[FULL ACCESS] Balance Sheet and Income Statement Analysis

The provided document is an example of a balance sheet and income statement for a company. It includes non-current assets (motor vehicles at cost and equipment at cost), current liabilities (GST collected and GST paid), non-current liabilities (loan from the bank), net assets, and owners' equity. The analysis involves identifying and calculating various financial metrics such as total assets, total liabilities, and net assets. This document is suitable for students who need to practice analyzing financial statements and preparing a balance sheet and income statement.

include your totals in your journals, I have attached a file that should help you make
corrections where needed, there has been a carry on effect from errors early in the
assignment
Add the bank interest/expense to the cash payments and cash receipts etc. and check
calculations
Areas Marked need to be Looked over and corrected
Jolly Amusements commenced operations in January with a minigolf course and games
parlour. The accounts manager (Jenny Chee) has kept a full set of journals which are
shown below. You are required to:
a) Check that all journals have been properly authorised in accordance with the
Organisational Policies and Procedures. Add the name of the authoriser if not already
included. (Note: The Organisational Policies and Procedures require that journals be
signed and dated by the accounts manager prior to being posted to the General
ledger.)
b) Reconcile the bank account and prepare a Bank Reconciliation Statement as at
31January 2018
c) Total and balance the journals as required.
d) Post the journals to the General Ledger accounts.
e) Prepare the Trial balance as at 31 January 2018.
f) Prepare the Income Statement for the period ended 31 January 2018 on the template
provided.
g) Preapare the Balance Sheet as at 31 January 2018 on the template provided.
General Journal Correct Debit
21.01.18 Motor vehicle 10,500
Equipment at cost 700
Capital 11,200
(Owner
introduced assets
into the business)
23.01.18 Equipment at cost 1,500

GST paid 150
Accounts payable
(Purchased equipment on credit)
31.01.18 Accounts receivable 10
Late Fee Revenue
(Late fee charged on GDT Pty Ltd
account )
Authorised:
Jenny Chee
31.01.18
Sales Journal Correct
Date Invoice no. Sold to: Sales*
GST
collected
Accounts
receivable
05.01.18 1214
Solid Solutions
Ltd 1020.00 102.00 1122.00
09.01.18 1256 Allens Accounting 620.00 62.00 682.00
10.01.18 1259
Gumby Footy
Club 755.00 75.50 830.50
11.01.18 CN554 Allens Accounting -40.00 -4.00 -44.00
15.01.18 1285 GDT Pty Ltd 230.00 23.00 253.00
24.01.18 1304 S Smith 154.00 15.40 169.40
31.01.18 1324 Goodfield SHS 140.00 14.00 154.00
Totals 2892.00 287.90 3166.90
Authorised:
Jenny Chee
31.01.18
* All credit sales include GST.
Purchases Journal Correct
Date Invoice no. Bought from: Purchases GST paid
Accounts
payable

04.01.18 100471 CocaCola Ltd 485.00 48.50 533.50
04.01.18 56594
Donaldsons
Dairy 124.00 0 124.00
05.02.18 2201
Allens
Confection 260.00 26.00 286.00
07.01.18 567
Allens
Confection -20.00 -2.00 -22.00
08.01.18 5546 Clear Springs 155.00 0 155.00
13.01.18 56594
Donaldsons
Dairy 146.00 5.50 151.50
15.01.18 102484 CocaCola Ltd 845.00 84.50 929.50
19.01.18 44494 CocaCola Ltd -42.00 -4.20 -46.20
20.01.18 8997 Gmart Golf 62.00 6.20 68.20
30.01.18 56657
Donaldsons
Dairy 180.00 18.00 198.00
Totals 2195.00 182.50 2377.50
Authorised
: Jenny
Chee
31.01.18

Cash Receipts Journal * Cash sales include GST Free sales and taxable sales. Areas Marked yellow need fixing
Date Ref no. Particulars
Folio/
account GST Collected Sales*
Other
accounts
Accounts
receivable
Discount
Allowed Bank
06.01.18 215 Cash sales Sales 142.00 1510.00 1,652.00
08.01.18 216 Cash sales Sales 135.00 1,410.50 1,545.50
10.01.18 217 Cash sales Sales 5.00 50.00
12.01.18 218 Cash sales Sales 36.40 387.20 478.60
13.01.18 219 Rent received Rent 110.00 1,100.00 1,210.00
14.01.18 220 Solid Solutions A/C Rec 1122.00 1,122.00
18.01.18 221 Cash sales Sales 62.50 690.10 752.60
21.01.18 222
Gumby Football
Cl A/C Rec 830.50 830.50
22.01.18 223 Cash sales Sales 40.00 400.00 440.00
28.01.18 224 S Smith A/C Rec 169.40 169.4
29.01.18 225 Cash sales Sales 35.00 380.00 584.40
30.01.18 226
Owner
contribution Capital 2,000.00 2,000.00
31.01.18 227 Cash sales Sales 121.00 1,245.00 1,366.00
From bank
statement
excluding
contra entries Deposits 7315.78 7315.78
Totals 686.9 6072.8 10415.78 2121.9 19521.78

tmp8yre40jx.doc
Cash Payments Journal Areas Marked yellow need fixing
Date Ref no. Particulars
Folio/
Account GST Paid
Purch
ases
Other
accounts
Accounts
payable
Discount
Received Bank
01.01.18 45 Coles Purchases 35.60 384.20 419.80
04.01.18 46 Ready Realty Rent paid 100.00
1,000.
00 1,100.00
11.01.18 47 CocaCola Ltd A/C Pay 533.50 533.50
11.01.18 48 Telephone Telephone 32.40 324.00 356.40
11.01.18 49 Donaldsons Dairy A/C Pay 124.00 124.00
13.01.18 50 Cash purchases Purchases 4.30 43.00 47.30
13.01.18 51 Wages Wages 430.00 430.00
14.01.18 52 Clear Springs Various -0.50 155.00 -5.00 149.50
22.01.18 53 CocaCola Ltd A/C Pay 883.30 883.30
26.01.18 54
Gmart Golf -
Clubs Equipment 230.00 2,300.00 2,530.00
27.01.18 55 Wages Wages 510.00 510.00
31.01.18 56 Donaldsons Dairy A/C Pay 198.00 198.00
From B/S
excluding
contra entries 844.3 844.3
Totals 401.8 1427.2 4408.3 1893.8 8126.1

The Bank
Statement for
January 2018
Jolly
Amusements
2018 Withdrawals Deposits Balance
1 Jan Opening balance 25,154.68 Cr
4 Jan Deposit 1,256.00 26,410.68 Cr
4 Jan Withdrawal - Chq 000043 176.00 26,234.68 Cr
5 Jan Withdrawal – Chq 000045 419.80 25,814.88 Cr
7 Jan Deposit 1,652.00 27,466.88 Cr
9 Jan Deposit 1,545.50 29,012.38 Cr
12 Jan Withdrawal – Chq 000047 533.50 28,478.88 Cr
12 Jan Withdrawal – Chq 000046 1,100.00 27,378.88 Cr
12 Jan Deposit 478.60 27,857.48 Cr
12 Jan Withdrawal – Chq 000048 356.40 27,501.08 Cr
13 Jan Withdrawal – Chq 000049 124.00 27,377.08 Cr
13 Jan Deposit 1210.00 28,587.08 Cr
15 Jan Withdrawal – Chq 000051 430.00 28,157.08 Cr
15 Jan Deposit 1122.00 29,279.08 Cr
17 Jan Withdrawal – Chq 000052 149.50 29,129.58 Cr
18 Jan Direct debit Loan – The 230.00 28,899.58 Cr

tmp8yre40jx.doc
Bank
21 Jan Deposit 752.60 29,652.18 Cr
21 Jan Deposit 830.50 30,482.68 Cr
22 Jan Deposit 440.00 30,922.68 Cr
27 Jan Withdrawal – Chq 000054 2,530.00 28,392.68 Cr
29 Jan Deposit 584.40 28,977.08 Cr
31 Jan Bank charges 18.50 28,958.58 Cr
31 Jan Withdrawal – Chq 000055 510.00 28,448.58 Cr
31 Jan Interest on account 22.28 28,470.86 Cr

tmp8yre40jx.doc
Total 6577.7 9893.88

Bank Reconciliation as at 31/12/2017
Balance as per Bank Statement $25,154.68
Plus Outstanding Deposits
31.12.17 1,256.00
26,410.68
Less Unpresented Cheques
Chq no. 000043 176.00
Balance as per GL $26,234.68
c) Bank Reconciliation as at 31/01/2018
Balance as per Bank Statement 28470.86
Plus Outstanding Deposits 3,366
Less Unpresented Cheques
CHQ 50 $47.30
CHQ 53 $883.30
CHQ 56 $198

Balance as per GL 30,707.40
d) General Ledger accounts
Account Name: Cash at bank
Date Details Folio Debit Credit Balance
01/01/0
1 Opening balance 25154.68 dr
31.01.1
8
Cash payments CPJ 8126.1 17028.58 dr
31.01.1
8
Cash receipts CRJ 19521.78 36550.36 dr
add amts From the Bank statement

Account Name: Accounts receivable
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 1410.00 dr
31.01.1
8
Credit sales SJ 3166.9 4576.9 dr
31.01.1
8
Collections made CRJ 2121.9 2455 dr
Account Name: Equipment at cost
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 12,870.00 dr
21.1.18 Capital GJ 700 13570 dr
23.1.18 A/c Payable GJ 1500 15070dr
26.1.18 CPJ 2300 17370dr
Account Name: Motor Vehicles at cost
Date Details Folio Debit Credit Balance
21.1.28 Capital GJ 10500 10500 dr

Account Name: Accounts payable
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 279.00 cr
23.1.18 Equipment GJ 1650 1929 Cr
31.1.18 Purchases PJ 2377.5 4306.5 Cr
31.1.18 Payments made CPJ 1893.8 2412.7Cr
Account Name: GST collected
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 783.00 cr
31.1.18
Credit sales SJ 287.9 1070.9Cr
31.1.18
Cash Sales CRJ 686.9 1757.8
Account Name: GST paid
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 521.30 dr
31.1.18
Credit purchases PJ 182.5 703.8dr
31.1.18
Cash purchases CPJ 401.8 1105.6 dr

Account Name: Loan - The Bank
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 17,439.50 cr
CPJ 230 17669.5 cr.
Account Name: Capital
Date Details Folio Debit Credit Balance
01.01.1
8 Opening balance 22,534.48 cr
21.1.18 Motor vehicle 10500 33034.48 Cr
21.1.18 Equipment 700 33734.48 Cr
31.1.18 Cash introduced 2000 35734.48
Account Name: Sales
Date Details Folio Debit Credit Balance
30.1.18 Sales during the period CRJ 6072.8 6072.8 cr
30.1.18 Credit sales SJ 2879 8951.8 cr

Account Name: Rent received
Date Details Folio Debit Credit Balance
30.1.18
Received in cash CRJ 1100 1100 Cr
Accounting journals
reports
Account Name: Interest received
Date Details Folio Debit Credit Balance
Interest received 22.28 22.28 cr
Account Name: Discount received
Date Details Folio Debit Credit Balance
31.1.18 Cash payments CPJ 5 5 Cr
Account Name: Late Fee Revenue
Date Details Folio Debit Credit Balance
31.1.18 A/c Rec 10 10 Cr

Account Name: Purchases
Date Details Folio Debit Credit Balance
31.1.18 Credit purchases PJ 2195 2195 Dr
31.1.18
Cash purchases CPJ 1427.2 3622.2 Dr
Account Name: Wages
Date Details Folio Debit Credit Balance
31.1.18 Paid in cash CPJ 940 940 Dr
Account Name: Telephone
Date Details Folio Debit Credit Balance
31.1.18 Paid in cash CPJ 324 324 Dr
Account Name: Bank Charges
Date Details Folio Debit Credit Balance
31.1.18 Bank Charges CPJ 18.5 dr.

e)
Trial Balance of Jolly Amusements as at 31 January 2018
Account
Number
Account Name Debit Credit
100 Cash at bank 31328.26
110 Accounts Receivables 2455
174 Equipment at cost 17370
170 Motor Vehicles at cost 10500
210 Accounts Payable 2412.7
230 GST collected 1757.8
125 GST paid 1105.6
270 Loan - The Bank 17669.5
300 Capital 35734.48
400 Sales 8951.8
455 Rent received 1100
465 Discount received 5
475 : Late Fee Revenue 10
500 Purchases 3622.2
670 Wages 940
650 Telephone 324
602 Bank charges 18.5

460 Interest received 22.28
Total 67663.56 67532.18

f) Income Statement for the period ended 31 January 2018
JOLLY AMUSEMENTS
Income Statement
for the period ended
31 January 2018
Revenue
Sales 8951.8
Less Purchases 3622.2
GROSS PROFIT $ 5329.6
Add Other Revenue
Rent Received $ 1100
Interest Received $ 22.28
Discount Received $ 5
Late Fee Revenue $ 10
1247.28
Less Operating Expenses
Bank Charges $ 18.5
Telephone $ 324.00
Wages $ 940.00
1314.9

NET PROFIT $ 5184.38
g) Balance Sheet as at 31 January 2018
JOLLY AMUSEMENTS
Balance Sheet as at 31 January
2018
Current Assets
Cash at bank 31328.26
Accounts Receivable Control 2455
Non-current Assets
Motor Vehicles at Cost 10500
Equipment at Cost 17370

TOTAL ASSETS
Current Liabilities
GST Collected $ 1757.8
Less:GST Paid $ 1105.6 $ 652.2
Accounts Payable Control
$ 3064.9
Non-current Liabilities
Loan - The Bank
TOTAL LIABILITIES
NET ASSETS
OWNERS' EQUITY
Capital $
Plus Net Profit (From Income
Statement) $
40918.86