Colorado Technical University Accounting Worksheet

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In this Individual Project, you will demonstrate an understanding of how to complete the accounting cycle steps.
This will provide understanding on the importance of this cycle and the steps for accurate financial reporting.
You will complete financial statements for a company using the data listed below.
Accounting Data
A.
B.
C.
D.
E.
F.
G.
H.
I.
4/1: Jim invested $100,000 in cash and $50,000 in equipment in the company.
4/2: The company prepaid for insurance with $1,200 cash.
4/3: The company paid cash for rent totaling $1,200.
4/5: The company completed services for a client for cash totaling $8,000.
4/10: The company provided a service for $15,000 on account.
4/11: The company purchased equipment for $5,000 and supplies for $3,000 on account.
4/15: The company paid $1,500 cash for employee salaries.
4/24: The company paid $300 cash for utility bills.
4/28: The company paid dividends totaling $2,000 cash.
Adjusting entries completed on April 30
J. Insurance expired for the month of April.
K. An ending count determined that supplies totaled $2,600.
L. Wages of $3,000 were earned but not paid.
M. Services of $5,000 were earned but not billed.
N. Depreciation on the equipment is $500 per month.
Using the above data, complete the following:
•
•
•
•
•
•
•
•
•
Journal entries
Posting to T-accounts
Trial balance
Adjusting entries
Adjusting trial balance
Income statement
Statement of retained earnings
Balance sheet and closing entries
Postclosing Trial Balance
Download the Week 1 template to complete your project.
Comprehensive Problem
Complete the following:
• Journal entries
• Posting to T-accounts
• Trial balance
• Adjusting entries
• Adjusting trial balance
• Income statement
• Statement of retained earnings
• Balance sheet
• Closing entries
• Post Closing Trial Balance
During its first month of operation, the Jim’s Repair and Auto Body, which specializes in
vehicle and body repairs, completed the following transactions:
Jim opened Jim’s Auto Body. Complete the following transactions:
A. 4/1: Jim invested $100,000 in cash and $50,000 in equipment in the company.
B. 4/2: The company prepaid for insurance with $1,200 cash.
C. 4/3: The company paid cash for rent totaling $1,200.
D. 4/5: The company completed services for a client for cash totaling $8,000.
E. 4/10: The company provided a service for $15,000 on account.
F. 4/11: The company purchased equipment for $5,000 and supplies for $3,000 on account.
G. 4/15: The company paid $1,500 cash for employee salaries.
H. 4/24: The company paid $300 cash for utility bills.
I. 4/28: The company paid dividends totaling $2,000 cash.
Chart of accounts description for posting to journal entries.
Account Type
Assets
Chart of Accounts
Account
Number
Account Title
101
105
107
109
145
146
Cash
Accounts Receivable
Prepaid Insurance
Supplies
Equipment
Accum Dep – Equipment
202
203
204
Accounts Payable
Income Tax Payable
Salary Payable
301
302
303
Common Stock
Retained Earnings
Dividends
401
Revenue
501
502
503
504
505
506
507
Rent Expense
Utility Expense
Insurance Expense
Supplies Expense
Dep Expense – Equipment
Income Tax Expense
Salary Expense
Liabilities
Stockholders’ Equity
Revenue
Expenses
Journal Entries
Prepare journal entries to record the April transactions in the General Journal below.
Date
General Journal
Account Number Description (Account Name)
Debit
0
Journal Entries
Credit
0
Post the April journal entries to the following T-Accounts, and compute ending balances.
ending balances.
Journal Entries
Prepare a trial balance for April.
Jim’s Autobody
Trial Balance
April 20XX
Account Number Description (Account Name)
Total
Debit
Credit
–
–
Journal Entries
Prepare the following adjusting journal entries for April 30:
• Insurance expired for the month of April.
• An ending count of supplies totaled $2,600.
• Wages of $3,000 were earned but not paid.
• Services in the amount of $5,000 were earned but not billed.
• Depreciaiton on the equipment is $500 per month.
Date
Adjusting Entries
Account Number
Description (Account Name)
1,200
Debit
0
Journal Entries
100
Credit
0
Journal Entries
Prepare an Adjusted Trial Balance.
Adjusted Trial Balance
Account Number
Description (Account Name)
Debit
Credit
0
0
Prepare the Income Statement in the proper format for April 30.
Income Statement
Revenues:
Total Revenue
0
Expenses:
Total Expenses
0
Net Income/Loss
0
Prepare the Retained Earning statement in the proper format for April 30.
Statement of Retained Earnings
Retained Earnings,
Add: Net Income
Subtotal
Less: Dividends
Retained Earnings
0
0
Prepare the Balance Sheet in the proper format for April 30.
Balance Sheet
Assets:
Total Assets
0
Liabilities and Stockholders’ Equity
Liabilities:
Total Liabilities
0
Stockholders’ Equity:
Total Stockholders’ Equity
0
Total Liabilities and
Stockholders’ Equity
0
Journal Entries
Prepare the closing entries at April 30.
Post the closing entries to the T-Accounts on the General Ledger worksheet, and compute ending
balances.
Date
Account Number
Description (Account Name)
Debit
Journal Entries
0
Journal Entries
ute ending
Credit
Journal Entries
0
Journal Entries
Prepare a postclosing trial balance as of April 30 in the space
below.
Post Closing Trial Balance
Account Number Description (Account Name)
Debit
Credit
0
0

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