gistfile1.txt

Hello all

For the first assignment please try to recreate the process we went through on the lecture (writing the transactions in the Journal -> Ledger -> Trial balance)

The transactions are as follows:

1. Bought furniture for cash. 400€
2. Bought used car for the company on credit. 20 000€
3. Bought goods (for resale) for cash. 500€
4. Sold goods for cash. 20 000€
5. Paid back part of the (car)credit. 10 000€
6. Bought a TV set on credit. 2 000€
7. Paid electricity bill. 500€

Hint: Try to identify what kind of accounts you are dealing with in every transaction (asset, liability, expense, income). Then you can use table from the lecture slide 30 to find out how they behave when the amounts on them rise/decline (i.e. which account to debit and which to credit). We will solve this assignment at the beginning of the next week's lecture.

Assignment type: Personal assignment