Task 1 (20 marks)

Danial Delivery Service completed the following transactions during its first month of operations for January 2019:

  • Danial started his own business by investing $50,000 cash and giving a truck valued at $100,000.
  • Insurance of $6,000,paid
  • Performed delivery services for a customer and received $7,000 cash.
  • Completed a large delivery job, billed the customer $20,000, and received a promise to collect the $20,000 within one week.
  • Received $9,000 cash for performing delivery services.
  • Collected $5,000 in cash for delivery service to be performed later.
  • Collected $20,000 cash from a customer on account.
  • Purchased fuel for the truck, paying $1,000 in cash.
  • Performed delivery services on account, $8,000.
  • Danial withdrew $19,000 cash for his own personal use.

Requirements

  1. Record each transaction in the journal. (6 marks)

(In this requirement, you have to prepare journal entries, which should appear separate from requirement 2 and 3).

  1. Post the transactions that you recorded in requirement 1 to T-accounts and show the balances. (3 marks)
  2. Prepare the trial balance for the month ended 31 January, 2019. (3 marks)

(In this requirement, you are to prepare a stand-alone trial balance.

  1. Record the following adjusting entries in the general Journal. (2 marks)
  2. Accrued salary expense, $8,000.
  3. Depreciation expense of Truck, $500.

 

  1. Prepare adjusted trial balance (2 marks)

(In this requirement, you have to prepare a stand-alone adjusted trial balance. This requirement is separate from requirement 3).

  1. Prepare Danial Delivery service’s statement of Profit and Loss and statement of Financial Position for the month ended 31 Jan 2019. (4 marks)

(In this requirement, you have to prepare a stand-alone statement of Profit and Loss and a stand-alone statement of Financial Position. Both statements should include all the headings and subheadings).

NB: An extended trial balance is not required for this task.

$25.00 – Buy Solution

Click on Buy Solution and make payment. All prices shown above are in USD. Payment supported in all currencies. Price shown above includes the solution of all questions mentioned on this page. Please note that our prices are fixed (do not bargain).

After making payment, solution is available instantly.Solution is available either in Word or Excel format unless otherwise specified.

If your question is slightly different from the above question, please contact us at info@myassignmentguru.com with your version of question.