Course Project: Balance Sheet and Single Step Income Statement

Course Project Course Project Title: Balance Sheet and Single-Step Income Statement Objective To prepare a comprehensive balance sheet and Single-Step Income Statement presented in good form and derived from a list of various accounts. The amounts relative to each account will be given and the student will learn to determine whether an account is a balance sheet account or a temporary account that belongs to the income statement. The accounts will be comprised of all the various subgroupings in the balance sheet (Current Assets, Investment, Fixed Assets, Intangibles, and Other Assets, as well as Current Liabilities, Long-term Liabilities, and the Equity sections). Guidelines Obtain the list of accounts under the title of Course Project in Doc Sharing Determine which accounts belong to the Balance Sheet and which accounts belong to the Income Statement Determine to which subgroup each account belongs Arrange the accounts in proper order and functionality Prepare a Comprehensive Balance Sheet in good form Prepare a Single-step Income Statement in good form Put the Course Project in the Dropbox for the project in Week 8 Grading Rubrics Category Points % Description Making proper selection of From the provided listing of accounts determine accounts relative to the 30 20 which accounts are Balance Sheet accounts and balance sheet or the income which accounts are Income Statement accounts. statement Putting the accounts into the 15 10 Each account belongs to a particular subgroup. The WorkfileContents.docx Page 1 Course Project proper subgroup according to functionality Preparing the balance sheet in good form 45 30 Preparing the income statement in good form 45 30 Ensuring that the Balance Sheet and the Income Statement have been computed correctly 15 10 Total 150 100 student is to determine which subgroup the account belongs. This should be done according to functionality. Proper form is important in the preparation of the balance sheet. Examples can be found in the text. Proper form is important in the preparation of the income statement. Examples can be found in the text. It is important that the balance sheet and income statement are computed correctly and have the correct totals. An incorrect total in any part of the financials can invalidate the entire project. A quality project will meet or exceed all of the above requirements. Course Project Listing of Accounts: Accounts Payable $197,532 Account Receivable 165,824 Accrued Interest on Notes Payable 500 Accrued Liabilities 9,500 Accumulated Depreciations 341,200 Additional Paid-in Capital 37,500 Administrative Expenses 350,000 Allowance for doubtful accounts 1,850 Building 975,800 Cash 42,485 Common Stock 400,000 Copyrights 105,000 Cost of Goods Sold 1,000,000 Customer Deposits (expected to be paid next year) 420 Deposits with Vendors (based on a long-term purchase contract) 50,000 WorkfileContents.docx Page 2 Course Project Depreciation Expense (40% - Selling, 60% - Administrative) 100,000 Dividend Income 30,000 Goodwill 100,000 Income Tax Expense 82,250 Income Taxes Payable 62,520 Interest Revenue 25,000 Inventories 499,493 Investments in Warren Co. 87,500 Land 125,000 Mortgage Payable ($1,500 per month) 308,000 Notes Payable to Banks 50,000 Notes Receivable (due next year) 23,000 Patents 125,000 Preferred Stock, 7% 300,000 Prepaid Expenses 16,252 Rental Income 50,000 Retained Earnings 162,582 Selling Expenses 300,000 Salaries Payable 52,000 Sales Discounts 120,000 Sales Revenue 2,000,000 Securities (available for sale) - at fair Market value 28,250 Trademarks 80,000 Twenty-year, 12% Bonds, due 1/1/2013 500,000 WorkfileContents.docx Page 3 Course Project WorkfileContents.docx Page 4