The Bottom Line - Case Study

The Bottom Line - Case Study

Introduction

The case study is related to the company known as The Bottom Line (TBL). The Bottom Line Company encourages the active lifestyle of the employees by balancing their work schedule. The company has stressed upon the physical needs of the employees and they feel that the physical fitness is an important element of the employees. The company feels when the employees are physically fit, they do not experience much of the work related problems. The leaves of the employees will be decreased and they would feel fresh during their work. However, the main focus is going to be on the financial statements of this company. The financial statements of the company will be assessed in order to demonstrate their financial aspects. Therefore, all the issues and aspects related to this case will be discussed in detail. Thus, this report focuses on the accounting journals of the Bottom Line, including sales journal; purchase journal; cash payment journal; cash receipt journal; general journal; subsidiary journal (accounts payable as well as accounts receivable), and bank reconciliation. All these accounting journals are given below, and holds the significant calculations for the Bottom Line company.

Sales Journal

Date

Invoice No.

Account Debited

Post Ref.

 

Accounts Receivable Dr. Fees Earned Cr.

1

Jul

208

Tone & Trim

 

 

$ 136.40

1

Jul

208

Pain for Gain $ 58.50

4

Jul

209

Make the Grade

 

 

$ 26.40

4

Jul

209

Fast and Fresh

 

 

$ 10.25

6

Jul

210

The Personal Touch

 

 

$ 238.00

6

Jul

11

Tone & Trim

 

 

$ 12.40

6

Jul

11

Pain for Gain $ 11.70

6

Jul

211

Make the Grade

 

 

$ 39.60

6

Jul

211

Fast and Fresh

 

 

$ 71.75

6

Jul

211

Jump and Step

 

 

$ 120.00

11

Jul

212

Rhythm & Movement

 

 

$ 55.00

11

Jul

212

Climb the Hill

 

 

$ 56.00

13

Jul

213

Pain for Gain $ 35.10

13

Jul

213

Make the Grade

 

 

$ 26.40

16

Jul

214

Tone & Trim

 

 

$ 136.00

16

Jul

214

Pain for Gain $ 58.00

17

Jul

215

Make the Grade

 

 

$ 79.20

17

Jul

215

Rhythm & Movement

 

 

$ 88.00

21

Jul

216

Pain for Gain $ 117.00

21

Jul

216

Jump & Step

 

 

$ 144.00 $ 1,519.70

Purchases Journal

Date

Account Credited

Post Ref.

Accounts Payable Cr.

Field Supplies Dr.

Purchase Debit

Other Accounts Dr.

Account

Post Ref.

Amount

1

Jul

Cross Trainer 1000

 

$ 7,350.00 $ 7,350.00

 

Accounting Advice

 

$1,000.00

1

Jul

Training Mats

 

$ 298.10 $ 298.10

 

2010 Tax Return

 

$ 275.00

11

Jul

Motivating Clients

 

$ 1,250.00 $ 1,250.00

 

14 x double p/points

 

$ 630.00

11

Jul

Communications

 

$ 1,750.00 $ 1,750.00

 

3.5 hours install

 

$ 147.00

14

Jul

LCD TV Flat Screen

 

$ 9,786.00 $ 9,786.00

 

August Rent

 

$1,770.00

21

Jul

Business Cards

 

$ 525.00 $ 105.00 $ 420.00 $3,822.00

21

Jul

Letter Head A4

 

$ 170.00 $ 17.00 $ 153.00

 

 

 

 

21

Jul

Legal Envelope $ 230.00 $ 23.00 $ 207.00

 

 

 

 

24

Jul

Rower

 

$ 775.00 $ 775.00

 

 

 

 

24

Jul

Training Mats

 

$ 135.50 $ 135.50 $ 22,269.60 $ 145.00 $ 22,124.60

 

 

 

 

Cash Payment Journal

Date

 

General Account Dr. or Vendor

Post Ref.

 

Other Accounts Dr.

 

Accounts Payable Dr.

 

Cash Cr.

1

Jul

 

Cross Trainer 1000

 

 

$ 7,350.00 $ 7,350.00

1

Jul

 

Training Mats

 

 

$ 298.10 $ 298.10

3

Jul

 

Accounting Advice

 

 

 

 

$ 1,000.00 $ 1,000.00

3

Jul

 

2010 Tax Return

 

 

 

 

$ 275.00 $ 275.00

11

Jul

 

Motivating Clients

 

 

$ 1,250.00 $ 1,250.00

11

Jul

 

Communications

 

 

$ 1,750.00 $ 1,750.00

14

Jul

 

LCD TV Flat Screen

 

 

$ 9,786.00 $ 9,786.00

17

Jul

 

14 x double p/points

 

 

 

 

$ 630.00 $ 630.00

17

Jul

 

3.5 hours install

 

 

 

 

$ 147.00 $ 147.00

21

Jul

 

Business Cards

 

 

$ ...