Description of business transactions for the first year of operation:9-Jan Provided consulting services and received cash payment $8,60010-Jan The company sold 70 products at $150/produc
Trang 1PRINCIPLE OF ACCOUNTINGGROUP ASSIGNMENTINSTRUCTOR: NGUYỄN HOÀNG YẾN NHƯ
Semester: SPRING 2024Class: ACC101_IB1802
Group 4Name and ID:Nguyễn Huỳnh Mai Phương
Lý Mỹ PhươngNguyễn Tiến LộcĐàm Ngọc Nguyên ThảoTrần Thuỵ Thanh ThuýNguyễn Thị Trúc Ly
SS180072SS181161SS180881SS180951SS180926SS181198
Trang 3Table of Contents
A.Business introduction and a summary of the accounting cycle: 3
B.Description of business transactions for the first year of operation: 3
1.Transactions description: 3
2.Transaction analysis: 5
C.General Journal and Ledger: 10
D.Unadjusted trial balance, Adjustments, Adjusted trial balance: 15
Trang 4A Business introduction and a summary of the accounting cycle: - The name: VoyageMaster Agency
- Business line: VoyageMaster Agency is a leading provider of maritime services, offeringtailored solutions to clients in the maritime industry With a team of seasoned professionalsand decades of experience, VoyageMaster specializes in vessel management, crewing,technical support, and regulatory compliance Whether for small coastal operators ormultinational shipping corporations, VoyageMaster is dedicated to delivering personalizedservices that optimize vessel operations and enhance profitability Committed to reliability,integrity, and innovation, VoyageMaster Agency is your trusted partner in navigating thechallenges and opportunities of the maritime industry.
B Description of business transactions for the first year of operation:
9-Jan Provided consulting services and received cash payment $8,60010-Jan The company sold 70 products at $150/product, cost is $7,00011-Jan Purchased fixed assets (computer equipment) on credit $9,00013-Jan Withdrew capital for personal use $2,000
13-Jan Paid for insurance services in cash $750
3-Feb Sold goods to a customer and received cash payment $15,0003-Feb Paid for repair services with a credit card $1,200
13-Feb Purchased additional inventory for cash $3,000
16-Feb Received payment on an outstanding receivable for consulting services
Trang 55-Apr Provided consulting services and received payment on account $3,50021-Apr Purchased inventory for cash from a new supplier $7,000
3-May Sold goods to a customer on credit $4,5009-May Paid for rent with a check $5,000
28-May Received payment from a customer on an outstanding receivable for goods sold $3,500
1-Jun Purchased a company vehicle for cash $5,000
27-Jun Paid for website design services with a credit card $2,000
6-Jul Sold goods to a customer and accepted payment via electronic transfer $15,000
25-Jul Purchased office furniture on credit $3,500
2-Aug Provided training services and received cash payment $2,50016-Aug Paid for marketing services in cash $1,800
5-Sep Received payment from a customer on an outstanding receivable for services provided $3,200
15-Sep Purchased additional inventory on credit from a different supplier $12,000
12-Oct Paid for electricity with a check $1,000
29-Oct Sold goods to a customer and accepted payment via PayPal $9,00013-Nov Paid for IT support services with a credit card $1,500
26-Nov Received payment on an outstanding receivable for goods sold to a customer on credit $2,500
31-Dec The company purchased $3,000 of merchandise inventory for cash at
Trang 6Office supplies 500Cash 500Paid for a business license is $1,500
Business license expense 1.500Cash 1.500The company pays its employees a salary of $3,000
Salary expense 3.000Cash 3.000Purchased inventory on credit from a supplier $10,000
Inventory 10.000Account payable 10.000Paid for advertising services in cash $1,000
Advertising expense 1.000Cash 1.000Provided consulting services and received cash payment $8,600
Consulting services rendered 8.600The company sold 70 products at $150/product; cost is $7,000
Trang 7Account receivable 10.500Revenue 10.500
Inventory 7.000Purchased fixed assets (computer equipment) on credit $3,000
Computer equipment 3.000Account payable 3.000Withdrew capital for personal use $2,000
Owner’s withdraw 2.000Cash 2.000Paid for insurance services in cash $750
Prepaid insurance 750Cash 750Sold goods to a customer and received cash payment $15,000
Sales revenue 15.000Paid for repair services with a credit card $1,200
Repairs and Maintenance Expense 1.200Cash 1.200Purchased additional inventory for cash $3,000
Inventory 3.000Cash 3.000Received payment on an outstanding receivable for consulting services $4,500
Account receivable 4.500Took out a bank loan to purchase new equipment $8,000
Trang 8Cash 8.000Bank Loan payable 8.000Paid for leasing services in cash $1,500
Rent expense 1.500Cash 1.500The company sold 60 products at $150/product
Account receivable 9.000Revenue 9.000
Inventory 6.000Acquired a building for the business $10,000
Building 10.000Cash 10.000Paid for legal services with a credit card $2,500
Legal Services Expense 2.500Cash 2.500Sold goods on credit to a customer $8,000
Account receivable 8.000Consulting revenue 8.000Purchased office supplies on credit $1,000
Office supplies 1.000Account payables 1.000Paid for accounting services in cash $2,000
Accounting Services expense 2.000Cash 2.000Provided consulting services and received payment on account $3,500
Trang 9Account receivables 3.500Consulting revenue 3.500Purchased inventory for cash from a new supplier $7,000
Inventory 7.000Cash 7.000Sold goods to a customer on credit $4,500
Account receivables 4.500Sales revenue 4.500Paid for rent with a check $5,000
Rent expense 5.000Cash 5.000Received payment from a customer on an outstanding receivable for goods sold $3,500
Account receivables 3.500Provide services and a 30% discount for customers After recording accounts receivable of
Sale discount 585
Account receivable 1.950Purchased a company vehicle for cash $5,000
Vehicle 5.000Cash 5.000Paid for website design services with a credit card $2,000
Website design expense 2.000Cash 2.000Sold goods to a customer and accepted payment via electronic transfer $15,000
Trang 10Sale revenue 15.000Purchased office furniture on credit $3,500
Office Furniture 3.500Account payable 3.500Provided training services and received cash payment $2,500
Training Services Revenue 2.500Paid for marketing services in cash $1,800
Marketing expense 1.800Cash 1.800Received payment from a customer on an outstanding receivable for services provided
Account receivables 3.200Purchased additional inventory on credit from a different supplier $12,000
Inventory 12.000Account payables 12.000Provide services and a 15% discount for customers After recording accounts receivable of
Sale discount 540
Account receivable 3.600Paid for electricity with a check $1,000
Utilities expense 1.000Cash 1.000Sold goods to a customer and accepted payment via PayPal $9,000
Trang 11Sales revenue 9.000Paid for IT support services with a credit card $1,500
IT Support expense 1.500Cash 1.500Received payment on an outstanding receivable for goods sold to a customer on credit
Account receivables 2.500The company purchased $3,000 of merchandise inventory for cash at $150/unit
Inventory 3.000Cash 3.000Provide services and a 25% discount for customers After recording accounts receivable of
Sale discount 2.250Account receivable 9.000The merchandise was defective but the customer agreed to keep it because company offers
Trang 128-Jan Advertising service 1,000 94,0009-Jan Consulting service 8,600 102,60013-Jan Withdrawals 2,000 100,60013-Jan Insurance service 750 99,8503-Feb Sold goods 15,000 114,8503-Feb Repair service 1,200 113,65013-Feb Purchases inventory 3,000 110,65016-Feb Receive payment 4,500 115,15020-Feb Took out pay loan and buy
equipment 8,000 123,15022-Feb Paid rent 1,500 121,65026-Feb Acquired building 10,000 111,65028-Feb Legal service 2,500 109,15030-Mar Paid for accounting service 2,000 107,15021-Apr Purchases inventory 7,000 100,1509-May Paid rent 5,000 95,15028-May Receive payment 3,500 98,6501-Jun Purchases vehicle 5,000 93,65027-Jun Website design 2,000 91,6506-Jul Sold goods 15,000 106,6502-Aug Training service 2,500 109,15016-Aug Marketing service 1,800 107,3505-Sep Receive payment 3,200 110,55012-Oct Paid for electricity 1,000 109,55029-Oct Sold goods 9,000 118,55013-Nov IT support 1,500 117,05026-Nov Receive payment 2,500 119,55031-Dec Purchases inventory 3,000 116,550
ACCOUNT RECEIVABLE
Date Explanation PR Debit Credit Balance10-Jan Sold 70 products 10,500 10,500
Trang 1316-Feb Receive payment 4,500 6,00025-Feb Sold 60 products 9,000 15,0005-Mar Sold goods on credit 8,000 23,0005-Apr Provided service 3,500 26,5003-May Sold goods 4,500 31,00028-May Receive payment 3,500 27,5005-Sep Receive payment 3,200 24,30026-Oct Receive payment 2,500 21,800
Date Explanation PR Debit Credit Balance10-Jan Sold 70 products 7,000 7,00025-Feb Sold 60 products 6,000 13,000
MERCHANDISE INVENTORY
Date Explanation PR Debit Credit Balance7-Jan Purchases 100 products 10,000 10,00010-Jan Sold 70 products 7,000 3,00013-Feb Purchases inventory 3,000 6,00025-Feb Sold 60 products 6,000 -21-Apr Purchases inventory 7,000 7,00015-Sep Purchases inventory 12,000 19,00031-Dec Purchases inventory 3,000 22,000
Trang 14BANK LOAN PAYABLE
Date Explanation PR Debit Credit Balance20-Feb Took out pay loan and buy
equipment 8,000 8,000ACCOUNT CAPITAL
Date Explanation PR Debit Credit Balance
Trang 151-Jan Investment 100,000 100,000ONWER'S WITHDRAWL
Date Explanation PR Debit Credit Balance13-Jan Withdrawals 2,000 2,000
Date Explanation PR Debit Credit Balance9-Jan Consulting service 8,600 8,60010-Jan Sold 70 products 10,500 19,1003-Feb Sold goods 15,000 34,10025-Feb Sold 60 products 9,000 43,1005-Mar Sold goods on credit 8,000 51,1005-Apr Provided service 3,500 54,6003-May Sold goods 4,500 59,1006-Jul Sold goods 15,000 74,1002-Aug Training service 2,500 76,60029-Oct Sold goods 9,000 85,600
Date Explanation PR Debit Credit Balance3-Jan Paid for business license 1,500 1,5008-Jan Advertising service 1,000 2,5003-Feb Repair service 1,200 3,70022-Feb Paid rent 5,000 8,70028-Feb Legal service 2,500 11,20030-Mar Paid for accounting service 2,000 13,20027-Jun Website design 2,000 15,20016-Aug Marketing service 1,800 17,00012-Oct Paid for electricity 1,000 18,00013-Oct Paid rent 1,500 19,50013-Nov IT support 1,500 21,000
Trang 1631-Dec Purchases inventory 3,000 24,000
D Unadjusted trial balance, Adjustments, Adjusted trial balance:
Unadjusted Trial BalanceFor the year ended 2023
Account title Dr Cr Dr Cr Dr CrCash
Account receivableInventoryCOGSPrepaid InsuranceOffice SuppliesOffice FurnitureEquipmentUnearned revenuePrepaid rentDepreciation expenseAccumulated depreciationBuilding
VehiclesAccount PayableBank Loan payableOwner capitalOwner withdrawalSales revenueAdvertising expense
Repairs and Maintenance116,5502180022,00013,0007501,5003,5009,000
35,5008,000100,00089,600
Trang 17ExpenseRent expenseLegal expenseAccounting expenseWebsite design expenseMarketing expenseUtilities expenseBusiness license expenseSalary expenseIT support expense
Rent expense 18,000Prepaid rent 18,0003 The company purchased a vehicle for $5,000 and an estimated lifespan of 5 years.Depreciation recorded annually using the straight-line method will be $1,000
Trang 18($5,000/5 years)
Depreciation expense 1,000Accumulated depreciation 1,000
Trang 19E Financial statement:
1 Income Statement:
VoyageMaster AgencyIncome statementFor the year end 2023
$1,000$1,200 $24,500
$2,500$2,000$2,000 $1,800$1,000$1,500$3,000$1,000$1,500
Total expensesNet income
2 Statement of owner’s equity:
VoyageMaster AgencyOwner’s equity statement
For the year ended 2023
VoyageMaster Agency’s capital
Add: Net income $46,600
Trang 20Investment by owner $100,000Total $146,600
Less: Withdrawal by owner $2,000Owner’s capital, $144,600
Accumulated Depreciation
$116,550$21,800$22,000$750$1,500$3,500-$18,000$9,000$10,000$5,000-$1,000Total Assets $171,100
Liabilities and Owner's Equity
Accounts payableBank Loan payablesUnearned revenue
$35,500$8,000-$4,000Total liabilities $39,500
Trang 21Prepaid Insurance 750Office Supplies 1,500Office Furniture 3,500Equipment 9,000Unearned revenue 4,000
Prepaid rent 18,000Depreciation expense 1,000
Accumulated depreciation 1,000Building 10,000
Account Payable 35,500Bank Loan Payable 8,000Owner capital 100,000Owner withdrawal 2,000
Sales revenue 89,600Advertising expense 1,000
Repairs and Maintenance Expense 1,200Rent expense 24,500Legal expense 2,500Accounting expense 2,000Website design expense 2,000Marketing expense 1,800Utilities expense 1,000Business license expense 1,500
Trang 22Salary expense 3,000IT support expense 1,500
Total 252,100252,100
VoyageMaster AgencyPosting - Trial BalanceFor the End Year 2023
Account receivableInventoryPrepaid InsuranceOffice SuppliesOffice FurnitureEquipmentVehiclesUnearned revenuePrepaid rentBuildingAccount PayableBank Loan payableAccumulated depreciationCapital
CLOSE REVENUE ACCOUNTS TO INCOME SUMMARY
Date Accounts Titles Debit CreditDec 31 Revenue 89.600
Income Summary 89.600
CLOSE EXPENSE ACCOUNTS TO INCOME SUMMARY
Trang 23Dec 31 Income summary 56,000
Expense 56,000
CLOSE INCOME SUMMARY TO OWNER’S CAPITAL
Dec 31 Income summary 33,600
Net income 33,600
CLOSE WITHDRAWALS TO OWNER’S CAPITAL
Dec 31 Owner, capital 2,000
Net profit margin = ( Net income / Net Sales ) *100% = ( 46,600 / 89,600) * 100% = 52,01%ROA = ( Net income / Total asset ) * 100% = ( 46,600 / 171,100 ) * 100% = 27,24%ROE = ( Net income / Total equity ) * 100% = ( 46,600 / 144,600 ) * 100% = 32,23%
2 Conclusion :
Through the above indicators, it can be seen that the company is having a fairly stable andeffective business operation in the first year When the company's total debt and debt to equityare quite low, both are less than 1 The Net Profit Margin index is also quite high at 52,01%.
Trang 24Furthermore, the performance indicators ROA and ROE are also relatively stable, reaching27,24% and 32,23%, respectively.