Muhammad established the Tarhal Corporation for Transportation Services in Medina on April Below are the financial operations that occurred during the month:
On Muhammad invested in the institution a capital of riyals, which was deposited in the bank account.
On the value of an advance lease contract for six months worth was paid
On a delivery bus was purchased for riyals in cash
On a oneyear insurance policy worth riyals was paid
On a loan was made from Alawwal Bank amounting to riyals
On receptionists were hired with a salary of riyals per month
On an advance payment was received from a customer to provide transportation services starting on May with a value of riyals.
On office supplies worth riyals were purchased in cash
On invoices were issued to customers for the services provided, amounting to riyals
On the cost of advertising and wall advertisements amounting to riyals was paid
On Muhammad paid the traffic violation fees for his private car, which amounted to riyals
Additional information:
The consumption expense for the delivery bus for the month of April is riyals
The rent contract that was paid starts from to
The office supplies account available on April shows a value of riyals
Employee salaries for the month of April will be paid next month at a value of riyals
The company received the water and electricity bills for the month of April, which must be paid next month, with a value of riyals.
Required:
Recording financial transactions in the journal for the month of April
Posting the daily entries to the general ledger and preparing the trial balance
Preparing all necessary reconciliation entries, posting the entries to the general ledger, and preparing the trial balance after reconciliation.
Preparing financial statements
Preparing the closing entries and the trial balance after closing
