue B 500
Revenue Returns and Allowances $ (100)
Revenue Discounts (100) (200)
Net Sales $ 10,300

Cost of Goods Sold

Beginning Inventory $ 1,000

Add: Purchases 5,000
Less: Purchase Returns and Allowances $ (100)
Less: Purchase Discounts (150) (250)
Net Purchases 4,750
Add: Freight-in 100
Cost of Goods Available for Sale 4,850
Less: Ending Inventory (1,000)
Cost of Goods Sold $ 3,850
Gross Profit 6,450

Operating Expenses

Expense A $ 1,000
Expense B 1,000
Expense C 1,000
Total Operating Expenses $ 3,000

Operating Income (Net Income Before Interest,

Taxes and Extraordinary Items) 3,450

Extraordinary item A $ (1,000)

Extraordinary item B (500)
Total of Extraordinary Items (1,500)

Net Income $ 1,950

 A Company
Balance Sheet
December 31, 2003

Assets

Current Assets
Asset A $ 122,050
Accounts Receivable $ 1,300
Less: Allowance for Doubtful Accounts (300) 1,000
Asset C 1,000
Total Current Assets $ 124,050

Fixed Assets
Asset D $ 1,000
Less: Accumulated Depreciation (100) $ 900
Asset E 1,000
Less: Accumulated Depreciation (100) 900
Total Fixed Assets $ 1,800

TOTAL ASSETS $ 125,850

Liabilities and Owner's Equity

Current Liabilities
Accounts Payable $ 1,000
GST Payable $ 1,000
GST Recoverable (100) 900
PST Payable 1,000
Bank Loan 1,000
Total Current Liabilities $ 3,900

Long Term Liabilities

Mortgage Payable $ 50,000
Notes Payable 50,000
Total Long Term Liabilities $ 100,000

J. Boulton, Capital
Equity at the Beginning of the Period $ 25,000
Add: Net Income $ 1,950
Less: Drawings (5,000)
Change in Equity for the Period (3,050)
Equity at the End of the Period $ 21,950

TOTAL LIABILITIES AND OWNER'S EQUITY $ 125,850