Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Alpaca Farms requires some help with some of their month end functions. There are 5 separate tasks. They can be performed in any order. (87

image text in transcribed
image text in transcribed
Alpaca Farms requires some help with some of their month end functions. There are 5 separate tasks. They can be performed in any order. (87 marks) 1. Prepare a Bank Reconciliation based on the two documents provided for September 30, 2020./15 mark) G D C General Leder Acourt C Date Description 01 Sep Opening Bence 07-Sep Cheque 12 168 Chervertory 198pchoge 1 2 Gap Cheque 5000 4800.00 00.00 8.400.000 8.300.000 410000 DR 6.OR 5.000 SODOH 2.300.00 BANK STATEMENT Date Description Window Deposit BE 01 Sep Opening aange B.40000 07 Sparta Prayer 130000 710000 Sep OGO 1628p Cheque 1901 1000 19 Sepet 230000 415000 19 Sep NSF Chege 18 2300.00 185000 198p SFO 000 TO 30 Spinterest 80.00 583000 Note: In case of any discrepancy between dollar amounts, assume the bank statement is correct. 2. Create a Trial Balance for Alpaca Farms using the accounts and corresponding normal balances provided below: 13 mars Account Balance Farmer Brown, Capital 22.400.00 Accounts Payable 13.200.00 Insurance Expense 1,000.00 Service Revenue 6,800.00 Equipment 30,500.00 Supplies Expense 2.900.00 Cash 7.700.00 Salaries Expense 4,100.00 Farmer Brown, Withdrawals 3,100.00 Rent Expense 2,200.00 Telephone Expense 1,200.00 Bank Loan 11,700.00 Prepaid Rent 1,400.00 3. Prepare two journal entries based on the following information: (10 marks a) Record the establishment of a Petty Cash Fund - Sept ist b) Record the reimbursement of the Petty Cash fund on Sept 30th On September 1, 2020, Alpaca Farms established a petty cash fund of S200. During the month Farmer Brown paid out the following amounts. Sep 6 Purchased stamps for $40 Sep 8 Paid a $20 delivery charge on an outgoing package Sep 10 Paid $25 for public transit fares for employees on company business Sep 14 Purchased coffee and doughnuts for S8 for clients during a meeting Sep 15 Bought a package of paper for 57 for the copy machine Farmer Brown counted the fund on Sept 16 and found Sles in the petty cash box. 4. The payroll records of Alpaca Farms provided the following information for the weekly pay period ended December 27, 2020. ER Employee Hours Hourly Rate Income Tax CPP Union Dues Fred Moo 43 $ 12.00 61.00 24005 9.005 10.00 Kerry Cluck 46 5 15.00 101.005 34.00 $ 12.00 $ 20:00 Jessie Wool 48 $ 17.00 $ 134.00 42.00 14.00 10.00 Stephen Hay 40 s 14.00 66.00 25.00 9.00 $ 1000 Note All employees are paid 1.5 times their hourly wage for hours worked in excess of 40 hours per week. The company contributes 100% for its share of CPP and 140% of EL Required a) Calculate gross and net pay for each employee. Round all answers to the nearest whole number. (20 marks) Gron OPP Employers Emples CCPP Union Natar Employee Fred Mo Kamy Stephen Hay To b) Prepare the payroll journal entries for December 27, 2020 (marks) Prepare a journal entry to record cash payment of the payroll liabilities due to the CRA on January 15, 2020. (4 marks) 5. Perform a horizontal analysis for Alpaca Farms Use 2017 as the base year (14 marks) Alpaca Farms Income Statement (in Thousands) For Years Ended Dec 31, 2017-2019 2019 2018 2017 Revenue 1,234 1,100 988 Expenses 907 1,009 678 Net Income 327 91 310 A table has been provided to conduct the analysis. 2019 Alpaca Farms Horizontial Analysis For Years Ended December 31, 2017-2019 2018 of Xof Change Value % of 2017 Change 2017 of Chance Value % of 2017 Value X of 2017 Revenue Expenses Net Income

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Actuarial Science

Authors: John James Hardy

1st Edition

1332733697, 978-1332733699

More Books

Students also viewed these Accounting questions