Erik Torsten Hardwares

Worksheet
for the month ended November 30, 2022

UNADJUSTED ADJUSTED STATEMENT OF STATEMENT OF

ACCOUNT NAMES TRIAL BALANCE ADJUSTMENTS TRIAL BALANCE PROFIT OR LOSS FINANCIAL POSITION
DR CR DR CR DR CR DR CR DR CR
Cash 455,263 455,263 455,263
Accounts Receivable 75,000 75,000 75,000
Allowance for Doubtful Accounts 1,500 2,250 3,750 3,750
Commissions Receivable 8,000 8,000 8,000
Merchandise Inventory 150,000 130,000 150,000 130,000 130,000
Store Supplies 17,000 12,000 5,000 5,000
Prepaid Insurance 90,000 15,000 75,000 75,000
Equipment 230,000 230,000 230,000
Accumulated Depreciation - Equipment 13,800 17,250 31,050 31,050
Furniture 180,000 180,000 180,000
Accumulated Depreciation - Furniture 15,000 18,750 33,750 33,750
Accounts Payable 46,500 46,500 46,500
Notes Payable 150,000 150,000 150,000
Interest Payable 225 225 225
Utilities Payable 23,000 23,000 23,000
Unearned Sales Revenue 53,600 23,600 30,000 30,000
Torsten, Capital 837,200 837,200 837,200
Torsten, Drawing 16,000 16,000 16,000
Income Summary 150,000 130,000 150,000 130,000 150,000 130,000
Sales 332,100 23,600 355,700 355,700
Sales Returns and Allowances 6,000 6,000 6,000
Sales Discounts 2,122 2,122 2,122
Commissions Income 8,000 8,000 8,000
Purchases 147,000 147,000 147,000
Freight-In 2,000 2,000 2,000
Purchase Returns and Allowances 7,500 7,500 7,500
Purchase Discounts 2,985 2,985 2,985
Cleaning Services Expense 15,000 15,000 15,000
Freight-Out 1,800 1,800 1,800
Insurance Expense 15,000 15,000 15,000
Interest Expense 225 225 225
Rent Expense 30,000 30,000 30,000
Salaries Expense 43,000 43,000 43,000
Store Supplies Expense 12,000 12,000 12,000
Utilities Expense 23,000 23,000 23,000
Depreciation Expense – Equipment 17,250 17,250 17,250
Depreciation Expense – Furniture 18,750 18,750 18,750
Doubtful Accounts Expense 2,250 2,250 2,250
1,460,185 1,460,185 400,075 400,075 1,659,660 1,659,660 485,397 504,185 1,174,263 1,155,475
Net Income 18,788 18,788
504,185 504,185 1,174,263 1,174,263
 Erik Torsten Hardwares
Statement of Profit and Loss
for the month ended November 30, 2022
Account Title Note Debit Credit
Net Sales Revenue 1 347,578
Cost of Sales 2 158,515
Gross Profit 189,063
Other Income 3 8,000
Total Income 197,063
Operating Expense
Distribution 4 106,600
Administrative 5 71,450
Other Expense -
Finance Cost 6 225 178,275
Net Income 18,788
========
 Erik Torsten Hardwares
Statement of Owner’s Equity
for the month ended November 30, 2022
Account Title Debit Credit
Torsten, Capital beg. 837,200
Add: Net Income 18,788
Sub Total 855,988
Less: Torsten, Drawing 16,000
Torsten, Capital End 839,988
========
 Erik Torsten Hardwares
Statement of Financial Position
for the month ended November 30, 2022
Assets Note
Cash 455,263
Trade and Other Receivable 7 79,250
Merchandise Inventory End 130,000
Prepaid Expenses 8 75,000
Store Supplies 5,000
Total Current Assets 744,513
Property, Plant and Equipment 9 345,200
Total non Current Assets 345,200
Total Assets 1,089,713

Liabilities and Owner's Equity

Current Liabilities
Trade and Other Payable 10 249,725
Total Liabilities 249,725
Owner's Equity
Torsten, Capital 839,988
Total Liabilities and Owner's Equity 1,089,713
=========
 Notes for SPL Notes for SFP
Note 1 -Net Sales Note 7 -TOR
Sales 355,700 Accounts Receivable 75,000
less: sales dicount 6,000 Less:Allowance for Bad Debts 3,750
Sales returns and allowance 2,122 Commission Receivable 8,000
Net Sales 347,578 Total Trade and Other Receivable 79,250

Note 2 - Cost of Sales Note 8 - Prepaid Expense

Merchandise Inventory Beg. 150,000 Prepaid Insurance 75,000
Add: Net cost of purchase Total Prepaid Expense 75,000
Purchase 147,000
Less: Purchase return and Allowance 7500 Note 9 - PPE
Purchase Discount 2985 Equipment 230,000
Net Purchase 136,515 Less: Accumulated Depreciation - Equipemnt 31,050
Add: Freight In 2,000 Furniture 180,000
Total Goods Available for Sales 288,515 Less: Accumulated Depreciation - Furniture 33,750
Less: Merchandise Inventory End 130,000 Net Carrying Value 345,200
Cost of Sales 158,515
Note 10 - TOP
Note 3 - Total other Income Accounts Payable 46,500
Commission Income 8,000 Notes Payable 150,000
Total other Income 8,000 Interest Payable 225
Utilities Payable 23,000
Note 4 - Distribution Cost Unearned Sales Revenue 30,000
Salaries Expense 43,000 Total Trade and Other Payable 249,725
Rent Expense 18,000
Utilities Expense 13,800
Store Supplies Expense 12,000
Insurance Expense 9,000
Cleaning Service Expense 9,000
Freight Out 1,800
Total Distribution Cost 106,600
Note 5 - Administrative Cost
Depreciation Expense - Furniture 18,750
Depreciation Expense - Office Equipment 17,250
Rent Expense 12,000
Utilities Expense 9,200
Insurance Expense 6,000
Cleaning Service Expense 6,000
Bad Debt Expense 2,250
Total Administrative Expense 71,450

Note 6 - Finance Cost

Interest Expense 225
Total Finance Cost 225
 Erik Torsten Hardwares
Post Closing Trial Balance
November 30, 2022
Account Title Debit Credit
Cash 455,263
Accounts Receivable 75,000
Allowance for Doubtful Accounts 3,750
Commissions Receivable 8,000
Merchandise Inventory 130,000
Store Supplies 5,000
Prepaid Insurance 75,000
Equipment 230,000
Accumulated Depreciation - Equipment 31,050
Furniture 180,000
Accumulated Depreciation - Furniture 33,750
Accounts Payable 46,500
Notes Payable 150,000
Interest Payable 225
Utilities Payable 23,000
Unearned Sales Revenue 30,000
Torsten, Capital 839,988
Total 1,158,263 1,158,263
=========== =========
ADJUSTING ENTRIES
DATE DESCRIPTION DR
Nov/30/2022 A Insurance Expense 15,000
Prepard Insurance
To record Insurance Expense

B Interest Expense 225

Interest Payable
To record Interest Expense

C Unearned Sales Revenue 23,600

Sales
To record Accrued Income

D Commissions Receivable 8,000

Commissions Income
To record commission Income

E Utilities Expense 23,000

Utilities Payable
To record Utilities Expense

F Supplies Expense 12,000

Supplies
To record Supplies Expense

G Depreciation Expense - Equipment 17,250

Accumulated Depreciation - Equipment
To record Depreciation Expense

H Depreciation Expense - Furniture 18,750

Accumulated Depreciation - Furniture
To record Depreciation Expense

I doubful Account Expense 2,250

Allowance for doubful Account
To record Doubful Account

J Income Summary 150,000

Merchandise Inventory
To Close Merchandise Inventory Beginning

Merchandise Inventory 130,000

Income Summary
To record Merchandise Inventory Ending
 CLOSING ENTRIES
CR DATE DESCRIPTION
Nov/30/2022
15,000

225

23,600

8,000

23,000

12,000

17,250

18,750

2,250

150,000

130,000
 DESCRIPTION DR CR
Income Summary 335,397
Sales Returns and Allowances 6,000
Sales Discounts 2,122
Purchases 147,000
Freight-In 2,000
Cleaning Services Expense 15,000
Freight-Out 1,800
Insurance Expense 15,000
Interest Expense 225
Rent Expense 30,000
Salaries Expense 43,000
Store Supplies Expense 12,000
Utilities Expense 23,000
Depreciation Expense – Equipment 17,250
Depreciation Expense – Furniture 18,750
Doubtful Accounts Expense 2,250
To close all dedit nominal account

Sales 355,700
Commissions Income 8,000
Purchase Returns and Allowances 7,500
Purchase Discounts 2,985
Income Summary 374,185
To close all credit nominal account

Income Summary 18,788

Torsten, Capital 18,788
To Close Income Summary Account

Torsten, Capital 16,000

Torsten, Drawing 16,000
To Close Drawing Account Against Capital
REVERSING ENTRIES
DATE DESCRIPTION DR
Dec/01/2022 Interest Payable 225
Interest Expense
Reversing Entries

Commissions Income 8,000

Commissions Receivable
Reversing Entries

Utilities Payable 23,000

Utilities Expense
Reversing Entries
CR

225

8,000

23,000
 Cash
DATE DESCRIPTION DR DATE DESCRIPTION CR DATE
30-Nov Balance 455,263

Accounts Receivable
DATE DESCRIPTION DR DATE DESCRIPTION CR DATE
30-Nov Balance 75,000

Allowance for Doubtful Accounts

DATE DESCRIPTION DR DATE DESCRIPTION CR DATE
1-Nov Balance 1,500
30-Nov 2,250
New Balance 3,750

DATE
Commissions Receivable
DATE DESCRIPTION DR DATE DESCRIPTION CR
30-Nov 8,000

DATE
Merchandise Inventory 30-Nov
DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Balance 150,000 30-Nov 130,000
30-Nov 150,000
New Balance 170,000

Store Supplies
DATE DESCRIPTION DR DATE DESCRIPTION CR
30-Nov Balance 17,000 30-Nov 12,000
30-Nov 5,000
 Prepaid Insurance Expense
DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Cash 90,000 30-Nov 15,000
30-Nov 75,000

Equipment
DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Balance 230,000

Accumulated Depreciation - Equipment

DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Balance 13,800
30-Nov 17,250
30-Nov New Balance 31,050

Furniture
DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Balance 180,000

Accumulated Depreciation - Furniture

DATE DESCRIPTION DR DATE DESCRIPTION CR
1-Nov Balance 15,000
30-Nov 18,750
33,750
 Accounts Payable
DESCRIPTION DR DATE DESCRIPTION CR DATE
30-Nov Balance 46,500

Notes Payable
DESCRIPTION DR DATE DESCRIPTION CR
21-Nov Cash 150,000

DATE
Interest Payable 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
30-Nov 225
DATE
30-Nov
Utilities Payable
DESCRIPTION DR DATE DESCRIPTION CR
30-Nov 23,000

Unearned Sales Revenue

DESCRIPTION DR DATE DESCRIPTION CR
23,600 22-Nov Cash 53,600
 Torsten, Capital
DESCRIPTION DR DATE DESCRIPTION CR DATE
1-Nov Balance 837,200

DATE
Torsten, Drawing 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
Balance 16,000
DATE
Income Summary 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
130,000 30-Nov 150,000
20,000 DATE

DATE
30-Nov

DATE
30-Nov

DATE

DATE
 Sales Clean
DESCRIPTION DR DATE DESCRIPTION CR DATE
30-Nov Total 332,100 30-Nov
30-Nov 23,600
355,700
DATE
Sales Returns and Allowances 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
Total 6,000 In
DATE
Sales Discount 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
Total 2,122
DATE
Commissions Income 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
30-Nov 8,000

DATE
Purchases 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
Total 147,000
DATE
Freight In 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
Total 2,000 Sto
DATE
Purchase Returns and Allowances 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
30-Nov Total 7,500
DATE
Purchase Discounts 30-Nov
DESCRIPTION DR DATE DESCRIPTION CR
30-Nov Total 2,985
Depreciati
DATE
30-Nov

Deprecia
DATE
30-Nov

Doub
DATE
30-Nov
 Cleaning Services Expense
DESCRIPTION DR DATE DESCRIPTION CR
Total 15,000

Freight-Out
DESCRIPTION DR DATE DESCRIPTION CR
Total 1,800

Insurance Expense
DESCRIPTION DR DATE DESCRIPTION CR
15,000

Interest Expense
DESCRIPTION DR DATE DESCRIPTION CR
225

Rent Expense
DESCRIPTION DR DATE DESCRIPTION CR
Total 30,000

Salaries Expense
DESCRIPTION DR DATE DESCRIPTION CR
Total 43,000

Store Supplies Expense

DESCRIPTION DR DATE DESCRIPTION CR
12,000

Utilities Expense
DESCRIPTION DR DATE DESCRIPTION CR
23,000
 Depreciation Expense – Equipment
DESCRIPTION DR DATE DESCRIPTION CR
17,250

Depreciation Expense – Furniture

DESCRIPTION DR DATE DESCRIPTION CR
18,750

Doubtful Accounts Expense

DESCRIPTION DR DATE DESCRIPTION CR
2,250