2020 PHS 3N POA EOY P1 Q1
1 Nopia Noodles is in the business of selling gluten-free and low-GI noodles. The following transactions took place in the month of October 2019.
2019 | |
Oct 8 | Paid utilities expense, $300, by cash. |
13 | Sold noodles, of list price $2 050, to Chengye Cafe on credit. A trade discount of $50 was given. The cost price of the good sold was $630. |
17 | Paid supplier, Fam Factory, by cheque for the amount owing, |
25 | Nopia, the owner, paid for stationery, $70 using personal cash. |
REQUIRED
Complete the following table to show the effects of the above transactions on assets, liabilities and equity. The transaction on 8 October 2019 is given as an example.
[12]
2019 | |||
Oct 8 | Cash in hand -$300 | No effect | Utilities expense -$300 |
13 | |||
17 | |||
25 |
[TOTAL 12]
2019 | |||
Oct 8 | Cash in hand -$300 | No effect | Utilities expense -$300 |
13 | Trade receivable – Chengye Café [0.5] +$2 000 [0.5] Inventory [0.5] -$630 [0.5] | No effect [0.5] | Sales revenue [0.5] +$2 000 [0.5] Cost of sales [0.5] -$630 [0.5] |
17 | Cash at bank [0.5] -$2 280 [1] | Trade payable – Fam Factory [0.5] -$2 400 [1] | Discount received [0.5] +$120 [1] |
25 | No effect [0.5] | No effect [0.5] | Stationery [0.5] -$70 [0.5] Capital [0.5] +$70 [0.5] |