FAA 2015.1 Discussion problems_ week 4 Exercise 3.10 Dec. 2 Recording transactions in general journal and general ledger Michael Macchiato invested $2 650 000 into the business of Macchiato’s Coffee Roasters by purchasing a fully equipped coffee roasting business. The business acquired consisted of the following assets and liabilities: Land $1 200 000 Building 1 000 000 Coffee roasting equipment Office equipment Accounts payable 5 6 12 14 18 23 30 420 000 60 000 30 000 Purchased some new roasting equipment on credit for $160 000. Collected cash from customers for the month, $220 000. Paid the accounts payable owing on 2 December when Michael purchased the business. Purchased an insurance policy for the year for $6000 cash. Purchased television advertising for the Christmas — New Year period for $8000 to be paid for in 30 days. Collected fees in cash from customers for the Christmas — New Year period, amounting to $46 000. Michael withdrew $8000 cash in order to pay for private Christmas presents and parties. Required A. Prepare general journal entries for each of the above transactions and events. B. Post the entries to ledger T accounts and balance the accounts as at 31 December 2016. A. 2 5 MACCHIATO’S COFFEE ROASTERS (ignore GST) Land 1 200 000 Building 1 000 000 Coffee Roasting Equipment 420 000 Office Equipment 60 000 Accounts Payable Michael Macchiato, Capital Assets and liabilities contributed by the owner Coffee Roasting Equipment Accounts Payable Purchase of roasting equipment on credit 160 000 Cash at Bank Coffee Sales Cash received for coffee sales for December. 220 000 12 Accounts Payable Cash at Bank Cash paid for creditor for roasting equipment. 30 000 6 30 000 2 650 000 160 000 220 000 30 000 FAA 2015.1 Discussion problems_ week 4 14 Prepaid Insurance Cash at Bank Cash paid in advance for insurance policy. 6 000 6 000 18 Advertising Expense* Accounts Payable Advertising costs over the holiday period 8 000 8 000 23 Cash at Bank Coffee Sales Coffee sales received for the holiday period. 46 000 46 000 Michael 30 Macchiato, Drawings 8 000 Cash at Bank 8 000 Cash withdrawn by owner * Alternatively, debit Prepaid Advertising (asset), as not all of the expense applies to the month of December. B. Cash at Bank Dec 6 Coffee Sales 220 000 23 Coffee Sales 46 000 Dec 12 Accounts Payable 30 000 14 Prepaid Insurance 6 000 30 Michael Macchiato, Drawings 8 000 Balance c/d 222 000 31 266 000 31 Balance c/d 266 000 222 000 Land Dec 2 Macchiato, Capital 1 200 000 Building Dec 2 Macchiato, Capital 1 000 00 0 Coffee Roasting Equipment Dec 2 Macchiato, Capital 420 000 5 Accounts Payable 160 000 580 000 31 Balance b/d 580 000 Dec 31 Balance c/d 580 000 580 000 Capital Dec 2 Various Assets and Acc’s payable 2 650 000 Michael Macchiato.FAA 2015.1 Discussion problems_ week 4 Office Equipment Dec 1 Michael Macchiato.12 8 000 Identifying and explaining errors Balance b/d 266 000 . Capital 60 000 Prepaid Insurance Dec 14 Cash at Bank 6 000 Accounts Payable Dec 12 Cash at Bank 31 Balance c/d 30 000 Dec 168 000 2 Macchiato. Capital 5 Coffee Roasting Equipment 18 Advertising Expense 198 000 30 000 160 000 8 000 198 000 Dec 31 Balance b/d 168 000 Michael Macchiato. Drawings Dec 30 Cash at Bank 8 000 Coffee Sales Dec Dec 31 Balance c/d 266 000 6 Cash at Bank 220 000 23 Cash at Bank 46 000 266 000 266 000 31 Advertising Expense Dec 18 Cash at Bank Exercise 3. (a) The trial balance will still balance in spite of this error as there is an equal debit and credit for $8700. The trial balance will still balance in spite of this error as there is an equal debit and credit for $2000.FAA 2015. The correct entry should have been to debit Office Equipment and credit Cash at Bank for the amount of $8700. There should have been a credit to Accounts Receivable instead of a debit to the Capital account. and no credit. Required A. To fix this error. the error in the Capital account will need to be eliminated by crossing out the amount of $4500 from the account. and the debit in the Accounts Receivable account for $4500 will need to be crossed out and then the amount will need to be credited to the account. (c) A cheque for $6000 issued to pay for an account payable was recorded as a debit to Accounts Payable and a credit to Accounts Receivable for $6000. even though the wrong account was debited. even though the wrong account was credited. . To fix this error. (b) (c) In order to fix this error. A. (b) Collection of an account receivable for $4500 was recorded by a debit to Cash at Bank and a debit to the equity account of the owner. Write a brief explanation for each error to indicate how it could be fixed in the accounting records. $8700 is reversed out of the Accounts Payable account and the correct amount of $7800 is then credited to Cash at Bank. (e) Cash of $2000 withdrawn by the owner from the business was debited to Salaries Expense and credited to Cash at Bank. (d) A $2100 payment for assorted electrical tools was recorded as a debit to Equipment and a credit to Cash at Bank for $210. B. as the debit and credit were both equal to $210.1 Discussion problems_ week 4 When processing the accounts for Ellise’s Electrical Contractors. (a) (b) (c) (d) (e) B. This will cause an unequal total in the trial balance because two debit entries were recorded in error. the following errors were made: (a) Electrical equipment purchased for $7800 cash was debited to Equipment and credited to Accounts Payable for an incorrect amount of $8700. as $900 is deducted from the amount already recorded. Identify which of the above errors would cause unequal totals in a trial balance prepared at the end of the period. The trial balance will still balance in spite of this error as there is an equal debit and credit for $6000. the entity needs to record another journal entry to debit Accounts Receivable and to credit Cash at Bank for $6000. The trial balance will still balance in spite of this error. the following journal entry is needed: Accounts Payable Electrical Equipment Cash at Bank Correcting errors made in certain asset and liability accounts 8 700 900 7 800 This entry will bring the balance in the Office Equipment account to its correct amount of $7800. even though the credit to the Accounts Payable account was incorrect. Paid advertising expense of $890. Prepare the general journal entries to record the transactions. Equipment. Prepare a trial balance as at 31 July 2015. Revenue. Purchased equipment by an online bank transfer for $32 000 and signing a commercial loan agreement for $38 000. Capital Cash invested by owner.1 Discussion problems_ week 4 (d) (e) To fix this error. Purchased supplies for $8400. posting to ledger and trial balance On 1 July 2015 Nicole Andreou opened a beauty parlour. Rent Expense. Recorded beauty services revenue for the first half of the month of $3250 in cash and $620 on credit. Loan Payable. Telephone Expense. 503. 200. Received a $140 payment from customers who paid on credit in the first half of the month.2 Journal entries. Drawings. Use the following account titles and numbers: Cash at Bank. Recorded revenue for the second half of the month of $3680 in cash and $580 on credit. Nicole Andreou. 500 100 1 800 Equipment 103 70 000 120 000 1 800 . Paid $1800 for the first month’s rent. there will need to be an additional journal entry to debit the Equipment account and credit the Cash at Bank account for $1890. 300. General Journal July 2 2 3 Cash at Bank Nicole Andreou. 400. The following transactions occurred during the first month of operations (ignore GST): July 2 2 3 4 6 16 20 23 28 31 31 Andreou invested $120 000 in the business by depositing cash into a business cheque account with the Eastpac Bank. 301. Capital. Accounts Receivable. A. Supplies. Paid insurance expense for July of $480 using an online bank transfer. Required A. Nicole Andreou. C. 100 300 120 000 Rent Expense Cash at Bank Rent paid. Advertising Expense. 501. 101. Problem 3. 102. Andreou withdrew $560 cash for personal living expenses. 502. Post the entries from the general journal to the general ledger accounts (running balance format) and enter the posting references in the general journal. 100. the entity needs to record another journal entry to debit the Drawings account and to credit Salaries Expense for $2000.FAA 2015. Insurance Expense. Paid telephone account of $330 by electronic transfer. 103. 500. To fix this error. B. 100 200 32 000 38 000 Supplies Cash at Bank Supplies purchased.1 Discussion problems_ week 4 4 6 16 20 23 28 31 31 Cash at Bank Loan Payable Equipment purchased for cash and loan payable. Drawings Cash at Bank Drawings by owner 301 100 560 Cash at Bank Accounts Receivable Revenue Revenue for second part of month 100 101 400 3 680 580 Telephone Expense Cash at Bank Telephone expenses paid 503 100 330 8 400 890 3 870 480 140 560 4 260 330 . 102 100 8 400 Advertising Expense Cash at Bank Cash paid for advertising. 501 100 890 Cash at Bank Accounts Receivable Revenue Revenue for first half of month 100 101 400 3 250 620 Insurance Expense Cash at Bank Cash paid for insurance 502 100 480 Cash at Bank Accounts Receivable Receipt of payment from customers 100 101 140 Nicole Andreou.FAA 2015. 200 Credit Balance . 100 Credit Balance Debit 120 000 Accounts Receivable 3 680 Telephone Expense Post Ref Debit 620 140 580 2015 4 7 Cash at Bank Debit 8 400 Post Ref 2015 3 7 Cash and Loan Payable Debit 70 000 Post Debit 82 610 Account No. 103 Credit Balance 70 000 Account No. Drawings ACCOUNT: Supplies Date Explanation 480 3 250 Insurance Expense ACCOUNT: Accounts Receivable Date Explanation 1 800 32 000 8 400 890 120 000 118 200 86 200 77 800 76 910 80 160 480 1 060 Account No. Capital Rent Expense Equipment Supplies Advertising Expense Revenue Account No. 101 Credit Balance 620 Post Ref 79 260 82 940 330 2015 1 7 Revenue 6 2 7 Cash at Bank 3 3 7 Revenue 1 ACCOUNT: Loan Payable Date Explanation 79 820 560 Revenue ACCOUNT: Equipment Date Explanation 79 680 140 Nicole Andreou. ACCOUNT: Cash at Bank Date Explanation 2015 2 7 2 7 3 7 4 7 6 7 1 7 6 2 7 0 2 7 3 2 7 8 3 7 1 3 7 1 Post Ref Nicole Andreou.1 Discussion problems_ week 4 B. 102 Credit Balance 8 400 Account No.FAA 2015. 502 Credit Balance Debit 480 480 Account No. 300 Credit Balance Debit 120 00 0 Post Ref 2015 2 7 Cash at Bank ACCOUNT: Advertising Expense Date Explanation Debit 560 Debit Debit ACCOUNT: Insurance Expense Date Explanation 2015 2 7 Cash at Bank 0 ACCOUNT: Telephone Expense 890 Post Ref Account No. 500 Credit Balance 1 800 Post Ref 120 000 Account No. Capital Date Explanation Post Ref 2015 2 7 Cash at Bank ACCOUNT: Nicole Andreou. Drawings Date Explanation Post Ref 2015 2 7 Cash at Bank 8 ACCOUNT: Revenue Date Explanation Pos t Ref Account No. 503 .1 Discussion problems_ week 4 Ref 2015 3 7 Equipment 38 000 ACCOUNT: Nicole Andreou.FAA 2015. 501 Credit Balance Debit 2015 6 7 Cash at Bank 560 Account No. 301 Credit Balance 2015 1 7 Cash and Accounts Receivable 6 3 7 Cash and Accounts Receivable 1 ACCOUNT: Rent Expense Date Explanation 38 000 890 Account No. 400 Credit Balance 3 870 3 870 4 260 8 130 1 800 Account No. 1 Discussion problems_ week 4 Date Explanation 2015 3 7 Cash at Bank 1 Post Ref Debit Credit 330 Balance 330 .FAA 2015. Wait. 2. Capital A. 1 Performed services for $2000 that was recorded previously as unearned 0 revenue. 3 Purchased insurance policy for $24 000 to cover business assets. Physiotherapist. Prepare a trial balance as at 30 June 2017. 3. 1 Recorded revenue of $178 600 in cash and $13 650 on credit. is shown below. e 3 Received $24 400 from patients as payment on account. 6 2 7 2 9 3 0 Required A. Prepare journal entries to record each transaction. Ignore GST. 4 Paid salaries of $65 880. 2 Received $12 000 from patients as payment on account. Wait. Post the journal entries to the T accounts. 1. Open T accounts for the accounts shown in the trial balance. 2 Purchased furniture for $15 400 and paid by electronic transfer. and trial balance The 31 May 2017 trial balance of Amy Wait. C.1 Discussion problems_ week 4 Problem 3. entering beginning account balances. . 6 Paid the electricity expense of $9500. 4 Recorded revenue of $124 600 in cash and $25 000 on credit. Drawings Services revenue Salary expense Electricity expense Rent expense $ Debit 105 000 48 000 12 300 8 200 260 600 Credit $ 9 700 9 500 2 900 314 960 161 200 462 000 $ 170 300 9 460 24 000 799 060 $ 799 060 The following transactions were completed during June: Jun 1 Purchased supplies on credit for $5800. previously recorded. B. 0 Withdrew $60 000 from the business for personal use. 2 Paid creditors $7000.5 Journal entries. AMY WAIT. PHYSIOTHERAPIST Trial Balance as at 31 May 2017 Account Cash at bank Accounts receivable Supplies Prepaid insurance Furniture and equipment Accounts payable Electricity account payable Unearned revenue A. 2 Paid rent of $24 000. Enter the 31 May balance in each account.FAA 2015. posting to T accounts. FAA 2015.1 Discussion problems_ week 4 . 9 500 2 000 178 600 13 650 192 250 Salary Expense Cash at Bank Salaries paid. Cash at Bank Accounts Receivable Cash received from patients. Drawings Cash at Bank Drawings by owner. 15 400 A. 7 000 65 880 15 400 60 000 7 000 Prepaid Insurance Cash at Bank Purchase of insurance policy. 2 000 Cash at Bank Accounts Receivable Services Revenue Revenue received and receivable. 5 800 5 800 24 400 24 400 Electricity Account Payable Cash at Bank Payment of electricity account. 65 880 Furniture and Equipment Cash at Bank Furniture purchased for cash. 12 000 Cash at Bank Accounts Receivable Services Revenue 24 000 12 000 124 600 25 000 149 600 .1 Discussion problems_ week 4 A. 60 000 Accounts Payable Cash at Bank Payment to creditors. Wait. 9 500 Unearned Revenue Services Revenue Revenue previously received. General Journal (GST ignored) June 1 3 6 10 14 20 23 24 26 27 29 30 Supplies Accounts Payable Purchase of supplies on credit. 24 000 Cash at Bank Accounts Receivable Payment received from debtors.FAA 2015. Drawings 60 000 30/6 Services Revenue 124 600 26/6 Accounts Payable 7 000 27/6 Prepaid Insurance 24 000 30/6 Rent Expense 24 000 30/6 Balance c/d $444 600 30/6 Balance b/d 9 500 238 820 $444 600 238 820 Accounts Receivable 31/5 Balance b/d $48 000 3/6 Cash at Bank 24 400 14/6 Services Revenue 13 650 29/6 Cash at Bank 12 000 30/6 Services Revenue 25 000 30/6 Balance c/d 50 250 $86 650 30/6 Balance b/d $86 650 50 250 Supplies 31/5 Balance b/d 1/6 Accounts Payable 12 300 5 800 Balance c/d 18 100 30/6 Balance b/d 18 100 18 100 18 100 Prepaid Insurance 31/5 Balance b/d $8 200 26/6 Cash at Bank 24 000 32 200 30/6 Balance b/d 32 200 30/6 Balance c/d 32 200 32 200 . 30 Rent Expense Cash at Bank Payment of rent. 24 000 24 000 B.FAA 2015.1 Discussion problems_ week 4 Revenue received and on account. Wait. Cash at Bank 31/5 Balance b/d 105 000 6/6 Electricity Account Payable 3/6 Accounts Receivable 24 400 20/6 Salary Expense 65 880 14/6 Services Revenue 178 600 23/6 Furniture & Equipment 15 400 29/6 Accounts Receivable 12 000 24/6 A. Drawings 31/5 Balance b/d 161 200 24/6 Cash at Bank 60 000 30/6 Balance c/d 221 200 30/6 Balance b/d 221 200 221 200 221 200 Services Revenue 30/6 Balance c/d 805 850 31/5 Balance b/d 10/6 Unearned Revenue 14/6 Cash at Bank/AR 192 250 30/6 Cash at Bank/AR 149 600 805 850 462 000 2 000 805 850 30/6 Balance b/d 805 850 . Capital 31/5 A. Wait. Wait.1 Discussion problems_ week 4 Furniture and Equipment 31/5 Balance b/d 23/6 Cash at Bank $260 600 15 400 30/6 Balance c/d 276 000 30/6 Balance b/d 276 000 276 000 276 000 Accounts Payable 26/6 Cash at Bank 7 000 30/6 Balance c/d 8 500 31/5 Balance b/d 9 700 1/6 Supplies 5 800 15 500 15 500 30/6 Balance b/d 8 500 Electricity Account Payable 6/6 Cash at Bank 9 500 31/5 Balance b/d 9 500 Balance b/d 2 900 Unearned Revenue 10/6 Services Revenue 30/6 Balance c/d 2 000 31/5 900 2 900 2 900 30/6 Balance b/d 900 Balance b/d 314 960 A.FAA 2015. FAA 2015. AMY WAIT. Drawings 314 960 221 200 Services Revenue Salary Expense Electricity Expense Rent Expense Credit 805 850 236 180 9 460 48 000 $1 130 210 $1 130 210 . Wait. Capital A.1 Discussion problems_ week 4 Salary Expense 31/5 Balance b/d 170 300 20/6 Cash at Bank 65 880 30/6 Balance c/d 236 180 236 180 30/6 Balance b/d 236 180 236 180 Electricity Expense 31/5 Balance b/d 9 460 Rent Expense 31/5 Balance b/d 24 000 30/6 Cash at Bank 24 000 30/6 Balance c/d 48 000 48 000 30/6 Balance b/d 48 000 48 000 C. PHYSIOTHERAPIST Trial Balance as at 30 June 2017 Debit Cash at Bank $238 820 Accounts Receivable 50 250 Supplies 18 100 Prepaid Insurance 32 200 Furniture and Equipment 276 000 Accounts Payable $8 500 Unearned Revenue 900 A. Wait. Paid weekly wages to employee. Required A. Prepare a trial balance as at 31 March 2016. and electricity bill $760. trousers and jackets and repairs and alters clothes. 100 Credit Balance Debit 10 000 1 200 1 200 120 800 1 260 & 900 10 000 8 800 7 600 7 720 6 920 8 180 7 280 . $3800. and paid with an electronic transfer of $1200 and paid for the rest with credit. Cash of $200 received for over-the-counter repairs. postage $20. He contributed for this purpose sewing equipment $46 000 and a commercial van $48 000. Cash revenue earned. A. Paid wages to employee.FAA 2015. Prepare three-column running balance ledger accounts. Petrol expenses paid $80. $840. Paid for haberdashery supplies purchased on credit on 4 March. Transactions during March were as follows (ignore GST): March 4 4 6 7 8 11 12 13 14 15 16 17 18 21 23 24 25 28 31 Took a 3-year lease on a shop and paid first month’s rent $1200. Revenue earned for making clothes: cash $240. Capital Rent Expense Haberdashery Supplies Tailoring Revenue Sewing Equipment Tailoring Revenue Petrol. Engaged a sewer at an agreed wage of $1100 per week. Give each account a suitable account number. Purchased haberdashery supplies for $4200. $380. Revenue of $1500 earned from a customer on credit. Revenue earned for tailor making a two piece suit for Andrea Fraser on credit. Purchased a sewing machine. Paid petrol $120. $1260. and deposited $10 000 cash in a business bank account. Haberdashery supplies purchased for $500 on credit. postage electricity Post Ref Account No. Cash revenue received.7 Preparation of running balance ledger accounts and trial balance On 1 March 2014. James Taylor decided to open Taylor’s Tailormade that makes suits. Revenue earned for clothes $2420. B.1 Discussion problems_ week 4 Problem 3. Andrea Fraser paid the bill for services rendered on 6 March. Haberdashery supplies used. $620. ACCOUNT: Cash at Bank Date Explanation 2016 1 3 4 3 4 3 6 3 7 3 8 3 1 3 2 James Taylor. on account $1200. receiving $200 in cash and the remainder on credit. Withdrew $600 for own use. Cash received for minor clothing repairs. paying $800 cash and taking out a loan for the balance. $120. 112 Credit Balance 46 000 .1 Discussion problems_ week 4 1 3 1 4 1 5 1 6 1 8 2 1 2 3 2 4 2 5 2 8 3 Tailoring Revenue 200 3 Accounts Payable 3 James Taylor. Drawings 3 Tailoring Revenue 3 Wages Expense 3 Tailoring Revenue 240 3 400 3 Accounts Receivable 840 4 240 3 Fuel Expense 3 Wages Expense 3 Tailoring Revenue 3 000 600 380 3 3 Cash & Accounts Payable Accounts Payable 3 Haberdashery Expense ACCOUNT: Accounts Receivable Date Explanation 2016 6 13 21 23 28 3 3 3 3 3 Tailoring Revenue Tailoring Revenue Tailoring Revenue Cash at Bank Tailoring Revenue ACCOUNT: Sewing Equipment Date Explanation 2016 1 1 100 3 060 3 James Taylor. 101 Credit Balance 4 200 4 700 620 Post Ref Debit 840 Post Ref Debit 46 000 4 080 Account No. Capital 3 260 Account No. 110 Credit Balance 840 1 500 1 200 2 220 3 160 4 160 4 200 500 Supplies 3880 80 200 Debit 4 480 4 260 1 100 ACCOUNT: Haberdashery Supplies Date Explanation Post Ref 4 1 7 3 1 7 480 840 2 340 3 540 2 700 4 920 Account No.FAA 2015. Capital 3 800 Post Ref Debit 48 000 49 800 Account No.1 Discussion problems_ week 4 7 3 Cash & Loan Payable ACCOUNT: Commercial Vehicles Date Explanation 201 6 1 3 James Taylor.FAA 2015. 113 Credit Balance 48 000 . 201 Credit Balance 600 Account No. Van and Equipment ACCOUNT: Tailoring Revenue Date Explanation 201 6 6 6 8 Debit 3 Cash at Bank 3 000 0 500 Account No. 202 Credit Balance 3 000 ACCOUNT: James Taylor.FAA 2015. Drawings Date Explanation Post Ref 201 6 15 Debit 3 Sewing Equipment ACCOUNT: James Taylor. 300 Credit Balance 3 Cash. 340 Credit Balance Debit 120 840 1 260 120 960 2 220 2420 1500 380 1 440 2 420 3 920 4 300 5 740 8160 200 . Cash at Bank Cash & Accounts Rec. 104 000 Account No. Capital Date Explanation 201 6 1 Post Ref Account No. 301 Credit Balance Debit 600 Post Ref 3 000 Account No.1 Discussion problems_ week 4 ACCOUNT: Accounts Payable Date Explanation 201 6 4 14 17 3 Haberdashery Supplies 3 Cash at Bank 3 Haberdashery Supplies ACCOUNT: Loan Payable Date Explanation 201 6 7 3 000 3 000 500 Post Ref Post Ref 13 16 21 28 Debit 104 000 3 Cash at Bank 3 Accounts Receivable 3 Cash at Bank Cash at Bank 3 3 3 3 Cash & Accounts Rec. Cash & Bills Rec. FAA 2015.1 Discussion problems_ week 4 . 352 Credit Balance Debit 120 80 Post Ref 120 200 Account No.1 Discussion problems_ week 4 ACCOUNT: Rent Expense Date Explanation 201 6 4 3 Cash at Bank ACCOUNT: Fuel Expense Date Explanation 201 6 12 24 3 Haberdashery Supplies 1 200 Account No. 354 Credit Balance Debit 20 Post Ref 3 Cash at Bank 3 Cash at Bank ACCOUNT: Haberdashery Expense Date Explanation 201 6 31 Post Ref 3 Cash at Bank ACCOUNT: Wages Expense Date Explanation 201 6 18 25 1 200 3 Cash at Bank ACCOUNT: Postage Expense Date Explanation 201 6 12 Debit 3 Cash at Bank 3 Cash at Bank ACCOUNT: Electricity Expense Date Explanation 201 6 12 Post Ref Account No.FAA 2015. 351 Credit Balance 20 Account No. 356 Debit Credit 620 Balance 620 . 353 Credit Balance Debit 760 Post Ref 760 Account No. 355 Credit Balance Debit 1 100 1 100 Supplies Post Ref 1 100 2 200 Account No. FAA 2015.1 Discussion problems_ week 4 . 1 Discussion problems_ week 4 B. TAYLOR’S TAILORMADE Trial Balance as at 31 March 2016 Account Account No. Debit Credit Cash at bank 100 $3 260 Haberdashery supplies 101 4 080 Accounts receivable 110 4 920 Sewing equipment 112 49 800 Commercial vehicles 113 48 000 Accounts payable 201 500 Loan payable 202 3 000 James Taylor. Drawings 301 Tailoring revenue 340 Rent expense 351 1 200 Fuel expense 352 200 Electricity expense 353 760 Postage expense 354 20 Wages expense 355 2 200 Haberdashery supplies expense 356 620 600 8160 $115 660 $115660 .FAA 2015. Capital 300 104 000 James Taylor.