Christine Sousa Bags

Workshet
For the year ended Dec. 31, 2022
Account Titles Trial Balance Adjusting Entries
Debit Credit Debit Credit
Cash 72,000
Accounts Recievable 136,000
Merchandise Inventory 598,000
Office Supplies 42,000 17,000
Land 400,000
Prepaid Advertising 75,000 25,000
Office Building 1,600,000
Accumelated Depreciation-Off Building 100,000 15,000
Office Equipment 570,000
Accumelated Depreciation-Off Equipment. 150,000 20,000
Accounts Payable 74,000
Mortgage Payable 1,100,000
Notes payable due in 2 yrs. 200,000
Sousa, Capital 1,510,000
Sousa's Withdrawals 200,000
Sales 4,600,000
Sales Return and Allow. 187,000
Sales Discounts 161,000
Purchases 2,643,000
Purchases Returns. & Allowance 133,000
Purchase Discounts 172,000
Transportation In. 72,000
Salaries Expense 862,000 21,000
Insurance Expense 25,000
Travel Expense 188,000
Interest Expense 208,000
8,039,000 8,039,000
Office Supplies Expense 17,000
Advertising Expense 25,000
Salaries Payable 21,000
Depreciation Expense Office Building 15,000
Depreciation Expense Office Equipment 20,000
98,000 98,000
Profit
Total

Adjusting Entry

a.
Office Supplies Expense 17,000
Office Supplies 17,000
b.
Advertising Expense 25,000
Prepaid Advertising 25,000
c.
Salaries Expense 21,000
Salaries Payable 21,000
d.
Depreciation Expense Off-building 15,000
Accumelated Depreciation Off-Building 15,000
Depreciation Expense Off-Equipment 20,000
Accumelated Depreciation Off-Equipment 20,000

Closing Journal Entries

Dec. 31 Merchandise Inventory , Dec. 31
Sales
Purchases Returns and Allowance
Purchases Discounts
Income Summary

31 Income Summary
Merchandise Inventory Jan. 1
Sales Return and Allowance
Sales Discount
Purchases
Transportation in
Salaries Expense
Insurance Expense
Travel Expense
Advertising Expense
Office Supplies Expense
Depreciation Expense Off-Build.
Depreciation Expense Off-Equip.
Interest Expense

31 Income Summary
Sousa, Capital

31 Sousa Capital
Income Summary
usa Bags
het
Dec. 31, 2022
Adjusted Trial Bal. Income Statement Balance Sheet
Debit Credit Debit Credit Debit Credit
72,000 72,000
136,000 136,000 Net Sales
598,000 598,000 723,000 723,000
25,000 25,000
400,000 400,000
50,000 50,000
1,600,000 1,600,000 Cost of Sales
115,000 115,000
570,000 570,000
170,000 170,000
74,000 74,000
1,100,000 1,100,000
200,000 200,000
1,510,000 1,510,000
200,000 200,000
4,600,000 4,600,000
187,000 187,000
161,000 161,000 Gross Profit
2,643,000 2,643,000 Operating Expenses
133,000 133,000
172,000 172,000
72,000 72,000
883,000 883,000
25,000 25,000
188,000 188,000
208,000 208,000

17,000 17,000 Operating Profit

25,000 25,000 Finance Cost
21,000 21,000
15,000 15,000 Profit
20,000 20,000
8,095,000 8,095,000 5,042,000 5,628,000
586,000 586,000
5,628,000 5,628,000 3,776,000 3,776,000
 Sousa, Owners Equity

Current Assets

Journal Entries Non Current Asset

723,000
4,600,000
rns and Allowance 133,000
172,000
ncome Summary 5,628,000

5,042,000 Total Asset

ventory Jan. 1 598,000
d Allowance 187,000
161,000 Current Liabilities
2,643,000
72,000
883,000
25,000 Non Current Liabilities
188,000
25,000
17,000
pense Off-Build. 15,000 Total Liabilities
pense Off-Equip. 20,000
208,000

586,000
586,000
Total Liabilities and Owner's
200,000
200,000
 Christine Sousa Bags
Income Statement
For the year ended Dec. 31, 2022

Gross sales 4,600,000

Less: Sales Returns and Allowance (187,000)
sales Discounts (161,000) (348,000)
Net sales 4,252,000

Merchandise Inventory 1/19/2022 598,000

Purchases 2,643,000
Less: Purchases Returns and Allowance (133,000)
Purchases Discounts (172,000)
Net Purchase 2,338,000
Transportation in 72,000
Net Cost of Purchases 2,410,000
Goods Available for sales 3,008,000
Less: Merchandise Inventory 12/31/2022 (723,000)
Cost of Sales 2,285,000
1,967,000
rating Expenses
Salaries Expense 883,000
Insurance Expense 25,000
Travel Expense 188,000
Advertising Expense 25,000
Office Supplies Expense 17,000
Depreciation Expense Off-Build. 15,000
Depreciation Expense Off-Equip. 20,000
Operating Expenses 1,173,000
rating Profit 794,000

Interest Expense (208,000)

586,000

Christine Sousa Bags

Statement of Changes in Owner's Equity
For the year ended dec. 31, 2022
Sousa, Capital 1,510,000
Add: Profit 586,000
Total 2,096,000
less: Sousa, withdrawals (200,000)
sa, Owners Equity 1,896,000

Christine Sousa Bags

Balance Sheet
For the year ended Dec. 31, 2022
ASSET

Cash 72,000
Accounts Recievable 136,000
Merchandise Inventory 723,000
Office Supplies 25,000
Prepaid Advertising 50,000
Total Current Asset 1,006,000
Current Asset
Land 400,000
Office Building 1,600,000
less: Accu. Depreciation Off-Building (115,000)
Office Equipment 570,000
less: Accu. Depreciation Off-Equip. (170,000)
2,285,000
3,291,000

Liabilities
ent Liabilities
Accounts Payable 74,000
Salaries Payable 21,000
95,000
Current Liabilities
Notes Payable due in 2 yrs. 200,000
Mortgage Payable 1,100,000
1,300,000
l Liabilities 1,395,000

Owner's Equity
Owners Equity Sousa, Capital 1,896,000
Total Liabilities 1,395,000
l Liabilities and Owner's Equity 3,291,000