Drex Montanez, a previously employed individual finally decided to put up his own business somewhat in year 2021. During this time of pandemic, he decided to do some trading of pizza oven and pizza board. The following are transactions in April 2021: April 4 The following assets were invested in business by Drex: Cash -10,000; Supplies 1,250; Office Equipment- 7,500; Furniture 1,250. April 4 Paid three months advance rental to Ninang Lessor for 1,500 per month. April 4 Paid Casualty insurance PRU UK amounting to 1,800. April 6 Received cash from GTZ Enterprise on sale of merchandise for 3,000. April 7 Purchase additional furniture on account from Crizfat Furniture amounting to 1,800. April 8 Cash Sales from walk in client amounting to 800 April 11 Paid Cash advertisement to Bulgar Newspaper amounting to 120. April 12 Paid debt amounting to 800 from Crizfat Furniture (purchased furniture last April 7) April 15 Sales from Zion the Lion on account amounting to 2,250 April 15 Paid part time employee amounting to 400. April 15 Cash Sales walk in Client amounting to 3,175. April 18 Purchase supplies amounting to 750. April 22 Sale on account to Zues Bala amounting to 1,100 April 22 Cash Sales form walk in client amounting to 1,850 April 25 Received Cash from walk in client amounting to 1,600 April 27 Paid part time employee amounting to 400. April 29 Paid PLDT amounting to 130. April 29 Paid Meralco 200. April 29 Received Cash from client for merchandise amounting to 2,050. April 29 Sale on account amounting tp 1,000. April 29 Drex withdraw 4,500 as part of his return of investment. INSTRUCTION: T account Record and post the following adjustments on month end: Insurance expired 150 Supplies on hand 1,020 Depreciation using straight-line method (5 yr useful life) Accrued Salaries 20. Rent Expired 1,500 2. Record Closing Entries
Drex Montanez, a previously employed individual finally decided to put up his own business somewhat in year 2021. During this time of pandemic, he decided to do some trading of pizza oven and pizza board. The following are transactions in April 2021:
April 4 The following assets were invested in business by Drex: Cash -10,000; Supplies 1,250; Office Equipment- 7,500; Furniture 1,250.
April 4 Paid three months advance rental to Ninang Lessor for 1,500 per month.
April 4 Paid Casualty insurance PRU UK amounting to 1,800.
April 6 Received cash from GTZ Enterprise on sale of merchandise for 3,000.
April 7 Purchase additional furniture on account from Crizfat Furniture amounting to 1,800.
April 8 Cash Sales from walk in client amounting to 800
April 11 Paid Cash advertisement to Bulgar Newspaper amounting to 120.
April 12 Paid debt amounting to 800 from Crizfat Furniture (purchased furniture last April 7)
April 15 Sales from Zion the Lion on account amounting to 2,250
April 15 Paid part time employee amounting to 400.
April 15 Cash Sales walk in Client amounting to 3,175.
April 18 Purchase supplies amounting to 750.
April 22 Sale on account to Zues Bala amounting to 1,100
April 22 Cash Sales form walk in client amounting to 1,850
April 25 Received Cash from walk in client amounting to 1,600
April 27 Paid part time employee amounting to 400.
April 29 Paid PLDT amounting to 130.
April 29 Paid Meralco 200.
April 29 Received Cash from client for merchandise amounting to 2,050.
April 29 Sale on account amounting tp 1,000.
April 29 Drex withdraw 4,500 as part of his return of investment.
INSTRUCTION:
- T account
- Record and post the following adjustments on month end:
- Insurance expired 150
- Supplies on hand 1,020
Depreciation using straight-line method (5 yr useful life)- Accrued Salaries 20.
- Rent Expired 1,500
2. Record Closing Entries
3. Prepare
4. Prepare Income Statement,
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