Example 3-ABC Company

ABC Company is merchandising company. Transactions of ABC Company on June, 2020 as follows:

1. A, owner added more capital $20,000 cash and a car 30,000 for use in the business
2. Purchase goods $20,000 on credit from XYZ Company
3. Sold goods to ACA customer $12,000 on credit
4. Received invoice for utilities expense $400. At end of May, the company estimated this bill $450
5. Sold goods to BBB company $3,000 by cash
6. ACA customer paid cash $12,000 for purchase on Jun, 9
7. Paid office supply $70 by cash
8. Paid XYZ Company by cash $20,000 and get discount received 2% for credit purchase on June, 4
9. Paid rental expense $1,000 by cash
10. Paid salary expense 3,000 by cash

Additional information

• Assume that car has useful life 10 years
• Assume utilities expense are estimated $500 for June
• Assume ending inventory $19,000
• After Closing Trial Balance from previous month

 Note :

• Note 1: assume depreciation expense for office furniture $200
• Note 2 : assume depreciation expense for computer $20

Required:

1. Prepare General Journal
2. Prepare General Ledger
3. Prepare Trial Balance
4. Make Adjusting Entry
5. Prepare Adjusted Trial Balance
6. Prepare income statement
7.  Statement of Change in Equity
8. Prepare balance sheet
9. Make closing entry
10. Prepare Post (After) Closing Trial Balance