Accounting Cycle Project

The file includes blank templates for General Journal. T-Accounts, Unadjusted Trial Balance, Adjusted Trial Balance and Financial Statements

Step 1: Prepare journal entries to record the December transactions in the General Journal Tab in the excel template file "Accounting Cycle Excel Template.xlsx". Use the following accounts as appropriate:

Cash Land Notes Payable Depreciation Expense

Accounts Receivable Accumulated Depreciation Common Stock Salaries Expense

Supplies Accounts Payable Retained Earnings Supplies Expense

Prepaid Insurance Deferred Revenue Dividends Rent Expense

Equipment Salaries PayableService Revenue Insurance Expense

1-Dec Issue common stock in exchange for cash of $8,000.

1-Dec Paid the premium in advance on a one-year insurance policy, $960.

1-Dec Purchased Equipment for $4,200 cash.

5-Dec Purchased office supplies from XYZ Company on account, $400.

15-Dec Provided services to customers for $6,200 cash.

16-Dec Provided services to customer ABC Inc. on account, $3,700.

17-Dec Received $1,200 cash in advance from a customer for services to be provided in January.

22-Dec Paid$230 to XYZ company for the Dec 5 purchase on account.

23-Dec Received $1,900 cash from customer, ABC Inc., on account.

25-Dec Paid the rent for the current month, $700.

28-Dec Paid salaries to employees for work performed from December 1 through December 28, $4,200.

29-Dec Declared and paid dividends to stockholders $400.

30-Dec Purchased land by signing 3 year note payable for $9,000 .

Step 2: Post all of the December transactions from the "General Journal" tab to the T-accounts under the "T-Accounts" tab in the excel template file "Accounting Cycle Excel Template.xlsx". Assume there are no beginning balances in any of the accounts.

Step 3: Compute the balance for each T-account after all of the entries have been posted.

Step 4: Prepare the unadjusted trial balance on the "Unadjusted Trial Balance" tab.

1 Provide the total of the credit column from the Unadjusted Trial Balance

Step 5: Record the December adjusting entries on the "General Journal" tab.

31-Dec One month's insurance has expired $80.

31-Dec The remaining inventory of unused office supplies is $90.

31-Dec The estimated depreciation on equipment is $70.

31-Dec Salaries incurred from December 29 to December 31 but not yet paid or recorded total $450.

Step 6: Post all of the adjusting entries to the T-accounts on the "T-Accounts" tab.Compute the balance for each T-account after all of the adjusting entries have been posted.

Step 7: Prepare the adjusted trial balance on the "Adjusted Trial Balance" tab.

Check point 1: Adjusted trial balance total debit/credit = $ 28,790

Provide the following amounts from the Adjusted Trial Balance: (Be sure to enter all numbers as positive and no answer should be left blank.)

2 Cash

3 Accounts Receivable

4 Supplies

5 Prepaid Insurance

6 Equipment

7 Land

8 Accumulated Depreciation

9 Accounts Payable

10 Deferred Revenue

11 Salaries Payable

12 Notes Payable

13 Common Stock

14 Retained Earnings

Step 8:

Prepare the Income Statement, Statement of Stockholder's Equity and Classified Balance Sheet on the "Financial Statements" tab for the month ended December 31, 20XX.

Provide the following amount from the Income Statement: (Be sure to enter all numbers as positive and no answer should be left blank.)

15 Service Revenue

16 Depreciation Expense

17 Salaries Expense

18 Supplies Expense

19 Rent Expense

20 Insurance Expense

21 Net Income

Provide the following account balances from the Balance Sheet: (Be sure to enter all numbers as positive and no answer should be left blank.)

22 Current Assets

23 Long-Term Assets

24 Current Liabilities

25 Long-Term Liabilites

26 Total Liabilities

27 Total Stockholder's Equity

Provide the following account balance from the Statement of stockholders' Equity: (Be sure to enter all numbers as positive and no answer should be left blank.)

28 Dividends

Step 9: Record the closing entries on the "General Journal" tab.

Step 10: Post all of the closing entries to the T-accounts on the "T-Accounts" tab. Compute the balance for each T-account after all of the closing entries have been posted.

Step 11: Prepare the post closing trial balance for the month ended December 31, 20XX on the Post-Closing Trial Balance tab.

29 Provide the total of the debit column from the Post Closing Trial Balance

30 Provide the balance of the Retained Earnings T-account after closing entries have been posted.

Check Point 2: Total Assets $ 22,510