Accounting Information Systems AC341

Project #1

The ledger of AISExperts Inc. showed the following balances after adjustment, but before closing, on December 31, 2007, the end of the current year:

Accounts payable	78000
Accounts receivable	101560
Accumulated depreciation equipment	26540
Depreciation expense	800
Interest revenue	925
Cash	80470
Common stock (10,000 shares outstanding)	100000
Cost of merchandise sold	634550
Dividends declared	19100
Equipment	139450
General expenses	114250
Interest expense	5600
Merchandise inventory	154250
Prepaid insurance	11225
Retained earnings	?
Dividend Revenue	10000
Salaries Payable	14550
Sales	946250
Selling expenses	139210

The president of AISExperts Inc., has asked you to develop a flexible financial statement package (call the file yournameFinState07), using Excel that includes:

a data entry sheet

an adjusted trial balance,

a single-step income statement,

a multi-step income statement,

a statement of retained earnings,

a classified balance sheet, and

a post-close trial balance

Each statement must be on one sheet in the file and this file should allow the financial statements to be prepared quickly by entering account balances in the appropriate cells on the first sheet of the file (book) data entry sheet.

Include percentages in the Income Statement (vertical analysis) i.e. gross profit percentage, % of selling expenses to sales, etc.

Your file must contain documentation with comments.

Use the financial information above as input for your statements. Only formulas/cell references should appear on all sheets except your data entry sheet (except titles and dates; dates and titles should be placed at the top of the each sheet; do not use headers).

Arriving at the correct solution using appropriate formulas and the correct format for financial statements will allow you to keep your current position (with a score of 85). The presentation of the financials (i.e. underlining, bold, font, commas, color etc.) will potentially enable you to secure a promotion (an additional 15 points).