Company Accounting Workbook

Use accepted accounting principles to follow and record your business transactions for a one-month period from the first step of the accounting cycle through the reporting process. You will build on the workbook you created in Milestones One and Two, or you may start over with the blank Company Accounting Workbook Template (linked below in the What to Submit section), incorporating instructor feedback where applicable. After you complete your workbook, you will prepare a summary report of your work.

Your completed accounting workbook will consist of journal entries for each transaction and postings of transactions to account ledgers. You will develop a trial balance from the ledger balances, and use these balances to prepare the income statement, statement of owner's equity, and the balance sheet. After the preparation of the financial statements, closing entries will be entered to transfer earnings to equity and prepare temporary accounts for the new accounting period.

Use the instructions below to complete your workbook. Specifically, you must address the following rubric criteria:

Record Financial Data: Use accepted accounting principles to accurately capture business transactions for the month using the data provided in the accounting data appendix (linked in the Supporting Materials section). You will need to address the following:

Accuracy: Prepare entries that are accurate in that they fully reflect the appropriate information.

Completeness: Prepare entries that are complete for the month, including transferring posted entries to T accounts.

Unadjusted Trial Balance: Prepare the unadjusted trial balance portion of the Trial Balance tab of the company accounting workbook, ensuring that the total debits and credits match.

Financial Statements: Create financial statements using appropriate methods based on accepted accounting principles. Be sure to prepare these financial statements in the order listed, as there are important interdependencies among them. Finalize the process by closing temporary accounts.

Income Statement: Prepare the income statement using the adjusted trial balance.

Statement of Owners Equity: Prepare the statement of owners equity using the adjusted trial balance.

Balance Sheet Assets: Prepare the balance sheet asset entries using the adjusted trial balance.

Balance Sheet Liabilities: Prepare the balance sheet liabilities entries using the adjusted trial balance.

Closing Entries: Complete the Closing Entries tab of the company accounting workbook by closing all temporary income statement amounts to create closing entries.

ACC 201 Accounting Data Appendix The following events occurred in March: - March 1: Owner borrowed $125,000 to fund/start the business. The loan term is 5 years. - March 1: Owner paid $250 to the county for a business license. - March 2: Owner signed lease on office space; paying first (March 20XX) and last month's rent of $950 per month. - March 5: Owner contributed office furniture valued at $2,750 and cash in the amount of $15,000 to the business. - March 6: Owner performed service for client in the amount of $650. Customer paid in cash. - March 8: Owner purchased advertising services on account in the amount of $500. - March 10: Owner provided services to client on account, in the amount of $1,725. - March 15: Owner paid business insurance in the amount of $750. - March 20: The owner received first utility bill in the amount of $135, due in April. - March 20: Office copier required maintenance; owner paid $95.00 for copier servicing. - March 22: Owner withdrew $500 cash for personal use. - March 25: Owner paid $215 for office supplies. - March 25: Owner provided service to client in the amount of $350. Client paid at time of service. - March 30: Owner paid balance due for advertising expense purchase on March 8. - March 30: Received payment from customer for March 10 invoice in the amount of $1,725. - March 31: Last day of pay period; owner owes part-time worker $275 for the March 16 through March 31 pay period. This will be paid on April 5. - March 31: Provided service for client on account in the amount of $3,500. - March 31: Record depreciation of the office furniture at $45.83. ACC 201 Accounting Data Appendix The following events occurred in March: - March 1: Owner borrowed $125,000 to fund/start the business. The loan term is 5 years. - March 1: Owner paid $250 to the county for a business license. - March 2: Owner signed lease on office space; paying first (March 20XX) and last month's rent of $950 per month. - March 5: Owner contributed office furniture valued at $2,750 and cash in the amount of $15,000 to the business. - March 6: Owner performed service for client in the amount of $650. Customer paid in cash. - March 8: Owner purchased advertising services on account in the amount of $500. - March 10: Owner provided services to client on account, in the amount of $1,725. - March 15: Owner paid business insurance in the amount of $750. - March 20: The owner received first utility bill in the amount of $135, due in April. - March 20: Office copier required maintenance; owner paid $95.00 for copier servicing. - March 22: Owner withdrew $500 cash for personal use. - March 25: Owner paid $215 for office supplies. - March 25: Owner provided service to client in the amount of $350. Client paid at time of service. - March 30: Owner paid balance due for advertising expense purchase on March 8. - March 30: Received payment from customer for March 10 invoice in the amount of $1,725. - March 31: Last day of pay period; owner owes part-time worker $275 for the March 16 through March 31 pay period. This will be paid on April 5. - March 31: Provided service for client on account in the amount of $3,500. - March 31: Record depreciation of the office furniture at $45.83