As you return to your desk from your lunch break, you meet Rinaldo who asks you to
Question:
As you return to your desk from your lunch break, you meet Rinaldo who asks you to print the latest trial balance, aged receivables and aged payables report immediately. He wants to know the current state of the company's accounts because he has to meet prospective investors soon. Rinaldo then tells you that he will ask more questions about your work today after returning from the meeting.
Instructions
- Use Sage 50 to print the latest trial balance for Intermaweb Computer that does not include accounts with zero balances. Transcribe your answers into the trial balance provided below.
- Use Sage 50 to print the current aged receivables report for Intermaweb Computer as of May 7, 2017. Transcribe your answers into the aged receivables report below. If Sage 50 presents numbers in brackets or as negative numbers, you must enter those numbers as negative numbers.
- Use Sage 50 to print the current aged payables report for Intermaweb Computer as of May 7, 2017. Transcribe your answers into the aged payables report below. If Sage 50 presents numbers in brackets or as negative numbers, you must enter those numbers as negative numbers.
- Answer all of the questions about Sage 50 that Rinaldo asks you below.
The trial balance: Early May
The trial balance for Intermaweb Computer as of May 7, 2017 is shown below:
Interweb Computer
General Ledger Trial Balance
As of May 7, 2017
Account ID | Account Description | Debit Amt | Credit Amt | |
1020 | Checking Account | |||
1100 | Accounts Receivable | |||
1150 | Allowance for Doubtful Account | 680 | ||
1200 | Inventory | |||
1300 | Office Supplies | |||
1500 | Property and Equipment | |||
1900 | Accum. Depreciation - Prop&Eqt | 22,477 | ||
2000 | Accounts Payable | |||
2310 | Sales Tax Payable | |||
2330 | Federal Payroll Taxes Payable | 1,980 | ||
2600 | Short Term Debt | |||
2700 | Long Term Debt-Noncurrent | 41,000 | ||
3910 | Retained Earnings | 145,263 | ||
3930 | Common Stock | 55,000 | ||
4000 | Sales Income | |||
5000 | Cost of Goods Sold | |||
6000 | Salaries Expense | 19,760 | ||
6100 | Payroll Tax Expense | 2,766 | ||
6150 | Bad Debt Expense | 1,391 | ||
6400 | Utilities Expense | 3,472 | ||
6450 | Office Supplies Expense | |||
6500 | Telephone Expense | 3,954 | ||
6850 | Service Charge Expense | 38 | ||
6900 | Purchase Disc-Expense Items | 149 | ||
7050 | Depreciation Expense | 22,477 | ||
Total: | 54007 | 266400 |
Aged receivables
The aged receivables report for Intermaweb Computer as of May 7, 2017 is shown below:
Intermaweb Computer
Aged Receivables
As of May 7, 2017
Customer | 0-30 ($) | |
Handys Electronics | ||
Radio Hut | ||
Turbo Tech | ||
Report Total | 0 |
Aged payables
The aged payables report for Intermaweb Computer as of May 7, 2017 is shown below:
Intermaweb Computer
Aged Payables
As of May 7, 2017
Vendor | 0-30 ($) | |
Big Telco | ||
JCN Electrical | ||
Mega Tech | ||
Report Total | 0 |
Questions on Sage 50
(Q=234.F.EMTB.P1.Q2)
After returning from the meeting, Rinaldo asks you to click the Reports & Forms menu, and select Accounts Payable to identify which of the following is not in the list of accounts payable reports in Sage 50:
Account Reconciliation | |
Aged Payables | |
Vendor Ledgers | |
Vendor Master File List |
(Q=234.F.EMTB.P2.Q1)
Rinaldo asks you to identify the reporting date options that can be selected when customizing the general ledger trial balance report in Sage 50. To do this, he asks you to perform the following steps in Sage 50:
- From the Reports & Forms menu, select General Ledger to open the Select a Report or Form window.
- In that window, click the General Ledger Trial Balance option to highlight that report selection.
- Click the Options toolbar button to view the modify report options for the General Ledger Trial Balance report.
In the window that appears after the above steps are performed, select the drop-down options that are available for the Date field:
All, Range and Today | |
End of This Period, End of Last Period and Other | |
This Period, This Month and This Year | |
Specific Date, Specific Period and Today |
(Q=234.F.EMTB.P3.Q1)
Rinaldo then wants to know whether you understand the impact of errors on the trial balance.
If there are errors in the accounts in the general ledger, the trial balance:
will definitely not balance | |
may or may not balance | |
can always indicate what these errors are | |
will definitely balance |
Accounting Information Systems basic concepts and current issues
ISBN: 978-0078025334
3rd edition
Authors: Robert Hurt