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Snider a young accountant started Snider Accounting Services on 1 September

Snider a young accountant started Snider Accounting Services on 1 September


Snider a young accountant started Snider Accounting Services on 1 September

During September, the following transactions of the business took place. (Note: for the purposes of this lecture illustration, GST and PAYG tax are ignored.)

1. On 1 September Snider invested $7,000 to start the business

2. On 1 September the business paid $3,000 for one year's rent of office space in advance

3. On 2 September office equipment was purchased at a cost of $5,000. A down payment of $1,000 was made and a $4,000, one year note was signed for the balance owed. 

4. On 5 September office supplies were purchased for $600 cash 

5. On 18 September $1,000 was collected from clients for accounting services performed

6. On 28 September $500 wages were paid to an accounting assistant (zero PAYG Tax)

7. On 29 September Snider withdrew $800 for personal use

8. On 30 September the business billed clients $1,200 for accounting services performed during the second half of September

9. On 30 September the September electricity bill of $100 (zero GST) was received; it will be paid in early October

10. On 30 September Snider recorded the following balance-day adjustments:
- Rent expense of $250
- Depreciation of $60 on office equipment
- Interest expense of $40 on note payable
- Office supplies used of $50

Roshan kumar 01-Dec-2017

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