FORMAT DOESNT MATTER

Step 1 Prepare JE, if needed, in good form on pages 7-8. Use the journal entry number to correspond to the transaction information on page 4, i.e. J1 or J# instead of date to correspond with the number of the transaction.
Post JE to the general ledger on pages 9-14. Be sure include proper cross-referencing in the GL and general journal.
Enter unadjusted balances from the GL on the unadjusted columns of the worksheet. Be sure to subtotal.
Prepare AJEs, if needed, in good form on page 16. Use AJ1, AJ2, AJ3, etc. instead of date.
Complete the worksheet. Be sure to provide brief explanations of referenced adjustments and total all columns proving the debits = the credits.

1

On December 1, Rocky , Inc. received $17,000 from Kanga Roo Inc. for partial payment of

account. (First entry journalized and posted for you.)

2

On December 1, Rocky , Inc. received $9,000 in advance for renting office space to

Bullwinkle, Inc. for the December 1, 2018 through February 28, 2018.

3

On December 6, Rocky , Inc. issued checks to Acne Corporation for $12,000, Bow &

Arrow, Inc. for $8,000, and Boa Construction Inc. for $15,000 in payment on accounts.

4

On December 10, the company purchased supplies in the amount of $4,000 on account from

Boa Construction Inc. (

FOB Shipping Point

, terms n/10, n/30), order shipped in December.

5

On December 10, Rocky , Inc. received a check in the amount of $30,000 from Poodle &

Co. in payment of account.

6

On December 15, Rocky , Inc. made a sale in the amount of $80,000 to Poodle & Co

(terms 2/10, n/30). The cost of the inventory sold was $55,000.

7

On December 17, Board of Directors declared $8,200 in dividends to be paid in January.

8

On December 20, the company paid employees $31,000 for wages earned during the period

from December 1 through December 15, 2018.

9

On December 25, received full payment from Poodle & Co. for sale made December 15 (J6),

within the discount period.

10 On December 25, Rocky , Inc. made a sale in the amount of $140,000 to Bulldog Inc.

(terms 2/10, n/30). The cost of the inventory sold was $90,000.

11 On December 28, Bulldog Inc. returned goods purchased on December 25, in the amount of

$14,000. The cost of inventory was $9,000.

12 On December 28, Rocky , Inc. ordered inventory from Bow & Arrow, Inc. in the amount of

$50,000 (

FOB Destination

, terms 2/10, n/30), inventory is expected to arrive sometime in

January.

13 On December 31, the company purchased office equipment costing $60,000. They paid

$15,000 down on the equipment and signed a promissory note for the remaining balance.

The note is due March 31, 2018.

14 On December 31, Rocky , Inc. paid utility bills totaling $10,000 for utilities used during the

month of December.