General Journal

DATE PARTICULARS PR DR CR
2019
Sep 2 Cash 101 150,000
Accounts Receivable 102 150,000

3 Insurance Expense 607 9,600

Cash 101 9,600

8 Cash 101 92,000

Advertising Revenue 501 92,000

15 Studio Equipment 201 250,000

Cash 101 75,000
Account Payable 305 175,000

18 Inventory of Supplies 104 50,000

Cash 101 50,000

21 Communications Expense 602 12,000

Cash 101 12,000

24 Accounts Receivable 102 50,000

Advertising Revenue 501 50,000

25 Cash 101 153,000

Accounts Receivable 102 153,000

28 Inventory of Supplies 104 8,250

Accounts Payable 305 8,250

29 Salaries and Fees Expense 601 108,000

Cash 101 108,000

Oct 2 Cash 101 162,500

Advertising Revenue 501 162,500

4 Salaries and Fees Expense 601 37,500

Cash 101 37,500

8 Cash 101 150,000

Accounts Receivable 102 72,500
Advertising Revenue 501 222,500

10 Communications Expense 602 5,000

Cash 101 5,000

16 Dividends 403 75,000

 Accounts Payable 305 75,000

21 Accounts Payable 305 158,000

Cash 101 158,000

24 Miscellaneous Expense 609 16,250

Cash 101 16,250

27 Cash 101 112,500

Advertising Revenue 501 100,000
Commission Revenue 502 12,500

29 Cash 101 81,000

Accounts Receivable 102 81,000

31 Salaries and Fees Expense 601 170,000

Cash 101 170,000

Nov 1 Inventory of Supplies 104 31,000

Cash 101 31,000

5 Accounts Payable 305 37,500

Cash 101 37,500

9 Allowance for Bad Debts 103 4,500

Miscellaneous Expense 609 750
Accounts Receivable 102 5,250

12 Accounts Payable 305 45,000

Cash 101 45,000

17 Salaries and Fees Expense 601 20,000

Cash 101 20,000

22 Office Equipment 203 110,000

Cash 101 60,000
Accounts Payable 305 50,000

29 Salaries and Fees Expense 601 112,000

Cash 101 112,000

Dec 2 Cash 101 240,000

Advertisment Revenue 501 240,000

13 Communications Expense 602 16,500

Cash 101 16,500

18 Accounts Payable 305 125,000

Cash 101 125,000

22 Accounts Receivable 102 100,000

Advertisment Revenue 501 100,000
28 Salaries and Fees Expense 601 122,000
Cash 101 122,000

30 Bank Loan 309 50,000

Cash 101 50,000

31 Supplies Expense 603 480,000

Inventory of Supplies 104 480,000

Rent Expense 606 144,000

Prepaid Rent 105 144,000

Depreciation Expense - Studio Equipment 604 33,800

Accumulated Depreciation - Studio Equipment 202 33,800

Depreciation Expense - Office Equipment 605 7,535

Accumulated Depreciation - Office Equipment 204 7,535

Salaries and Fees Expense 601 6,600

Accounts Payable 305 6,600

Miscellaneous Expense 609 4,165

Allowance for Bad Debts 103 4,165

Interest Expense 701 22,500

Accrued Interest Payable 306 22,500

Prepaid Insurance 106 10,000

Insurance Expense 607 10,000

Estimated Income Tax 901 120,000

Estimated Income Tax Payable 308 120,000
 CASH ACCOUNTS RECEIVABLE INVENTORY OF SUPPLIES PREPAID RENT
222,000 9,600 375,000 150,000 622,500 720,000
150,000 75,000 50,000 153,000 50,000
92,000 50,000 72,500 81,000 8,250
153,000 12,000 100,000 5,250 31,000
162,500 108,000 597,500 389,250 711,750
150,000 37,500 208,250
112,500 5,000
81,000 158,000
240,000 16,250
170,000
31,000
37,500
45,000
20,000
60,000
112,000
16,500
125,000
122,000
50,000
1,363,000 1,260,350
102,650

ACCOUNTS PAYABLE BANK LOAN ADVERTISING REV COMMISSION REV

158,000 215,000 450,000 1,441,400
175,000 92,000
8,250 50,000
75,000 162,500
473,250 222,500
315,250 100,000
2,068,400

COMM EXP SUPPLIES EXP INSURANCE EXP MISC EXP

64,000 14,400 116,800
12,000 16,250
5,000 133,050
81,000

PREPAID INSURANCE
9,600
 PREPAID RENT STUDIO EQUIPMENT
500,000
250,000
750,000

OFFICE EQUIPMENT
150,000
110,000
260,000

COMMISSION REV SALARIES

147,000 543,000
12,500 108,000
159,500 37,500
170,000
858,500

MISC EXP INT EXP

31,500
 BRIGHTON ADVERTISING AGENCY

TRIAL BALANCE ADJUSTED STATEMENT OF

December 31, 2019 ADJUSTMENTS TRIAL BALANCE INCOME STATEMENT FINANCIAL POSITION
Code Accounts Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
101 Cash 102,650 102,650 102,650
102 Accounts Receivable 208,250 208,250 208,250
103 Allowance for Bad Debts 4,165 4,165 4,165
104 Inventory of Supplies 711,750 480,000 231,750 231,750
105 Prepaid Rent 720,000 144,000 576,000 576,000
106 Prepaid Insurance 10,000 10,000 10,000
201 Studio Equipment 750,000 750,000 750,000
202 Accumulated Depreciation—Studio Equipment 172,500 33,800 206,300 206,300
203 Office Equipment 260,000 260,000 260,000
204 Accumulated Depreciation—Office Equipment 37,500 7,535 45,035 45,035
305 Accounts Payable 157,750 157,750 157,750
306 Accrued Interest Payable 22,500 22,500 22,500
307 Accrued Salaries and Fees Payable 6,600 6,600 6,600
308 Estimated Income Tax Payable 120,000 120,000 120,000
309 Bank Loan 400,000 400,000 400,000
401 Share Capital 500,000 500,000 500,000
402 Retained Earnings 391,300 391,300 391,300
403 Dividends 75,000 75,000 75,000
501 Advertising Revenue 2,408,400 2,408,400 2,408,400
502 Commission Revenues 159,500 159,500 159,500
601 Salaries and Fees Expense 1,112,500 6,600 1,119,100 1,119,100
602 Communication Expense 97,500 97,500 97,500
603 Supplies Expense 480,000 480,000 480,000
604 Depreciation Expense—Studio Equipment 33,800 33,800 33,800
605 Depreciation Expense—Office Equipment 7,535 7,535 7,535
606 Rent Expense 144,000 144,000 144,000
607 Insurance Expense 24,000 10,000 14,000 14,000
609 Miscellaneous Expense 133,800 4,165 137,965 137,965
701 Interest Expense 31,500 22,500 54,000 54,000
901 Estimated Income Tax 120,000 120,000 120,000
4,226,950 4,226,950 828,600 828,600 4,421,550 4,421,550 2,207,900 2,567,900 2,213,650 1,853,650
- - 360,000 360,000
-
POINTERS

Introduction to Accounting
Accounting Concepts and Principles Modified True or False (10pts)
Basic Financial Statements Multiple Choice (10pts)
Journalizing Fill in the blanks (10pts)
Posting to the Ledger /Using a T-Account Filling in the tables (21pts)
Preparing a Trial Balance Filling in the form (9pts)
 CASH ACCOUNTS RECEIVABLE INVENTORY OF SUPPLIES PREPAID RENT
222,000 9,600 375,000 150,000 622,500 720,000
150,000 75,000 50,000 153,000 50,000
92,000 50,000 72,500 81,000 8,250
153,000 12,000 497,500 384,000 680,750
162,500 108,000 113,500
150,000 37,500
112,500 5,000
81,000 158,000
16,250
170,000
1,123,000 641,350
481,650

ACCOUNTS PAYABLE BANK LOAN ADVERTISING REV COMMISSION REV

158,000 215,000 450,000 1,441,400
175,000 92,000
8,250 50,000
75,000 162,500
473,250 222,500
315,250 100,000
2,068,400

COMM EXP SUPPLIES EXP INSURANCE EXP MISC EXP

64,000 14,400 116,800
12,000 16,250
5,000 133,050
81,000

PREPAID INSURANCE
9,600
 PREPAID RENT STUDIO EQUIPMENT
500,000
250,000

OFFICE EQUIPMENT
150,000

COMMISSION REV SALARIES

147,000 543,000
12,500 108,000
159,500 37,500
170,000
858,500

MISC EXP INT EXP

31,500
 CASH ACCOUNTS RECEIVABLE INVENTORY OF SUPPLIES PREPAID RENT
481,650 31,000 113,500 5,250 680,750 720,000
240,000 37,500 100,000 31,000
45,000
20,000 711,750
60,000 208,250
112,000
16,500
125,000
122,000
50,000
721,650 619,000
102,650

ACCOUNTS PAYABLE BANK LOAN ADVERTISING REV COMMISSION REV

37,500 315,250 50,000 450,000 2,068,400
45,000 50,000 240,000
125,000 100,000

207,500 365,250
157,750
2,408,400

COMM EXP SUPPLIES EXP INSURANCE EXP MISC EXP

81,000 14,400 133,050
16,500 9,600 750
24,000 133,800
97,500

PREPAID INSURANCE
9,600
 PREPAID RENT STUDIO EQUIPMENT
750,000

OFFICE EQUIPMENT
150,000
110,000
260,000

COMMISSION REV SALARIES

159,500 858,500
20,000
112,000
122,000
1,112,500

MISC EXP INT EXP

31,500
 BRIGHTON ADVERTISING AGENCY

TRIAL BALANCE ADJUSTED STATEMENT OF FINANCIAL

December 31, 2019 ADJUSTMENTS TRIAL BALANCE INCOME STATEMENT POSITION
Code Accounts Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
101 Cash 102,650
102 Accounts Receivable 208,250
103 Allowance for Bad Debts
104 Inventory of Supplies 711,750
105 Prepaid Rent 720,000
106 Prepaid Insurance
201 Studio Equipment 750,000
202 Accumulated Depreciation—Studio Equipment 172,500
203 Office Equipment 260,000
204 Accumulated Depreciation—Office Equipment 37,500
305 Accounts Payable 157,750
306 Accrued Interest Payable
307 Accrued Salaries and Fees Payable
308 Estimated Income Tax Payable
309 Bank Loan 400,000
401 Share Capital 500,000
402 Retained Earnings 391,300
403 Dividends 75,000
501 Advertising Revenue 2,408,400
502 Commission Revenues 159,500
601 Salaries and Fees Expense 1,112,500
602 Communication Expense 97,500
603 Supplies Expense
604 Depreciation Expense—Studio Equipment
605 Depreciation Expense—Office Equipment
606 Rent Expense
607 Insurance Expense 24,000
609 Miscellaneous Expense 133,800
701 Interest Expense 31,500
901 Estimated Income Tax
4,226,950 4,226,950
- - - -
-
 BRIGHTON ADVERTISING AGENCY
TRIAL BALANCE
As of September 1, 2019

Code Accounts Debit Credit

101 Cash 222,000
102 Accounts Receivable 375,000
103 Allowance for Bad Debts 4,500
104 Inventory of Supplies 622,500
105 Prepaid Rent 720,000
106 Prepaid Insurance
201 Studio Equipment 500,000
202 Accumulated Depreciation—Studio Equipment 172,500
203 Office Equipment 150,000
204 Accumulated Depreciation—Office Equipment 37,500
305 Accounts Payable 215,000
306 Accrued Interest Payable
307 Accrued Salaries and Fees Payable
308 Estimated Income Tax Payable
309 Bank Loan 450,000
401 Share Capital 500,000
402 Retained Earnings 391,300
403 Dividends
501 Advertising Revenue 1,441,400
502 Commission Revenues 147,000
601 Salaries and Fees Expense 543,000
602 Communication Expense 64,000
603 Supplies Expense
604 Depreciation Expense—Studio Equipment
605 Depreciation Expense—Office Equipment
606 Rent Expense
607 Insurance Expense 14,400
609 Miscellaneous Expense 116,800
701 Interest Expense 31,500
901 Estimated Income Tax
TOTALS 3,359,200 3,359,200