Accounting Cycle - a month worth of entries

Shell Journal Entries

1/1/17 Start a corporation by investing XX in cash

1/1/17 Also invest YY in computers

1/2/17 Purchase AA in inventory

1/3/17 Buy a building for ZZ

1/17/17 Make a cash sale of inventory for BB. Cost of inventory was CC.

1/21/17 Make a credit sale of FF. Cost of inventory was GG.

1/25/17 Pay employees HH

1/27/17 Purchase inventory on credit for JJ.

1/31/17 Record accrued salary expense of KK.

1/31/17 Record depreciation expense of LL

Required:

1.Write journal entries (JEs) for "day to day" transactions.

2.Post JEs to t-accts

3.Write adjusting JEs

4.Post adjusting JEs

5.Write closing JEs

6.Prepare Balance Sheet and Income Statement. Consider how the Statement of Cash Flows would be prepared.