CHART OF ACCOUNTS AND BEGINNING BALANCES Press Esc to exit full screen Set up the following Chart of Accounts and Beginning Balances as of 11/30/20XX. Use your current year. The accounts to be added or edited are shown below and on the next three pages. Capital (Edit Opening Balance Equity) Equity (Completed Automatically) 30800 Your Name Draw Equity Owner's Equity 0.00 Number Name Account Type Detail Type QuickBooks Balance 32000 Owner's Equity Equity Retained Earnings 0.00 (Edit Retained 10000 Dayton Bank Bank Checking 51,000.00 Earnings) 11000 Accounts Receivable Other Current Assets Other Current Assets 0.00 41000 Accounting Income Services Income Service/Fee Income 0.00 14000 Prepaid Rent Other Current Assets Prepaid Expenses 2,000.00 42700 Consulting Income Income Service/Fee Income 0.00 60000 Advertising Expense Expenses Advertising/- Promotional 0.00 Number Name Account Type Detail Type QuickBook Balance 145000 Supplies Other Current Assets Other Current Assets 2,500.00 Number Name 15000 Furniture and Equipment Fixed Assets Other fixed assets 4,000.00 60400 15500 Computer Equipment Fixed Assets Other fixed assets 1,000.00 Bank Charges & Fees (Edit the default account) Expenses Account Type Detail Type QuickBooks Balance Bank Charges 0.00 61550 Wages Expense- Adm Asst Expenses 17000 Accum Depr- Furn&Eq Fixed Assets Accumulated Depreciation 0.00 Office/General Administrative Expenses 0.00 61600 17500 Accum Depr- Fixed Assets Computer Equip Accumulated Depreciation 0.00 Wages Expense- Adm Asst Expenses Office/General 0.00 Administrative Expenses 20000 Accounts Payable Other Current Liabilities Other Current Liabilities 0.00 62450 Depr Esp- Computer Equip Expenses Office/General Administrative 0.00 24000 Payroll Tax Payable Other Current Liabilities Other Current Liabilities 0.00 Expenses 62500 Subscriptions Expenses 25000 Notes Payable Other Current Liabilities Other Current Liabilities 20,000.00 Expense Dues & subscriptions 0.00 63400 Interest Expense Expenses Interest Paid 0.00 30000 Your Name Equity Opening Balance 40,500 64900 Supplies Expense Expenses Supplies & 0.00 Materials 66500 Postage Expense Expenses Other 0.00 Miscellaneous Service Cost 67100 Rent Expense Expenses Rent or Lease of Building 0.00 67200 Repairs & Maintenance (Edit default Expenses Rent or Lease of Buildings 0.00 account) 68100 Telephone Expense Expenses Office/General Administrative Expenses 0.0 68600 Utilities Expense (Edit default account) Expenses Utilities 0.0 START HERE...COPY TABLE ABOVE ASSETS Current Assets Bank Accounts 10000 Dayton Bank Total Bank Accounts Other Current Assets 14000 Prepaid Rent Your Name Accounting Balance Sheet As of December 1, 20XX TOTAL $51,000.00 $51,000.00 $2,000.00 Export the Chart of Accounts to Excel and save as a PDF file. Use the file name Case Problem 3_Chart of Accounts. DECEMBER 1, 20XX BALANCE SHEET Display the December 1 balance sheet: Reports > Balance Sheet > 12/1/20XX to 12/1/20XX > Run Report Hint: To make sure you entered beginning balances as of November 30, 20XX, display the November 30 balance sheet. If you did not enter beginning balances as of 11/30/20XX, go to the Journal report, drill down, then edit the Opening Balance dates. The Balance Sheet is shown on the next page. 14500 Supplies Total Other Current Assets Total Current Assets Fixed Assets 15000 Furniture and Equipment 15500 Computer Equipment Total Fixed Assets TOTAL ASSETS LIABILITIES AND EQUITY Liabilities Current Liabilities Other Current Liabilities 25000 Notes Payable $2,500.00 $4,500.00 $55,500.00 $ 4,000.00 $1,000.00 $ 5,000.00 $60,500.00 $20,000.00 3 Total Other Current Liabilities Total Current Liabilities Total Liabilities $20,000.00 $20,000.00 TRANSACTION REGISTER $20,000.00 Check Number Date Description of Transaction Debit Credit Balance (-) (+) Equity 30000 Your Name, Capital $40,500.00 32000 Owner's Equity 11/30 Balance 12/1 Deposit (accounting 4000.00 $51,000.00 $55,000.00 services) Net Income 9001 12/1 Our bank 2,000.00 $52,915.00 Total Equity TOTAL LIABILITIES AND EQUITY $40,500.00 (Notes $60,500.00 payable) Interest 85.00 Expense 9002 12/12 Main Office; 259.75 $52,655.25 account 14500 supplies 12/16 Deposit: 5500.0 $58,155.25 Export the December Balance Sheet to Excel and save as a PDF file. Use the file name Case Problem 3 December 1 Balance Sheet. (You may want to use Your Name Accounting in the file name. Check with your instructor.) Accounting Services 9003 12/17 Northern Telephone 109.35 $58,045.90 9004 12/17 US Post Office 49.00 DECEMBER 20XX TRANSACTIONS 9005 12/17 Complete the accounting cycle for your accounting company. Use the current year. You employ two independent contractors: an Accounting Technician and an Administrative Assistant. They are paid at the end of the month. Accounting Online Journal 125.00 $57,996.90 $57,871.90 9006 12/20 Jeanne's Repairs 75.00 $57,796.90 12/22 Use the Transaction Register on the next page to complete December 20XX entries. When recording checks, add vendors. For deposits, do this: Deposit: Consulting 2500.00 $60,296.90 9007 12/24 Cays 120.00 $60,176.90 Advertising DEPOSITS: Select NEW> Bank deposit. If necessary, in the Account field, select Account 10000 Dayton Bank. The Cash back goes to field should also show 10000 Dayton Bank. In the RECEIVED FROM field, click on the down-arrow > Add New > type Clients > Save > select the appropriate account. The payment method is check. Leave the REF NO. field blank. 12/24 Deposit: 4800.00 $64,976.90 Accounting Services 9008 12/24 Town Utilities 63.23 $64,913.67 12/24 Deposit: Consulting 9009 12/27 Wages-Adm 1500.00 Asst 9010 12/27 Wages-Actg Tech 9011 12/27 Owner's Draw 5000.00 4500.00 $69.413.67 5 deposits (+) 11 checks (-) 21,300.00 10,586.33 $67,913.97 Service charge 18.00 1200.00 $66.713.67 Ending Balance 12/31 61,695.67 DEPOSITS 61,713.67 12/2 4,000.00 12/17 5,500.00 UNADJUSTED TRIAL BALANCE AND JOURNAL Export the Trial Balance to Excel and save as a PDF file. Use the file name Case Problem 3_Unadjusted Trial Balance. (Hint: Use the date range shown on the Transaction Register. Change the report title to Unadjusted Trial Balance.) 12/25 2,500.00 12/26 4,800.00 12/27 4,500.00 CHECKS (Asterisk* indicates break in check number sequence) END-OF-YEAR ADJUSTING ENTRIES At the end of December, the supplies on hand are $1,550.00. Depreciation for Computer Equipment: $41.67. Depreciation for Furniture and Equipment: $66.67. 9001 12/3 2085.00 9002 12/14 259.75 9003 12/19 109.35 Adjust one month's rent. Refer to the December 1 Balance Sheet. (Hint: Two months' rent was prepaid on December 1.) 9004 12/20 49.00 9005 12/20 125.00 Export the Journal to Excel and save as a PDF file. Use the file name Case Problem 3_Journal. (Hint: From 12/1/20XX to 12/31/20XX.) 9006 12/22 75.00 ADJUSTED TRIAL BALANCE AND DECEMBER BANK STATEMENT 9007 12/24 120.00 Export the Adjusted Trial Balance to Excel and save as a PDF file. Use the file name Case Problem 3_Adjusted Trial Balance. Change the title The December 31 bank statement is shown on the next page. 9008 12/26 63.23 Adjusted Trial Balance. 9009 12/28 1500.00 9010 12/28 1200.00 9011 12/28 5000.00 Statement Dayton Bank f Account Your name accounting Your address December 1-31, 20XX Account Number 870-22-3617 Your city, state, zip code REGULAR CHECKING Previous Balance 11/30 $51,000.00 FINANCIAL STATEMENTS Export the Profit and Loss to Excel and save as a PDF file. Use the file name Case Problem 3_Profit and Loss. Export the Balance Sheet to Excel and save as a PDF file. Use the file name Case Problem 3_Balance Sheet. Export the Statement of Cash Flows to Excel and save as a PDF file. Use the file name Case Problem 3 Statement of Cash Flows. CLOSE THE BOOKS On December 31, 20XX, close the balance in the drawing account to capital. Record this journal entry. How much net income (or net loss) is reported on December 31? What is the account balance in the Notes Payable account? What is the total assets balance on December 31? Is there an increase or decrease in Cash for the month What is the balance in the Owner's Equity account? December? Account Description Debit Credit Your Name, Capital Close the drawing account $5,000.00 Your Name, Draw Close the drawing $5,000.00 Export the January 1, 20XY Balance Sheet to Excel and save as a PDF file. Use the file name Case Problem 3_January 1 Balance Sheet. Export the January 1, 20XY Trial Balance to Excel and save as a PDF file. Use the file name Case Problem 3_Postclosing Trial Balance. Change the title to Postclosing Trial Balance. Export the November 30, 20XX to January 1, 20XY Transaction Detail by Account to Excel and save as a PDF file. Use the file name Case Problem 3_Transaction Detail by Account. CHECK YOUR PROGRESS: YOUR NAME ACCOUNTING What are the total debit and credit balances on the unadjusted trial balance? What are the total debit and credit balances on your Adjusted trial balance? What is the Statement Ending Balance on the reconciliation report? What is the rent expense balance? What is the depreciation expense for computer equipment? What is the depreciation expense for furniture and equipment? What is the amount of total income? 10