Requirements:

$1)$ Using the data below and T$-$accounts, convert the cash basis income statement to accrual basis in appropriate professional Excel format $($i$.$e$.,$ use cell referencing and formulas, no hard coding numbers$).$

$2)$ In the T$-$accounts and Income Statement, all account titles should be added using cell referencing. See the first T account for an example.

$3)$ T$-$accounts should have a beginning and ending balance, as well as a description of what transaction increases and decreases the account. See the first T$-$account for an example.

Grading: This assignment is grading on the following:

$1)$ Correct formatting of T$-$accounts including accounting title, beginning balance, ending balance, brief description of transaction that increases account, brief description of transaction that decreases account $(3$ points$)$

$2)$ Solution $-$ Income statement in good single step format $(4$ points$).$ Note the expenses may be in any order.

$3)$ Appropriate use of Excel $-$ Use of cell references for labels, account names and amounts if given in problem data and use of formulas for all calculations $(3$ points$).$

Data $$ Ramirez Consulting $$ Income Statement $($Cash Basis$)$ Year ended $12/31/25$ Cash Receipts from Customers $$$$410,000$ Cash Payments $$ Salaries & Wages $170,000$ Income Taxes $55,000$ Insurance $40,000$ Interest $35,000300,000$ Net Income $$$$110,000$ Additional Information $$ Balances at $12/3120252024$ Accounts receivable $$$$50,000$$$30,000$ Salaries & wages payable $10,00020,000$ Income taxes payable $24,00019,000$ Prepaid insurance $6,0004,000$ Accumulated depreciation $95,00080,000$ Interest payable $3,0009,000$ No plant, property or equipment was sold this year. Hint: For T$-$accounts, you can solve for any one unknown For normal debit balance account: $$ Beginning Balance $+$ Debits $-$ Credits $=$ Ending Balance $$ For normal credit balance account: $$ Beginning Balance $+$ Credits $-$ Debits $=$ Ending Balance $$ PLEASE LOOK AT ALL IMAGES ATTACHED TO PROPERLY SOLVE THE PROBLEM ALL CALCULATIONS MUST BE SHOWN$$

Basically, we are using the green data charts to make a financial analysis to fill in the yellow chart.