gegg’s Shipping Supplies Ltd- Guyana Branch Trial Balance as at June 30, 2022 A/C Name D R C R Cash 950,000 Accounts receivable 865,500 Allowance for bad debt 45,000 Merchandise Inventory 1,150,000 Store Supplies 195,000 Prepaid Insurance 157,500 Prepaid rent 248,500 Furniture and fixtures 600,000 Accumulated depreciation-Furniture and Fixtures 59,000 Motor Truck 1,200,000 Accumulated depreciation - Motor Truck Accounts payable 50,000 Salary payable Interest payable 28,000 Unearned Sales revenue 205,000 Long-term loan 950,000 Gregg's, Capital 2,900,000 Gregg's, Withdrawals 125,000 Sales revenue 4,131,900 Sales discount 160,500 Sales returns and allowances 145,400 Cost of goods sold 1,055,000 Salaries expense 808,000 Insurance Expense 157,500 Utilities Expense 325,000 Rent Expense 284,000 Depreciation Expense – Furniture & Fixtures Depreciation Expense – Motor Truck Store Supplies Expense Gain on Disposal of Old Motor Truck 58,000 Bad-Debt Expense Interest Expense 8,426,900 8,426,900i) Store Supplies on hand at June 30, 2022 amounted to $62,000. (ii) Insurance of $157,500 was paid on April 1, 2022, for 9-months to December 2022 (iii) Rent was prepaid on March 1, 2022, for 7-months to September 2022. (iv) The furniture and fixtures have an estimated useful life of 10 years and is being depreciated on the straight-line method down to a residual value of $10,000. (v) The motor truck was acquired on February 1, 2022, and is being depreciated over 5 years on the double-declining balance method of depreciation, down to a residue of $15,000 (vi) Salaries earned by employees not yet paid amounted to $73,800 at June 30, 2022. (vii) Accrued interest expense as of June 30, 2022, $48,300. (viii) On June 30, 2022, $106,000 of the previously unearned sales revenue had been earned. (ix) The aging of the Accounts Receivable schedule at June 30, 2022 indicated that the Allowance for Bad Debts should be $86,550. (x) After making all other adjustments, a physical count of inventory was done, which reveals that there was $1,100,000 worth of inventory on hand at June 30,2022 Other data: (xi) The business is expected to make principal payments totalling $300,000 towards the loan during the fiscal year to June 30 ,2023
gegg’s Shipping Supplies Ltd- Guyana Branch
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