ACT 431: Accounting

Information System
Section: 01

Submitted to: Rakibul Hasan [RKB]

Lecturer, Department of Accounting &

Finance
School of Business and Economics
North South University
Date of Submission: 07.12.2016

Submitted By

Syed Atabur Rahman Tuhin

ID# 142 0296 030

*Journal entries for the transaction of XENIX Company during
January are Given Below:

XENIX Company

Journal Entries

Date Details Debit Credit

$
Cash
500,000
1-Jan $
Common Stock
500,000
(Began Business By selling Stock)
$
Rent Expence
10,000
1-Jan $
Cash
10,000
(Rent office space )
$
Inventory
213,000
2-Jan $
A/P
213,000
(Receive Merchidise from Farnswood )
$
A/R
7,900
2-Jan $
Sales Revenue
7,900
(Sold Merchandise on Credit to thamas Zak)
$
Office Supplics
560
3-Jan $
A/P
560
(Purchar offiece supplies on credit)
$
A/R
4,600
3-Jan sales Revenue $
4,600
(Sold Merchandise on Credit to thamas Zak)
9-Jan Equipment $
10,400
 $
A/p
10,400
( Purchase Equipment on credit McKay)
$
A/P
213,000
$
10- Purchase Discount
4,260
Jan $
Cash
208,740
(Sold on Credit to Margo Edwards)
$
A/R
2,300
10- $
Jan Sales revenue
2,300
(sale on credit to Margo Edward)
$
Cash
7,742
$
12- Sales Discount
158
Jan $
A/R
7,900
(Received payment from John Nelson)
$
Cash
4,508
$
13- sales discount
92
Jan $
A/R
4,600
(Received payment From Thomas Zak )
$
salary expense
7,950
15- $
Jan Cash
7,950
(Payment payroll in cash)
$
Cash
67,340
15- $
Jan sales revenue
67,340
(Cash sales for 1st half of the month)
19- Cash $
Jan 2,254
 $
sales discount
46
$
A/R
2,300
(Received payment from Margo Edwards)
$
A/R
65,400
27- $
Jan sales revenue
65,400
(Soled on cridet Margo Edwards)
$
A/R
26,500
28- $
Jan sales revenue
26,500
(Soled on cridet to Thomas Zak)
$
salary expense
7,950
31- $
Jan Cash
7,950
(Payment payroll in cash)
$
Cash
72,345
31- $
Jan sales revenue
72,345
(Cash sales for 2nd half of the month)
$
utility expense
1,450
31- $
Jan Cash
1,450
(Paid Utility to Unified Utilities Inc.)
$
Advertising expense
10,500
31- $
Jan Cash
10,500
(Paid for advertisement to AdaRus)
$
Depreciation expense
129
31- $
Jan Accumulated depreciation
129
(Depreciation on Equipment)
31- Ending Inventory $
 96,312
$
COGS
116,688
Jan
$
Purchase Inventory
213,000
(Counted ending inventory)

Now Different appropriate types of Journals are given below:

I. General Journal

General Journal

Date Details Debit Credit

Cash $ 500,000
1-Jan
Common Stock $ 500,000
Depreciation expense $ 129
31-Jan
Accumulated depreciation $ 129
Ending Inventory $ 96,312
31-Jan COGS $ 116,688
Purchase Inventory $ 213,000

II. Sales Journal:

Sales Journal

Terms
(2/10, net
Customer Invoice
Date 30 unless Amount Date
(Details) Number
otherwise
noted)
2-Jan John Nelson 324 $
 7,900

$
4,600
3-Jan Thomas Zak 325
$
Margo 326 2,300
10-Jan Edwards
$
Margo 65,400
27-Jan Edwards 327
$
26,500
28-Jan Thomas Zak 328

III. Cash Receipts Journal:

Cash Receipts Journal

Check Account Custome Po

Dat Cash
Numb Receivabl Discount r st Cash Sales
e Amount
er e Number SL

12- $ $ $ John
4444
Jan 7,742 7,900 158 Nelson
13- $ 4, $ $ Thomas
12345
Jan 508 4,600 92 Zak
15- $ $
Jan 67,340 67,340
19- $ $ $ Margo
8888
Jan 2,254 2,300 46 Edwards
31- $ $
Jan 72,345 72,345

Purchase Journal

Da Vendor Invoic Invoice Terms Purchase Office Other Account Po

te e Number (2/10, s Debit Suppl Accou Payable t
Date net 30 ies nts Credit S/
 unless
otherwi
Debit Debit
se
noted)

1- Farnswood $ $
Jan Company 1-Jan F1 213,000 213,000
3- Cosair $
Jan Company 3-Jan XX12 560 560
9- Mckay $
9-Jan mck66
Jan Company 10400 10,400
IV. Purchase Journal

V. Cash Disbursements Journal

Cash Disbursements Journal

Purchas
e
Check Account Amount Discoun Cash Post
Date Number Payee Debited t Taken Amount S/L

$ $
Rent Exp
1-Jan 800 Simithlord 10,000 10,000
10- Farnswood $ $ $
A/P
Jan 876 Company 213,000 4,260 208,740
15- Salaries $ $
Employees
Jan 877 Exp 7,950 7,950
31- Salaries $ $
Employees
Jan 879 Exp 7,950 7,950
31- Utility $ $
Jan 880 Unified Utilities Exp 1,450 1,450
31- $ $
Adv. Exp
Jan 881 Ads Rus 10,500 10,500

Subledgers
I. Accounts Receivable Sub ledgers

Margo Edwards
 10-Jan 2300 19-Jan 2254
19-Jan 46
27-Jan 65400

Total 67700 Total 2300

Balance 65400

Thomas Zak

3-Jan 4600 13-Jan 4508

13-Jan 92
28-Jan 26500

Total 31100 Total 4600

Balance 26500

John Nelson

2-Jan 7900 12-Jan 7742

12-Jan 158

Total 7900 Total 7900

Balance

II. Accounts Payable Sub ledgers:

Farnswood
 10-Jan 4260 2-Jan 213000
10-Jan 208740

Total 213000 Total 213000

Corsair

3-Jan 560

Total 0 Total 560

Balance 560

Mckay

9-Jan 10400

Total 0 Total 10400

Balance 10400

XENEX

General Ledgers
 Cash

1-Jan $ 500,000 1-Jan $ 10,000

12-Jan $ 7,742 10-Jan $ 208,740
13-Jan $ 4,508 15-Jan $ 7,950
15-Jan $ 67,340 31-Jan $ 7,950
19-Jan $ 2,254 31-Jan $ 1,450
31-Jan $ 72,345 31-Jan $ 10,500

Total $ 654,189 Total $ 246,590

Balance $ 407,599

Common Stock

1-Jan $ 500,000.00

Total $ - Total $ 500,000

Balance $ 500,000

Sallary Expense

15-Jan $ 7,950
31-Jan $ 7,950

Total $ 15,900 Total $ -

Balance $ 15,900

Office Equipment

9-Jan $ 10,400

Total $ 10,400 Total $ -

Balance $ 10,400
 Purchase Discount

10-Jan $ 4,260

Total $ - Total $ 4,260

Balance $ 4,260

Accumulated Depreciation

31-Jan $ 129

Total $ - Total $ 129

Balance $ 129

Account Receivable

2-Jan $ 7,900 12-Jan $ 7,900

3-Jan $ 4,600 13-Jan $ 4,600
10-Jan $ 2,300 19-Jan $ 2,300
27-Jan $ 65,400
28-Jan $ 26,500
Total $ 106,700 Total $ 14,800
Balance $ 91,900

Purchase

2-Jan $ 213,000
31-Jan $ 213,000

Total $ 213,000 Total $ 213,000

Balance $ -

Ending Inventory
 31-Jan $ 96,312

Total $ 96,312 Total $ -

Balance $ 96,312

Beginning Inventory

2-Jan $ 213,000 31-Jan $ 96,312

Total $ 213,000 Total $ 96,312

Balance $ 116,688

Account Payable

10-Jan $ 213,000 2-Jan $ 213,000

3-Jan $ 560
9-Jan $ 10,400

Total $ 213,000 Total $ 223,960

Balance $ 10,960

Utility Expense

31-Jan $ 1,450

Total $ 1,450 Total $ -

Balance $ 1,450

Sales

2-Jan $ 7,900
3-Jan $ 4,600
10-Jan $ 2,300
15-Jan $ 67,340
 27-Jan $ 65,400
28-Jan $ 26,500
31-Jan $ 72,345

Total $ - Total $ 246,385

Balance $ 246,385

COGS

31-Jan $ 116,688

Total $ 116,688 Total $ -

Balance $ 116,688

Depreciation Expenses

31-Jan $ 129

Total $ 129 Total $ -

Balance $ 129
Sales Discount

12-Jan $ 158
13-Jan $ 92
19-Jan $ 46
Total $ 296 Total $ -
Balance $ 296

Rent Expense

1-Jan Cash $ 10,000

Total $ 10,000 Total $ -

Balance $ 10,000

Supplies Exp
 3-Jan $ 560

Total $ 560 Total $ -

Balance $ 560

Advertising Expense

31-Jan $ 10,500

Total $ 10,500 Total $ -

Balance $ 10,500

XENEX Company

Trial Balance

For the Month End 31st January

Sl Account Details Debit Credit

1 Cash $ 407,599
2 Rent Expense $ 10,000
3 Account Receivable $ 91,900
4 Common Stock $ 500,000
5 Purchase Inventory $ -
6 Sales $ 246,385
7 Sales Discount $ 296
8 Purchase Discount $ 4,260
 9 Supplies Exp $ 560
10 Office Equipment $ 10,400
12 Utility Expense $ 1,450
13 Accumulated Depreciation $ 129
14 Advertising Expense $ 10,500
15 Depreciation Expense $ 129
16 Account Payable $ 10,960
17 Payroll Expense $ 15,900
18 Beginning Inventory $ 213,000

Total $ 761,734 $ 761,734

XENEX Company

Income Statement

For the Month End 31st January

Details Amount Amount

Sales $ 246,385
Sales Discount $ 296
Net Sales $ 246,089
COGS $ 116,688
Purchase Discount $ 4,260
Net Purchase $ 112,428

Gross Profit $ 133,661

Expense
Rent Expense $ 10,000
Supplies Exp $ 560
Utility Expense $ 1,450
Advertising Expense $ 10,500
Depreciation Expense $ 129
Payroll Expense $ 15,900
Total Exp $ 38,539

Net Profit $ 95,122

XENEX Company

Balance Sheet

At 31st January

Details Amount Amount

Asset
Office Equipment 10400
Accumulated Depreciation $ 129
Total fixed Asset $ 10,271
Current Asset
Cash $ 407,599
Account Receivable $ 91,900
Ending Inventory $ 96,312
Total Current Asset $ 595,811

Total Asset $ 606,082

Liability
Account Payable $ 10,960

Equity
Common Stock $ 500,000
Retain Earning $ 95,122

Total Equity $ 595,122

Total Liability & Equity $ 606,082

XENIX Company

Accounts Receivable Schedule

As of Januray31, 2016

Part
Part Due Part
Customer Total Due 1-
Current 31-60 Due 60-
Name Receivable 30
Days 90 Days
Days

$ $
Margo Edwards 67,700 65,400
$ $
John Nelson 7,900 -
$ $
Thomas Zak 31,100 26,500
$ $
Total 106,700 91,900

XENIX Company
 Accounts Payable Schedule

As of Januray31, 2016

Part Part Due Part Due

VendorNa
Total Payable Current Due 1- 31-60 60-90
me 30 Days Days Days

$ $
Farnsworth 213,000 -
$ $
Corsair 560 560
$ $
Mckay 10,400 10,400
$ $
Total 223,960 10,960