Principles of Accounts General Proficiency School Based Assessment

Name of student: Jordan Semoy Registration Number: Centre Number: 100107 School: Saint Georges College Territory: Jamaica W.I. Year: 2012 Date submitted: December 9, 2012

Table of Content
Aims Description of Business Transaction for the Month of December Transaction for the Month of January Double Entry for the Month of December Double Entry for the Month of January Sales Journal Return Inward Journal Return Outward Journal General Journal Cash Book Sales Ledger General Ledger Trial Balance for the Month of December Trial Balance for the Month of January Trading and Profit and Loss Account for as at December Trading and Profit and Loss Account for as at January Statement About the Performance of the Business Recommendation / Suggestion Conclusion Appendix 1 2 3 4 5-7 8-10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

Description of Business
Devamal Corporation limited located in Church Road Bog Walk St.Catherine was started on December1, 2009. The reason for this location is because of the exposure to the public which is perfect for advertising the product. The owner Devon Semoy started this business as a meat mart which retails chicken only. He buys the raw meat from dark garden chicken industry located at white marl in Spanish Town St.Catherine. The chicken then is then sold to people living in the surrounding area and popular hotels in Ocho Rios and Montego Bay Jamaica. This business employ eight people whom each play a part in the distribution of the product and buying of the raw material for resale. Monetary funds gained for starting the business was obtained from a loan at the National Commercial Bank at the head office located at 32 Trafalgar Road , Kingston10 Jamaica.

Transactions for the Month of December

December 1- Started business with $13,000,000 in bank and $150,000 cash. December 2- Bought chicken from Dark Garden Chicken Industry by cheque $650,000 at $100 lbs. December 3- Bought machinery by cheque $321,000. December 5- Sold chicken to Mega-Mart on credit $278,000 at $150 lbs. December 6- Paid staff in cash $80,000. December 8- Bought office fixtures by cheque $78,000. December 10- Sold chicken $330,000 for cash at $150lbs. December 12- Mega-Mart returned chicken to us $52,000. December 18- Bought chicken from Dark Garden Chicken Industry by cheque $1,200,000 at $100lbs. December 21- Paid staff in cash $80,000. December 22- Paid light bill by cheque $173,500. December 28- Return chicken to Dark Garden Chicken Industry $250,000. December 29- Sold chicken to Brunswick Wholesale on credit $350,000 at 150lbs. December 30- Mega-Mart paid by cheque $226,000. December 31- Paid staff in cash $80,000.

Transactions for the Month of January

January 3- Paid mortgage by cash $72,000. January 4- Bought refrigerated truck by cheque $751,000. January 7- Sold chicken at $150lbs for cash $10,500 . January 9- Bought chicken from Dark Garden Chicken Industry by cheque $850,000 at $100 lbs. January 10- Brunswick Wholesale paid by cash $350,000. January 11- Sold chicken to Mega-Mart on credit $480,000 at $150 lbs. January 13- Paid staff in cash $80,000. January 14- Sold chicken to Lees Supermarket on credit $450,000 at $150 lbs. January 17- Paid light bill by cheque $178,000. January 20- Sold chicken to Brunswick Wholesale on credit $230,000 at $150 lbs. January 21- Lees Supermarket paid by cash $480,000. January 24- Paid staff in cash $80,000. January 26- Sold chicken on credit to John R Wong Supermarket $158,000 at $150lbs. January 30- Bought office fixtures by cheque $32,000. January 31- John R Wong Supermarket paid us by cheque $158,000

Double entry for the month of December

BANK A/C
2009 Dec 1 Dec 30 Capital Mega-Mart $ 13,000,000 226,000 2009 Dec 2 Dec 3 Dec8 Dec 2 Dec 22 Dark Garden Machinery Office Fixtures Dark Garden Light Bill $ 650,000 321,000 78,000 650,000 173,500

CAPITAL A/C
2009 $ 2009 Dec1 Dec1 Bank Cash $ 13,000,000 150,000

CASH A/C
2009 Dec 1 Dec 10 Capital Sales $ 2009 150,000 Dec 6 330,000 Dec 21 Dec 31 Staff Staff Staff $ 80,000 80,000 80,000

SALES A/C
2009 Dec 5 Dec 10 Dec 29 Mega-Mart Cash Brunswick Wholesale $ 958,000 330,000 350,000

PURCHASES A/C
2009 Dec 2 Dec 18 Dark Garden Dark Garden $ 650,000 1,200,000

DARK GARDEN CHICKEN INDUSTRY A/C

2009 Dec 2 Dec 18 Purchases Purchases $ 650,000 1,200,000

MACHINERY A/C
2009 Dec 3 Bank $ 321,000

MEGA-MART A/C
2009 Dec 5 Bank $ 2009 278,000 Dec 30 Bank $ 226,000

STAFF A/C
2009 Dec 6 Dec 21 Dec 31 Cash Cash Cash $ 80,000 80,000 80,000

OFFICE FIXTURES A/C

2009 Dec8 Bank $ 78,000

LIGHT A/C
2009 Dec 22 Bank $ 173,500

BRUNSWICK WHOLESALE A/C

2009 Dec 29 Sales $ 350,000

RETURN OUTWARD A/C

2009 DEC 29 Dark Garden $ 250,000

RETURN INWARD A/C

2009 Dec 12 Devamal Corporation $ 52,000

Double entry for the month of January

MORTAGE A/C
2010 Jan 3 Cash $ 72,000

REFRIGERATED TRUCK A/C

2010 Jan 4 Bank $ 751,000

SALES A/C
2010 Jan 5 Jan 11 Jan 14 Jan 20 Cash Mega-Mart Brunswick Wholesale $ 10,500 480,000 230,000 230,000

Lees Supermarket 450,000

Jan 26 John R Wong Supermarket

STAFF A/C
2010 Jan 7 Jan 13 Jan 24 Cash Cash Cash $ 80,000 80,000 80,000

DARK GARDEN CHICKEN INDUSTRY A/C

2010 Jan 9 Bank $ 850,000

BRUNSWICK WHOLESALE A/C

2010 Jan 20 Sales $ 230,000

MEGA-MART A/C
2010 Jan 11 Bank $ 480,000

LEES SUPERMARKET A/C

2010 Jan 14 Bank $ 450,000

LIGHT A/C
2010 Jan 17 Bank $ 178,000

JOHN R WONG SUPERMARKET

2010 Jan 26 Bank $ 158,000

OFFICE FIXTURES A/C

2010 Jan 30 Bank $ 32,000

Bank A/C
2010 Jan 31 John R Wong Supermarket $ 158,000 2010 Jan 4 Jan 6 Jan 17 Jan 30 Refrigerated Truck Dark Garden Light Bill Office Fixtures $ 751,000 850,000 178,000 32,000

PURCHASE A/C
2010 Jan 9 Dark Garden $ 850,000

CASH A/C
2010 Jan 5 Jan 10 Jan 14 Sales Brunswick Wholesale Lees Supermarket $ 10,500 350,000 450,000 2010 Jan 7 Jan 13 Jan 24 Staff Staff Staff $ 80,000 80,000 80,000

Sales Journal
Date December 5 December 29 January 11 January14 January 20 January 26 Details Mega-Mart Brunswick Wholesale Mega-Mart Lees Supermarket Brunswick Wholesale John R Wong Supermarket Transfer to Sales Account Folio SL SL SL SL SL SL GL

$
226,000 350,000 480,000 450,000 230,000 158,000 1,894,000

Return Inward Journal

Date December 12 Details Mega-Mart Transfer to Return Inwards Account Folio GL $ 52,000 52,000

Return Outward Journal

Date December 28 Details Dark Garden Transfer to Return Outward Account Folio GL $ 250,000 250,000

General Journal
Date December 3 December 8 January 4 January 30 Details Machinery Office Fixtures Refrigerated Truck Office Fixtures Transfer to General Ledger Folio $ 321,000 78,000 751,000 32,000 1,182,00

GL

Sales Ledger
Mega-Mart
2009 & 2010 December 5 January 11 Sales Sales SJ SJ $ 278,000 480,000

Brunswick Wholesale
2009 & 2010 December 29 January 20 Sales Sales SJ SJ $ 350,000 230,000

LEES SUPERMARKET
2010 January 11 Sales SJ 450,000 $

JOHN R WONG SUPERMARKET

2010 January 26 Sales SJ $ 158,000

GENERAL LEDGER SALES

2010 Jan 31 Credit Sales for the month

SJ

$ 1,894,000

General Ledger
Sales Account (31) Sales Return Inward Account $ 52,000 Return Outward Account (31) Return outward $ 250,000 $ 1,894,000

(31) Return Inward

Trial Balance
Devamal Corporation Limited Trial Balance as at 31 December 2009 Dr $ Bank Capital Cash Sales Purchases Machinery Wages Office Fixtures Light A/C Brunswick Wholesale Return Outward Return Inward 11,053,500 13,150,000 240,000 958,000 1,850,000 321,000 240,000 78,000 173,500 350,000 250,000 52,000 14,358,000 14,358,000 Cr $

Trial Balance
Devamal Corporation Limited Trial Balance as at 31 January 2010 Dr $ Bank Cash Capital Mortgage Refrigerated Truck Sales Wages Purchases Mega-Mart Light A/C Machinery Office Fixtures Return Outward Return Inward 9,400,500 738,500 13,150,000 72,000 751,000 2,286,500 480,000 2,700,000 480,000 351,500 321,000 110,000 250,000 52,000 15,686,500 15,686,500 Cr $

Trading and Profit and Loss Account

Devamal Corporation Limited Trading and Profit and Loss Account as at December 31,2010 $
Sales Less Return Inward Less Cost of Goods Sold: Add Purchases Less Return Outward Less Closing Stock Gross Profit Less Expen ses: Wages Office Fixtures Light A/C Net Loss

$
958,000 52,000

906,000 1,850,000 250,000 1,600,000 694,000 906,000 0 240,000 78,000 173,500 491,500 491,500

Trading and Profit and Loss Account

Devamal Corporation Limited Trading and Profit and Loss Account as at January 31,2010 $
Sales Less Return Inward Less Cost of Goods Sold: Opening Stock Add Purchases Less Return Outward

$
2,286,500 52,000

2,234,500 694,000 2,400,000 250,000 2,150,000 2,844,000 215,000 2,628,500 -394,000 72,000 240,000 78,000 173,500 -1,013,500 -1,407,500

Less Closing Stock Gross Loss Less Expenses: Mortage Wages Office Fixtures Light A/C Net Loss

Statement About the Performance of the Business

For the period under review it can be seen that Devamal Corporation Limited performed at a loss due to circumstances that the business was just being introduce to the market competition. The business obtained a gross loss of $394,000. Operating expenses were very high due to the business just getting started and no form of conservation limitation was being taken place.

Recommendation / Suggestion
Devamal Corporation Limited can improve financially if the business use a better pricing strategy and start with the use of advertisement. Devamal Corporation Limited can be improved if the business cuts down on money which is spent on wages and use methods of conservation for electricity. The business can also try to negotiate with the place of purchase of goods for a cheaper price of the product or locate a different source of goods. Implementation of machinery to cut down on wages and use of solar panels to generate current to operate the business.

Conclusion
Devamal Corporation Limited has been performing at a loss owing to separate circumstances. The businesses opened during a recessional period were persons are not spending as much as before. Another reason was the owners will to provide employment for persons in the community and the business ended up over employing too many persons. Theft also played an integrated part as not much emphasis was played on security for the establishment.

Aims
To provide employment for people who are living in the area. To boost sales for the Jamaican chicken market. Produce the best quality chicken for the Jamaican chicken market.

Appendix