LARRY JONES LAUNDRY SHOP

CHART OF ACCOUNTS

101 Cash
102 Accounts Receivable
105 Supplies
109 Furniture & Fixtures
201 Accounts Payable
301 Jones, Capital
302 Jones, Drawing
401 Laundry Income
501 Salaries Expense
502 Rent Expense

CHART OF ACCOUNTS
 JONES LAUNDRY SHOP
GENERAL JOURNAL
Page Number: GJ-1
with Explanations

DATE DESCRIPTION REF DEBIT CREDIT

2010
January 1 Cash 101 PHP 80,000
Jones, Capital 301 PHP 80,000
To record Jones investment for the business

3 Furniture & Fixtures 109 15000

Accounts Payable 201 15000
To record purchased furniture on credit

5 Rent Expense 503 1500

Cash 101 1500
To record paid rent for the month

8 Cash 101 4000

Laundry Income 401 4000
To record received cash from laundry delivered

10 Salaries Expense 501 800

Cash 101 800
To record paid wages of employees

12 Accounts Payable 201 5000

Cash 101 5000
To record payment for furniture puchased on account
 JONES LAUNDRY SHOP
GENERAL JOURNAL
Page Number: GJ-2
with Explanations

DATE DESCRIPTION REF DEBIT CREDIT

2010
January 15 Accounts Receivable 102 6000
Laundry Income 401 6000
To record laundry delivered on credit

18 Cash 101 2000

Accounts Receivable 102 2000
To record cash received from Trade air Hotel

25 Jones, Drawing 302 1000

Cash 101 1000
To record Jones withdrewal for personal use

31 Supplies 105 2500

Accounts Payable 201 2500
To record laundry supplies bought on credit
 JONES LAUNDRY SHOP
GENERAL LEDGER

ACCOUNT NO: 101 ACCOUNT TITLE: CASH ACCOUNT NO: 201 ACCOUNT TITLE: ACCOUNTS PAYABLE
BALANCE BALANCE
Date Items Post DEBIT CREDIT Date Items Post DEBIT CREDIT
DEBIT CREDIT DEBIT CREDIT
2010 2010
January 1 Jones investment for the business GJ 1 80,000 80,000 January 3 Purchased furniture on credit GJ 1 15,000 15,000
5 Paid rent for the month GJ 1 1,500 78,500 12 Paid for furniture puchased on account GJ 1 5,000 10,000
8 Cash received from laundry delivered GJ 1 4,000 82,500 31 Laundry supplies bought on credit GJ 2 2,500 12,500
10 Paid wages of employees GJ 1 800 81,700
12 Paid for furniture puchased on account GJ 1 5,000 76,700
18 Cash received from Trade air Hotel GJ 2 2,000 78,700
25 Jones withdrewal for personal use GJ 2 1,000 77,700 ACCOUNT NO: 301 ACCOUNT TITLE: JONES, CAPITAL
BALANCE
Date Items Post DEBIT CREDIT
ACCOUNT NO: 102 ACCOUNT TITLE: ACCOUNTS RECEIVABLE DEBIT CREDIT
Date Items Post DEBIT CREDIT BALANCE 2010
DEBIT CREDIT January 1 Jones investment for the business GJ1 80000 80,000
2010 31 Closing GJ3 7,700 87,700
January 15 Laundry delivered on credit GJ 2 6,000 6,000 31 closing GJ3 1000 86,700
18 Cash received from Trade air Hotel GJ 2 2,000 4,000 ACCOUNT NO:302 ACCOUNT TITLE: JONES, DRAWING
BALANCE
Date Items Post DEBIT CREDIT
ACCOUNT NO: 105 ACCOUNT TITLE: SUPPLIES DEBIT CREDIT
Date Items Post DEBIT CREDIT BALANCE 2010
DEBIT CREDIT January 25 Jones withdrewal for personal use GJ2 1000 1,000
2010 31 closing GJ3 1000 0
January 31 Laundry supplies bought on credit GJ 2 2,500 2,500
ACCOUNT NO:401 ACCOUNT TITLE:LAUNDRY, INCOME
ACCOUNT NO: 109 Account Title: FURNITURE & FIXTURES Date Items Post DEBIT CREDIT BALANCE
Date Items Post DEBIT CREDIT BALANCE DEBIT CREDIT
DEBIT CREDIT 2010
2010 January 8 Cash recieved from laundry delivered GJ1 4000 4,000
January 3 Purchased furniture on credit GJ 1 15,000 15,000 15 Laundry delivered on credit GJ2 6000 10,000
31 closing GJ3 10000 0
 ACCOUNT NO:501 ACCOUNT TITLE: SALARIES EXPENSE
Date Items Post DEBIT CREDIT BALANCE
DEBIT CREDIT
2010
January 10 Paid wages of employees GJ1 800 800
31 closing GJ3 800 0

ACCOUNT NO:503 ACCOUNT TITLE: RENT EXPENSE

Date Items Post DEBIT CREDIT BALANCE
DEBIT CREDIT
2010
January 5 Paid rent for the month GJ1 1500 1500
31 Closing GJ3 1500 0

ACCOUNT NO: 601 ACCOUNT TITLE: INCOME SUMMARY

Date Items Post DEBIT CREDIT BALANCE
DEBIT CREDIT
2010
Jan 31 closing GJ3 10000 10000
31 closing GJ3 2300 7700
### closing GJ3 7700 0
 LARRY JONES LAUNDRY SHOP

GENERAL JOURNAL
Page Number: GJ-3

CLOSING ENTRIES

DATE DESCRIPTION DEBIT CREDIT

2010
January 31 Laundry Revenues PHP 10,000
Income Summary ###
To close the Revenue

31 Income Summary 2,300

Rent Expense 1,500
Salaries Expense 800
To close the Expenses

31 Income Summary 7,700

Jones, Capital 7,700
To close the Income Summary

31 Jones, Capital 1,000

Jones, Withdrawals 1,000
To close the Drawing
 LARRY JONES LAUNDRY SHOP
POST-CLOSING TRIAL BALANCE
January 31, 2010

DR CR
101 Cash PHP 77,700
102 Account Receivable 4,000
105 Supplies 2,500
109 Furniture & Fixtures 15,000
201 Account Payable PHP 12,500
301 Jones, Capital 86,700
-------------- --------------
PHP 99,200 PHP 99,200
 LARRY JONES LAUNDRY SHOP
PRELIMINARY TRIAL BALANCE
January 31, 2010

ACCOUNT NO. ACCOUNT TITLES DR

101 Cash PHP 77,700
102 Accounts Receivable 4,000
105 Supplies 2,500
109 Furniture & Fixtures 15,000
201 Accounts Payable
301 Jones, Capital
302 Jones, Drawing 1,000
401 Laundry Income
501 Salaries Expense 800
502 Rent Expense 1,500
----------------
PHP 102,500
P
CE

CR

PHP 12,500
80,000

10,000

----------------
PHP 102,500
 LARRY JONES LAUNDRY SHOP
STATEMENT OF FINANCIAL POSITION
January 31, 2010

ASSETS
Current Assets
Cash PHP 77,700
Accounts Receivable 4,000
Supplies 2,500
Total Current Assets PHP 84,200
Non-Current Assets
Furniture & Fixtures 15,000
Total Property & Equipment 15,000
----------------
TOTAL ASSETS PHP 99,200

LIABILITIES & OWNER'S EQUITY

LIABILITIES
Current Liabilities
Accounts Payable PHP 12,500

OWNER'S EQUITY
Jones, Capital 86,700
----------------
TOTAL LIABILITIES & OWNER'S EQUITY PHP 99,200

STATEMENT OF FINANCIAL POSITION

 LARRY JONES LAUNDRY SHOP
STATEMENT OF PERFORMANCE
For the month ended January 31, 2010

Revenue Earned:
Laundry Income PHP 10,000

Expenses Incurred:

Rent Expense PHP 1,500

Salaries Expense 800

----------
Total Expenses: 2,300

----------

Net Income: PHP 7,700

STATEMENT OF PERFORMANCE

LARRY JONES LAUNDRY SHOP

STATEMENT OF CHANGES IN OWNER'S EQUITY
For the month ended January 31, 2010

Jones, beginning Capital , January 1 PHP 80,000

Add: Net Increase in Capital

Net Income PHP 7,700

Less: Jones, Drawing (1,000) 6,700
----------

Jones, Ending Capital , January 31, 2010 PHP 86,700

STATEMENT OF EQUITY
 LARRY JONES LAUNDRY SHOP
STATEMENT OF CASH FLOWS
For the Month Ended January 31, 2010

CASH FLOWS FROM OPERATING ACTIVITES

Cash from Customers PHP 6,000
Cash payment for Office rent (1,500)
Cash payment to Employees (800)
--------------------
NET CASH FLOWS USED BY OPERATING ACTIVITIES PHP 3,700

CASH FLOWS FROM INVESTING ACTIVITES

Purchased of Furniture & Fixtures (5,000)

--------------------
NET CASH FLOWS USED BY INVESTING ACTIVITIES (5,000)

CASH FLOWS FROM FINANCING ACTIVITES

Investment by Owner 80,000
Withdrawal by Owner (1,000)

--------------------
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES 79,000

NET INCREASE IN CASH 77,700

Beginning Cash Balance, January 1 0
Ending Cash Balance, January 31 P PHP 77,700

1 Capital 45,000
2 Truck (15,000)
3 Equipment (9,000)
5 Gas Exp. (90)
5 Insurance Exp. (3,600)
14 Service Income 1,050
20 Service Income 270
26 Salaries Exp. (600)
28 Adv. Exp. (105)
29 withdrawal (150)
30 Service Income 750
==========
18,525
 LARRY JONES LAUNDRY SHOP
STATEMENT OF CASH FLOWS
For the Month Ended January 31, 2010

CASH FLOWS FROM OPERATING ACTIVITES

Cash Received From:
Customers PHP 6,000
Cash Payment For:
Office Rent (1,500)
Employees (800)
NET CASH FLOWS FROM BY OPERATING ACTIVITIES PHP 3,700

CASH FLOWS FROM INVESTING ACTIVITES

Purchased of Furniture & Fixtures (PHP 5,000)

NET CASH FLOWS USED BY INVESTING ACTIVITIES (PHP 5,000)

CASH FLOWS FROM FINANCING ACTIVITES

Investment by Owner PHP 80,000
Withdrawal by Owner (1,000)
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES PHP 79,000

NET INCREASE IN CASH AND CASH EQUIVALENTS PHP 77,700

ADD CASH & CASH EQUIVALENTS 0
CASH & CASH EQUIVALENTS PHP 77,700

STATEMENT OF CASH FLOWS

 LARRY JONES LAUNDRY SHOP
POST-CLOSING TRIAL BALANCE
January 31, 2010

DR CR
101 Cash PHP 77,700
102 Account Receivable 4,000
105 Supplies 2,500
109 Furniture & Fixtures 15,000
201 Account Payable PHP 12,500
301 Jones, Capital 86,700
---------- ----------
PHP 99,200 PHP 99,200
GENERAL JOURNAL
Page Number: GJ-

CLOSING ENTRIES
DATE DESCRIPTION Ref DEBIT CREDIT
 LARRY JONES LAUNDRY SHOP
POST-CLOSING TRIAL BALANCE
January 31, 2010

DR
101 Cash P PHP 77,700
102 Account Receivable 4,000
105 Supplies 2,500
109 Furniture & Fixtures 15,000
201 Account Payable P
301 Jones, Capital
----------
P PHP 99,200 P
 LARRY JONES LAUNDRY SHOP
STATEMENT OF CASH FLOWS
For the Month Ended January 31, 2010

CASH FLOWS FROM OPERATING ACTIVITES

Cash Received From:
Customers PHP 23,000
Cash Payment For:
Office Rent (10,000)
Employees (9,000)
Repair & Maintenance (1,500)
Utilities (500)
NET CASH FLOWS FROM BY OPERATING ACTIVITIES PHP 2,000

CASH FLOWS FROM INVESTING ACTIVITES

Purchased of Equipment (PHP 55,000)
Purchased of Furniture & Fixtures (45,000)
NET CASH FLOWS USED BY INVESTING ACTIVITIES (PHP 100,000)

CASH FLOWS FROM FINANCING ACTIVITES

Investment by Owner PHP 50,000
Withdrawal by Owner (5,000)
Loans from the Bank 100,000
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES PHP 145,000

NET INCREASE IN CASH AND CASH EQUIVALENTS PHP 47,000

ADD CASH & CASH EQUIVALENTS -
CASH & CASH EQUIVALENTS PHP 47,000

STATEMENT OF CASH FLOWS