accouting 201, Acorn School Corporation

Acorn School Corporation (ASCE Submit The Chart of Accounts is as follows: ACORN SCHOOL CORPORATION CHART OF ACCOUNTS OWNER'S EQUITY 311 Capital Stock 312 Retained Earnings 313 Dividends ASSETS 111 Cash 113 Accounts Receivable 115 Supplies 116 Prepaid Insurance 141 Equipment REVENUE 411 Service Revenue EXPENSES 511 Rent Expense 512 Gas and Oil Expense 513 Wages Expense 514 Utilities Expense 210 Notes Payable 220 Accounts Payable Acorn School Corporation Post-closing Trial Balance January 31, 20xX DEBIT CREDIT Cash Accounts Receivable Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Common Stock Retained Earnings Dividends Service Revenue Rent Expense Gas and Oil Expense Wages Expense Utilities Expense 1,870 1,700 18,440 $15,000 1,640 4,000 1,370 $22,010 $22,010 (4)SupEx(acorn_ school).doc Financial Accountiag Acorn School Corporation (ASC (conn The following transactions were completed by ASC during February. February Due to expected increase in enrollment, hired two part-time 2 Paid rent for the month, $270, 3 Paid for a one-year insurance policy, $288. 4 Received payments from customers for February's services 5 Bought supplies on open account from Duncan Office Supp 6 Ordered playground equipment. 8 Made payment to a vendor on open account, $170.ies provided and invoice 9 Received $1,200 of the $1,700 by for services 10 Billedie, invoiced) customers for services to be performed in F 11 Paid off the obligation for the supplies purchased on February 5 13 Received the playground equipment ordered on Feb. 6. Paid cash, $1,000. 17 Purchased office equipment on open account, $290. 19 Paid this month's utility bill, $145 20 Received payments on open account from customers of S500. These c provided, $650 ly Co, $85. for trom customers for services provided and invoiced in January February, but not yet paid for, $700 customers were originally billed (i.e., invoiced) on Feb. 10. Paid part-time employees for their work through the first three weeks of February, $240. The next pay-day is March 24. 21 27 28 Received an invoice from the local gas station for February's gas expenses, $35. ASC will pay invoice on March 10. Declared and paid a dividend of $110. I. Record the transactions for February beginning on page 17 of the General Jounal. (include a short explanation for each journal entry). (leave a line blank after each completed entry) 2. Post all February entries to the General Ledger. (CkFig: Cash balance $1,912) 3. At the end of the month, prepare an Unadjusted Trial Balance. Use your own paper 4. Prepare General Purpose Financial Statements for the month of February. Use your own paper. CkEig debits - 23,515) CkFigs: Net Income $660, Retained Earnings $1,920) For the practice, journalize but do not post the Closing Jounal Entries for this assignment.. 5. Two main goals of Financial Statements are to fuithfully represent fi.e. provide trustworthy) (1) economic results of operations (i.e., Income Statement) for the reporting period (February) and (2) economic financial position (i.e, Balance Sheet) at the end of the reporting period (as of February 28) 6. Keep goal (1) in mind: a. Which account on ASC's February Income Statement has failed to faithfully represent the economic results of operations for February? b. To better faithfully represent economic results, list at least 2 expense accounts that should be accounted for and reported on ASC's February Income Statement. Hint: only $35 of Supplies are physically on-hand at month-end 7. Keep goal (2) in mind: a. List at least 2 asset accounts that as reported on Feb. 28, are overstated b. Name at least one missing (and therefore understated) liability account that should be accounted for and reported on ASC's Balance Sheet as of February 28. Fde name NAME Financial Accounting Turck DATE Today CLASSAcom 17 GENERAL JOURNAL PAGE POST REF DATE ACCOUNTSWEXPLANA TIONS DEBIT CREDIT 20xx 6. Keep goal (1) in mind: a. Which expense on ASC's February Income Statemc to faithfully represent the economic results of operat t economic results, list at least 2 expenses that ly $35 of Supplie aeosc"'s February Income Statement. To better faithfully represen should be accounted for and reported on ASC's F Hint: only $35 o Supplies are physically on-hand b. at month-end. 7. Keep goal (2) in mind: List at least 2 asset accounts that as reported on Feb. 28, are overstated a. b. Name at least one missing (and therefore understated) liability account that should be accounted for and reported on ASC's Balance Sheet as of February 28. NAME Financial Accounting-Turck DATE TODAY CLASS Acorn GENERAL LEDGER ACCOUNT CASEH ACCOUNT NO POST CURRENT BALANCE REF. DEBIT DATE CREDIT ITEM CREDIT Jan. 311-Balance Forward 1,870.00 113 ACCOUNT NO ACCOUNT ACCOUNTS RECEIVABLE CURRENT BALANCE POST REF DEBIT ITEM DATE CREDIT 1,700.00 Jan. 31 Balance Forward 115 ACCOUNT NO. ACCOUNT SUPPLIES CURRENT BALANCE POST REF TEM CREDIT DEBIT DATE 116 ACCOUNT NO ACCOUNT PREPAID INSURANCE CURRENT BALANCE POST REF ITEM CREDIT DEBIT DEBIT DATE Financial Accounting- Turck NAME DATE GENERAL LEDGER 141 ACCOUNT NO ACCOUNT EQUIPMENT CURRENT BALANCE CREDIT POST DATE CREDIT ITEM 18,440.00 Jan.31 Balance Forward ACCOUNT NO CURRENT BALANCE POST REF CREDIT DEBIT DATE ITEM . DEBIT NOTES PAYABLE-12% interest per year, interest Pssarem 210 ACCOUNT NO. ue eack Jan. 31 CURRENT BALANCE POST DATE ITEM DEBIT 15,000.00 31 Balance Forward 220 ACCOUNT ACCOUNTS PAYABLE ACCOUNT NO CURRENT BALANCE POST REF DATE ITEM I DEBIT DEBIT 31 Balance Forward Jan 1,640.00 311 ACCOUNT COMMON STOCK ACCOUNT NO CURRENT BALANCE REF DEBIT DATE ITEM DEBIT CREDIT Jan. 31 Balance Forward 4,000.00 ACCOUNTRETAINED EARNINGS ACCOUNT NO 32 CURRENT BALANCE POST REFI DEBIT DATE ITEM DEBIT Jan. 31 Balance Forward 1,370.00 Financial Accounting- Turck NAME DATE GENERAL LEDGER 141 ACCOUNT NO ACCOUNT EQUIPMENT CURRENT BALANCE POST REF DATE CREDIT ITEM DEBIT 18,440.00 Jan. 31 Balance Forward ACCOUNT NO CURRENT BALANCE POST CREDIT DEBIT DATE ITEM F. DEBIT 210 NOTES PAYABLE-12% interest per year, interest ach Jin. 31, ACOM ho. ts dat ( ACCOUNT CURRENT BALANCE POST DATE ITEM DEBIT 15,000.00 311 Balance Forward 220 ACCOUNT ACCOUNTS PAYABLE ACCOUNT NO. CURRENT BALANCE POST REF I DEBIT DATE ITEM DEBIT 31 Balance Forward Jan 1,640.00 ACCOUNT COMMON STOCK 311 ACCOUNT NO CURRENT BALANCE REF DEBT DATE ITEM CREDIT DEBIT Jan 31 Balance Forward 4,000.00 ACCOUNTRETAINED EARNINGS 312 ACCOUNT NO POST REF CURRENT BALANCE DATE ITEM DEBIT DEBIT Jan. 31 Balance Forward 1,370.00 Acorn School Corporation (ASC: Submit The Chart of Accounts is as follows: ACORN SCHOOL CORPORATION CHART OF ACCOUNTS ASSETS 111 Cash 113 Accounts Receivable 115 Supplies 116 Prepaid Insurance 141 Equipment OWNERS EOUm 311 Capital Stock 312 Retained Earnings 313 Dividends REVENUE 411 Service Revenue 210 Notes Payable 220 Accounts Payable EXPENSES: 511 Rent Expense 512 Gas and Oil Expense 513 Wages Expense 514 Utilities Expense Acorn School Corporation Post-closing Trial Balance January 31, 20XX DEBIT CREDIT 1,870 1700 Cash Accounts Receivable Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Common Stock Retained Earnings Dividends Service Revenue Rent Expense Gas and Oil Expense Wages Expense Utilities Expense 18,440 $15,000 1,640 4,000 1,370 $22,010 $22,010