Karakal Comp

Worksh
Saturday, Decem
Unadjusted trial balance Adjustments
Book of Accounts
Debit Credit Debit
Cash in Bank 193,506.25
Accounts Receivable 69,431.25 33,150.00
Store Equipment 113,750.00
Office Equipment 78,750.00
Accounts Payable 120,086.00
Notes Payable, January 5,2021 131,250.00
Shared Capital, P2.25 par 137,778.75
Share Premium 26,283.75
Retained Earnings
Sales 1,736,323.75
Sales returns and allowances 2,187.50
Sales discounts 6,562.50
Purchases 804,072.50
Purchase returns and allowances 4,375.00
Purchace discounts 8,750.00
Freight in 1,234.75
Rent Expense 315,000.00
Store Supplies expense 96,250.00
Office suplies expense 35,000.00
Sales salaries expense 218,750.00
Office salaries expense 109,375.00
Utilities expense 75,626.25 25,735.00
Delivery expense 40,976.25
Taxes and licenses expenses 4,375.00
2,164,847.25 2,164,847.25
Utilities payable
Store supplies 3,215.00
Office supplies 23,765.00
Prepaid Rent 105,000.00
Depreciation expense - Store equipment 22,750.00
Accumulated depreciation -Store equipment
Depreciation expense - Office equipment 14,750.00
Accumulated depreciation -Office equipment
Bad debts expenses 4,103.25
Allawance for bad debts
Merchandise Inventory, December 31, 2016 69,545.00
Income Summary
302,013.25
Net income before tax
Net income before tax
Tax Povision of 30%
Net income after tax
 Karakal Company. Inc.
Worksheet
Saturday, December 31, 2016
Adjustments Adjusted trial balance Income Statement
Credit Debit Credit Debit Credit
193,506.25
102,581.25
113,750.00
78,750.00
120,086.00
131,250.00
137,778.75
26,283.75

33,150.00 1,769,473.75 1,769,473.75

2,187.50 2,187.50
6,562.50 6,562.50
804,072.50 804,072.50
4,375.00 4,375.00
8,750.00 8,750.00
1,234.75 1,234.75
105,000.00 210,000.00 210,000.00
3,215.00 93,035.00 93,035.00
23,765.00 11,235.00 11,235.00
218,750.00 218,750.00
109,375.00 109,375.00
101,361.25 101,361.25
40,976.25 40,976.25
4,375.00 4,375.00

25,735.00 25,735.00
3,215.00
23,765.00
105,000.00
22,750.00 22,750.00
22,750.00 22,750.00
14,750.00 14,750.00
14,750.00 14,750.00
4,103.25 4,103.25
4,103.25 4,103.25
69,545.00
69,545.00 69,545.00 69,545.00
302,013.25 2,334,880.50 2,334,880.50 1,644,768.00 1,852,143.75
207,375.75
1,852,143.75 1,852,143.75
 207,375.75
62,212.73
145,163.03
207,375.75 207,375.75
 Balance Sheet
Debit Credit
193,506.25
102,581.25
113,750.00
78,750.00
120,086.00
131,250.00
137,778.75
26,283.75
145,163.03

25,735.00
3,215.00
23,765.00
105,000.00

22,750.00

14,750.00

4,103.25
69,545.00
 62,212.73

690,112.50 690,112.50
Schedule 1- Net Sales

Gross Sales 1,769,473.75

Less Sales returns and allowances (2,187.50)
Sales Discount (6,562.50)
Net Sales 1,760,723.75

Schedule 2 - Cost of Merchandise Sold

Merchandise Inventory, January 1, 2016

Freight In 1,234.75
Purchases 804,072.50
Less Purchases retuerns and allowances (4,375.00)
Purchase discount (8,750.00)
Total merchandise available for sale
Less Merchandise Inventory, December 31, 2016
Cost of Merchandise Sold

Schedule 3 - Distribution Cost

Bad debts expense 4,103.25

Rent Expense 126,000.00
Store supplies expense 93,035.00
Sales salaries expense 218,750.00
Depreciation expenses - Store Equipment 22,750.00
Utilities expense 60,816.75
Delivery expense 40,976.25
Total Distribution expenses 566,431.25

Schedule 4 - Administrative expenses

Rent Expense 84,000.00

Office suplies expense 11,235.00
Office salaries expense 109,375.00
Depreciation expenses - Office Equipment 14,750.00
Utilities expense 40,544.50
Taxes and license expense 4,375.00
Total Administrative expenses 264,279.50

Schedule 5 - Accounts Receivable, net

Accounts Receivable 102,581.25

Less Allowance for Bad depts accounts (4,103.25)
Total Accounts Receivable, net 98,478.00

Schedule 6 - Store equipment, net

Store Equipment 113,750.00

Less Accumulated depreciation expense - Store Equipment (22,750.00)
Total Store Equipment, net 91,000.00

Schedule 7 - Office equipment, net

Office Equipment 78,750.00

Less Accumulated depreciation expense - Office equipment (14,750.00)
Total Office equipment, net 64,000.00
 -

792,182.25
(69,545.00)
722,637.25
 Karakal Company.Inc.
Statement of Income
For the year ended December 31,2016
Schedule
Net Sales 1 1,760,723.75
Cost of Merchandise Sold 2 (722,637.25)
Gross Profit 1,038,086.50
Distribution Cost 3 (566,431.25)
Administrative Cost 4 (264,279.50)
Profit before tax 207,375.75
Income tax of 30% (62,212.73)
Profit after tax 145,163.03
 Karakal Company.Inc.
Stataement of Changes in Shareholder's Equity
For the year end December 31, 2016
Share Capital Share Premium Retained Earnings
Balances, January 1,2019 137,778.75 26,283.75 -
Changes during 2019 issuance - -
Profit for the the year 145,163.03
Balances, December 31, 2019 137,778.75 26,283.75 145,163.03
 Karakal Company.Inc.
Statement of Financial Position
As of December 31, 2016
Assets
Current Assets:
Cash in Bank 193,506.25
Accounts Receivable,net 98,478.00
Merchandise Inventory 69,545.00
Store Supplies 3,215.00
Office Supplies 23,765.00
Prepaid Rent 105,000.00
Total Current Assets 493,509.25

Non Current Assets:

Store equipment, net 91,000.00
Office equipment, net 64,000.00
Total non current assets 155,000.00
Total Assets

Liabilities
Current Liabilities:
Accounts Payable 120,086.00
Utilities payable 25,735.00
Income Tax Payable 62,212.73
Total current liabilities 208,033.73

Non Current Liabilities

Notes Payable, January 5, 2021 131,250.00
Total non current liabilities 131,250.00
Total Liabilities
Shareholder's Equity
Share Capital 137,778.75
Share Premium 26,283.75
Retained Earnings 145,163.03
Total Shareholder's Equity
Total Liabilities and shareholder's equity
648,509.25

339,283.73

309,225.53
648,509.25
 Closing Entries
Date Description Debit
Dec 31 Sales 1,769,473.75
Purchase Returns and Allowances 4,375.00
Purchase Discounts 8,750.00
Merchandise Inventory, December 31,2016 69,545.00
Purchases
Sales returns and allowances
Sales discounts
Freight in
Rent Expense
Store Supplies expense
Office suplies expense
Sales salaries expense
Office salaries expense
Utilities expense
Delivery expense
Taxes and licenses expenses
Depreciation expense - Store equipment
Depreciation expense - Office equipment
Bad debts expenses
Income Tax Expense
Income and expense summary

Income and expense summary 145,163.03

Retained earnings

1,997,306.78
 Credit

804,072.50
2,187.50
6,562.50
1,234.75
210,000.00
93,035.00
11,235.00
218,750.00
109,375.00
101,361.25
40,976.25
4,375.00
22,750.00
14,750.00
4,103.25
62,212.73
145,163.03

145,163.03

1,997,306.79
 Opening entry for next accounting period
Date Descripiton Debit Credit
Cash in Bank 193,506.25
Accounts Receivable 102,581.25
Allowance for bad debts 4,103.25
Store Equipment 113,750.00
Office Equipment 78,750.00
Merchandise Inventory, December 31, 2016 69,545.00
Store supplies 3,215.00
Accumulated depreciation -Store equipment 22,750.00
Office supplies 23,765.00
Accumulated depreciation -Office equipment 14,750.00
Prepaid Rent 105,000.00
Accounts Payable 120,086.00
Notes Payable, January 5,2021 131,250.00
Utilities payable 25,735.00
Tax Payable 62,212.73
Shared Capital, P2.25 par 137,778.75
Share Premium 26,283.75
Retained Earnings 145,163.03
690,112.50 690,112.50