The following accounts balances are available at December, 31, 2022: Cash $30,000, Supplies $2,000, Equipment

$4,000(10 years), Account Receivable $2,000, Account Payable $5,000, Shares Capital $30,000, and Retained
earnings $3,000, transactions were completed in CAPEL Co. during 2022

1. 6/01/2022 paid rent for two years 6000$

2. 1/02/2022 purchased van to use in business for 15000$ cash, 10 years’ useful life.
3. 5/2/2022Purchased inventory on account from Innovate Co. $121,200, FOB shipping point, terms 2/10, n/60.
Freight cost of $500 was paid by the appropriate party.
2. 20/02/2022 Received credit from Innovate Co. for merchandise returned $2200.
3. 10/04/2022 Sold merchandise on account to Global Co. for $29000, terms 1/10, n/90. FOB shipping point The
merchandise sold had a cost of $15400. Freight cost of $350 was paid by the appropriate party.
4. 1/04/2022 Paid Innovate Co. in full
5.12/05/2022 Purchased inventory on account from Lightning Sportswear $67000, terms 1/10, n/120.
6. 16 /05/2022 Granted Global Co. $3000 credit for inventory returned costing $1700.
7. 05/07/2022 Received payments in full from Global Co.
8. 20/08/2022 Made sales on account to 3G Co. for $56000, terms 1/20, n/90. FOB destination. The cost of the inventory
was $34000. Freight cost of $3000 was paid by the appropriate party.
9. 10/09/2022 Paid Lightning Sportswear in full
10. 15/11/2022 Received payments in full from 3G Co.
11. during the year the following expenses was paid in cash
Salaries 12,000/ advertising 2000, utility 2600, water 700, tax 500
31/12/2022 supplies in hand was 500$

Instructions:
(a) Journalize the April transactions using a PERPETUAL INVENTORY SYSTEM.

Date Account Title Debit Credit Date Account Title Debit Credit
Prepare a trial balance for 2022.
Account Title Debit Credit
Income statement

Account Title
Statement of financial positions

Account Title