Your group has been assigned the task of preparing the financial records and financial statements for K's Trucking Services Ltd because the company currently does not have an accounting personnel do it. The company is owned by KerryAnn Smart, and its financial year end is December 31 each year. The previous account personnel who were employed to the company has provided the following information and transactions for 2023: Jan 1. Jan 2. Feb 1. Mar 30. April 4. May 5. June 6. June 10. Balances brought forward from 2022 - Cash $1,200,500; Accounts Receivable $355,500; Supplies $210,850; Motor Truck $1,500,000; Other Creditors $100,000; and Capital $1,155,000. The following assets were received from Paul Zoukis in exchange for capital in the company: cash - $250,105, accounts receivable - $300,000, supplies - $75,000, and Motor Truck- $1,200,000. Paid fifteen (15) month's rent on a lease rental for fully furnished office and parking space at $80,000 per month. Paid the premiums on the property and peril insurance policies for fourteen (14) months amounting to $280,000. Received cash from clients as an advance payment for services to be provided in the coming months, $1,000,000. Purchased motor truck on account from Paul's Auto Motors Co Ltd for $1,500,000. Received cash from clients on account, $300,000. Paid cash for security services amounting to $105,000. Aug 12. Paid Paul's Auto Motors $500,000 of the debt incurred on May 5. Sept 12. Sept 30. Recorded services provided on account for the period July 1 - Sept 12, $1,000,000. Paid part-time workers salary, $530,000. Oct 17. Oct 30. Oct 30. Paid cash for supplies, $212,000. Nov 24. Nov 25. Nov 27. Recorded cash from cash clients for fees earned during the first half of year, $950,950. Recorded services provided on account for the period June to July, $850,000. Recorded cash from cash clients for fees earned for the period September 13- Nov 24, $1,545,000. Received cash from clients on account, $550,000. Paid part-time workers for salary $840,000. Dec 29. Paid telephone bill for the year 2023 $340,000. Dec 30. Dec 30. Dec 30. Paid electricity bill for the year 2023 $425,000. Recorded cash from cash clients for fees earned for the period September 14- Dec 30, $1,450,000. Recorded services provided on account for October to December 2023, $1480,000. Requirement: 1. Prepare the opening journal entries and journalize each transaction in the general journal referring to the following chart of accounts in selecting the accounts to be debited and credited and include a narration for each transaction:

Your group has been assigned the task of preparing the financial records and financial statements for K's Trucking Services Ltd because the company currently does not have an accounting personnel do it. The company is owned by KerryAnn Smart, and its financial year end is December 31 each year. The previous account personnel who were employed to the company has provided the following information and transactions for 2023: Jan 1. Jan 2. Feb 1. Mar 30. April 4. May 5. June 6. June 10. Balances brought forward from 2022 - Cash $1,200,500; Accounts Receivable $355,500; Supplies $210,850; Motor Truck $1,500,000; Other Creditors $100,000; and Capital $1,155,000. The following assets were received from Paul Zoukis in exchange for capital in the company: cash - $250,105, accounts receivable - $300,000, supplies - $75,000, and Motor Truck- $1,200,000. Paid fifteen (15) month's rent on a lease rental for fully furnished office and parking space at $80,000 per month. Paid the premiums on the property and peril insurance policies for fourteen (14) months amounting to $280,000. Received cash from clients as an advance payment for services to be provided in the coming months, $1,000,000. Purchased motor truck on account from Paul's Auto Motors Co Ltd for $1,500,000. Received cash from clients on account, $300,000. Paid cash for security services amounting to $105,000. Aug 12. Paid Paul's Auto Motors $500,000 of the debt incurred on May 5. Sept 12. Sept 30. Recorded services provided on account for the period July 1 - Sept 12, $1,000,000. Paid part-time workers salary, $530,000. Oct 17. Oct 30. Oct 30. Paid cash for supplies, $212,000. Nov 24. Nov 25. Nov 27. Recorded cash from cash clients for fees earned during the first half of year, $950,950. Recorded services provided on account for the period June to July, $850,000. Recorded cash from cash clients for fees earned for the period September 13- Nov 24, $1,545,000. Received cash from clients on account, $550,000. Paid part-time workers for salary $840,000. Dec 29. Paid telephone bill for the year 2023 $340,000. Dec 30. Dec 30. Dec 30. Paid electricity bill for the year 2023 $425,000. Recorded cash from cash clients for fees earned for the period September 14- Dec 30, $1,450,000. Recorded services provided on account for October to December 2023, $1480,000. Requirement: 1. Prepare the opening journal entries and journalize each transaction in the general journal referring to the following chart of accounts in selecting the accounts to be debited and credited and include a narration for each transaction:

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter18: Acquiring Capital For Growth And Development

Section: Chapter Questions

Problem 1AP

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