The business was purchased on May 31, 2022.
Medical supplies $481
Medical Equipment $16,791
Bank Loan (due June 2023) $27,997
Accounts Payable $8,755
Motor Vehicle $38,618
Accounts Receivable $23,799
Cash at Bank $15,691
Capital ?

Date	Description	Amount
June 1	Paid general insurance premium	2,608
June 3	Provide consultation – Cash	3,212
June 6	Purchase medical supplies	817
June 7	Paid rental of business premises	4,149
June 9	Payment to suppliers - on account	1,662
June 10	Provide vaccination – on account	2,356
June 13	Provide surgery - Cash	5,465
June 14	Cash Withdrawals by Ms Kind Heart	1,084
June 15	Monthly maintenance charge of medical equipment	453
June 17	Receive receipt from customers on account	2,811
June 20	Advertising Expenses to promote the brand name of Petcare Wellness – on account	1,448
June 21	Equipment hiring charge – on account	468
June 22	Provide consultation – on account	2,208
June 23	Paid advertising expenses to promote the services to new customers	740
June 24	Lunch party with staff to celebrate the startup of the business	450
June 27	Provide vaccination – Cash	3,760
June 29	Additional cash contributed by Ms Kind Heart	3,580
June 30	Paid Staff Wages	4,416
June 30	Paid Staff monthly claims of Grab charges	443

Additional Information

1. Show different types of revenue. All revenues received are for the month of June 2022.

2. Unless otherwise indicated, all transactions are on a cash basis. Use only the ‘Cash at Bank’ account.

3. Rental and insurance period start on June 1.

4. Rental expense is initially recognized as an asset (Asset Approach) while insurance expense is initially recognized as an expense (Expense Approach).

5. Refer to the following information for the adjusting entries/balance-day adjustments:
a) Closing stock of medical supplies on 30/6 ($) $ 698.00
b) Medical Equipment scrap value ($) $ 4,346.00
c) Medical Equipment useful life (years) 3
d) Rent paid for (months) 5
e) Insurance paid for (months) 2
f) Motor vehicle scrap value ($) $ 3,979.00
g) Motor vehicle useful life (years) 8
h) Bank loan interest rates (% per year) 9
i) Use 360 days in a year for interest calculation.

Required
Q1. Prepare journal entries for all the transactions in June 2022. Narrations are required.

Q2. Prepare journal entries for all balance-day adjustments/ adjusting entries for June 2022.

Q3. Prepare the general ledger T-accounts showing opening balance, transactions, balance-day adjustments, and closing balance for June 2022. Also, show the opening balance for the next month.

Q4. Prepare the 10-column Worksheet after including all transactions and balance-day adjustments.

Q5. Prepare the income statement for the month ended June 30, 2022, using the classification of Revenue and Expenses (ignore Goods and Service Tax and income tax).

Q6. Prepare the statement of financial position as at June 30, 2022, using the classification of current and non-current portions of assets and liabilities.

Answer rating: 100% (QA)

Q1 Prepare journal entries for all the transactions in June 2022 Narrations are required June 1 General Insurance Expense 2608 Cash at Bank 2608 Narration Paid general insurance premium June 3 Cash at ... View the full answer