Happy Campers sell tents. On 1 June 2018 Happy Campers commenced business. During June they had...

  

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Happy Campers sell tents. On 1 June 2018 Happy Campers commenced business. During June they had the following transactions: a. b. C. d. Jun 1 Owner contributed $20 000 cash to the business (Rec. 1). Purchased 5 tents from Camping Supplies for $500 (Chq. 1). Paid $2 000 for one month's rent (Chq. 2) Owner contributed office furniture worth $5 000 to the business (Memo 1) Purchased 10 tents from Tents R Us for $100 each (Inv. 45) Paid wages $3 500 (Chq. 3) Sold two tents for $200 each (cost price $100 each) (Rec. 2) Owner withdrew $500 cash from the business for personal use (Chq. 4) Sold two tents for $200 each (cost price $100 each) to Park Services (Inv. 1) Owner withdrew one tent for personal use (cost price $100) (Memo 2) Paid Tents R Us $1.000 (Chq. 5) Received money owing from Park Services (Rec. 3) Sold five tents for $1.000 (cost price $500) (Rec. 4) Paid wages $3 500 (Chq. 6) e. 36 792 12 13 16 17 19 21 Record each transaction in the appropriate journal for the reporting period. (A narration is required for General Journal entries.) Total the four (4) special journals. State the effect on the accounting equation if the transaction on 9 June was not recorded. Describe one (1) advantage of using journals in the Recording stage of the accounting process. Explain how the Accounting Entity assumption has been achieved when recording in journals. EXERCISE 3.14 FIVE JOURNALS a. & b. Record and total Purchases Journal Date 2018 Sales Journal Date 2018 Cash Payments Journal Date Details 2018 MUF0021 Fundamentals of Accounting Cash Receipts Journal Details Date 2018 Debtor Creditor Chq. Bank No. Rec. No. Invoice no. Bank Creditors Control Worksheet 3: Answer Booklet Debtors Control Cost of Sales Stock Control Invoice no. Cost of Sales Stock Control Sales Sales Wages Sundries Page 12 of 14 Sundries General Journal Date 2018 Details General Ledger Debit Credit Happy Campers sell tents. On 1 June 2018 Happy Campers commenced business. During June they had the following transactions: a. b. C. d. Jun 1 Owner contributed $20 000 cash to the business (Rec. 1). Purchased 5 tents from Camping Supplies for $500 (Chq. 1). Paid $2 000 for one month's rent (Chq. 2) Owner contributed office furniture worth $5 000 to the business (Memo 1) Purchased 10 tents from Tents R Us for $100 each (Inv. 45) Paid wages $3 500 (Chq. 3) Sold two tents for $200 each (cost price $100 each) (Rec. 2) Owner withdrew $500 cash from the business for personal use (Chq. 4) Sold two tents for $200 each (cost price $100 each) to Park Services (Inv. 1) Owner withdrew one tent for personal use (cost price $100) (Memo 2) Paid Tents R Us $1.000 (Chq. 5) Received money owing from Park Services (Rec. 3) Sold five tents for $1.000 (cost price $500) (Rec. 4) Paid wages $3 500 (Chq. 6) e. 36 792 12 13 16 17 19 21 Record each transaction in the appropriate journal for the reporting period. (A narration is required for General Journal entries.) Total the four (4) special journals. State the effect on the accounting equation if the transaction on 9 June was not recorded. Describe one (1) advantage of using journals in the Recording stage of the accounting process. Explain how the Accounting Entity assumption has been achieved when recording in journals. EXERCISE 3.14 FIVE JOURNALS a. & b. Record and total Purchases Journal Date 2018 Sales Journal Date 2018 Cash Payments Journal Date Details 2018 MUF0021 Fundamentals of Accounting Cash Receipts Journal Details Date 2018 Debtor Creditor Chq. Bank No. Rec. No. Invoice no. Bank Creditors Control Worksheet 3: Answer Booklet Debtors Control Cost of Sales Stock Control Invoice no. Cost of Sales Stock Control Sales Sales Wages Sundries Page 12 of 14 Sundries General Journal Date 2018 Details General Ledger Debit Credit