Assets = Liabilities

239,246 = 88,123
General Journal
Date Accounts Debit (Credit) Accounts Trial Balance
Checking 125,130
Accounts Receivable 2,171
Inventory Asset 1,945
Prepaid Insurance 0
Short-Term Investments 12,000
Undeposited Funds 0
Accumulated Depreciation 0
Furniture & Equipment 98,000
Accounts Payable (15,000)
Visa (1,000)
Interest Payable 0
Loan Payable - Current 0
Payroll Liability 0
Sales Tax Payable (123)
Unearned Revenue 0
Loan Payable - Long Term (72,000)
Owners Draw 0
Owners Equity (150,397)
Merchandise Sales (2,467)
Rent Music Equipment 0
Service (208)
Cost of Goods Sold 1,950
Bank Service Charges 0
Depreciation Expense 0
Insurance Expense 0
Interest Expense 0
Internet Expense 0
Misc. Expense 0
Office Supplies 0
Payroll Expenses 0
Telephone Expense 0
Utilities 0
Interest Income 0
Total Debits - Total (credits) 0
Net Income (725)
 Owner's
Liabilities + Equity
88,123 + 151,122
239,246
General Ledger General Ledger General Ledger General Ledge
Checking Accounts Receivable Prepaid Insurance
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
25,000 25,000 20,500 20,500 0
65,000 90,000 431 20,931 0
50,000 140,000 399 21,330 0
(12,000) 128,000 (5,000) 16,330
(16,000) 112,000 (7,500) 8,830 Short-Term Investments
(7,000) 105,000 (8,000) 830 Debit Credit Balance
628 105,628 525 1,355 Beginning Balance 0
20,500 126,128 816 2,171 12,000 12,000
(400) 125,728 2,171 12,000
(598) 125,130 2,171 12,000
125,130 2,171
125,130 2,171 Undeposited Funds
125,130 Debit Credit Balance
125,130 Inventory Asset Beginning Balance 0
125,130 Debit Credit Balance 5,000 5,000
125,130 Beginning Balance 0 7,500 12,500
125,130 2,897 2,897 8,000 20,500
125,130 (328) 2,569 420 20,920
125,130 (304) 2,265 208 21,128
125,130 (320) 1,945 (628) 20,500
125,130 400 2,345 (20,500) 0
125,130 598 2,943 0
125,130 (400) 2,543 0
125,130 (598) 1,945 0
125,130 1,945 0
125,130 1,945
125,130 1,945 Accumulated Depreciation
125,130 1,945 Debit Credit Balance
125,130 1,945 Beginning Balance 0
125,130 1,945 0
0
0
dger General Ledger General Ledger General Ledger General Ledger General Ledger General Le
Furniture & Equipment Loan Payable - Current Loan Payable - Long Term
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
75,000 75,000 0 (22,000) (22,000)
16,000 91,000 0 (50,000) (72,000)
7,000 98,000 0 (72,000)
0
Accounts Payable Owners Draw
Debit Credit Balance Payroll Liability Debit Credit Balance
Beginning Balance 0 Debit Credit Balance Beginning Balance 0
(15,000) (15,000) Beginning Balance 0 0
(15,000) 0
(15,000) 0 Owners Equity
(15,000) 0 Debit Credit Balance
(15,000) 0 Beginning Balance 0
(15,000) 0 (2,897) (2,897)
(15,000) (20,500) (23,397)
(15,000) Sales Tax Payable 15,000 (8,397)
(15,000) Debit Credit Balance (77,000) (85,397)
(15,000) Beginning Balance 0 (65,000) (150,397)
(15,000) (21) (21)
(19) (40) Merchandise Sales
Visa (20) (60) Debit Credit Balance
Debit Credit Balance (25) (85) Beginning Balance 0
Beginning Balance 0 (39) (123) (410) (410)
(1,000) (1,000) (123) (380) (790)
(1,000) (123) (400) (1,190)
(500) (1,690)
Interest Payable Unearned Revenue (777) (2,467)
Debit Credit Balance Debit Credit Balance (2,467)
Beginning Balance 0 Beginning Balance 0 (2,467)
0 0
0 0 Rent Music Equipment
0 Debit Credit Balance
0 Beginning Balance 0
0
Ledger General Ledger General Ledger General Ledger
Service Depreciation Expense Office Supplies
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
(208) (208) 0 0
(208) 0 0
(208) 0 0
(208)
(208) Insurance Expense Payroll Expenses
(208) Debit Credit Balance Debit Credit Balance
(208) Beginning Balance 0 Beginning Balance 0
(208) 0 0
(208) 0 0
(208) 0 0
0
Cost of Goods Sold Interest Expense 0
Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Telephone Expense
328 328 0 Debit Credit Balance
304 632 0 Beginning Balance 0
320 952 0 0
400 1,352 0
598 1,950 Internet Expense 0
1,950 Debit Credit Balance
1,950 Beginning Balance 0 Utilities
1,950 0 Debit Credit Balance
1,950 0 Beginning Balance 0
1,950 0 0
1,950 0
1,950 Misc. Expense 0
1,950 Debit Credit Balance
Beginning Balance 0 Interest Income
Bank Service Charges 0 Debit Credit Balance
Debit Credit Balance 0 Beginning Balance 0
Beginning Balance 0 0 0
0 0
0 0
0
 Balance Sheet
Assets Liabilities
Current assets: Current Liabilities:
Cash 125,130 Accounts Payable 15,000
Accounts Receivable 2,171 Credit card 1,000
Inventory Asset 1,945 Interest Payable 0
Prepaid Insurance 0 Loan Payable - Current 0
Short-Term Investments 12,000 Payroll Liability 0
Undeposited Funds 0 Sales Tax Payable 123
Total current assets 141,246 Unearned Revenue 0
Property Plant & Equipment: Total Current Liabilities
Furniture & Equipment 98,000 Loan Payable - Long Term
Less: Accumulated Depreciation 0 Total Liabilities
Total Property Plant & Equipment 98,000 Equity:
Owners Equity

Total Assets 239,246 Total Liabilities & Equity

Income Statement
Revenue:
Merchandise Sales 2,467
Rent Music Equipment 0
Service 208
Total revenue 2,675
Cost of Goods Sold 1,950
Gross Profit 725
Expenses:
Bank Service Charges 0
Depreciation Expense 0
Insurance Expense 0
Interest Expense 0
Internet Expense 0
Misc. Expense 0
Office Supplies 0
Payroll Expenses 0
Telephone Expense 0
Utilities 0
Total expenses 0
Net Ordinary Income 725
Other Income/Expense
Interest Income 0
Net Income (Loss) 725

Statement of Owner's Equity

Beginning Owner's Equity 85,397
Owner Investment 65,000
Net Income (Loss) 725
Draws 0
Net decrease 65,725
Ending Owner's Equity 151,122

Net Income (loss) 725

Draws 0
Net decrease 65,725
Ending Owner's Equity 151,122
 ELP Purchases Cost of Merchandise Sold
Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost

1-Jan
25-Jan 1 400 $400

25-Jan 1 400 $400

16,123
72,000
88,123

151,122

239,246 ENLPBUNH3 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan ###

ERP93 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan

GTPROBK1 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 328 $328

GUSAM2 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 304 $304

WILDKAT Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 320 $320

GSB Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
25-Jan 1 598 $598
25-Jan 1 598 $598
Total
 Inventory Accounts Receivable Subsidiary Ledger By Customer
Unit Total Anderson Guitars Jones Guitars
Quantity Cost Cost
Debit Credit Balance Debit Credit Balance
1 $400 $400 Beginning Balance 0 Beginning Balance 0
1 $400 $400 5,000 5,000 7,500 7,500
2 $400 $800 431 5,431 399 7,899
1 $400 $400 (5,000) 431 (7,500) 399
431 399

Smith Guitars Eric Misic

Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0
8,000 8,000 525 525
(8,000) 0 525
0 525
Inventory
Unit Total Music Stuff Store
Quantity Cost Cost Debit Credit Balance
1 $480 $480 Beginning Balance 0
816 816
816
816

Total AR subsidiary ledger by customer 2,171

Inventory
Unit Total
Quantity Cost Cost
1 $440 $440

Inventory
Unit Total
Quantity Cost Cost
1 $328 $328
0 $328 $0

Inventory
Unit Total
Quantity Cost Cost
2 $304 $608
1 $304 $304

Inventory
Unit Total
Quantity Cost Cost
2 $320 $640
1 $320 $320

Inventory
Unit Total
Quantity Cost Cost
1 $598 $598
0 $598 $0
$1,944
 Accounts Payable Subsidiary Ledger
Accounts Receivable Subsidiary Ledger balance (15,000)
Epiphone
Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0
(15,000) (15,000) 0
(15,000) 0
(15,000)

Debit Credit Balance

Beginning Balance 0
0 0
0
 Assets = Liabilities
239,246 = 88,123
General Journal
Date Accounts Debit (Credit) Accounts Trial Balance
1/28 Undeposited Funds 431 Checking 126,086
Accounts Receivable (431) Accounts Receivable 1,215
Inventory Asset 1,945
1/28 Undeposited Funds 525 Prepaid Insurance 0
Accounts Receivable (525) Short-Term Investments 12,000
Undeposited Funds (1)
1/28 Checking 956 Accumulated Depreciation 0
Undeposited Funds (956) Furniture & Equipment 98,000
Accounts Payable (15,000)
Visa (1,000)
Interest Payable 0
Loan Payable - Current 0
Payroll Liability 0
Sales Tax Payable (123)
Unearned Revenue 0
Loan Payable - Long Term (72,000)
Owners Draw 0
Owners Equity (150,397)
Merchandise Sales (2,467)
Rent Music Equipment 0
Service (208)
Cost of Goods Sold 1,950
Bank Service Charges 0
Depreciation Expense 0
Insurance Expense 0
Interest Expense 0
Internet Expense 0
Misc. Expense 0
Office Supplies 0
Payroll Expenses 0
Telephone Expense 0
Utilities 0
Interest Income 0
Total Debits - Total (credits) 0
Net Income (725)
 Owner's
Liabilities + Equity
88,123 + 151,122
239,246
General Ledger General Ledger General Ledger General Ledge
Checking Accounts Receivable Prepaid Insurance
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
25,000 25,000 20,500 20,500 0
65,000 90,000 431 20,931 0
50,000 140,000 399 21,330 0
(12,000) 128,000 (5,000) 16,330
(16,000) 112,000 (7,500) 8,830 Short-Term Investments
(7,000) 105,000 (8,000) 830 Debit Credit Balance
628 105,628 525 1,355 Beginning Balance 0
20,500 126,128 816 2,171 12,000 12,000
(400) 125,728 (431) 1,740 12,000
(598) 125,130 (525) 1,215 12,000
956 126,086 1,215
126,086 1,215 Undeposited Funds
126,086 Debit Credit Balance
126,086 Inventory Asset Beginning Balance 0
126,086 Debit Credit Balance 5,000 5,000
126,086 Beginning Balance 0 7,500 12,500
126,086 2,897 2,897 8,000 20,500
126,086 (328) 2,569 420 20,920
126,086 (304) 2,265 208 21,128
126,086 (320) 1,945 (628) 20,500
126,086 400 2,345 (20,500) 0
126,086 598 2,943 431 431
126,086 (400) 2,543 525 956
126,086 (598) 1,945 (956) (1)
126,086 1,945 (1)
126,086 1,945
126,086 1,945 Accumulated Depreciation
126,086 1,945 Debit Credit Balance
126,086 1,945 Beginning Balance 0
126,086 1,945 0
0
0
dger General Ledger General Ledger General Ledger General Ledger General Ledger General Le
Furniture & Equipment Loan Payable - Current Loan Payable - Long Term
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
75,000 75,000 0 (22,000) (22,000)
16,000 91,000 0 (50,000) (72,000)
7,000 98,000 0 (72,000)
0
Accounts Payable Owners Draw
Debit Credit Balance Payroll Liability Debit Credit Balance
Beginning Balance 0 Debit Credit Balance Beginning Balance 0
(15,000) (15,000) Beginning Balance 0 0
(15,000) 0
(15,000) 0 Owners Equity
(15,000) 0 Debit Credit Balance
(15,000) 0 Beginning Balance 0
(15,000) 0 (2,897) (2,897)
(15,000) (20,500) (23,397)
(15,000) Sales Tax Payable 15,000 (8,397)
(15,000) Debit Credit Balance (77,000) (85,397)
(15,000) Beginning Balance 0 (65,000) (150,397)
(15,000) (21) (21)
(19) (40) Merchandise Sales
Visa (20) (60) Debit Credit Balance
Debit Credit Balance (25) (85) Beginning Balance 0
Beginning Balance 0 (39) (123) (410) (410)
(1,000) (1,000) (123) (380) (790)
(1,000) (123) (400) (1,190)
(500) (1,690)
Interest Payable Unearned Revenue (777) (2,467)
Debit Credit Balance Debit Credit Balance (2,467)
Beginning Balance 0 Beginning Balance 0 (2,467)
0 0
0 0 Rent Music Equipment
0 Debit Credit Balance
0 Beginning Balance 0
0
Ledger General Ledger General Ledger General Ledger
Service Depreciation Expense Office Supplies
Debit Credit Balance Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Beginning Balance 0
(208) (208) 0 0
(208) 0 0
(208) 0 0
(208)
(208) Insurance Expense Payroll Expenses
(208) Debit Credit Balance Debit Credit Balance
(208) Beginning Balance 0 Beginning Balance 0
(208) 0 0
(208) 0 0
(208) 0 0
0
Cost of Goods Sold Interest Expense 0
Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0 Telephone Expense
328 328 0 Debit Credit Balance
304 632 0 Beginning Balance 0
320 952 0 0
400 1,352 0
598 1,950 Internet Expense 0
1,950 Debit Credit Balance
1,950 Beginning Balance 0 Utilities
1,950 0 Debit Credit Balance
1,950 0 Beginning Balance 0
1,950 0 0
1,950 0
1,950 Misc. Expense 0
1,950 Debit Credit Balance
Beginning Balance 0 Interest Income
Bank Service Charges 0 Debit Credit Balance
Debit Credit Balance 0 Beginning Balance 0
Beginning Balance 0 0 0
0 0
0 0
0
 Balance Sheet
Assets Liabilities
Current assets: Current Liabilities:
Cash 126,086 Accounts Payable 15,000
Accounts Receivable 1,215 Credit card 1,000
Inventory Asset 1,945 Interest Payable 0
Prepaid Insurance 0 Loan Payable - Current 0
Short-Term Investments 12,000 Payroll Liability 0
Undeposited Funds (1) Sales Tax Payable 123
Total current assets 141,246 Unearned Revenue 0
Property Plant & Equipment: Total Current Liabilities
Furniture & Equipment 98,000 Loan Payable - Long Term
Less: Accumulated Depreciation 0 Total Liabilities
Total Property Plant & Equipment 98,000 Equity:
Owners Equity

Total Assets 239,246 Total Liabilities & Equity

Income Statement
Revenue:
Merchandise Sales 2,467
Rent Music Equipment 0
Service 208
Total revenue 2,675
Cost of Goods Sold 1,950
Gross Profit 725
Expenses:
Bank Service Charges 0
Depreciation Expense 0
Insurance Expense 0
Interest Expense 0
Internet Expense 0
Misc. Expense 0
Office Supplies 0
Payroll Expenses 0
Telephone Expense 0
Utilities 0
Total expenses 0
Net Ordinary Income 725
Other Income/Expense
Interest Income 0
Net Income (Loss) 725

Statement of Owner's Equity

Beginning Owner's Equity 85,397
Owner Investment 65,000
Net Income (Loss) 725
Draws 0
Net decrease 65,725
Ending Owner's Equity 151,122

Net Income (loss) 725

Draws 0
Net decrease 65,725
Ending Owner's Equity 151,122
 ELP Purchases Cost of Merchandise Sold
Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost

1-Jan
25-Jan 1 400 $400

25-Jan 1 400 $400

16,123
72,000
88,123

151,122

239,246 ENLPBUNH3 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan ###

ERP93 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan

GTPROBK1 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 328 $328

GUSAM2 Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 304 $304

WILDKAT Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
1-Jan
1 320 $320

GSB Purchases Cost of Merchandise Sold

Unit Total Unit Total
Date Quantity Cost Cost Quantity Cost Cost
25-Jan 1 598 $598
25-Jan 1 598 $598
Total
 Inventory Accounts Receivable Subsidiary Ledger By Customer
Unit Total Anderson Guitars Jones Guitars
Quantity Cost Cost
Debit Credit Balance Debit Credit Balance
1 $400 $400 Beginning Balance 0 Beginning Balance 0
1 $400 $400 5,000 5,000 7,500 7,500
2 $400 $800 431 5,431 399 7,899
1 $400 $400 (5,000) 431 (7,500) 399
(431) 0 399

Smith Guitars Eric Misic

Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0
8,000 8,000 525 525
(8,000) 0 (525) 0
0 0
Inventory
Unit Total Music Stuff Store
Quantity Cost Cost Debit Credit Balance
1 $480 $480 Beginning Balance 0
816 816
816
816

Total AR subsidiary ledger by customer 1,215

Inventory
Unit Total
Quantity Cost Cost
1 $440 $440

Inventory
Unit Total
Quantity Cost Cost
1 $328 $328
0 $328 $0

Inventory
Unit Total
Quantity Cost Cost
2 $304 $608
1 $304 $304

Inventory
Unit Total
Quantity Cost Cost
2 $320 $640
1 $320 $320

Inventory
Unit Total
Quantity Cost Cost
1 $598 $598
0 $598 $0
$1,944
 Accounts Payable Subsidiary Ledger
Accounts Receivable Subsidiary Ledger balance (15,000)
Epiphone
Debit Credit Balance Debit Credit Balance
Beginning Balance 0 Beginning Balance 0
(15,000) (15,000) 0
(15,000) 0
(15,000)

Debit Credit Balance

Beginning Balance 0
0 0
0