Tutorial 2

Question 1

The trial balance for Rosie Ltd which provides image and fashion consultancy services is shown below:

Jasmine Enterprise

Trial Balance as at 30 June 2017

Account

Debit (RM)

Credit (RM)

Cash

10,200

Account receivables

2,640

Supplies

2,520

Fittings

9,600

Account payables

6,840

Capital, Jasmine

18,120

Total

24,960

24,960

The following is the business transactions in the month of July 2017:

July:

4Received cash of RM1,560 from due accounts of the customers

11Sent bill to a customer for a consultancy service worth RM4,200

15Paid workers' salaries of RM1,440

18Provided consultancy service to a customer who paid a deposit of RM720 in May 2017

20Paid RM1,320 to account payables

28Jasmine took out cash of RM400 for his personal use

31Paid utilities of RM840

Required:

a.Prepare the journal entries for the above transactions.

b.Prepare general ledger by using statement format (column). Record the opening balances for the accounts as at 1 July. Add the following accounts: drawings, services revenue, salaries and utilities.

c.Post the journalised accounts in option (a) to the ledger accounts in (b).

d.Prepare the trial balance as on 31 July 2017.

e.Prepare the comprehensive income and statement of changes in equity for the month ended 31 July 2017 and the statement of financial position as at 31 July 2017.