This assignment is based on case analysis: Charlies Internet Caf (CIC). It is available on URCourses under the section Assignments. Please be clear and professional in your answers. You need to make a copy of your assignment for your own records before you hand it in for grading. You may write the assignment solution in Word or Excel or it can be hand-written. If you hand write it, please, make sure the writing is clear and legible, include the prescribed cover page posted on UR Courses and it will have to be converted to a PDF file for submission. Your answers (files) should be submitted to the dropbox in the assignment section of this course no later than the beginning of class, Thursday October 10, 2019. Note: In this case analysis, we use amortization and depreciation interchangeably, and CIC does not pay tax. Please, do not add any new accounts. You need to use the accounts listed in the unadjusted trail balance. Your task is to prepare in good format: (1) The adjusting journal entries, (2) An adjusted trial balance, (3) The income statement, (4) The statement of financial position (balance sheet), (5) The statement of changes in equity. After you have completed the statements, you have to prepare the closing journal entries and the post closing trial balance. Ensure you show all of your work, and prepare proper journal entries and properly formatted financial statements. If you have any questions related to the assignment, please email them or post them on the Forum Discussion in URCourses. Please be specific and we will provide you with guidance. You can also contact your lab instructor or your instructor via e-mail to schedule an appointment. Good Luck! Dave Roszell

Charlies Internet Caf Charlies Internet Caf (CIC) was established and incorporated on January 1, 2016, by Bruce Waiters and has just completed its third year of operations with a year end of December 31. Bruce was born in the Muskoka region and after completing his university degree in history, he decided to return to the area to set up his own business. After months of research, Bruce decided to open his business along the Gravenhurst waterfront. His research showed that there was tremendous potential in that area, especially during the summer tourist season, for a small caf with an Internet service. Local cottagers without service suggested that they would find it appealing to check their email while shopping in the trendy area. CIC runs out of 90 square metres (1,000 square feet) of space. It has one entrance into the caf and patio doors leading out to a deck that overlooks the water. CIC pays $5,000 per month for the rental of the space. Bruce was able to negotiate with the landlord and was not required to pay the first months rent in advance. All of his rental payments are current and up to date. For the last two years, CIC has had a very reliable accountant prepare its year-end financial statements and everything has been correct. This year, CICs accountant retired and Bruce did the best he could recording his own financial information. For the information he was not sure about, he kept all of the required supporting documentation. Bruce hired your accounting firm to prepare his financial statements for the year and you were assigned the job. Bruce supplied you with his unadjusted trial balance and the information in Exhibit I to assist you. Additional information: The amount currently sitting in prepaids arose due to the insurance policy last year. Bruce didnt know how to correct it, so he left it. This years insurance policy was purchased on November 1 for $9,000. The policy runs from November 1 to October 31 of each year. Bruce has a note that he owed $900 in wages to his employees for the period ending December 31. The loan wasincurred when the caf was opened. The loan carries an interest rate of 8%. The interest is payable two months after year end and the principal is due in 2022. CIC will sometimes book special events with small organizations that are allowed to pay after the event has taken place. On December 29, a small company had a gathering at the caf. The company was billed $1,089 and has 30 days to pay it. Bruce has not yet recorded this in his financial records. CIC declared a dividend of $5,000 on December 30. Bruce didnt know how to record amortization for the year and so left it for you to record. Amortization for all assets is charged using a straight-line method by taking the cost of the asset and dividing it by its expected useful life.The assets have expected useful lives asfollows: Computers: 5 years Caf equipment: 10 years Furniture and fixtures: 20 years The information showsthat CIC owes $400 for a telephone bill and $300 for electricity for December. These amounts have not been recorded yet. Required Based on the information you have, prepare the adjusting journal entries, an adjusted trial balance, the statement of earnings (income statement), statement of financial position (balance sheet), and statement of retained earnings. After you have completed the statements, prepare the closing journal entries and the postclosing trial balance. Ensure you show all of your work and prepare proper journal entries and properly formatted financial statements

trial balance

EXHIBIT I CHARLIES INTERNET CAF UNADJUSTED TRIAL BALANCE DECEMBER 31, 2018 Account Name Debit Credit Cash 30,000 Accountsreceivable 5,600 Food inventory 21,000 Merchandise inventory 61,500 Prepaids 3,400 Computers 30,000 Accumulated amortizationcomputers 12,000 Caf equipment 90,000 Accumulated amortizationCaf equipment 18,000 Furniture and fixtures 150,000 Accumulated amortizationFurniture and fixtures 15,000 Accounts payable 20,000 Accrued liabilities Interest payable Dividend payable Long-term loan 220,000 Common shares 50,000 Retained earnings 21,000 Food revenue 463,500 Internet revenue 127,000 Merchandise revenue 103,000 Food expense 240,000 Internet expense 54,000 Electricity expense 67,000 Telephone expense 20,000 Interest expense Salary expense 200,000 Insurance expense 9,000 Suppliesexpense 8,000 Depreciation expense Rent expense 60,000 1,049,500 1,049,500

can u plz help me with this case how to prepare journal entry