Chapter $5-$ Comprehensive Problem $2$

Golfing School is a business owned by Ted Craig. The Balance Sheet accounts of the business are as follows:

Assets

Bank

A$/$R $-$ L$.$ Troop

A$/$R $-$ P$.$ Moores

Equipment

Total Assets

$$3,000$

$250$

$150$

$[4,700],[8,100]$

Liabilities

A$/$P $-$ Jack's Repair Shop $$1,600$

Owner's Equity

T$.$ Graig, Capital

Total L & OE

$$1,600$

Instructions:

A$.$ Set up Ted's Golfing School financial position in the T accounts template. Income statement accounts will need to be set up as you do transactions.

B$.$ Calculate the amount for the OE account $"$T$.$ Graig, Capital"

C$.$ Record the accounting entries for the transactions listed below

D$.$ Calculate the account balances

E$.$ Create a trial balance using the TB template as of July $31,2023$

F$.$ Create a balance sheet using the BS template as of July $31,2023$

G$.$ Create an income statement using the IS template for the year ending July $31,2023$

December

Received $$300$ cash from customers for golf lessons.

Issued a bill for $$95$ to L$.$ Troop for lessons that will be paid later.

$3$ Paid $$1,400$ cash to United Realty for the monthly rent.

$4$ Received $$50$ cash from $P.$ Moores to be applied to amount outstanding.

$5$ Received a $$175$ bill from Jack's Repair Shop for repairing equipment.

$6$ Received $$2,000$ cash from customers for lessons.

$7$ Issued another $$45$ bill to L$.$ Troop for lessons.

$8$ Received $$100$ cash from P$.$ Moores to pay balance owed.

$9$ Received a $$500$ bill for equipment bought from Jack's Repair Shop.

$10$ Paid $$90$ for electricity and water $($utilities$).$

$11$ Paid $$300$ to Jack's Repair Shop to reduce the balance owing.

$12$ Paid $$355$ cash to the Gazette for advertising.