The following is information about the business of J Arnold at 31 June 2010. Prepare a Chart of Accounts, record the information in journals and ledgers and prepare a trial balance.

J Arnold started business on 1 June with the following assets and liabilities: Land $50,000, Buildings $100,000, Accounts Receivable $30,000, Office Furniture $600, Bank (in funds) $20,000, Inventories $50,000, Accounts Payable $25,000, Loan $5,000

Transactions for June:

June 2 Cash Purchases $500 (Cheque 593)

June 3 Paid wages $600 (Chq 594)

June 5 Wrote off an account as a bad debt $300, Paid an account of $1,000 (Chq 596)

June 10 Received money from a customer $4,000, Sold goods for cash $5,000

June 12 Cash sales $1,000

June 17 Paid wages $650 (Chq 597), Paid rates $159 (Chq 598)

June 20 Cash Sales $900, Received commission $100

June 27 Arnold took goods for his own use - cost price $500, selling price $900. Bought new computer $2,000 for cash (Chq 599)

June 28 Cash purchases $760 (Chq 600), paid an account of $1,500 (Chq 601), paid insurance on family car of $500 (Chq 602)

June 29 Cash sales $800, paid wages $590 (Chq 603), purchased goods for cash $880 (Chq 604). Owner invested additional $5,000 into the business

June 30 Cash sales $500, received commission $500, received $900 on account