Comprehensive Financial Accounting Project - Summer 2020. Word o Search out References Mailings Review View Help Aa- Ao ADA SE 2 ES: c| . 1 Normal Title 1 No Spac... Heading 1 Heading Paragraph Styles 1. Prepare a Multi-step Income Statement for the year ended 2020. This statement should be flexibly designed (formula) with common-sized percentages (vertical analysis) to the right of the dollars. 2 Show journal entries, adjusting entries and closing entries for the below additional information....one of the journal entries have been posted to the ledger (many journal entries have been booked to get you started, however one of the entries for 2020 have been posted). You can add a transaction analysis (not required), however you must complete the entries in the Excel template. 3. Prepare a Statement of Retained Earnings for the year ended 2020. 4. Prepare a Balance Sheet dated Dec. 31, 2020 Again a flexible design is required so any changes will automatically update the balance sheet - use formulas 5. Prepare a Statement of Cash Flows using the indirect method for the year ended 2020. The ending cash as shown on the statement of cash flows will be the same as the cash reported on the Balance Sheet Your Name, Inc. Balance Sheet 12/31/2019 Current Assets Cash $17,000 Marketable Securities (Short-term) 2,000 Accounts Receivable 14,000 Allowance for Bad Debt (2.000) Inventory 15,000 Prepaid Insurance 5.000 Total Current Assets $51,000 Property, Plant, and Equipment Land $30,000 Building 150,000 Accumulated Dep. - Building (45,000) 100,000 Accumulated Dep. - Equipment 120.000 Total PPE $215.000 Total Assets $266,000 Current Liabilities Accounts Payable $9,000 Focus o * a References Mailings Review View Help - Aa A E EL -D-A EEEE AaBbcc AaBbCel AaBbcc AaBbci AaBbc 1 Normal Title 1 No Spac... Heading 1 Heading Paragraph Styles $9,000 Current Liabilities Accounts Payable Unearned Reveme Income Taxes Payable Total Current Liabilities 2,000 3.000 $14,000 Long-term Liabilities Bonds, 10%, due in 2024 $100,000 Equity Common Stock $ 50,000 (100,000 authorized 50,000 issued) Additional Pd. in Capital 80,000 Retained Earnings 22.000 Total Equity $152,000 Total Liabilities & Equity $266,000 Additional Information (for all entries, please see the posted Excel spreadsheet): 1. Sales for 2020 are $320,000. All sales are on credit. 2. Gross Margin ratio is 40 percent 3. Accounts Receivable: $190,000 of the accounts receivable is paid by the end of the year (the remaining balance remains on the balance sheet) $4,000 of AR is written off during the year 5% of AR (after write-off and collections) is considered to be uncollectible. 4. Inventory i. Inventory purchases are $180,000, all on credit 11. All accounts payable is from inventory purchases, all but $12,000 of inventory purchased is paid by the end of the vear. Focus ORI References Mailings Review View Help Aa to Ever AL O. AS 15 - cl AaBbct Aa 1 Normal Title 1 No Spac... Heading 1 He Paragraph Styles 1 yr year 5. Additional equipment is purchased on 4/1/20 for $20,000 cash. All equipment when new, including the new purchase, has had a 5-year life, no salvage value, and is depreciated using the straight-line method 6. The building depreciates at $5,000 per year. 7. Half of the marketable securities were sold for $1,200. The FMV and cost of the other half of the securities are the same, so no adjustment to FMV is required. 8. Salaries are $2,200 per month (12 months of salaries expense must be booked). It is expected that one half month will be owed on 12/31/20 because of when payday falls therefore, 11.5 months of salaries have been paid and V month is still owed to the employees at year end). 9. $55,000 in cash is borrowed on 9/30/20 by issuing a Note Payable. Interest is 8% per year, 10. The bonds were sold at face value last December and pay interest on Dec. 31, 2020. 11. 10,000 additional shares of stock were sold for $3 a share. 12. Insurance costing $18,000 was purchased on 6/1/20 (the same time in which the old policy expired. The new policy was for 12 months). 13. On Dec 31, 2020, 1000 shares of stock are repurchased from the market at $2.90share (treasury stock). 14. The tax rate is 20 percent. Income taxes for the current year are due and therefore paid during the first two months of the next year (you will have to complete an entry to pay the 2019 taxes, however the 2020 taxes will not be paid until the end of January 2021) 15. Dividends of $3,000 were paid during 2020. 16. The uneamed revenue has been earned during the year (classified as other revenue on the multi-step income stmt.). Required Labeled Sheets (all statements should be for 2020): 1. Data Sheet for Additional Data 2. Entries: Basic and Adjusting (you do not have to show closing entries, however, keep in mind all temporary accounts are closed to retained earnings) 3. Adjusted Trial Balance for 2020 (includes the posted amounts of all entries and adjusting entries) 4. Multi-step Income Statement 5. Retained Earnings Statement 6. Classified Balance Sheet 7. Cash Flow Statement 8. Post-Close Trial Balance for 2020 For a References Mailings Review View Help Aapo SEE ALI EEEEE c| c bct 1 Normal Title 1 No Spac... Heading 1 0 A Paragraph Styles The Post Close Trial Balance for 2019 is provided below (based on the above balance sheet). This can be used as a starting point or you can use the above Balance Sheet; keep in mind all debits and credits ALWAYS equal AND Assets = Liabilities + Equity: Your Name, Inc. Post Close Trial Balance 31-Dec-19 DEBITS CREDITS 17,000 2,000 14,000 Cash Marketable Securities Accounts Rec. Allowance for Bad Debt Inventory Prepaid Insurance 2,000 15,000 Land 5,000 30,000 150,000 Building Accumulated Dep. - Building Equipment 45,000 100,000 20,000 Accumulated Deo. - Equipment Accounts Payable Salaries Payable 9,000 2.000 Unearned Revenue Interest Payable a mprehensive Financial Accounting References Mailings Review View Help 10 ST Ink to Ink to Shape Math Convert Allowance for Bad Debt Drawing Canvas Ink Replay Replay Insert 2000 15,000 Inventory Prepaid Insurance Land 5,000 30,000 150,000 45,000 100,000 1 20,000 9,000 Building Accumulated Dep. - Building Equipment Accumulated Dep. - Equipment Accounts Payable Salaries Payable Unearned Revenue Interest Payable Income Taxes Payable Note Payable Bonds 2,000 9,000 100,000 Common Stock Additional Pd-in-Capital 50,000 80,000 Retained Earnings 22.000 333,000 399,000 o G 3 AutoSave 041 Comprehensive Project - Summer 2020-save with your name here File Home Insert Draw Page Layout Formulas Data Review View Help X Calibri - A A Wrap Text General Paste BIU -- A. + Merge & Center $ % Clipboard Font Alignment 5 Num! ES > fx G H 4 A B D DEBITS CREDITS 5 Cash 17,000 6 Marketable Securities 2,000 Accounts Rec. 14,000 8 Allowance for Bad Debt 2,000 9 Inventory 15,000 10 Prepaid Insurance 5,000 11 Land 30,000 12 Building 150,000 13 Accumulated Dep. - Building 45,000 14 Equipment 100,000 15 Accumulated Dep. - Equipment 20,000 16 Accounts Payable 9,000 17 Salaries Payable 18 Unearned Revenue 2,000 Interest Payable 20 Income Taxes Payable 3,000 21 Note Payable 22 Bonds 100,000 23 Common Stock 50,000 24 Additional Pd-in-Capital 80,000 26 Retained Earnings 22,000 26 Data Sheet Journal and Adjusting Entries 19 + Moaica This is the big bred rigth dep 2020 Adjusted Trial Balance Multi-Step in Type here to search Comprehensive Project - Summer 2020-save with your name here AutoSave Formulas Data View Review File Draw Help Page Layout Insert Home Calibri 14 AA General 2 Wrap Text Merge & Center - Paste -A BIU $ - % Alignment Numt Clipboard Font $12 f K M N 0 P B GAL 3 1 D E F G H Debits Credits - Sales for 2020 e 1320,000. All sales are on credit Accounts Rec 310000 Sales 910000 Gross Margia ratio is 40 percent. Cost of Goods Sold 222 Inventory 2?? 4 Musica: You need this ordurt to caths Corto Good: Sold. Gros Sale - Cost of 6 7 8 9 10 11 12 13 54 15 1 17 19 - $130,000 of the accounts receivable is paid by the end of the year the resining balance remains on the balace sheet). 3.1. Cash 190000 Accounts Rec 190000 Mosica: This is that of receivable therefore, this is the 14.000 of AR is written off during the year balance shoot approach 3.il. Allowance for Bad Debts 4000 option in wide tet Accounts Rec 4000 52 of Accounts Receivable (alter write-off ad collections) is considered to be collectible 3.ili. Bad Debt Expense 22? AR Monica The thesis of Allowance for Bad Debts 793 14000 Account Rectable 310000 - Isratory perc is 1160,000, alle credit 130000 Inventory 180000 4000 Accounts Payable 180000 130000 Accounts Payable 9000 . All costs puble is free investory purchases all but 112,000 of investery purchas! 180000 4.il Accounts Payable 222 Cash 72 12000 19 20 21 22 22 24 28 Additional equipment is purchased on 4/120 for 120,000 cash. All equipment when new, including the purchase, ballad fi Data Sheet Journal and Adjusting Entries 2020 Adjusted Trial Balance Multi-Step In Type here to search ORA Comprehensive Project - Summer 2020 -save with your name here - Excel File Home Insert Drave Page Layout Formulas Data Review View Help Calibri Paste -14 - A A Us General BIU- 2 Wrap Text E Mergea Center - $ - % Clipboard Insert Delete For Font Alignment Conditional Formatas Cell Formatting Table Styles Styles Number S12 B 20 29 5 30 D E H M - Additions quipatst is purchased a 47/201 120,000 each All equiparathaw, lactating the new purchased fine stage rules, depending OP R Y Equipment 722 Cash ??? Moses Depreciation Expense ??? Yested Accum. Deprec ??? 31 12 33 34 6 The building depreciate 15.000 per Depreciation Exp. - Buil??? Accum. Deprec ??? 36 37 30 40 41 43 8 45 46 Hall of the whole erities were sold for 1200. The Most of the half we the Cash 1200 Mkt. Securities 1000 Gain ??? sulle we 19.200 per sth. It is espected the south will be ved at both pupo. Salaries Expense ??? Cash ??? Salaries Payable ??? . 155.000 cash loborreved 3/30 by raing Wote puble baterest in per Cash 55000 Note Payable 55000 Mesir Interest Expense ??? Interest Pay 777 - The beads were sold ice was last December ud pay interest - Dec 31, 2020 Bond Interest Expense ??? 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Treasury Stock ??? Cash ??? 69 70 71 72 73 74 - The tax rate is 20 percent. Income taxes for the current year are pupable dering the first two seaths of the next year. Income Taxes Payable ??? Meska This font 2020 Cash ??? pais les pa Income Tax Expense ??? Monica Income Taxes Payable ??? You can't o'sisyou - Dividende of 15,000 wure paid calculate this year's peut protothom Dividends Cash Monica: The weed came bas been creed during the percesfied as other reled, tow your The thesdy be Unearned Revenue ??? recording the rowe Revenue P?? being 15 76 77 28 16. 00 81 B2 Data Sheet Journal and Adjusting Entries 2020 Adjusted Trial Balance Multi-Step Income Type here to search ORI a