Excel Probem

At the end of each module, you will apply the module’s concepts by completing a comprehensive assignment from the textbook.

Complete these problems from your text book: (P1-44B page 47 & P2-46B page 111) related to transaction analysis, journal entries for typical business transactions, adjusting entries and preparation of the trial balance and adjusted trial balance.

Present your analysis of the assigned problems in Excel format. Enter non-numerical responses in the same worksheet using textboxes.

P1-44B (L. OBJ. 9, 10) Preparing financial statements and evaluating business performance [20-30 min]

Insurance expense $8,000---------------------- Accounts receivable $10,000

Cash 31,000---------------------Note payable 12,000

Accounts payable 6,000---------------------Owner’s equity ?

Advertising expense 1,000--------------------Salary Expense 27,000

Service revenue 81,000-------------------- Equipment 60,000

Owner withdrawals 15,000---------------------Owner investment 33,000

Requirement:

1. Prepare the following financial statements for Accent Photography for the yeat ended December 31, 2011:

a. Income statement

b. Statement of owner’s equity

c. Balance sheet

P2-46B (L. OBJ. 2, 3, 4, 5,) Analyzing and journalizing transactions, posting, and preparing a trial balance [35-60 min]

Warren Smith practices medicine under the business title Warren Smith, M.D. During April, the medical practice completed the following transactions:

Apr 1 Smith deposited $78,000 cash in the business bank account. The business gave capital to Smith.

5 Paid monthly rent on medical equipment, $780.

9 Paid $18,000 cash to purchase land for an office site

10 Purchased supplies on account, $1,200

19 Borrowed $20,00 from the bank for business use. Smith signed a note payable to the bank in the name of the business

22 Paid $800 on account

30 Revenues earned during the month included $5,900 cash and $4,900 on account

30 Paid employees’ salaries $2,000, office rent $1,800, and utilities $420. Make a single compound entry

30 Owner withdrew $9,000

The business uses the following accounts: Cash; Accounjts receivable; Supplies; Land; Accounts payable; Notes payable; Warren Smith, Capital; Warren Smith, Withdrawals; Service revenue; Salary expense; Rent expense; Utilities expense.

Requirements

1. Journalize each transaction, as shown for April 1. Explanations are not required.

2. Post the transactions to the T-account, using transaction dates as posting references in the ledger accounts. Label the balance of each account Bal, as shown in the chapter.

3. Prepare the trail balance of Warren Smith, M.D., at April 30, 2010