<p> Unit Five: The Expanded Ledger Assignment 1 (U5A1) Value 75</p><p>Group Members: and Date: Complete all questions in this document. Also, use the General Journal on the O: drive when required. Take your time to do this correctly. Use the Chapter 5 PowerPoint notes to aide you in completing this. </p><p>Question I Value 10</p><p>Analyze the affect of each transaction by completing the form. The first transaction has been completed for you. </p><p>Note the following: . Expense and Drawing amounts are negative indicating a decrease in equity. . Some transactions produce a nil or zero effect. For these transactions enter a 0 under the appropriate classification</p><p>Total Total Total Equity Transaction Assets Liabilities Capital Drawing Revenue Expense Paid the monthly power bill $250. -250 -250</p><p>Sold a service for cash 1 $1 000. </p><p>Reduced the bank loan $600. 2 Purchased $320 of supplies on account. 3 Paid a supplier $500 on account. 4 </p><p>Purchase a new automobile on credit 5 $12 000. </p><p>Sold a service on credit $810 6 Paid employee salaries $1 200 7 Owner withdrew $200 cash for 8 personal use. </p><p>Paid $50 for advertising. 9 Owner collected $120 from a debtor 10 and kept the money for personal use. Unit Five: The Expanded Ledger Assignment 1 (U5A1) Value 75</p><p>Question II Value 10</p><p>Complete the following by selecting “debit” or “credit” from the drop-down form.</p><p>1. The Bank account normally has a Debit balance.</p><p>2. The owner takes a computer from the business for his person use. The Drawings account receives a Debit entry.</p><p>3. A revenue account normally has a Debit balance.</p><p>4. An expense account normally has a Debit balance.</p><p>5. Net loss can be thought of as a Debit to equity.</p><p>6. Receiving money from a debtor requires a Debit entry to the debtor’s account.</p><p>7. An increase in equity can be considered a Debit to the capital account.</p><p>8. A cash customer is given a refund. The bank account will receive a Debit entry and the revenue account will receive a Debit entry.</p><p>9. An advertisement in the local newspaper is purchased on credit. The expense account will receive a Debit entry.</p><p>Question III Value 20</p><p>Harriet Landry is lawyer in Saint John, New Brunswick. The following accounts are in Harriet’s ledger:</p><p>Bank A/P NB Power A/R J. Kelly H. Landry, Capital A/R G. Tilley H. Landry, Drawings A/R Z. Underhill Fees Earned Office Supplies Advertising Expense Furniture & Equipment Automobile Expense Automobiles Cleaning Expense Bank Loan Interest Expense A/P Avco Supply Telephone Expense A/P Savion’s Office Cleaner’s Co. Utilities Expense A/P Daily Journal Wages Expense</p><p>Record the following transactions using the chart provided. The first transaction is completed for you. Unit Five: The Expanded Ledger Assignment 1 (U5A1) Value 75</p><p>Transactions July 2 Issued a $250 cheque for the purchase of office supplies. 2 Received the monthly power bill for $275. The company has 30 days to pay. 5 Received $270 from a customer for services performed for cash 7 Issued a bill to J. Kelly for $490 for services sold on credit 10 Received a bill from the Daily Journal regarding a $120 advertisement placed in the newspaper on credit. 14 Received a bill from Savion’s Office Cleaners $150 for weekly cleaning. 14 Paid secretary wages of $380. 17 Received $285 from Z. Underhill in part payment of the amount owed. 23 Received a notice from the bank stating that $80 had been taken from the business’s bank account to pay for interest charges on the bank loan 28 Issued a $275 cheque to NB Power for the amount owing. 30 Issued a cheque for $200 to Harriet Landry, the owner, for her personal use.</p><p>Debits Credits Date Account(s) Amount Account(s) Amount July 2 Office Supplies 250 Bank 250</p><p>Unit Five: The Expanded Ledger Assignment 1 (U5A1) Value 75</p><p>Question IV Value 35</p><p>Simon Daigle owns and operates his own lawn care company. The following accounts are in Simon’s ledger:</p><p>Bank A/P East Coast Repair A/R P. Anderson S. Daigle, Capital A/R W. McPherson S. Daigle, Drawings A/R M. Osborn Revenue Supplies Advertising Expense Equipment Interest Expense Truck Telephone Expense Bank Loan Truck Expense A/P Green Supply Utilities Expense</p><p>Enter the following transactions on page 17 of the General Journal form provided. . Remember to include explanations and one blank line between transactions. (Correct account names and descriptions are each worth 0.5 marks, total of 1.5 per transaction). . Transfer the entries to the provided ledger and answer the questions found directly beneath the ledger accounts. Transactions</p><p>May</p><p>2 Received $210 cash for services performed. 3 Purchased $110 supplies on credit from Green Supply 8 Received $400 from P. Anderson as payment on account. 10 M. Osborn paid $100 on her account Simon Daigle, the owner, kept the money for personal use 10 Received a bill from East Cost Repair for $105 for repairs to the truck. 14 Received $500 cash for services performed. 18 Paid $50 cash for an advertisement in the Daily Journal. 21 Received notice from the bank indicating that $60 was taken from the bank account to pay for interest charges on the loan. 26 Performed $350 services for M. Osborn on credit 29 Issued a cheque for $120 to Green Supply in part payment of the amount owing.</p><p>Bank A/R Anderson A/R McPherson A/R Osborn Unit Five: The Expanded Ledger Assignment 1 (U5A1) Value 75</p><p>3000 600 100 100 </p><p>Bal Bal Bal Bal </p><p>Supplies Equipment Truck 400 1 250 6 500 </p><p>Bal Bal Bal </p><p>Bank Loan A/P Green Supply A/P East Cost Repair 1 800 200 100</p><p>Bal Bal Bal </p><p>S. Daigle, Capital S. Daigle, Drawings Revenue Advertising Expense 9 850 </p><p>Bal Bal Bal Bal </p><p>Interest Expense Telephone Expense Truck Expense</p><p>Bal Bal Bal </p><p>What is the sum of the credit accounts? What is the sum of the debit accounts? What is the net income/loss for the month of May? </p>