1. Record Financial Data: Use accepted accounting principles to accurately capture business transactions for October, November, and December using the data provided in the accounting data appendix (linked in the Supporting Materials section). You will need to address the following: * Accuracy: Prepare entries that are accurate in that they fully reflect the appropriate information. * Completeness: Prepare entries that are complete for each month, including transferring posted entries to T accounts. * Inventory Valuation: Prepare entries for the month of December to reflect the new line of products offered by the company, which includes using the data from the Inventory Valuation tab of the company accounting workbook. 2. Accrual Basis: Apply the accrual basis of accounting and prepare adjusting entries to ensure accurate accounting for expenses that lack transactions in the current period. * Unadjusted Trial Balance: Prepare the unadjusted trial balance portion of the Trial Balance tab of the company accounting workbook, ensuring that the total debits and credits match. * Adjusting Entries: Prepare the Adjusting Entries tab of the company accounting workbook. * Adjusted Trial Balance: Prepare the adjusted trial balance on the Trial Balance tab, ensuring that the debit and credit totals match. 3. Financial Statements: Create financial statements using appropriate methods based on accepted accounting principles. Be sure to prepare these financial statements in the order listed, as there are important interdependencies among them. * Income Statement: Prepare the income statement using the adjusted trial balance. * Statement of Owners Equity: Prepare the statement of owners equity using the adjusted trial balance. * Balance Sheet: Prepare the balance sheet using the adjusted trial balance. * Closing Entries: Complete the Closing Entries tab of the company accounting workbook by closing all temporary income statement amounts to create closing entries. * Post-Closing Trial Balance: Prepare the Post-Closing Trial Balance tab of the company accounting workbook in preparation for the next accounting period.

A Company Trial Balance 20xx Unadjusted trial balance Adjusting entries Debit Credit Debit 51,436.75 20,500.00 175.65 1,500.00 1,200.00 5,000.00 600.00 9,700.00 10,000.00 7,000.00 480.00 30,000.00 Account Cash Baking Supplies Merchandise Inventory Prepaid Rent Prepaid Insurance Baking Equipment Accumulated Depreciation Office Supplies Accounts Receivable Notes Payable Interest Payable Accounts Payable Wages Payable Common Stock Dividends Bakery Sales Merchandise Sales Baking Supplies Expense Rent Expense Interest Expense Insurance Expense Depreciation Expense Misc. Expense Office Supplies Expense Business License Expense Advertising Expense Wages Expense Telephone Expense ICOGS Adjusted trial balance Credit Debit Credit 51,436.75 19,400.00 1,100.00 175.65 1,500.00 200.00 1,000.00 5,000.00 208.33 208.33 550.00 50.00 9,700.00 10,000.00 150.00 150.00 7,000.00 480.00 30,000.00 10,000.00 60,000.00 221.00 19,400.00 4,500.00 150.00 200.00 208.33 250.00 550.00 375.00 10,000.00 60,000.00 221.00 19,400.00 4,500.00 150.00 200.00 208.33 250.00 550.00 200.00 375.00 200.00 1,956.00 150.00 157.60 1,956.00 150.00 157.60 Total: 107,701.00 107,701.00 20,508.33 20,508.33 108,059.33 108,059.33 ------- ------ ------ A Company Income Statement For Qtr. Ending 12/31/20XX Revenues Total Revenues Gross Profit Operating Expenses: Total Operating Expenses: Net Income Total A Company Statement of Stockholder's Equity For Qtr. Ending 12/31/20xx Common Stock Retained Earnings Beginning Balances, September 30 0 Issued Common Stock Net Income Dividends Ending Balances, December 31: 0 0 A Company Balance Sheet As of December 31, 20XX Assets Current Assets: Liabilities and Owners' Equity Current Liabilities: Total Current Liabilities Long Term Liabilities: Total Current Assets Total Long Term Liabilities: Total Liabilities: Shareholder's Equity: Non-Current Assets: Total Equity Baking Equipment (Net) Total Assets: Total Liabilities & Equity A Company Closing Entries Qtr ending 12/31/20xx Debit Credit Date Accounts 31-Dec Bakery Sales Merchandise Sales Retained Earnings 31-Dec Retained Earnings Baking Supplies Expense Rent Expense Wages Expense Office Supplies Expense Business License Expense Office Expense Depreciation Expense Insurance Expense Advertising Expense Interest Expense Telephone Expense COGS 31-Dec Retained Earnings Dividends A Company Post-Closing Trial Balance Qtr. Ending 12/31/20xx Unadjusted Trial Balance Debit Credit Account Cash Baking Supplies Merchandise Inventory Prepaid Rent Prepaid Insurance Baking Equipment Accumulated Depreciation Office Supplies Accounts Receivable Accounts Payable Wages Payable Interest Payable Notes Payable Common Stock Retained Earnings Total