Mr. Arish opened Arish's Carpet Cleaners on March 1, 2021. During March, the following transactions were completed. Mar. 1: Invested Tk 15,000 cash in the business. Mar. 1: Purchased used Lorry for Tk 6,000, paying Tk 3,000 cash and the balance on account. Mar. 3: Purchased cleaning supplies for Tk 1,500 on account. Mar. 5: Paid Tk 1,200 cash on one-year insurance policy effective March 1. Mar. 14: Billed customers Tk 4,800 for cleaning services. Mar. 18: Paid Tk 1,500 cash on amount owed on Lorry and Tk 500 on amount owed on cleaning supplies. Mar. 20: Paid Tk 2,000 cash for employee salaries. Mar. 21: Collected Tk 2,800 cash from customers billed on March 14. Mar. 28: Billed customers Tk 2,500 for cleaning services. Mar. 31: Paid advertising expenses of Tk 500. Mar. 31: Withdrew Tk 1000 cash for personal use. Requirements: Journalize the March transactions. 1) 2) Prepare necessary Ledger Accounts. 3) Prepare a Trial Balance at March 31

Mr. Arish opened Arish's Carpet Cleaners on March 1, 2021. During March, the following transactions were completed. Mar. 1: Invested Tk 15,000 cash in the business. Mar. 1: Purchased used Lorry for Tk 6,000, paying Tk 3,000 cash and the balance on account. Mar. 3: Purchased cleaning supplies for Tk 1,500 on account. Mar. 5: Paid Tk 1,200 cash on one-year insurance policy effective March 1. Mar. 14: Billed customers Tk 4,800 for cleaning services. Mar. 18: Paid Tk 1,500 cash on amount owed on Lorry and Tk 500 on amount owed on cleaning supplies. Mar. 20: Paid Tk 2,000 cash for employee salaries. Mar. 21: Collected Tk 2,800 cash from customers billed on March 14. Mar. 28: Billed customers Tk 2,500 for cleaning services. Mar. 31: Paid advertising expenses of Tk 500. Mar. 31: Withdrew Tk 1000 cash for personal use. Requirements: Journalize the March transactions. 1) 2) Prepare necessary Ledger Accounts. 3) Prepare a Trial Balance at March 31

Name: Mr. Arish opened Arish's Carpet Cleaners on March 1, 2021. During Mar
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Description: Mr. Arish opened Arish's Carpet Cleaners on March 1, 2021. During March, the followingtransactions were completed.Mar. 1: Invested Tk 15,000 cash in the business.Mar. 1: Purchased used Lorry for Tk 6,000, paying Tk 3,000 cash and the balance onaccou

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is

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Question

Mr. Arish opened Arish's Carpet Cleaners on March 1, 2021. During March, the following
transactions were completed.
Mar. 1: Invested Tk 15,000 cash in the business.
Mar. 1: Purchased used Lorry for Tk 6,000, paying Tk 3,000 cash and the balance on
account.
Mar. 3: Purchased cleaning supplies for Tk 1,500 on account.
Mar. 5: Paid Tk 1,200 cash on one-year insurance policy effective March 1.
Mar. 14: Billed customers Tk 4,800 for cleaning services.
Mar. 18: Paid Tk 1,500 cash on amount owed on Lorry and Tk 500 on amount owed on
cleaning supplies.
Mar. 20: Paid Tk 2,000 cash for employee salaries.
Mar. 21: Collected Tk 2,800 cash from customers billed on March 14.
Mar. 28: Billed customers Tk 2,500 for cleaning services.
Mar. 31: Paid advertising expenses of Tk 500.
Mar. 31: Withdrew Tk 1000 cash for personal use.
Requirements:
Journalize the March transactions.
1)
2)
Prepare necessary Ledger Accounts.
3)
Prepare a Trial Balance at March 31
4)
Journalize the following adjustments and prepare an adjusted Trial Balance:
(1) Earned but unbilled revenue at March 31 was Tk 500.
(2) Depreciation on equipment for the month was Tk 200.
(3) One-twelfth of the insurance expired.
(4) An inventory count shows Tk 400 of cleaning supplies on hand at March 31.
(5) Accrued but unpaid employee salaries were Tk 700.
Prepare the Income Statement and Owner's Equity Statement for March and a
5)
classified Financial Position at March 31
6)
Journalize Closing Entries.

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