Financial Accounting Excel project

Bassmy

course20project-4.xls

Home >Business & Finance homework help >Accounting homework help >Financial Accounting Excel project

Journal Entries

REQUIREMENT #1:

During its first month of operation, the IDEAL Landscaping Corporation, which specializes in residential landscaping,

completed the following transactions:

2013

July 1

Began business by making a deposit in a company bank account of $24,000, in exchange

for 4,800 shares of $5 par value common stock.

July 1

Paid the premium on a one-year insurance policy, $2,400.

July 1

Paid the current month's rent, $2,080.

July 3

Purchased landscaping equipment from DVB, $8,800. Paid $1,200 down and the balance was

placed on account. Payments will be $400.00 per month for nineteen months. The first payment is due 8/1.

Note: Use Accounts Payable for the Balance Due.

July 8

Purchased landscaping supplies from Meadow Woods Company on credit, $780.

July 12

Paid utility bill for July, $308.

July 16

Received cash for landscaping revenue for the first half of July, $2,724.

July 19

Made payment on account to Meadow Woods Company, $400.

July 31

Received cash for landscaping revenue for the last half of July, $2,620.

July 31

Declared and paid cash dividend of $1,600.

Prepare journal entries to record the July transactions in the General Journal below.

Use the following account names for journal entries.

General Journal

Chart of Accounts: Account Title (Normal Balance)

Date

Description(Account Name)

Debit

Credit

Assets

Cash (Debit)

Prepaid Insurance (Debit)

Landscaping Supplies (Debit)

Landscaping Equipment (Debit)

Accum Depr -Equipment (Credit)

Liabilities

Accounts Payable (Credit)

Income Tax Payable (Credit)

Stockholders Equity

Common Stock (Credit)

Retained Earnings (Credit)

Dividends (Debit)

Revenue

Landscaping Revenue (Credit)

Expenses

Rent Expense (Debit)

Utility Expense (Debit)

Insurance Expense (Debit)

Supplies Expense (Debit)

Depreciation Expense (Debit)

Income Tax Expense (Debit)

Note: Remember that Debits must equal Credits - All of your Journal Entries should balance.

Berry, Jennifer K: debits = 45,712

General Ledger

This Sheet will be used for Requirements 2, 5, and 9
REQUIREMENT #2:
Post the July journal entries to the following T-Accounts and compute ending balances.
Cash (111)			Landscaping Revenue (411)
Prepaid Insurance (117)			Rent Expense (511)
Landscaping Supplies (119)			Utility Expense (512)
Landscaping Equipment (144)			Insurance Expense (513)
Accum. Depr.-Equipment (145)			Supplies Expense (514)
Accounts Payable (212)			Depreciation Expense (515)
Income Taxes Payable (213)			Income Taxes Expense (516)
Common Stock (311)
Retained Earnings (312)
Dividends (313)

Berry, Jennifer K: cash balance = debit 21,356

Trial Balance

REQUIREMENT #3:
Prepare a trial balance for July in the space below.
IDEAL Landscaping Corporation
Trial Balance
July 31
	0	0

Berry, Jennifer K: debits = 37,324

Adjusting Entries

Requirement #4:
Prepare adjusting entries using the following information in the General Journal
below. Show your calculations!
a) One month's insurance has expired.
b) The remaining inventory of landscaping supplies is $388.
c) The estimated depreciation on landscaping equipment is $140.
d) The estimated income taxes are $80.
		General Journal
Date	Description(Account Name)		Debit	Credit
Requirement #5:
Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances.
Just add to the balances that are already listed.

Adjusted Trial Balance

Requirement #6:
Prepare an Adjusted Trial Balance in the space below.
IDEAL Landscaping Corporation
Adjusted Trial Balance
July 31
	0	0

Berry, Jennifer K: debits = 37,544

Financial Statements

Requirement #7:
Prepare the financial statements for IDEAL Landscaping Corporation as of July 31 in the space below.
You will only be preparing the Income Statement, Statement of Retained Earnings and the Balance Sheet.
The Statement of Cash Flows is a required Financial Statement, but is not required for this Project.
IDEAL Landscaping Corporation	IDEAL Landscaping Corporation	IDEAL Landscaping Corporation
Income Statement	Statement of Retained Earnings	Balance Sheet
For the Month Ending July 31	For the Month Ending July 31	July 31
Revenues:	Retained Earnings, July 1	Assets:
Landscaping Revenue	Add: Net Income	Cash
	Subtotal	Prepaid Insurance
Expenses:	Less: Dividends	Landscaping Supplies
Rent Expense	Retained Earnings, July 31	Landscaping Equipment
Utility Expense		Less: Accum. Depr.
Insurance Expense		Total Assets
Supplies Expense
Depreciation Expense		Liabilities:
Income Taxes Expense		Accounts Payable
Total Expenses		Income Taxes Payable
		Total Liabilities
Net Income		Stockholders' Equity:
		Common Stock
		Retained Earnings
		Total Stockholders' Equity
		Total Liabilities &
		Stockholders' Equity

Berry, Jennifer K: NI = 2,144

Berry, Jennifer K: Retained Earnings = 544

Berry, Jennifer K: Total liabilities + equity = 32,604

Closing Entries

Requirement #8:
Prepare the closing entries at July 31 in the General Journal below.
Hint: use the balances for each account which appear on the Adjusted
Trial Balance for your closing entries.
		General Journal
Date	Description (Account Name)		Debit	Credit
Requirement #9:
Post the closing entries to the General Ledger T-accounts and compute ending balances.
Just add to the adjusted balances already listed.

Post Closing Trial Balance

Requirement #10:
Prepare a post-closing trial balance as of July 31 in the space below.
IDEAL Landscaping Corporation
Post-Closing Trial Balance
July 31
	0	0

Berry, Jennifer K: total debits = 32,744