General Journal Page Number 001

Date Account Title P/R Debit Credit

2010
March 1 Pre-paid rent 15 2,400 00
Cash 11 2,400 00
2 Equipment 17 5,000 00
A/payable 21 5,000 00
3 Cash 11 1,700 00
A/receivable 12 1,700 00
4 Miscellaneous Expense 55 250 00
Cash 11 250 00
10 A/payable 21 1,000 00
Cash 11 1,000 00
13 Salary Expense 52 1,150 00
Cash 11 1,150 00
16 Cash 11 3,960 00
Sales 16 3,960 00
20 Supplies 14 1,300 00
Cash 11 1,300 00
27 Salary expense 52 1,150 00
Cash 11 1,150 00
31 Utility Expense 54 138 00
Cash 11 138 00
31 Utility Expense 54 350 00
Cash 11 350 00
31 Cash 11 3,740 00
Sales 41 3,740 00
31 A/receivable 12 3,350 00
Sales 41 3,350 00
31 Withdrawal Account 32 3,000 00
Cash 11 3,000 00
Account Title Cash Account Number 11
Date
2010 Item P/R Debit Credit Balance

March 1 Balance  7,000.00

1 GJ Page 001 2,400.00 4,600.00

3 GJ Page 001 1,700.00 6,300.00

4 GJ Page 001 250.00 6,050.00

10 GJ Page 001 1,000.00 5,050.00

13 GJ Page 001 1,150.00 3,900.00

16 GJ Page 001 3,960.00 7,860.00

20 GJ Page 001 1,300.00 6,560.00

27 GJ Page 001 1,150.00 5,410.00

31 GJ Page 001 138.00 5,272.00

31 GJ Page 001 350.00 4,922.00

31 GJ Page 001 3,740.00 - 8,662.00

31 GJ Page 001 3,000.00 5,662.00

Account Title A/Receivable Account Number 12

Date
2010 Item P/R Debit Credit Balance

March 1 Balance  1,900.00

1 GJ Page 001 1,700.00 200.00

31 GJ Page 001 3,350.00 3,550.00

Account Title Prepaid Insurance Account Number 13
Date
Item P/R Debit Credit Balance

Account Title Supplies Account Number 14

Date
2010 Item P/R Debit Credit Balance

March 1 Balance  2,400.00

20 GJ Page 001 1,300.00 3,700.00

31 Adjustment GJ page 002 2,700.00 1,000.00

Account Title Prepaid Rent Account Number 15

Date
2010 Item P/R Debit Credit Balance

March 1 GJ Page 001 2,400 2,400.00

31 Adjustment GJ page 002 800.00 1,600.00

Account Title Land Account Number 16

Date
Item P/R Debit Credit Balance

Account Title Office Equipment Account Number 17

Date
2010 Item P/R Debit Credit Balance

March 1 Balance  15,000.00

1 GJ Page 001 5,000.00 - 20,000.00

Account Title A/Payable Account Number 21
Date
2010 Item P/R Debit Credit Balance

March 2 GJ Page 001 5,000.00 5,000.00

10 GJ Page 001 1,000.00 - 4,000.00

Account Title Salaries payable Account Number 22

Date
Item P/R Debit Credit Balance

Account Title Owners Capital Account Number 31

Date
2010 Item P/R Debit Credit Balance
March 1 Balance  26,300.00
31 Clothing 4,512.00 30,812.00
3,000.00 27,812.00

Account Title Owners Drawing Account Number 32

Date
2010 Item P/R Debit Credit Balance

March 31 3,000.00 3,000.00

- 3,000.00

Account Title Income Summaries Account Number 33

Date
Item P/R Debit Credit Balance
2010
March 31 Clothing 11,050.00 11,050.00
31 Clothing 6,538.00 4,512.00
31 Clothing 4,512.00 0.00
Account Title Dividend Account Number 34
Date
Item P/R Debit Credit Balance

Account Title Sales Account Number 41

Date
2010 Item P/R Debit Credit Balance

March 16 GJ Page 001 3,960.00 3,960.00

31 GJ Page 001 3,740.00 7,700.00

31 GJ Page 001 3,350.00 11,050.00

31 Clothing GJ page 003 11,050.00 0.00

Account Title Other Revenue Account Number 42

Date
Item P/R Debit Credit Balance

Account Title Supplies Expense Account Number 51

Date
Item P/R Debit Credit Balance
2010
March 31 Adjustment GJ page 002 2,700.00 2,700.00
31 Clothing GJ page 003 2,700.00 0.00
Account Title Salary Expense Account Number 52
Date
2010 Item P/R Debit Credit Balance

March 13 Balance GJ Page 001 1,150.00 1,150.00

27 GJ Page 001 1,150.00 2,300.00

31 Clothing GJ page 003 2,300.00

Account Title Rent Expense Account Number 53

Date
2010 Item P/R Debit Credit Balance
March 31 Adjustment GJ Page 002 800.00 800.00
31 Clothing GJ page 003 800.00 0.00

Account Title Utilities Expense Account Number 54

Date
2010 Item P/R Debit Credit Balance

March 31 GJ Page 001 138 138.00

31 GJ Page 001 350 488.00

31 Clothing GJ page 003 488.00 0.00

Account Title Miscellaneous Expense Account Number 55

Date
2010 Item P/R Debit Credit Balance

March 4 GJ Page 001 250.00 250.00

31 Clothing GJ page 003 250.00 0.00
 Awash Corporation
Trial Balance
March 31,2010
Account Title Account Number Debit Credit
Cash 11 5,662.00
A/receivable 12 3,550.00
Supplies 14 3,700.00
Prepaid rent 15 2,400.00
Office Equipment 17 20,000.00
A/payable 21 4,000.00
Owners Capital 31 26,300.00
Owners Drawing 32 3,000.00
Sales 41 11,050.00
Salary Expense 52 2,300.00
Utilities Expense 54 488.00
Miscellaneous Expense 55 250.00
Total 41,350.00 41,350.00

Awash Corporation
Income Statement
March 31,2010
Revenue

Sales Income 11,050.00

Expense

Salary Expense 2,300.00

Utilities Expense 488.00

Miscellaneous Expense 250.00

Total Expense 3,038.00

Net Income 8,012.00

 Awash Corporation
Owners’ Equity Statement
March 31,2010
Revenue

Beginning Capital Balance 26,300.00

Net Income 8,012.00

Withdrawal (3,000.00)

Increased In Capital 5,012.00

Ending Capital Balance 31,312.00

Awash Corporation
Balance Sheet
March 31,2010
Asset

Cash 5,662.00

A/Receivable 3,550.00

Supplies 3,700.00

Prepaid rent 2,400.00

Office equipment 20,000.00

Total Asset 35,312.00

Liability

A/payable 4,000.00

Capital

Owner’s equity 31,312.00

Total Liability and Capital 35,312.00

Example of Adjusting Entry

1. Prepaid rent paid was used (Expired) for a month Birr 800.00
2. Supplies on hand at the end of the month was Birr 1,000.00
 Adjustment Entry for the above transaction

General Journal Page Number 002

Date Account Title P/R Debit Credit

2010
March 31 Rent Expense 53 800.00
Prepaid rent 15 800.00
31 Supplies Expense 51 2,700.00
Supplies 14 2,700.00
Awash Corporation
Work Sheet
For the month ended March.31, 2010
Account Title Unadjusted Trial Adjustment Adjusted Trial Income statement Balance sheet
Balance balance

Cash 5,662.00 5,662 5,662

Accounts receivable 3,550.00 3,550 3,550

Supplies 3,700.00 (b)2700 1,000 1,000

Prepaid rent 2,400.00 (a) 800 1,600 1,600

Office equipment 20,000.00 20,000 20,000

Accounts payable 4,000.00 4,000 4,000

Awash Capital 26,300.00 26,300 26,300

Awash drawing 3,000.00 3,000 3,000

Sales income 11,050.00 11,050 11,050

Salary expense 2,300.00 2,300 2,300

Utilities expense 488.00 488 488

Miscellaneous Expense 250.00 250 250

41,350 41,350.00

Supplies expense (b)2,700 2,700 2,700

Rent Expense (a)800 800 800

3,500 3,500 41,350 41,350 6,538 11,050 34,812 30,300

Net income 4,512 4,512

11,050 11,050 34,812 34,812

 Awash Corporation
Income Statement
March 31,2010
Revenue

Sales Income 11,050.00

Expense

Salary Expense 2,300.00

Utilities Expense 488.00

Miscellaneous Expense 250.00

Supplies expense 2,700.00

Rent Expense 800.00

Total Expense 6,538.00

Net Income 4,512.00

Awash Corporation
Owners’ Equity Statement
March 31,2010
Revenue

Beginning Capital Balance 26,300.00

Net Income 4,512.00

Withdrawal (3,000.00)

Increased In Capital 1,512.00

Ending Capital Balance 27,812.00

 Awash Corporation
Balance Sheet
March 31,2010
Asset

Cash 5,662.00

A/Receivable 3,550.00

Supplies 1,000.00

Prepaid rent 1,600.00

Office equipment 20,000.00

Total Asset 31,812.00

Liability

A/payable 4,000.00

Capital

Owner’s equity 27,812.00

Total Liability and Capital 31,812.00

General Journal Page Number 003

Date Account Title P/R Debit Credit

2010 Clothing entries
March 31 Sales income 41 11,050.00
Income Summery 33 11,050.00
31 Income Summery 33 6,538.00
Supplies Expense 51 2,700.00
Salary Expense 52 2,300.00
Rent Expense 53 800.00
Utility Expense 54 488.00
Miscelleous Expense 55 250.00
31 Income Summery 33 4,512.00
Capital 31 4,512.00
31 Capital 31 3,000.00
Withdrawal 32 3,000.00
 Awash Corporation
Post clothing Trial Balance
March 31,2010
Account Title Account Number Debit Credit
Cash 11 5,662.00
A/receivable 12 3,550.00
Supplies 14 1,000.00
Prepaid rent 15 1,600.00
Office Equipment 17 20,000.00
A/payable 21 4,000.00
Owners Capital 31 27,812.00
Total 31,812.00 31,812.00