Date; 16th Mar 2023

ACCT 1002
Assignment 2
Jamaica Branch -students with the first nam
initial (D, T, L, and U)

Name:

Page
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 ACCT 1002
Assignment 2
Jamaica Branch -students with the first name
initial (D, T, L, and U)

Terichelle Baynes

Table of content
Scenario
Adjusted Journal Entry
Adjusted Trial balance
Muti-Step Income Statement
Statement of Owners Equity
Classified Balance Sheet
 CD Shipping Agent Ltd
Adjusted Journal For the year ended 31st Dec 2022.
Date Ref# Details
Jun-30 i Supplies Exp
Supplies

Apr-01 ii Insurance Expense

Prepaid Insurance

Mar-01 iii Rent Expense

Prepaid Rent

iv Depreciation Exp- Furniture & Fixtures

Accumulated Depreciation- Furniture & Fixtures

Nov-01 v Depreciation Exp- Motor Truck

Accumulated Depreciation- Motor Truck

Jun-30 vi Salary Expense

Salary Payable

Jun-30 vii Interest Expense

Interest Payable

Jun-30 viii Unearned Sales Revenue

Sales Revenue

Jun-30 ix Bad Dept Expense

Allowance for Bad debt

Jun-30 x Cost of Goods Sold

Merchandise Inventory
d
31st Dec 2022.
Dr Cr
$ 140,500
$ 140,500

$ 67,350
$ 67,350

$ 200,000
$ 200,000

$ 79,000
$ 79,000

$ 320,000
$ 320,000

$ 182,500
$ 182,500

$ 65,000
$ 65,000

$ 145,000
$ 145,000

$ 30,000
$ 30,000

$ 4,500
$ 4,500
 Gregg’s Shipping Supplies Ltd- Jamaica Branch
Adjusted Trial Balance as at June 30, 2022
A/c Name Trial Balance Ref# Adjustments
Dr Cr Dr Cr
Cash $ 1,250,000
Accounts Receivable $ 1,300,000
Allowance for bad debt $ 100,000 ix $ 30,000
Merchandise inventory $ 1,300,000 x $ 4,500
Store Supplies $ 300,000 i $ 140,500
Prepaid Insurance $ 202,050 ii $ 67,350
Prepaid Rent $ 350,000 iii $ 200,000
Furniture & Fixtures $ 800,000
Accumulated Depreciation - Furniture & Fixtures $ 79,000 iv $ 79,000
Motor Truck $ 1,200,000
Accumulated Depreciation - Motor Truck v $ 320,000
Accounts Payable $ 50,000
Salary Payable vi $ 182,500
Interest Payable $ 28,000 vii $ 65,000
Unearned Sales Revenue $ 205,000 viii $ 145,000
Long-term Loan $ 2,500,000
Gregg's Capital $ 3,500,000
Gregg's Withdrawls $ 125,000
Sales Revenue $ 3,403,000 viii $ 145,000
Sales Discount $ 160,500
Sales Returns & Allowances $ 145,400
Cost of Goods Sold $ 1,055,000 x $ 4,500
Salaries Expense $ 808,000 vi $ 182,500
Insurance Expense $ 202,050 ii $ 67,350
Utilities Expense $ 325,000
Rent Expense $ 400,000 iii $ 200,000
Depreciation Expense - Furniture & fixtures iv $ 79,000
Depreciation Expense - Motor Truck v $ 320,000
Store Supplies Expense i $ 140,500
Gain on Disposal of Old Motor Truck $ 58,000
Bad Debt Expense ix $ 30,000
Interest Expense vii $ 65,000

$ 9,923,000 $ 9,923,000 $ 1,233,850 $ 1,233,850

 Adjusted Trial Balance
DR CR
$ 1,250,000
$ 1,300,000
$ 130,000
$ 1,295,500
$ 159,500
$ 134,700
$ 150,000
$ 800,000
$ 158,000
$ 1,200,000
$ 320,000
$ 50,000
$ 182,500
$ 93,000
$ 60,000
$ 2,500,000
$ 3,500,000
$ 125,000
$ 3,548,000
$ 160,500
$ 145,400
$ 1,059,500
$ 990,500
$ 269,400
$ 325,000
$ 600,000
$ 79,000
$ 320,000
$ 140,500
$ 58,000
$ 30,000
$ 65,000

$ 10,599,500 $ 10,599,500
Revenues - Expenses = Net income
Gregg’s Shipping Supplies Ltd- Jamaica Branch
Multi-Step Income Statement as at 30th Jun 2022.
Revenues; $ $
Sales Revenue $ 3,548,000
Less: Sales Discount $ 160,500
Sales Returns & Allowances $ 145,400 $ 305,900
Net Sales $ 3,242,100

Less: COGS $ 1,059,500

Gross Income $ 2,182,600

Less: Operating Expense;

Salaries Expense $ 990,500
Insurance Expense $ 269,400
Utilities Expense $ 325,000
Rent Expense $ 600,000
Depreciation Expense - Furniture & fixtures $ 79,000
Depreciation Expense - Motor Truck $ 320,000
Store Supplies Expense $ 140,500
Bad Debt Expense $ 30,000 $ 2,754,400
Operating Income -$ 571,800

Other Revenues & Gains

Gain on Disposal of Old Motor Truck $ 58,000

Other Expenses & Losses

Interest Expense $ 65,000 $ 123,000
Net loss -$ 448,800
Beginners owners equity + Contrubutions + Net Income/loss - Withdrawls = Ending Owners Equity
Gregg’s Shipping Supplies Ltd- Jamaica Branch
Statement of Owners Equity as at 30th Jun 2022.
Gregg's Capital, $ 3,500,000
Add:
Net loss -$ 448,800
$ 3,051,200
Less Gregg's Withdrawls -$ 125,000
Gregg's Ending Capital, $ 2,926,200
wners Equity
Assets = Equity + Long Term Liability
Gregg’s Shipping Supplies Ltd- Jamaica Branch
Classified Balance Sheet as at 30th June 2022.
$
Fixed Assets
Furniture & Fixtures $ 800,000
Less Acumulated Depreciation -$ 158,000

Motor Truck $ 1,200,000

Less Accumulated Depreciation -$ 320,000

Current Assets
Cash $ 1,250,000
Account Receivable $ 1,300,000
Less: Allowance for Bad Debts -$ 130,000 $ 1,170,000
Inventory (ending) $ 1,295,500
Store Supplies $ 159,500
Prepaid Rent $ 150,000
Prepaid Insurance $ 134,700
$ 4,159,700
Less: Current Liabilities
Accounts Payable $ 50,000
Interest Payable $ 93,000
Salary Payable $ 182,500
Unearned Sales Revenue $ 60,000
Long term Loan due - current portion $ 455,000 $ 840,500

Net Working Capital

Total Assets

Financed by:
Gregg's, Capital

Long Term Liabilities

Long Term Loans (2,500,000-455,000)
Total Equity & long term Liatilities
a Branch
ne 2022.
$

$ 642,000

$ 880,000

$ 3,319,200

$ 4,841,200

$ 2,926,200

$ 2,045,000
$ 4,971,200