Problem 3.

10 - Fenestra Company

CONTENTS
ACCOUNTING EQUATION
JOURNAL
LEDGER (T ACCOUNTS)
TRIAL BALANCE
STATEMENT OF PROFIT AND LOSS
BALANCE SHEET
Problem 3.10 - Fenestra Company
Year Ending 30 September 20XX
Accounting Equation
Date Transaction
Opening Balance

Oct-01 Paid rent for 3 months ending September, Rs 300

Oct-03 Provided services for cash, Rs 1200

Oct-03 Provided services for payment received in August, Rs 810

Oct-06 Collected receivables, Rs 1830

Oct-07 Billed customers for services, Rs 7130

Oct-08 Returned supplies for immediate refund, Rs 490

Oct-10 Bought supplies on credit, Rs 1720

Oct-11 Refunded advance to a customer, Rs 400

Oct-13 Paid a September invoice for supplies, Rs 2100

Oct-17 Received advance from a customer, Rs 730

Oct-23 Paid a bill payable, Rs 1000

Oct-27 Paid telephone expense, Rs 430

Oct-28 Used supplies, Rs 1940

Oct-30 Bought supplies for cash, Rs 270

Oct-31 Paid salaries, Rs 550

Total
Balance
Non-Current Assets + Current Assets + Expenses = Equity +
12000 1930 10000
(Equipment) (Supplies) (Equity Share Capital)
2710 1170
(Trade Receivables) (Retained Earnings)
950
(Cash)
-300
(Cash)
1200
(Cash)

1830
(Cash)
-1830
(Trade Receivables)
7130
(Trade Receivables)
490
(Cash)
-490
(Supplies)
1720
(Supplies)
-400
(Cash)
-2100
(Cash)
730
(Cash)
-1000
(Cash)
-430 430
(Cash) (Telephone Expenses)
-1940 1940
(Supplies) (Supplies Exp)
-270
(Cash)
 270
(Supplies)
-550 550
(Cash) (Salaries)
12000 9650 2920 11170
24570 = 245
Non-Current Liabilities
+ Current Liabilities + Income
- 2400
(Trade Payables)
2000
(Bills Payable)
2020
(Unearned Revenue)
-300
(Bills Payable)
1200
(Services)
-810 810
(Unearned Revenue) (Services)

7130
(Services)

1720
(Trade Payables)
-400
(Unearned Revenue)
-2100
(Trade Payables)
730
(Unearned Revenue)
-1000
(Bills Payable)
 0 4260 9140
24570
Journal

Transaction
Particulars Debit (Rs.) Credit (Rs.)
Date
Oct 1 Bills Payable A/c ... 300
To Cash A/c 300
Oct 3 Cash A/c ... 1,200
To Services A/c 1,200
Oct 3 Unearned Revenue A/C ... 810
To Services A/c 810
Oct 6 Cash A/c ... 1,830
To Trade Receivables A/c 1,830
Oct 7 Trade Receivables A/c ... 7,130
To Services A/c 7,130
Oct 8 Cash A/c ... 490
To Supplies A/c 490
Oct 10 Supplies A/c ... 1,720
To Trade Payables A/c 1,720
Oct 11 Unearned Revenue A/C ... 400
To Cash A/c 400
Oct 13 Trade Payables A/c 2,100
To Cash A/c 2,100
Oct 17 Cash A/c ... 730
To Unearned Revenue A/c 730
Oct 23 Bills Payable A/c ... 1,000
To Cash A/c 1,000
Oct 27 Telephone Expenses A/c 430
To Cash A/c 430
Oct 28 Supplies Expenses A/c 1,940
To Supplies A/c 1,940
Oct 30 Supplies A/c ... 270
To Cash A/c 270
Oct 31 Salaries A/c 550
To Cash A/c 550
Ledger (T Accounts)

Equipment Trade Payable

Opening Balance 12,000 Cash 2,100
Total 12,000 Total 0
Balance 12,000
Total 2,100

Cash

Opening Balance 950 Bills Payable 300

Services 1,200 Trade Payables 2,100 Bills Payables
Trade
Receivables 1,830 Unearned Revenue 400 Cash 300
Supplies 490 Bills Payable 1,000 Cash 1000
Unearned
Revenue 730 Telephone Expenses 430
Supplies 270
Salaries 550
balance carried down 150 Unearned Reven
Total 5,200 5,050 Services 810
Balance brought d 150 Cash 400

Total 1210
Supplies
Opening Balance 1,930 Cash 490
Trade Payables 1720 Supplies Expense 1,940
Cash 270 Telephone Expen
Total 3,920 Total 2,430 Cash 430
Balance 1,490 Total 430
Balance 430

Trade Receivables
Opening Balance 2,710 Cash 1,830 Supplies Expen
Services 7130 Supplies 1,940
Total 1,940
Total 9,840 Total 1,830 Balance 1,940
Balance 8,010
Salaries
Cash 550
Services Total 550
 Cash 1,200 Balance 550
Unearned Revenue 810

Trade Receivables 7,130

Total 0 Total 9,140
Balance 9,140
 Trade Payables Share Capital
Opening Balance 2,400 Opening Balance 10,000
Supplies 1,720
Total 0 Total 10,000
Total 4,120 Balance 10,000
Balance 2,020
Retained Earnings

Opening Balance 1,170

Bills Payables

Opening Balance 2,000

Total 0 Total 1,170

Balance 700 Balance 1,170

Unearned Revenue
Opening Balance 2,020
Cash 730

Total 2,750
Balance 1,540

Telephone Expense

Total 0

Supplies Expense

Total 0

Salaries

Total 0
Trial Balance

Balance
S No Accounts
Debit (Rs.) Credit (Rs.)
1 Equipment 12,000
2 Cash 150
3 Supplies 1,490
4 Trade Receivables 8,010
5 Services 9,140
6 Trade Payables 2,020
7 Bills Payables 700
8 Unearned Revenue 1,540
9 Telephone Expenses 430
10 Supplies Expenses 1,940
11 Salaries 550
12 Share Capital 10,000
13 Retained Earnings 1,170
Total 24,570.00 24,570.00
Statement of Profit & Loss

Particulars Rs.

Income from services 9,140

Less: Expenses
Supplies Expenses 1,940
Salary 550
Telephone Expenses 430

EBIT 6,220

Balance Sheet

Particulars Rs.
I. Assets
1. Non-Current Assets
Equipment 12,000
Total NCA 12,000

2. Current Assets
Cash 150
Supplies 1,490
Trade Receivables 8,010
Total CA 9,650

Total Assets 21,650

II. Equity & Liabilities

1. Equity
Share Capital 10,000
Retained Earnings 7,390
Total Equity 17,390

2. Non-current Liabilities
Total NCL 0

3. Current Liabilities
Trade Payables 2,020
Bills Payable 700
Unearned Revenue 1,540
Total CL 4,260
Total Liabilities 4,260

Equity + Liabilities 21,650