The document provides accounting records and information for Alecia McNeil's pastry and frozen products business for the period of May 1 to May 31, 2014. It includes a description of the business, accounting records maintained, aims and objectives, various journal entries, source documents, financial statements including a trading and profit and loss account and balance sheet. The business realized a net profit of $2,305 for the period.

1. Candidate Name: Jamie Drummond
Candidates No:
Teacher: Miss Coote
School: Frome Technical High School
Centre No:
Year: 2014-2015

2. 2
Introduction
This project is based on the operation of a sole trader type of business, which is
owned by Alecia McNeil. The business specializes in selling pastries, and frozen
products to local schooltuck shops.
This entails all the business transactions and accounting transactions, aims and
objectives about the business.

3. 3
Acknowledgement
First I would like to thank my teacher Mrs.coote for walking me through this project.
Special thanks to my family for assisting me in the way they did and also my friends who
assisted me in completing this SBA.
Thanks everyone your help was highly appreciated
Again many thanks.

4. 4
Content page
Description of business.................................................................................... 5
Actual accounting records....................................................................................6
Aims of project.....................................................................................................7
Books of origins..............................................................................................8-14
List of transaction..........................................................................................15-19
Trading profit and loss accounts..........................................................................20
Balance sheet.......................................................................................................21
Trial Balance………………………………………………..……….………….22
Interpretation of results...................................................................................23-24
Comparison.....................................................................................................25-26
Source documents...........................................................................................27-28
Performance of business.......................................................................................29
Conclusion............................................................................................................30
Recommendation..................................................................................................31

5. 5
Description of the Venture
The name of the business will be Alecia Enterprise. It’s located at Grange Hill
square in Westmoreland. Alecia Enterprise is a sole trader type of business owned
by Alecia; all the finances needed will be provided by Jamie. The business will be
employing four individuals to carry out the daily functions of the business. Alecia
offer a wide verity of frozen products and pastries. They provide excellent
customer services and affordable prices; they are opened from 8:00 am – 8:30 pm
on Mondays to Fridays.
Her aim is to provide the most delicious meals at the most affordable prices, they
also provides clean spacious air condition environment for the comfort of their
employees and customers.

6. 6
Actual Accounting Records
The actual accounting records kept were as follows:
 The Ledger; the ledger is used to record the day to day transaction of the
business.
 The Trial Balance; the trial balance is used to check the arithmetically
accuracy of the bookkeeping entries.
 Trading and Profit loss account; is used to calculate the profit or loss made
over a period of time.
 Balance Sheet; this is a financial statement showing liabilities, assets and
capital at the end of the accounting period.
 Journal; a bookof account used to record rare or exceptional transactions
that should not appear in any other books of original entry in use.


7. 7
AIMS/OBJECTIVES
The aim of the project is to help me to fully develop my understanding and
skills with the accounting ratios.
The objectives of this project are to:
 To have a better understanding of the book keeping in the records
management department.
 To have a vivid knowledge of the accounting equations and ratios.

8. 8

9. 9
DR CR
Date Details F Discount Bank Cash Date Details F Discount Bank Cash
May
1 Capital
GL - 450,000 50,000 May1 Rent GL - 8,000 -
May6 Sales GL - - 4,600 May2 Fixtures GL - 25,000 -
May
9
Sales GL - 8,750 - May
14
Cremo ltd PL 3,975 11,925 -
May
26
Sa
Primary
SL 100 1900 - May
17
Freezer GL - 15,000 -
May
21
Insurance GL - 25,000 -
May
24
Wages GL - 7,500 -
May
25
Electricity GL - - 2,500
May
31
Crozy Jim PL 1180 10,620 -
May
31
Toyota
Ltd
GL - 2500 -
54,600 May
13
Balance C/D
_______
332,650
______
52,100
June
1
Balance b/d 100 52,100 5155 460,650 54600

10. 10
DR CR
Date Detail F Amount Date Detail F Amoun
t
The general Ledger
Rent
May 1 Bank CB 8000 May 31 Transfer to purchase GL 8000
Fixtures
May 2 Bank CB 25000 May 31 Transfer to Balance
Sheet
25000
Purchase
May 31 Sundry PJ 40700 May 31 Transfer to trading
A/C
40700
Return outwards
May 31 Sundry RIJ 200 May 31 Transfer to trading 200
Sales
May 31 Transfer to
trading A/C
57150 May 6 Cash to CB 4600
May 9 Bank to CB 8750
May 31 Sundry to SJ 43800
57150 57150
Discount
allowed
May 31 Sundry CB 100 May 31 Transfer to PL 100
Discount Received
Transfer to PL 5155 Transfer to BS 5155
Freezer
May 17 Bank to CB 1500 May 31 Transfer to BC 1500
Insurance
May 31 Bank to CB 25000 May 31 Transfer to PL 25000
Wages
May 24 Bank CB 25000 May 31 Transfer to PL 25000
Electricity
May 25 Cash CB 2500 May 31 Transfer to PL 2500

11. 11
Toyota LTD
May 31 Bank CB 25000 May 17 Motor Van GL 100,00
0
May 31 Balance c/d 75000
100,000 100,00
0
June 1 Balance b/d 75,000
DR CR
Date Details Amount Date Details F Amount
Sales Ledger
Sav Primary Tuck
Shop
May 15 Sales SJ 2200 May 16 Return inwards RIJ 200
May 26 Discount CB 100
May 24 Bank CB 10,000
2200 2200
Godfery Stewart High
School Tuck Shop
May 23 Sales SJ 21,600 May 31 Balance c/d 21600
June 1 Balance b/d 21,600
Frome Tuck Shop
May 8 Sales SJ 10,000 May 31 Balance c/d 10,000
June 1 Balance b/d 10,000
Sav Infant
May 11 Sales SJ 10,000 May 31 Balance c/d 10,000
June 1 Balance b/d 10,000

12. 12
Purchase Ledger
Cremo LTD
May 14 Bank CB 11,925 May 6 Purchase PJ 15,900
May Discount CB 3975
15,900 15,900
Crozy Jim
May 30 Discount CB 1180 May 7 Purchase PJ 11800
May 30 Bank CB 10,620 May 23 Purchase PJ 1,400
May 31 Balance c/d 1,400
13,200 13200
June 1 Balance b/d 1,400
Road Runner
May 12 Return Outward
ROJ
600 May 10 Purchase PJ 11600
May 31 Balance c/d 11000
11600 11600
June 1 Balance b/d 11000

13. 13
Date Details Invoice Invoice Amount
Purchase Journal
May 4 Cremo ltd. PL - 15,900
May 7 Crozy Jim PL - 11,800
May 10 Road Runner PL - 11,600
May 28 Crozy Jim PL 1,400
May 31 Transfer to purchase GL - 40,700
Return Outwards Journal
May 12 Road Runner PL - 600
May 31 Transfer to return outwards A/C GL - 600

14. 14
Date Details Folio Invoice # Amount
Sales Journal
May 8 Frome Tech SL - 10,000
May 11 Sav Infant SL - 10,000
May 15 Sav Primary SL - 2,200
May 23 Godfery Stewart SL - 21,600
May 31 Transfer to sales A/C GL - 43,800
Return Inwards
May 16 Sav Primary SL - 200
May 31 Transfer A/C 200

15. 15

16. 16
May 17, 2014
One hundred thousand dollars to Toyota ltd for
100,000.00-------
the purchase of a motor van.
Toyota Ltd Alecia McNeil
Date : May 30, 2014
To : Crazy Jim LTD
For : Frozen Novelties
Amount: $10620
Acc No : 611230
Signature_________________________________

17. 17
Lodgement Form
Cash Receipts
May 21,2014 33 23 112
Alecia McNeil 25,000
. Twenty five thousand dollars
Payment for insurance
Alecia Jamie $
Cash only
Notes
*1000
*500
*100
*50
Coins (s)
Cash total $
Cheque Only
Cheque
total
Alecia Pastries
Date______________
National Commercial Bank
Name_________________________
From__________________________
Address_______________________
_____________________________
Payments Must Be made by Certified Cheque Or cash only
Paid In by________________________________
Name_____________________________________
BANK COPY
`:0006 `:...077`:57*9990977

18. 18
DEBIT NOTE
ALECIA’S SCHOOL’S PASTRY AND FROZEN ICECREAM
GRANGE HILL SQURE WESTMORELAND
TELEPHONE:(1876)331-2287
FAX:(1876)332-3190
ROAD RUNNNER INVOIVE NO. 0/38
SAVANNALAMAR AMOUNT NO. P/4458
DATE:MAY 12,2014
WESTMORELAND
JAMAICA

19. 19
QUANTITY
PER UNIT TOTAL
2 CHEESE CAKE 300 600
600

20. 20
CREIT NOTE
ALECIA’S SCHOOL’S PASTRY AND FROZEN ICECREAM
GRANGE HILL SQUARE WESTMORELAND
TELEPHONE:(1876)331-2287
FAX:(1876)332-3190
SAV PRIMARY INVOIVE NO. 0/37
SAVANNALAMAR AMOUNT NO. P/4298
DATE: MAY 16,2014
WESTMORELAND
JAMAICA
QUANTITY
PER UNIT TOTAL
1 KIMO 200 200
200

21. 21
PURCHASE INVOICE
ALECIA’S SCHOOL’S PASTROY AND FROZNE ICECRAME
GRANGE HILL SQUARE WESTMORELAND
TELEPHONE:(1876)331-2287
FAX: (1876) 332-3190
CREMO LTD
SAVNNALAMAR SALES INVOICE NO.. 9/34
WESTMORELAND ACCOUNT NO. H/3752
JAMAICA DATE: May 4, 2014
QUANTITY PER UNIT TOTAL
15 KIMO
24 ICECREAM
12 KARZY
100
300
600
1500
7200
7200
15900

22. 22
SALES INVOICE
ALECIA’S SCHOOL’S PASTRY AND FROZEN ICECREAM
GRANGE HILL SQURE WESTMORELAND
TELEPHONE:(1876)331-22
FAX:(1876)332-3190
SAV PRIMARY TUCK SHOP INVOIVE NO. 0/35
SAVANNALAMAR AMOUNT NO. P/3222
WESTMORELAND DATE: MAY 15,2014
JAMAICA
1 DIPPER
6 KIOM
LESS 5% TRADE DISCOUNT
1000
200
1000
1200
1200

23. 23
As at the 1 of May to May 31 2015
Sales 57150
Less Return Inwards 200
Net Sales 56,950
Less Cost Of Goods Sold
Purchase 40,700
- Return Outwards -600
40,100
- Closing stock -23,400 16,700
40,250
+ Discount Received 5155
Gross Profit 45,405
Less Expenses
Rent 8,000
Discount Allowed 100
Insurance 25000
Wages 7500
Electricity 2500 43,100
Net Profit 2,305

24. 24
Fixed Assets
Fixtures 25,000
Freezer 15,000
Motor Van 100,000
140,000
Current Assets
Stock 23400
Debtors 41600
Bank 332,605
Cash 52,100
449,705
Less Current Liabilities
Creditor 12,400
Toyota LTD 75,000 87,400
362,306
Working Capital 502,305
Financed by
Capital 500,000
+Net profit 2,305
Working capital 502,305

25. 25
DR CR
Capital 500,000
Rent 8,000
Fixture 25,000
Purchase 40,7 00
Return Outwards 600
Return Inwards 200
Scales 57,150
Discount Allowed 100
Discount Receiver 5,155
Freezer 15,000
Motor Van 100,000
Insurance 25,000
Wages 7,500
Electricity 2,500
Toyota LTD 75,000
Credit Crozy Jim & Road Runner 12,400
Debtor (Frome, Sav Infant & Godfery Stewart) 41, 600
Cash 52,100
Bank 332,605 _______
650,305 650,305

26. 26
Alecia’s Enterprises started with 500,000 capital, 450,000 was place in the bank
and the remainder kept as cashon hand
Net Profit as a percentage
=
Net profit
𝑠𝑎𝑙𝑒𝑠
* 1000
𝑝 =
2305
57150
*100
=4.033%
For this period the business made a small profit.
Every business starts with an intention to make a profit, how well the business
does depending the marketing of the products, getting customers to buy the
productand keeping expenses at a low rate. We will no analyzehow well School’s
Pastry and Frozen Novelties is doing.
Gross Profit_*100
Sales
45405 *100__
557150
=8.16%
Gross profitas a percentage of sales ,this shows thegross profitmade for every
$100 of sales.
Working Capital= Fixed Assets +CurrentAsset– CurrentLiabilities

27. 27
= $140000+49705-87400
= $502,305
This shows thatthe business has madeback the money spent, however, this is the
firstyear of the business it will improve for the other years.

28. 28
SALES VS PURCHASE
This Graph shows that Alecia purchase is lower than her purchase this means that
she made a profit for this period.
40700
57150 Purchase
Sales

29. 29
GROSS PROFITAND NET PROFIT
This shows that the gross profit is higher than the net profit because most of the
business profits are in its stock.
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
50,000
gross Profit Net Profit
PROFITMADE
Graph showing gross profit and net proft
gross Profit
Net Profit

30. 30
The business makes a profit even though a significant proportion of its money is in
stock. The overall performance of the business was fair because the business
manage to make a profit.

31. 31
The aim of the project were achieved as standard accounting procedures were used
to properly record all the transaction for the business. The accounting information
provided was used to assess the performance of the business if it is making loss
and indentifying areas for improvement. The information was also use full in
recommendation to improve the business.

32. 32
Alecia Should cut down on it purchase an sell of its stockbefore purchasing more.
It is also recommended that Alecia should ensure that her selling prices are not too
high but reasonable.

33. 33
May 1. Capital of $500,000. $450,000 bank, $50,000 cash
May 1. Paid rent by cheque $8000.
May 2. Bought fixtures by cheque $25000.
May 4. Bought the following items from Cremo Ltd. On credit: 15 Kimos, 24
Crazy, 24 ice cream cakes.
May 6. Sold for cash 5 Kimo, 8 ice cream cakes.
May 7. Bought from Crazy Jim on credit 4 Dipper and 12 Pizza.
May 8.Sold to Frome Tech $10,000.
May 9.Sold to Frome tuck shop by cheque 2 dipper and 6 pizzas.
May 10. Bought on credit from road runner ltd 8 kimo, 36 cheese cakes.
May 11. Sold on credit to Sav Infant, $10,000.
May 12. Returned 2 cheese cakes to road runner.
May 14. Paid Cremo Ltd for items supplied on May 4. We received 25% discount
by cheque.
May 15. Sold on credit to Sav primary tuck shop 1 dipper, 6 kimo.
May 16.Sav Primary returned to us 1 Kimo.
May 17. Bought freezer by cheque $15000.
May 17. Bought a Motor Van on credit from Toyota $100000.
May 21. Paid insurance for the year by cheque 25000.
May 23. Sold on credit to GodfreyStewart High tuck shop 10 Krozy, 18 Cheese
Cake and Ice Cream Cake.
May 24. Paid staff by cheque $7500.
May 25. Paid electricity by cash $2500.
May 26. Sav Primary tuck shop paid their account by cheque less 5% cash
discount.
May 28. Bought two Dipper from Crazy Jim on credit.
May 30. Paid Crazy Jim by cheque for items received on May 7. We got a 10%
discount.
May 31. Paid ToyotaLtd. by cheque $25000.

34. 34