Answered step by step
Verified Expert Solution
Question
1 Approved Answer
create the following financial statements for J&L accounting, Inc.: * Balance Sheet,Income Statement,Statement of retained earnings,Post - closing trial balance Instructions The following financial statements
create the following financial statements for J&L accounting, Inc.: Balance Sheet,Income Statement,Statement of retained earnings,Postclosing trial balance Instructions The following financial statements are provided from the prior accounting period for J & L Accounting, Inc.: a Postclosing trial balance b Balance sheet c Income statement d Statement of retained earnings J & L Accounting, Inc. PostClosing Trial Balance December BALANCE ACCOUNT TITLE DEBIT CREDIT Cash, Business Checking $ Accounts Receivable Prepaid Rent Vehicles Accumulated Depreciation, Vehicles $ Equipment Accumulated Depreciation, Equipment Accounts Payable Common Stock Retained Earnings Dividends Service Revenue Advertising Expense Rent Expense Office Supplies Expense Telephone Expense Depreciation Expense TOTALS $ $ J & L Accounting, Inc. Balance Sheet As of December ASSETS Cash, Business Checking $ Accounts Receivable Prepaid Rent Vehicles $ Less: Accumulated Depreciation, Vehicles Equipment Less: Accumulated Depreciation, Equipment TOTAL ASSETS $ LIABILITIES Accounts Payable $ TOTAL LIABILITIES $ STOCKHOLDERS EQUITY Common Stock $ Retained Earnings TOTAL STOCKHOLDERS EQUITY $ TOTAL LIABILITIES AND STOCKHOLDERS EQUITY $ J & L Accounting, Inc. Income Statement For the Month Ending December REVENUES Service Revenue $ EXPENSES Advertising Expense $ Rent Expense Office Supplies Expense Telephone Expense Utilities Expense Depreciation Expense TOTAL EXPENSES NET INCOME $ J & L Accounting, Inc. Statement of Retained Earnings For the Month Ending December Retained Earnings, December $ Add: Net Income Subtotal Less: Dividends Retained Earnings, December $ set up the general ledger accounts for the general ledger and insert the beginning balances for the accounts from the postclosing trial balance. The balances from the postclosing trial balance become the beginning balances of the accounts for the next account period. DATE ITEM POST REF. DEBIT CREDIT BALANCE DEBIT CREDIT Journalize the following transactions in the general journal using the following blank form On January a payment in cash for $ is made for prepaying rent for the entire year On January accounting services are performed and payment is received in cash for the amount of $ On January a payment in cash for advertising is made in the amount of $ On January office supplies are purchased in the amount of $ with cash. On January accounting services are performed and payment is received in cash for the amount of $ On January the telephone bill for the amount of $ is received and paid with cash. On January the utilities bill for $ is received. The bill wont be paid until it is due on February On January accounting services are performed on account in the amount of $ On January a payment in cash for $ is made for a bill from an advertising agency. Post the general journal entries from the journal to the corresponding general ledger accounts, paying particular attention to the posting being made debit or credit Use the Post Ref. column to ensure that each line item of the journal entries is posted correctly to each general ledger account. Calculate the balances in the general ledger accounts. To calculate the balances in the ledger accounts, youll need to do the following: Add the debits. Add the credits. Subtract the larger amount from the other, or alternatively, keep the running balance of the amount in the account and whether its a debit or credit on the ledger. Create an unadjusted trial balance from the balances in the general ledger accounts. Journalize the following adjusting journal entries in the general journal, Calculate and make the adjustment for the amount of prepaid rent that has been used. Make an adjusting journal entry in the amount of $ for depreciation of the vehicles. Make an adjusting journal entry in the amount of $ for depreciation of the equipment. Post the adjusting journal entries to the respective general ledger accounts, Calculate the new balances in the general ledger accounts. Create an adjusted trial balance from the balances in the general ledger accounts using the same blank form Create the income statement for J & L Accounting, Inc. using the information from the adjusted trial balance. Create the closing journal entries in the general journal to close the revenue, expense, and dividend accounts to the retained earnings account, Post the closing journal entries to the respective general ledger accounts. Calculate the balances in the general ledger accounts. Create a postclosing trial balance from the balances in the general ledger accounts Create the balance sheet for J & L Accounting, Inc. using the information from the postclosing trial balance.. Create the statement of retained earnings for J & L Accounting, Inc. using the ending balance from the statement of retained earnings from the prior period and the net income from the income statement for the January accounting period
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started