Question
The bookkeeper at Brisk Couriers has these documents on the desk for April 2026:
| Document | Details | Amount |
|---|
| Sales invoice #214 (Apr 2) | Delivery services to Rowan Pharmacy, payable in 30 days | $2,400 |
| Supplier invoice (Apr 5) | Packaging supplies from Carton Direct, payable in 30 days | $600 |
| Bank transfer confirmation (Apr 10) | April rent paid to the landlord | $1,200 |
| Remittance advice (Apr 28) | Part-payment received from Rowan Pharmacy against invoice #214 | $1,000 |
Required:
- Journal Entries — record each document. Use Accounts Receivable, Service Revenue, Supplies, Accounts Payable, Rent Expense and Cash.
- Receivable Balance — the amount Rowan Pharmacy still owes at April 30.
Statements in this challenge
- Journal EntriesJournal Entry
- Receivable BalanceNumeric Answer
Scoring
- 40% Account naming / line matching
- 40% Amount correctness
- 20% Structure / section placement
IAS 1 — Presentation of Financial Statements
Work the cycle in its fixed order: journalise, post to the ledger, extract an unadjusted trial balance, pass adjusting entries, extract an adjusted trial balance, prepare the statements, then close the temporary accounts. Each step consumes the output of the one before it, so an error early on propagates all the way to the closing entries rather than staying local.
Common mistakes
- Preparing the financial statements from the unadjusted trial balance instead of the adjusted one.
- Closing permanent accounts — assets, liabilities and capital carry forward; only revenue, expense and drawings/dividends close.
- Forgetting that the post-closing trial balance should contain no income statement accounts at all.
Further readingIAS 1: what goes where in a full set of statements