Lavender Industry has provided you with the following information:Trial Balance as at 30 June 2017

Account Debit Credit
Sales   3,279
Owners Equity   3,370
Inventory (opening) 1,300  
Cartage Inwards 65  
Commissions Paid 60  
Advertising 33  
Bad debts 46  
Drawings 40  
Accounts payable   2,330
GST collected   600
Bank overdraft   649
Motor vehicle 2,500  
Allowance for doubtful debts   60
Furniture & Fittings 260  
Purchases 1,594  
GST paid 300  
Customs Duty 345  
Loan due   1,000
Accounts receivable 4,365  
Wages for Office 200  
Wages for Sales 52  
Cartage Outwards 55  
Interest receivable   12
Discount received   25
Printing & Stationery 20  
General expenses 14  
Discount allowed 35  
Rent 41  
  11,325 11,325

Additional information

• Prepaid rent $30

• Accrued wages (sales) $25

• Depreciation Motor Vehicles 10% p.a.

• Depreciation Furniture & Fittings 5% p.a.

• Bad debts written off $44 including GST

• Allowance for doubtful debts is to be increased to $200

• Stocktake as at 30 June $1,010

Note: Lavender Industry uses the periodic inventory system.
Required: (a) Prepare the general journal entries for Balance Day Adjustments from the additional information given.(b) Open the relevant general ledger accounts (including Trading and Profit & Loss Ledger accounts) and post the Balance Day Adjustments to these accounts.(c) Prepare the closing journal entries for 30 June(d) Prepare the Income Statement for the year ended 30 June
(e) Prepare a Classified Balance Sheet as at 30 June

"Do you want an original answer to this question?


Yes No

"Is this question part of your assignment? Essay
.We Can Help!

Order Now