BALL AND STICKS

Chart of Accounts

Assets Income
100 Cash 400 Sales Revenue
101 Accounts Receivable 401 Other Income
102 Billiard Tables
103 Land Expenses
104 Building 500 Advertising Expense
501 Utilities Extense
Liabilities
200 Accounts Payable
201 Notes Payable
202 Loan Payable

Owner's Equity
300 Abello, Capital
301 Abello, Drawings

On Dec. 1, 2013, Lovell Abello ventured into a billiards recreation business, Balls and Stick
During the month, the following transactions occurred.

Dec 1 Abello began the business by depositing P200,000 cash in a bank account
in the name of the business.
3 Purchased an existing billiard hall at a price of P210,000 for the land
and P300,000 for the building. Abello paid the former owner P100,000 in cash
and issued a short-term notes payable for the balance of the purchased price.
10 Bought 10 billiard tables for P10,000 each, paying P60,000 cash and agreeing
to pay the balance in 30 days.
14 Sold a billiard table to the owner for P10,000. The entity as paid P5,000 cash and
the balance within 30 days.
20 Paid P20,000 of the amount owed on the billiard tables.
24 Collected P2,000 on the billiard table sold.
30 Purchased one used billiard table from another billiard hall , paying P6,000 cash.
 Expense

on business, Balls and Sticks.

in a bank account

for the land

wner P100,000 in cash
f the purchased price.
000 cash and agreeing

as paid P5,000 cash and

all , paying P6,000 cash.
JOURNAL ENTRIES
PAGE NUMBER GJ-1
WITH EXPLANATION
CURR
DATE PARTICULARS FOLIO
2013
Dec 1 Cash 100
Abello, Capital 300
initial investment of owner

3 Land 103
Building 104
Cash 100
Notes Payable 201
To record purchase of existing billiard hall.

10 Billiard Tables 102

Cash 100
Accounts Payable 200
Bought billiard tables

14 Cash 100
Accounts Receivable 101
Sales Revenue 400
To record sale of billiard table

20 Accounts Payable 200

Cash 100
Partial payment for billiard tables purchase on account.

24 Cash 100
Accounts Receivable 101
Partial collection for billiard table sold

30 Billiard Tables 102

Cash 100
Purchase of billiard table
CURRENT JOURNAL ENTRIES
DEBIT CREDIT

PHP 200,000
PHP 200,000

210,000
300,000
100,000
410,000

100,000
60,000
40,000

5,000
5,000
10,000

20,000
20,000

2,000
2,000

6,000
6,000
GENERAL LEDGER
PAGE NUMBER GL-1
Write "0" if the balance is "0"

Cash
DATE PARTICULARS REF DEBIT
Dec 1 Initial investment of owner GJ-1 PHP 200,000
3 Purchase of existing billiard hall. GJ-1
10 Bought billiard tables GJ-1
14 Sale of billiard table GJ-1 5,000
20 Partial payment for billiard tables GJ-1
24 Collection for billiard table sold GJ-1 2,000
30 Purchase of billiard table GJ-1

Accounts Receivable
DATE PARTICULARS REF DEBIT
Dec 14 Sale of billiard table GJ-1 PHP 5,000
24 Partial collection for billiard table sold

Billiard Tables
DATE PARTICULARS REF DEBIT
Dec. 10 Bought billiard tables PHP 100,000
30 Purchase of billiard table 6,000

Land
DATE PARTICULARS REF DEBIT
Dec 3 Purchase of existing billiard hall. PHP 210,000

Building
 Building
DATE PARTICULARS REF DEBIT
Dec 3 Purchase of existing billiard hall. PHP 300,000

Notes Payable
DATE PARTICULARS REF DEBIT
Dec 3 Purchase of existing billiard hall. GJ-1

Accounts Payable
DATE PARTICULARS REF DEBIT
Dec 10 Bought billiard tables GJ-1
20 Partial payment for billiard tables purchased PHP 20,000

Abello, Capital
DATE PARTICULARS REF DEBIT
Dec 1 Initial investment of owner

Sales Revenue
DATE PARTICULARS REF DEBIT
Dec 14 Sale of billiard table
 100
BALANCE
CREDIT DEBIT CREDIT
PHP 200,000
100,000 100,000
60,000 40,000
45,000
20,000 25,000
27,000
6,000 21,000

101
BALANCE
CREDIT DEBIT CREDIT
PHP 5,000
PHP 2,000 3,000

102
BALANCE
CREDIT DEBIT CREDIT
PHP 100,000
106,000

157
BALANCE
CREDIT DEBIT CREDIT
PHP 210,000
 BALANCE
CREDIT DEBIT CREDIT
PHP 300,000

BALANCE
CREDIT DEBIT CREDIT
PHP 410,000 PHP 410,000

BALANCE
CREDIT DEBIT CREDIT
PHP 40,000 PHP 40,000
20,000

BALANCE
CREDIT DEBIT CREDIT
PHP 200,000 PHP 200,000

BALANCE
CREDIT DEBIT CREDIT
PHP 10,000 PHP 10,000
 BALL AND STICKS
Trial Balance
December 31, 2013

Debit
Cash PHP 21,000
Accounts Receivable 3,000
Billiard Table 106,000
Land 210,000
Building 300,000
Notes Payable
Accounts Payable
Abello, Capital
Sales Revenue
Total 640,000
S

13

Credit

PHP 410,000
20,000
200,000
10,000
640,000