G. Phillip commenced business with the following Assets and Liabilities: Bank $12,600, Office Equipment $16,400, Accounts Receivable $2,800, and Accounts Payable $1,300. Account numbers are optional.

Assets	Liabilities	Owner's Equity
Bank	$12,600	Accounts Payable	$1,300	Capital
Office Equipment	$16,400
Accounts Receivable	$2,800

Record the opening General Journal entry to commence business.

Question 2

Record the following transactions for G Phillip for the month of June in the appropriate special journals. Follow Organisational policies and procedures. Do not round off GST or other amounts. Account numbers are optional. Post journal entry totals to the General Ledger.

Date	G. Phillip-Transactions
01-Jun	G. Phillip pays in additional Capital of $6,000 (Rec 208)
Purchased trade goods on credit (Inv. 206) from T. Jones for $400 + GST.
02-Jun	Paid XYZ Ltd $150 + GST for Advertising (Cheque 109)
04-Jun	Received $300 + GST Commission from Bentley Ltd (Rec 209)
Purchased trade goods on credit from C. Richards (Inv. 258) for $250 + GST
06-Jun	Sold trade goods for cash (Rec. 210) $300 + GST.
07-Jun	T. Jones charged the business $20 interest on an overdue account
10-Jun	Sold trade goods on credit to C. Black (Inv. 291) for $840 + GST.
13-Jun	G. Phillip withdrew $150 in cash (Ch 110)
15-Jun	Sold trade goods on credit to M. Agar (Inv. 292) for $720 + GST
17-Jun	Returned trade goods to T. Jones (Adj. note 860) for $50 + GST
20-Jun	M. Agar returned trade goods (Adj. note 220) for $140 + GST.
20-Jun	Purchased trade goods for cash $200 + GST (Cheque 111)
23-Jun	Purchased Office Equipment for use in the office on credit from Office Suppliers Ltd for $500 + GST.
25-Jun	Paid Administration Wages $1,000 (Cheque 112)
27-Jun	Received from M. Agar $605 for Invoice 292 above. Allowed $33 discount incl. GST (Rec. 211)
Paid C. Richard $200 as part payment (Cheque 113)
28-Jun	Paid T. Jones $278 (Cheque 114) and received $22 discount (incl. GST)
30-Jun	C. Black has been declared bankrupt. (10 June Inv 291 $840 + GST)

Post General Journal transactions for the month of June.

GENERAL JOURNAL - G. Phillip
Date	Particulars	Folio	$ Debit	$ Credit

Post Cash Journal transactions for the month of June.

Cash Receipts Journal - G. Phillip
Date	Receipt #	Particulars	Acct #	$ Bank	$ Accounts Receivable	$ Cash Sales	$ Discount Allowed	$ Sundries	$ GST Collected
		TOTAL
Ledger Reference #

Post Cash Journal transactions for the month of June.

Cash Payments Journal - G. Phillip
Date	Cheque #	Particulars	Acct #	$ Bank	$ Accounts Payable	$ Cash Purchases	$ Discount Received	$ Sundries	$ GST Paid
		TOTAL
Ledger Reference #

Post Credit Journal transactions for the month of June.

Sales Journal - G. Phillip
Date	Invoice #	Particulars	Account #	$ Accounts Receivable	$ Sales	$ GST Collected
		TOTAL
Ledger Reference #

Sales Returns Journal - G. Phillip
Date	C/Note #	Particulars	Account #	$ Accounts Receivable	$ Sales Returns	$ GST Collected
		TOTAL
Ledger Reference #

Purchases Journal - G. Phillip
Date	Invoice #	Particulars	Account #	$ Accounts Payable	$Purchases	$ GST Paid
		TOTAL
Ledger Reference #

Purchases Returns Journal - G. Phillip
Date	C/Note #	Particulars	Account #	$ Accounts Payable	$Purchases Returns	$ GST Paid
		TOTAL
Ledger Reference #

Question 3 - General Ledger

As you post the totals from the completed Special Journals to the General Ledger, review amounts for their accuracy. Record account names using their correct spelling.

GENERAL LEDGER - G. Phillip
Bank	1010
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Accounts Receivable	1040
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Office Equipment	1500
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

GST Paid	1080
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Accounts Payable	2020
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

GST Collected	2040
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Capital	3010
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Drawings	3020
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Sales	4010
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Sales Returns	4015
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Commission Received	4050
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Discount Received	4030
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Purchases	5000
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Purchases Returns	5010
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Advertising	6020
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Administration wages	7050
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Interest Paid	8030
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Discount Allowed	8020
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Bad Debts	8010
Date	Details	Jrnl Ref	Debit	Credit	Balance	DR/CR

Question 4

Prepare the Trial Balance below for G Phillips as at 30^th June.

Enter the totals from the General Ledger into the Trial Balance provided below. When completed check and review Trial Balance for accuracy and correct any errors. Account numbers are optional.

Trial Balance as at 30 June 20xx- G. Phillip
Account No.	Account Name	$ Debit	$ Credit

Answer rating: 100% (QA)

1 Record the opening journal entry for G Phillips business Explanation Bank 12600 Debit Represents t... View the full answer