- Prepare a balance sheet for the month ended March 31 (there are no prior balances in any of the accounts).
- Prepare an income statement for the month of March (there are no prior balances in any of the accounts). Do not be concerned with income taxes for the March statements.
| Journal Entries |
| Date |
Particulars |
Dr. Amt. |
Cr. Amt. |
|
|
|
|
| 1 |
Cash Dr. |
25,000 |
|
|
To Notes Payable |
|
25,000 |
|
|
|
|
| 2 |
Cash Dr. |
100,000 |
|
|
To Common Stock |
|
100,000 |
|
|
|
|
| 3 |
Building Dr. |
250,000 |
|
|
To Cash |
|
50,000 |
|
To Loan Payable - Mortgage |
|
200,000 |
|
|
|
|
| 4 |
Equipment Dr. |
15,000 |
|
|
To Cash |
|
15,000 |
|
|
|
|
| 5 |
Inventory Dr. |
18,500 |
|
|
To Accounts Payable |
|
18,500 |
|
|
|
|
| 6 |
Supplies Dr. |
2,500 |
|
|
To Cash |
|
2,500 |
|
|
|
|
| 7.a |
Cash Dr. |
15,000 |
|
|
To Sales |
|
15,000 |
|
|
|
|
| 7.b |
Cost of Goods Sold Dr. |
7,000 |
|
|
To Inventory |
|
7,000 |
|
|
|
|
| 8 |
Inventory Dr. |
9,300 |
|
|
To Cash |
|
5,000 |
|
To Accounts Payable |
|
4,300 |
|
|
|
|
| 9 |
Supplies Exp. Dr. |
600 |
|
|
To Supplies |
|
600 |
|
|
|
|
| 10.a |
Accounts Receivables Dr. |
16,000 |
|
|
To Sales |
|
16,000 |
|
|
|
|
| 10.b |
Cost of Goods Sold Dr. |
9,000 |
|
|
To Inventory |
|
9,000 |
|
|
|
|
| 11 |
Cash Dr. |
8,000 |
|
|
To Accounts Receivables |
|
8,000 |
|
|
|
|
| 12 |
Interest Exp. Dr. |
1,000 |
|
|
To Interest Payable |
|
1,000 |
|
|
|
|
| 13 |
Wages Exp. Dr. |
7,000 |
|
|
To Wages Payable |
|
7,000 |
|
|
|
|
| 14 |
Utilities Exp. Dr. |
900 |
|
|
To Utilities Payable |
|
900 |
|
|
|
|
| 15 |
Insurance Exp. Dr. |
400 |
|
|
To Cash |
|
400 |
|
|
|
|
| 16 |
Depreciation Exp. Dr. |
800 |
|
|
To Accumulated Depreciation |
|
800 |
|
|
|
|
| 17 |
Advertising Exp. Dr. |
1,100 |
|
|
To Advertising Exp. Payable |
|
1,100 |
|
|
|
|
| 18 |
Telephone Exp. Dr. |
600 |
|
|
To Telephone Exp. Payable |
|
600 |