GENERAL JOURNAL

PAGE NUMBER GJ-

With Explanations

CURRENT JOURNAL ENTRIES

DATE DESCRIPTION REF DEBIT CREDIT
NOV CASH 101 2,000,000
2
ADVINCULA,CAPITAL 301 2,000,000
TO RECORD INITIAL INVESTMENT

PURCHASES 501 150,000

3
ACCOUNTS PAYABLE 201 150,000
TO RECORD PURCHASE ON
ACCOUNT

COMPUTER EQUIPMENT 120 5,000

4
SUPPLIES 115 300
CASH 5,300
TO RECORD ACQUIRED
COMPUTER AND SUPPLIES

CASH 101 5,000

5
SALES 401 5,000
TO RECORD SALES ON CASH
BASIS

CASH 101 50,000

6
SALES 401 50,000
TO RECORD SALES ON CASH
BASIS

7
FREIGHT IN 504 500
CASH 101 500
TO RECORD PAYMENT FOR
SHIPPING

ACCOUNTS RECEIVABLE 105 3,500

8
SALES 401 3,500
TO RECORD SALES ON ACCOUNT
 ACCOUNTS PAYABLE 201 700
9
PURCHASE RETURN 502 700
TO RECORD PURCHASE RETURN

ACCOUNTS RECEIVABLE 105 75,000

10
SALES 401 75,000
TO RECORD SALES ON ACCOUNT

FREIGHT OUT 506 650

12
CASH 101 650
TO RECORD REIGHT IN

CASH 101 4,000

14
SALES 401 4,000
TO RECORD SALES ON CASH
BASIS

SALES RETURN AND 405 600

16 ALLOWANCES
ACCOUNTS RECEIVABLE 105 600
TO RECORD SALES RETURN

ACCOUNTS PAYABLE 201 149,300

18
PURCHASE DISCOUNT 2,986
CASH 101 146,314
TO RECORD OF FULL PAYMENT

CASH 101 72,750

20
SALES DISCOUNT 415 2,250
ACCOUNTS RECEIVABLE 75,000
TO RECORD COLLECTIO OF AR

CASH 101 10,000

25
NOTES PAYABLE 205 10,000
TO RECORD BORROWED MONEY

ADVINCULA,DRAWING 305 500

28
CASH 101 500
TO RECORD DRAWING

ADVERTISING EXPENSE 505 500

 30
UTILITIES EXPENSE 540 400
RENT EXPENSE 510 2,500
SALARIES 530 1,500
CASH 4,900

GENERAL LEDGER
PAGE NUMBER GL-1
Account 101
Date Item Post Debit Credit Balance
NOV 2 CASH 2,000,000 Debit Credit
4 5,300 2,005,300
5 5,000 2,010,300
6 50,000 2,060,300
7 500 2,059,300
12 650 2,059,150
14 4,000 2,063,150
18 146,314 1,916,836
20 72,750 1,989,586
25 10,000 1,999,586
28 500 1,830,600

Account 105
Date Item Post Debit Credit Balance
NOV 8 ACCOUNTS 3,500 Debit Credit
RECEIVABLE
10 75,000 78,500
16 600 77,900
20 75,000 2,900

Account 110
Date Item Post Debit Credit Balance
NOV 3 MERCHANDISE 150,000 Debit Credit
INVENTORY
150,000
GENERAL LEDGER
PAGE NUMBER GL-
Account 115
Date Item Post Debit Credit Balance
NOV 4 SUPPLIES 300 Debit Credit
300 300

Account 120
Date Item Post Debit Credit Balance
NOV 4 EQUIPMENT 5,000 Debit Credit
5,000 5,000
10,000

Account 201
Date Item Post Debit Credit Balance
NOV 3 ACCOUNTS 150,000 Debit Credit
PAYABLE
9 700 149,300
 18 149,300 0

Account 205
Date Item Post Debit Credit Balance
NOV 25 NOTES 10,000 Debit Credit
PAYABLE
10,000

Account 301
Date Item Post Debit Credit Balance
NOV 2 ADVINCULA 2,000,000 Debit Credit
CAPITAL
2,000,000

Account 305
Date Item Post Debit Credit Balance
NOV 28 ADVINCULA 500 Debit Credit
DRAWINGS
500

Account 401
Date Item Post Debit Credit Balance
NOV 5 SALES 5,000 Debit Credit
6 50,000 55,000
8 3,500 58,500
10 75,000 133,500
14 4,000 137,500

Account 405
Date Item Post Debit Credit Balance
NOV 16 SALES RETURN 600 Debit Credit
AND
ALLOWANCES
600

Account 415
Date Item Post Debit Credit Balance
NOV 20 SALES 2,250 Debit Credit
DISCOUNT
2,250

Account 501
Date Item Post Debit Credit Balance
NOV 3 PURCHASES 150,000 Debit Credit
150,000
 Account 502
Date Item Post Debit Credit Balance
NOV 9 PURCHASE 700 Debit Credit
RETURN AND
ALLOWANCES
700

Account 503
Date Item Post Debit Credit Balance
NOV 18 PURCHASE 2,986 Debit Credit
DISCOUNT
2,986

Account 504
Date Item Post Debit Credit Balance
NOV 12 FREIGHT IN 650 Debit Credit
650

Account 505
Date Item Post Debit Credit Balance
NOV 30 ADVERTISING 500 Debit Credit
EXPENSE
500
 Account 506
Date Item Post Debit Credit Balance
NOV 5 FREIGHT OUT 500 Debit Credit
500

Account 510
Date Item Post Debit Credit Balance
NOV 30 RENT EXPENSE 2,500 Debit Credit
2,500

Account 530
Date Item Post Debit Credit Balance
NOV 30 SALARIES 1,500 Debit Credit
EXPENSE
1,500

Account 540
Date Item Post Debit Credit Balance
NOV 30 UTILITIES 400 Debit Credit
EXPENSE
400
 PRELIMINARY TRIAL BALANCE

ACCOUNT TITLES DR CR
101 CASH 1,830,600

105 ACCOUNTS RECEIVABLE 2,900

110 MERCHANDISE INVENTORY 150,000

115 SUPPLIES 300

120 EQUIPMENT 5,000

201 ACCOUNTS PAYABLE 0

205 NOTES PAYABLE 10,000

301 ADVINCULA,CAPITAL 2,000,000

305 ADVINCULA,DRAWING 500

401 SALES 137,500

405 SALES RETURN AND ALLOWANCES 600

415 SALES DISCOUNT 2,250

501 PURCHASES 150,000

502 PURCHASE RETURN AND ALLOWANCES 700

504 FREIGHT IN 650

505 ADVERTISING EXPENSE 500

506 FREIGHT OUT 500

510 RENT EXPENSE 2,500

530 SALARIES EXPENSE 1,500

540 UTILITIES EXPENSE 400

2,148,200 2,148,200
TOTALS

ADVINCULA TRADING
STATEMENT OF PERFORMANCE
AS OF NOV 30
(IN PESOS)
SALES 137,500
SALES RETURN 600
SALES DISCOUNT 2,250
NET SALES 135,850
LESS EXPENSES
ADVERTISING EXPENSE 500
UTILITIES EXPENSE 400
RENT EXPENSE 2,500
SALARIES EXPENSE 2,500 4,900
NET INCOME 130,950

ADVINCULA TRADING
STATEMENT OF EQUITY
AS OF NOV 30
(IN PESOS)
BEG. CAPITA BALANCE 0
ADD’INVESTMENT 2,000,000
WITHDRAWAL 500
ENDING CAPITAL BALANCE 1,999,500

ADVINCULA TRADING
STATEMENT OF PERFORMANCE
AS OF NOV 30
(IN PESOS)
CASH 1,830,600
ACCOUNTS RECEIVABLE 2,900
MERCHANDISE INVENTORY 150,000
SUPPLIES 300
EQUIPMENT 5,000
ACCOUNTS PAYABLE 0
NOTES PAYABLE 10,000
ADVINCULA,CAPITAL 1,979,300
ADVINCULA,DRAWING 500
TOTAL 1,989,300 1,989,300

ADVINCULA TRADING
STATEMENT OF CASH FLOWS
AS OF NOV 30
(in pesos)

OPERATING
NET SALES 135,850
PAYMENT OF ADVERTISING 500
PAYMENT OF UTILITIES 400
PAYMENT OF RENT 2,500
PAYMENT OF SALARIES 1,500
INVESTING
PURCHASE OF COMPUTER EQUIPMENT 5,000
FINANCING
ADVINCULA, CAPITAL 2,000,000
ADVINCULA,DRAWING 500
TOTAL CASH FLOW FOR THE MONTH OF NOV 2,135,450

ADVINCULA
POST-CLOSING TRIAL BALANCE
AS OF NOV
(in pesos)
ACCOUNT TITLES DR CR
101 CASH 1,830,600

105 ACCOUNTS RECEIVABLE 2,900

110 MERCHANDISE INVENTORY 150,000

115 SUPPLIES 300

120 EQUIPMENT 5,000

201 ACCOUNTS PAYABLE 0

205 NOTES PAYABLE 10,000

301 ADVINCULA,CAPITAL 1,979,300

305 ADVINCULA,DRAWING 500

TOTAL 1,989,300 1,989,300

 ADVINCULA
STATEMENT OF COST OF GOODS SOLD
AS OF NOV 30
(IN PESOS)
BEG. INVENTORY 0
PURCHASES 150,000
ENDING INVENTORY 21,000
COST OF GOOD SOLD 126,000