Detailed T Account Bookkeeping and Trial Balance for Perfect Pies

This assignment solution focuses on T account bookkeeping for a fictional business, Perfect Pies. The document begins with a series of journal entries detailing various transactions, including cash investments, loans, purchases, and expenses. These entries are then used to create T accounts for each item, such as cash, capital, rent, and equipment, showing debits and credits. Finally, a trial balance is prepared, summarizing the debit and credit balances from the T accounts to ensure the accounting equation (Assets = Liabilities + Equity) is balanced. The assignment demonstrates the fundamental steps in the accounting cycle, from recording transactions to preparing financial statements. The solution is useful for students learning basic accounting principles and practicing the preparation of financial records.

T Account Bookkeeping

TABLE OF CONTENTS
Journal entries..............................................................................................................................1
Preparing T accounts...................................................................................................................2
Trial balance................................................................................................................................5

Journal entries
Journal of Perfect Pies for the month of July is as follows:
Particulars Debit (in £) Credit (in £)
Cash a/c Dr
To capital a/c
3000
3000
Cash at bank a/c Dr.
To debt or loan a/c
20000
20000
Rent a/c Dr
To cash a/c
2500
2500
Kitchen equipment a/c Dr
To cash a/c
15000
15000
Computer a/c Dr
To creditors a/c
350
350
Till a/c Dr
To creditors a/c
350
350
Purchase a/c Dr
To Pastry Plc (Creditors)
To Fillings Ltd (Creditors)
6000
4000
2000
Purchase a/c Dr
To cash
To Traditional Pie company
(Creditors)
500
250
250
Electricity expenses a/c Dr
To cash a/c
350
350
Cash a/c Dr
To unearned revenue
600
600
Drawing a/c Dr
To cash a/c
500
500

Preparing T accounts
T -Account Cash
Dat
e Details Amount £
Dat
e Details Amount £
Capital 3000 Kitchen equipment
1500
0
unearned
revenue 600 Purchase 250
Electricity
expenses 350
Drawing 500
Rent paid 2500
Balance c/d 15000
T -Account Capital
Date Details Amount £ Date Details Amount £
Cas
h
300
0
Balance
c/d
300
0
T -Account cash at bank
Date Details Amount £ Date Details Amount £
Debt or
loan 20000
Balance
c/d
20000

T -Account for loan
Date Details Amount £ Date Details Amount £
Cash at
bank
2000
0
Balance
c/d
2000
0
T -Account for Rent a/c
Date Details Amount £ Date Details
Amount
£
Cash a/c 2500
Balance c/d 2500
T -Account for kitchen equipment
Date Details Amount £ Date Details Amount £
Cash
a/c
1500
0
Balance
c/d
1500
0
T -Account for Computer
Date Details Amount £ Date Details Amount £

Credito
rs 350
Balance
c/d 350
T -Account for till
Date Details Amount £ Date Details Amount £
Creditor
s 350
Balance
c/d 350
T -Account for Purchase
Date Details Amount £ Date Details Amount £
Pastry Plc
400
0
Fillings Ltd
200
0
Traditional Pie
company 250
Cash 250
Balance
c/d
650
0
T -Account for Creditors
Date Details Amount £ Date Details Amount £
Computers
a/c 350

Till a/c 350
Purchase a/c
600
0
Purchase a/c 250
Balance
c/d
695
0
T -Account for Electricity expenses
Date Details Amount £ Date Details Amount £
Cash
a/c 350
Balance
c/d 350
T -Account for Unearned Revenue
Date Details Amount £ Date Details Amount £
Cash
a/c 600
Balance
c/d 600
T -Account for Drawing
Date Details Amount £ Date Details Amount £
Cash a/c 500
Balance
c/d 500

Trial balance
Particulars Debit (in £) Credit (in £)
Capital 3000
Drawing 500
Cash (overdraft) 15000
Cash at bank 20000
Purchase 6500
Loan 20000
Electricity expenses 350
Unearned revenue 600
Creditors 6950
Kitchen equipment 15000
Computer 350
Till 350
Rent paid 2500
Total 32150 32150