Amal opened Real estate company on April 1, 2020. During April, the company completed the following...

 

Transcribed Image Text:

Amal opened Real estate company on April 1, 2020. During April, the company completed the following transactions April, 1 Shareholders Invested £30,000 cash In the business in exchange for ordinary shares. Purchased a bus for £20,000, paying £6,000 cash and the balance on account. Purchased office supplies for £3,400 on account. 3 Signs a one-year lease agreement, paid the annual amount (£3,600) upfront at the beginning of the year. Provides £8,400 in services to a customer who asks to be billed for the services. Paid £2,000 of amount owed on the Bus, and £800 of amount owed on office 7 15 Supplies. 18 20 25 28 30 Pays a £3,800 utility bill with cash Collected £4,800 from customers billed on April 7. Real estate commissions billed to clients amount to £ 4,200. The owner withdrew £8,00 cash for personal use Paid £1000 cash dividends. Instructions 1) Enter the transactions of the period in appropriate journals. 2) Post from the journals to the ledger. 3) Prepare a trial balance. 4) Prepare an income statement. 5) Prepare owner's equity statement (Retained earnings). 6) Prepare the balance sheet at April 30. 7)adjusting entries Amal opened Real estate company on April 1, 2020. During April, the company completed the following transactions April, 1 Shareholders Invested £30,000 cash In the business in exchange for ordinary shares. Purchased a bus for £20,000, paying £6,000 cash and the balance on account. Purchased office supplies for £3,400 on account. 3 Signs a one-year lease agreement, paid the annual amount (£3,600) upfront at the beginning of the year. Provides £8,400 in services to a customer who asks to be billed for the services. Paid £2,000 of amount owed on the Bus, and £800 of amount owed on office 7 15 Supplies. 18 20 25 28 30 Pays a £3,800 utility bill with cash Collected £4,800 from customers billed on April 7. Real estate commissions billed to clients amount to £ 4,200. The owner withdrew £8,00 cash for personal use Paid £1000 cash dividends. Instructions 1) Enter the transactions of the period in appropriate journals. 2) Post from the journals to the ledger. 3) Prepare a trial balance. 4) Prepare an income statement. 5) Prepare owner's equity statement (Retained earnings). 6) Prepare the balance sheet at April 30. 7)adjusting entries

Answer rating: 100% (QA)

JOURNAL ENTRIES April 1 Cash 30000 and Ordinary Shares 30000 April 1 Bus 20000 Cash 6000 and Accounts Payable 14000 April 1 Office Supplies 3400 and Accounts Payable 3400 April 1 Rent Expense 3600 and ... View the full answer