- Assume that this assignment involves an existing business that was purchased by the new owner on 1 June 2019.

- Note the list of transactions is in date order, left to right, line by line.

- Use three separate ledger accounts for revenue, namely hair styling services, manicure services and facial services. All revenues relate to the month of June.

- Transactions involve cash unless specified as ‘Account’.

- Record payments for rent and insurance in prepaid accounts initially.

- Information relevant to complete adjusting entries can be found in the top right section of this page.

- The periods to which the rent and insurance apply commence on 1 June.

- Round your calculations to the nearest dollar.

Please complete the following:

- 10-column worksheet (very important)

- properly classified income statement for the month ended 30 June 2019

- properly classified balance sheet as at 30 June 2019 (current and non-current)

The business has the following opening balances:

Cash At Bank $13,424
Account Receivable $22,548      

Motor Vehicle $36,781

Account Payable $8,565

Bank Loan (due 2022) $21,067

Hair Styling Equipment $21,160

Hair Styling Supplies $749

Capital ?

Additional Information:

Bank loan interest rates (% per year) 8

Motor vehicle useful life (years) 5

Motor vehicle scrap value ($) 2,185

Insurance paid for (months) 2

Rent paid for (months) 5

Hair styling equipment useful life (years) 3

Hair styling equipment scrap value ($) 3,411

Closing stock of hairstyling supplies on 30/6 ($)

Staff work a 14 day fortnight and are paid on the 15th day.

Transactions:

Date	Description	Amount
1-Jun	Facial services fees - Cash	$1,499
3-Jun	Rent of Business Premises	$3,913
7-Jun	Advertising Expense - Account	$1,144
11-Jun	Purchase hair styling supplies - account	$676
12-Jun	Manicure services - Account	$1,386
12-Jun	Hair styling fees - Account	$1,968
14-Jun	Motor Vehicle Expenses	$516
15-Jun	Sundry Expenses	$381
20-Jun	Advertising Expense - Cash	$779
21-Jun	Payment to Account Payable	$1,166
22-Jun	Receive Payment from Account Customers	$1,243
25-Jun	Manicure services - Cash	$839
25-Jun	Additional cash contributed by owner	$4,996
29-Jun	Staff Wages	$2,900

Date	Description	Amount
1-Jun	Paid General Insurance	$2,288
5-Jun	Receive Payment from Account Customers	$1,823
11-Jun	Hair styling fees - Account	$1,862
12-Jun	Payment to Account Payable	$522
12-Jun	Facial services fees - Cash	$1,551
13-Jun	Manicure services - Cash	$1,146
15-Jun	Staff Wages	$2,900
20-Jun	Manicure services - Account	$1,131
21-Jun	Purchase books and magazines	$100
21-Jun	Cash Withdrawals by Owner	$964
24-Jun	Hair styling fees - Cash	$1,189
25-Jun	Hair styling fees - Cash	$1,229
29-Jun	Facial services fees - Cash	$1,520