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 Owner$$s Equity: Prepare the statement of owner$$s 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 June:

$$ June $1$: Owner contributed $$50,000$ in cash to the business.

$$ June $1$: Owner purchased a company vehicle in the amount of $$15,000.$

$$ June $3$: Owner took out a small business loan in the amount of $$25,000.$

$$ June $5$: Owner paid rent for June, and prepaid office rent for a $6-$month period to cover July through December at $$1,195$ per month.

$$ June $5$: Owner paid business license fees in the amount of $$250$ to the county.

$$ June $5$: Owner ordered office supplies, on account, in the amount of $$750\mathrm{.}00.$

$$ June $6$: Owner performed service for client on account in the amount of $$1,000.$

$$ June $9$: Owner provided service for client in the amount of $$1,500.$ Customer paid $$750$ at time of service. Client will be billed for the balance due.

$$ June $10$: Owner paid $$250$ in advertising costs to the local paper.

$$ June $15$: Owner recorded wages due to the part$-$time employee in the amount of $$325.$ This will be paid on June $20.$

$$ June $15$: Owner prepaid business insurance to cover July through December at the rate of $$125$ per month.

$$ June $20$: Owner paid wages due to part$-$time employee from period ending June $15.$

$$ June $21$: Owner paid for plumbing repairs in the office in the amount of $$210.$

$$ June $22$: Owner withdrew $$1,000$ cash for personal use.

$$ June $23$: Customer paid balance due from June $6$ service in the amount of $$1,000.$

$$ June $25$: Owner provided service to client in the amount of $$800.$ Client paid at time of service.

$$ June $28$: Owner paid balance due for office supplies purchase on June $5.$

$$ June $29$: Owner performed service for client on account in the amount of $$2,225\mathrm{.}00.$

$$ June $30$: Owner received telephone bill for month of June in the amount of $$155$ and recorded the expense. This bill will not be paid until July.

$$ June $30$: Last day of pay period; owner owes part$-$time worker $$325$ for the June $16$ through June $30$ pay period. This will be paid on July $5.$

$$ June $30$: Record depreciation on vehicle at $$250.$