University of South East Asia

2014-2015

Exercise Chapter 3
Oct

01 : Mr. X makes an investment of $ 500,000 in the business.

Oct

01 : X Co.ltd purchases equipment in cash $15,000.

Oct

01 : X Co.ltd purchases merchandise on credit from Sara amount $50,000 term 2/10,N30.

Oct.

01 : X Co.ltd sales merchandise on account to Dona amount $15,000 and

COGS for this inventory $10,000 invoice number 01 term 2/10, N/30.
Oct

02 : Paid $1,200 insurance for one year.

Oct

02 : X Co.ltd purchases merchandise on credit from Rony amount $30,000 term 2/5, N60.

Oct.

02 : Purchase supply on credit $300.

Oct.

03 : X Co.ltd sales merchandise in cash to customer $22,000 and COGS for this

inventory $15,000 this transaction has discount 3%.

Oct.

03 : X Co.ltd sales merchandise on account to Many amount $20,000 and

COGS for this inventory $12,000 invoice number 02 term 2/10, N/30.
Oct.

03 : Paid $500 rent for this month.

Oct

04 : returned expiration merchandise inventory to Rony $2,000.

Oct.

05 : X Co.ltd sales merchandise on account to Dona amount $35,000 and

COGS for this inventory $23,000 invoice number 03 term 2/10, N/30.
Oct

05 : Paid to Sara in October 01 invoice.

Oct.

05 : Paid transportation for purchasing merchandise $200.

Oct.

06 : Received cash from Dona in payment of invoice N01.

Oct

06 : X Co.ltd purchases merchandise in cash from supplier amount $40,000 received

discount 3%.
Oct.

06 : X Co.ltd sales merchandise on account to Many amount $10,000 and

COGS for this inventory $7,000 invoice number 04 term 2/10, N/30.
Oct

07 : X Co.ltd purchases merchandise on credit from Sara amount $70,000 term 2/10,N30.

Oct.

07 : Received cash from Many in payment of invoice N02.

Oct

07 : Paid to Rony in October 02 invoice.

Oct.

07 : Received cash from Dona in payment of invoice N03.

Oct

07 : returned defective merchandise inventory to Sara $4,000.

Oct.

08 : X Co.ltd sales merchandise on account to Many amount $40,000 and

COGS for this inventory $28,000 invoice number 05 term 2/10, N/30.
Oct

09: Merchandise is returned by Many because defective goods $1,000 and COGS $700

invoice number 04.

Lecturer: Hour Ry

10

Exercise Financial Accounting

University of South East Asia

2014-2015

Oct

09 : X Co.ltd purchases merchandise on credit from Rony amount $70,000 term 2/5, N60.

Oct.

09 : X Co.ltd sales merchandise on account to Dona amount $5,000 and

COGS for this inventory $3,600 invoice number 06 term 2/10, N/30.
Oct.

09 : X Co.ltd sales merchandise in cash to customer $42,000 and COGS for this

inventory $32,000 this transaction has discount 3%.

Oct.

09 : Received cash from Many in payment of invoice N04.

Oct.

10 : X Co.ltd sales merchandise on account to Many amount $25,000 and

COGS for this inventory $18,000 invoice number 07 term 2/10, N/30.
Oct

10: Merchandise is returned by Dona because defective goods $500 and COGS $360

invoice number 06.

Oct

10 : Paid to Sara in October 07 invoice.

Oct.

10 : X Co.ltd sales merchandise on account to Dona amount $35,000 and

COGS for this inventory $24,000 invoice number 08 term 2/10, N/30.
Oct.

10 : Paid transportation for selling merchandise $300.

Oct.

11 : Received cash from Many in payment of invoice N05.

Oct

11 : X Co.ltd purchases merchandise on credit from Sara amount $10,000 term 2/10,N30.

Oct.

12 : X Co.ltd sales merchandise on account to Dona amount $6,000 and

COGS for this inventory $3,900 invoice number 09 term 2/10, N/30.
Oct

12: Merchandise is returned by Dona because defective goods $3,500 and COGS $2,400

invoice number 08.

Oct.

12 : Paid transportation for purchasing merchandise $600.

Oct.

12 : Received cash from Dona in payment of invoice N06.

Oct

13 : Paid to Rony in October 09 invoice.

Oct.

13 : X Co.ltd sales merchandise on account to Many amount $12,000 and

COGS for this inventory $9,000 invoice number 10 term 2/10, N/30.
Oct.

14 : Received cash from Many in payment of invoice N07.

Oct

14 : X Co.ltd purchases merchandise on credit from Rony amount $20,000 term 2/5, N60.

Oct.

15 : X Co.ltd sales merchandise on account to Dona amount $8,000 and

COGS for this inventory $5,500 invoice number 11 term 2/10, N/30.
Oct

16 : X Co.ltd purchases merchandise on credit from Rony amount $24,000 term 2/5, N60.

Oct.

17 : Received cash from Dona in payment of invoice N08.

Oct.

18 : X Co.ltd sales merchandise on account to Many amount $14,000 and

COGS for this inventory $10,000 invoice number 12 term 2/10, N/30.

Lecturer: Hour Ry

11

Exercise Financial Accounting

University of South East Asia

Oct.

2014-2015

19 : X Co.ltd sales merchandise in cash to customer $6,000 and COGS for this inventory

$4,500 this transaction has discount 3%.

Oct.

19 : Payment in full in purchasing supply.

Oct.

20 : X Co.ltd sales merchandise on account to Dona amount $32,000 and

COGS for this inventory $24,500 invoice number 13 term 2/10, N/30.
Oct.

21 : Borrow money from the bank $80,000.

Oct.

21 : Received cash from Dona in payment of invoice N09.

Oct

22 : X Co.ltd purchases merchandise on credit from Sara amount $15,000 term 2/10,N30.

Oct.

23 : X Co.ltd sales merchandise on account to Many amount $4,000 and

COGS for this inventory $2,500 invoice number 14 term 2/10, N/30.
Oct.

23 : Paid transportation for selling merchandise $500.

Oct.

24 : Paid $200 for advertising expense for this month.

Oct.

24 : Received cash from Many in payment of invoice N10.

Oct

25 : X Co.ltd purchases merchandise in cash from supplier amount $35,000 received

discount 3%.
Oct

26 : Paid to Rony in October 14 invoice.

Oct.

27 : Received cash from Dona in payment of invoice N11.

Oct.

27 : Paid utility expense $1,000 for this month.

Oct.

28 : X Co.ltd sales merchandise on account to Dona amount $3,000 and

COGS for this inventory $2,500 invoice number 15 term 2/10, N/30.
Oct

29 : Paid to Rony in October 16 invoice.

Oct.

29 : Received cash from Many in payment of invoice N12.

Oct.

30 : Paid interest for this month $300.

Oct

30 : X Co.ltd purchases merchandise on credit from Sara amount $25,000 term 2/10,N30.

Oct.

30 : X Co.ltd sales merchandise on account to Many amount $8,000 and

COGS for this inventory $6,500 invoice number 16 term 2/10, N/30.
Oct.

31 : Paid salary $2,000 to the staffs.

Oct.

31 : Received cash from Dona in payment of invoice N13.

Requirement:
1- Prepare Journal entries by using special journal.
2- Ledger
3- Trial balance
Lecturer: Hour Ry

12

Exercise Financial Accounting