All About You: Personal Financial Literacy Activity BYP2-4 The "All About You" feature indicates that Luca Pacioli, who described the double-entry accounting system used over 500 years ago, wrote "a person should not go to sleep at night until the debits equalled the credits." In the double entry system, Achits and crediss are You are a fiest-year univerity student and 5 , 5,000 and you levere a $14,000 student loan. Your purents have bold you that $4,000 is all you get for the school yeat and you are not 10 phone hat ion is of clothes, and a cell phione On December 15, you checked the balance in your bank accoant and you only have $6,000 cash. You cant slecp, because you know there are some errors in your accounting records and that you will probably have to ask your parents for more moncy for the next semester. fistructions (a) Calculate your personal equity (deficcit) at September 1. 2014. (b) Prepare a corrected trial balance at December 15, 2014. For cach error identificd, describe the error. (c) Calculate your total expenses for the semester and yaur personal equity (deficit) at Deccember 15, 2014. (d) Prepare a personal balance sheet at December 15,2014 . (e) Assuming you will have the same expenses in the second semester, will you have enough cash to pay for them? (f) Are there any expenses you might be able to avoid in the second semetter to save cash? (g) Are there any additional cash expenditures that will need to be made in the second semester? (h) Will it be necessary for you to ask your parents for move money for the nat semester? Erplain. All About You: Personal Financial Literacy Activity BYP2-4 The "All About You" feature indicates that Luca Pacioli, who described the double-entry accounting system used over 500 years ago, wrote "a person should not go to sleep at night until the debits equalled the credits." In the double entry system, Achits and crediss are You are a fiest-year univerity student and 5 , 5,000 and you levere a $14,000 student loan. Your purents have bold you that $4,000 is all you get for the school yeat and you are not 10 phone hat ion is of clothes, and a cell phione On December 15, you checked the balance in your bank accoant and you only have $6,000 cash. You cant slecp, because you know there are some errors in your accounting records and that you will probably have to ask your parents for more moncy for the next semester. fistructions (a) Calculate your personal equity (deficcit) at September 1. 2014. (b) Prepare a corrected trial balance at December 15, 2014. For cach error identificd, describe the error. (c) Calculate your total expenses for the semester and yaur personal equity (deficit) at Deccember 15, 2014. (d) Prepare a personal balance sheet at December 15,2014 . (e) Assuming you will have the same expenses in the second semester, will you have enough cash to pay for them? (f) Are there any expenses you might be able to avoid in the second semetter to save cash? (g) Are there any additional cash expenditures that will need to be made in the second semester? (h) Will it be necessary for you to ask your parents for move money for the nat semester? Erplain
