Complete company accounting workbook and a separate report summarizing your analysis of the companys financial statements.

Asset Accounts Equity Accounts Acct # Liability Accounts Acct # 101 Notes Payable 102 Accounts Payable 103 Wages Payable 104 Interest Payable 105 106 107 108 201 Common Stock 202 Dividends 203 Cost of Goods Sold 204 Acct # 301 302 303 Cash Baking Supplies Prepaid Rent Prepaid Insurance Baking Equipment Office Supplies Accounts Receivable Accumulated Depreciation Merchandise Inventory 109 Revenue Accounts Bakery Sales Merchandise Sales Acct # 401 402 Expense Accounts Acct # Baking Supplies Expense Rent Expense Insurance Expense Misc. Expense Business License Expense Advertising Expense Wages Expense Telephone Expense Interest Expense Depreciation Expense Office Supplies Expense 501 502 503 504 505 506 507 508 509 510 511 Chart of Accounts October Journal Entries November Journal Entries Dece ... + A Company General Journal Entries October, 20xx Accounts Credit Date 1-Oct Cash Common Stock Debit $25,000.00 25,000.00 8,500.00 1-Oct Baking Supplies Accounts Payable 8,500.00 10,000.00 3-OctCash Notes Payable 10,000.00 5 5 7-Oct|Prepaid Rent Rent Expense Cash 1,500.00 1,500.00 3,000.00 375.00 10-Oct Business License Expense Cash 375.00 250.00 11-Oct Misc. Expense Cash 250.00 2 200.00 13-Oct|Advertising Expense Cash 5 200.00 - B 5,000.00 13-Oct Baking Equipment Common Stock 5,000.00 300.00 14-Oct Office Supplies Cash 300.00 . 30-Oct Telephone Expense 75.00 1 2 A Company General Journal Entries November, 20xx 3 4 5 Date Accounts Credit Debit 120.00 6 5-Nov Wages Payable Cash 7 120.00 8 9 3,800.00 8-Nov Cash Accounts Receivable 10 3,800.00 11 12 75.00 10-Nov Accounts Payable Cash 13 75.00 14 15 5,000.00 15-Nov Baking Supplies Accounts Payable 16 5,000.00 17 18 480.00 15-Nov Wages Expense Wages Payable 19 480.00 20 21 1,500.00 15-Nov Rent Expense Cash 22 1,500.00 23 24 1,000.00 18-Nov Cash Accounts Receivable 1,000.00 25 26 27 8,500.00 20-Nov Accounts Payable Cash 28 8,500.00 29 30 480.00 20-Nov Wages Payable Cash 31 480.00 32 33 300.00 22-Nov Office Supplies Cash 34 300.00 A Company General Journal Entries December, 20xx Accounts Credit Date 1-Dec Dividends Cash Debit 10,000.00 10,000.00 420.00 5-Dec Wages Payable Cash 420.00 60.00 7-Dec Merchandise Inventory Cash 60.00 8-Dec Cash 4,000.00 Accounts Receivable 4,000.00 75.00 10-Dec Accounts Payable Cash 75.00 7,000.00 11-Dec Baking Supplies Accounts Payable 7,000.00 13-Dec Accounts Payable Cash 5,000.00 5,000.00 456.00 15-Dec Wages Expense Wages Payable 456.00 15-Dec Rent Expense Cash 1,500.00 1,500.00 15-Dec Cash 68.00 I Merchandise Sales 68 nn 1 2 date Notes Payable date date 1-Oct Business License exp 375.00 Common Stock 25,000 3 3-Oct 10-Oct 1-Oct 13-Oct 4 3-Oct 200 5 7-Oct 10-Oct 25,200 6 7 8 9 3,000.00 375.00 250.00 5,000.00 300.00 1,200.00 11-Oct 13-Oct 14-Oct 31-Oct 10 11 12 120.00 5-Nov 13 14 75.00 10-Nov 15 Insurance expense 15-Nov 20-Nov 20-Nov 22-Nov 8-Nov Accounts Rec. 31-Oct 5,000.00 3,800.00 1,000.00 30-Nov 7,500.00 4,000.00 31-Dec 18-Nov 1-Dec 5-Dec 16 1,500.00 17 8,500.00 18 480.00 19 300.00 20 21 10,000.00 22 420.00 23 60.00 24 25 75.00 26 5,000.00 27 1,500.00 28 29 456.00 30 8-Dec 7-Dec 8800 10-Dec 13-Dec 15-Dec 12500) 37001 20-Dec 122.00 20-Dec 31 32 33 30-Dec 34 35 38,733.00 36 37 38 FIFO Purchases Ending Inventory No. of No. of Sales No. of Unit Price Total Price Items Date Items Items Unit Price Total Price 10 $ 6.00 $ 60.00 Unit Price Total Price 10 $ 6.00 $ 60.00 7-Dec Date 7-Dec Merchandise Inventory (10 x $6) Cash Purchased inventory 15-Dec 8 $ 6.00 $ 48.00 2 $ 6.00 $ 12.00 20-Dec 20 $ 6.10 $ 122.00 2 $ 6.00 $ 12.00 20 $ $ $ 6.10 $ 122.00 22 $ 134.00 15-Dec Cash (8 x $8.50) Merchandise Sales Revenue Record sale of inventory 24-Dec 2 $ 6.00 $ 12.00 16 $ 6.10 $ 6.10 $ 97.60 18 $ 109.60 4 $ 6.10 $ 24.40 15-Dec Cost of Goods Sold (8 X $6) Merchandise Inventory Recorded the cost of goods sold 30-Dec 25 $ 6.05 $ 151.25 4 $ 6.10 $ 24.40 25 $ 6.05 $ 6.05 $ 151.25 29 $ 175.65 20-Dec Merchandise Inventory (20 x $6.10 ) Cash Net Inventor y 55 $ 333.25 26 $ 157.60 29 $ 175.65 24-Dec Cash (18 x 8.50) Merchandise Sales Revenue Record sale of inventory 24-Dec Cost of Goods Sold (2 x $6)+(16 x $6.10) Merchandise Inventory Recorded the cost of goods sold 30-Dec Merchandise Inventory (25 x $6.05) Cash 1 w N A Company Trial Balance 20xx Unadjusted trial balance Adjusting entries Adjusted trial balance Debit Credit Debit Credit Debit Credit 27,635.00 150.00 4 208.33 5 Account 6 Cash 7 Baking Supplies 8 Merchandise Inventory 9 Prepaid Rent 10 Prepaid Insurance 11 Baking Equipment 12 Accumulated Depreciation 13 Office Supplies 14 Accounts Receivable 15 Notes Payable 16 Interest Payable 17 Accounts Payable 18 Wages Payable 19 Common Stock 20 Dividends 21 Bakery Sales 22 Merchandise Sales 23 Baking Supplies Expense 24 Rent Expense 25 Interest Expense 26 Insurance Expense 27 Depreciation Expense 28 Misc. Expense 29 Office Supplies Expense 30 Business License Expense 31 Advertising Expense 32 Wages Expense 33 Telephone Expense 34 COGS 150.00 208.33 35 36 Total: 27,635.00 358.33 358.33 A Company Adjusting Journal Entries 20XX Credit Date Accounts 31-Dec Depreciation Expense Accumulated Depreciation Debit 208.33 208.33 200.00 31-Dec Insurance Expense Prepaid Insurance 200.00 150.00 31-Dec Interest Expense Interest Payable 150.00 19,400.00 31-Dec Baking Supplies Expense Baking Supplies 19,400.00 550.00 31-Dec Office Supplies Expense Office Supplies 550.00 20,508.33 20,508.33 1 2 A Company Income Statement For Qtr. Ending 12/31/20XX 3 4 5 Revenues 6 7 Total Revenues 9 10 Gross Profit 11 12 Operating Expenses: 15 om bo om 00 om 23 24 25 26 27 28 29 0 Total Operating Expenses: 31 32 Net Income 33 1 2 4 0 0 0 A Company Statement of Stockholder's Equity 3 For Qtr. Ending 12/31/20xx Common Stock Retained Earnings Total 5 Beginning Balances, September 30 6 Issued Common Stock 7 Net Income 8 Dividends 9 Ending Balances, December 31: 10 1 2. A Company Balance Sheet As of December 31, 20XX 3 4 5 Assets 6 Current Assets: Liabilities and Owners' Equity Current Liabilities: 7 8 9 10 Total Current Liabilities 11 12 Long Term Liabilities: 13 14 Total Current Assets Total Long Term Liabilities: 15 16 Total Liabilities: 17 18 19 Shareholder's Equity: 20 21 Non-Current Assets: 22 23 Total Equity 24 Baking Equipment (Net) 25 26 Total Assets: 27 Total Liabilities & Equity 28 29 30 A Company Closing Entries Qtr ending 12/31/20xx Debit Credit - Date Accounts 31-Dec Bakery Sales Merchandise Sales Retained Earnings 0 1 3 4 5 6 7 31-Dec Retained Earnings Baking Supplies Expense Rent Expense Wages Expense Office Supplies Expense Business License Expense Office Expense Depreciation Expense Insurance Expense Advertising Expense Interest Expense Telephone Expense COGS 8 9 0 1 3 4 5 6 31-Dec Retained Earnings Dividends 7 8 1 2 A Company Post-Closing Trial Balance Qtr. Ending 12/31/20xx 3 4 Unadjusted Trial Balance Debit Credit 5 Account 6 Cash 7 Baking Supplies 8 Merchandise Inventory 9 Prepaid Rent 10 Prepaid Insurance 11 Baking Equipment 12 Accumulated Depreciation 13 Office Supplies 14 Accounts Receivable 15 Accounts Payable 16 Wages Payable 17 Interest Payable 18 Notes Payable 19 Common Stock 20 Retained Earnings 21 22 Total 23 1. The following events occurred in October: November 5: Paid employee for period ending October 31. October 1: The business owner used $25,000 from their personal savings account to buy common stock in their company. November 8: Received payments from customers toward accounts receivable in amount of $3,80 November 10: Paid October telephone bill. October 1: Purchased $8,500 worth of baking supplies from vendor, on account. November 15: Purchased additional baking supplies in amount of $5,000 from vendor, on accoun October 3: The company borrowed $10,000 in cash, in exchange for a two-year, 6% note payable. Interest and the principal are repayable at maturity. November 15: Accrued wages earned for employee from period of November 1 through Novemb 15. (See Wage Calculation Data table at the end of this document.) November 15: Paid rent on bakery space. October 7: Entered into a lease agreement for bakery space. The agreement is for one year. The rent is $1,500 per month; the last month's rent payment of $1,500 is required at the time of the lease agreement. The payment was made in cash. Lease period is effective October 1 of this year through September 30 of the next. November 18: Received payments from customers toward accounts receivable in amount of $1,0 October 10: Paid $375 to the county for a business license. November 20: Paid $8,500 toward baking supplies vendor payable. November 20: Paid employee for period ending November 15. October 11: Purchased a cash register for $250 (deemed to be not material enough to qualify as depreciable equipment). November 22: Purchased $300 in office supplies. October 13: The owner has baking equipment, including an oven and mixer, which they have been using for their home-based business and will now start using in the bakery. You estimate that the equipment is currently worth $5,000, and you transfer the equipment into the business in exchange for additional common stock. The equipment has a five-year useful life. November 30: Received telephone bill for November in amount of $75. Payment is due on December 10. November 30: Accrued wages earned for employee for period of November 16 through Novembe 30. (See Wage Calculation Data table at the end of this document.) October 13: Paid $200 for business cards and flyers to use for advertising. October 14: Paid $300 for office supplies. November 30: November bakery sales total was $20,000 ($7,500 of this total on accounts receivable) October 15: Hired a part-time helper to be paid $12 per hour. One pay period is the first of the month through the fifteenth, and the other is the sixteenth through the end of the month. Paydays are the twentieth for the first pay period and the fifth of the following month for the second pay period. (No entry required on this date-for informational purposes only.) 3. Many customers have been asking for more allergy-friendly products, so in December the bakery started carrying a line of gluten-free products on a trial basis. The information below relates to th purchase and sales of the new products. October 30: Received telephone bill for October in amount of $75. Payment is due on November 10. Use the perpetual inventory method with the FIFO valuation method. Please see the "Inventory Valuation" tab in your workbook for purchase and sales information. October 31: Paid $1,200 for a 12-month insurance policy. Policy effective dates are November 1 through October 31. The following events occurred in December: December 1: Paid dividends to self in amount of $10,000. October 31: Accrued wages earned for employee for period of October 16 through October 31. (See Wage Calculation Data table at the end of this document.) December 5: Paid employee for period ending November 30. October 31: Total October bakery sales were $15,000 ($5,000 of these sales on accounts receivable). December 7: Purchased merchandise for resale. See the "Inventory Valuation" tab for details. December 8: Received payments from customers toward accounts receivable in amount of $4,000. Wage Calculation Data December 10: Paid November telephone bill. December 11: Purchased baking supplies in amount of $7,000 from vendor on account. TIITTI Month 31-Oct 15-Nov 30-Nov 15-Dec 31-Dec Hours 10 40 35 38 40 Rate 12 12 12 12 12 Pay 120 480 420 456 December 13: Paid on supplies vendor account in amount of $5,000. 480 December 15: Accrued employee wages for period of December 1 through December 15. December 15: Paid rent on bakery space $1,500. December 15: Recorded merchandise sales transaction. See the "Inventory Valuation" tab for details. December 15: Recorded impact of sales transaction on COGS and the inventory asset. See the "Inventory Valuation" tab for details. December 20: Paid employee for period ending December 15. December 20: Purchased merchandise inventory for resale to customers. See the "Inventory Valuation" tab for details. December 24: Recorded sales of merchandise to customers. See the "Inventory Valuation" tab for details. December 24: Recorded impact of sales transaction on COGS and the inventory asset. See the "Inventory Valuation" tab for details. December 30: Purchased merchandise inventory for resale to customers. See the "Inventory Valuation" tab for details. December 31: Accrued employee wages for period of December 16 through December 31. December 31: Total December bakery sales were $25,000 ($6,000 of these sales on accounts receivable) 4. On December 31, the following adjustments must be made: Depreciation of baking equipment transferred to company on October 13. Assume half month of depreciation in October using the straight-line method. Accrue interest for note payable. Assume a full month of interest for October. (6% annual interest on $10,000 loan) Record insurance used for the year. Actual baking supplies on hand as of December 31 are $1,100. Office supplies on hand as of December 31 are $50