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Homework Assignment: The first part of the assignment for this week will be an exercise to match various accounts with their appropriate classification. All accounts

Homework Assignment: The first part of the assignment for this week will be an exercise to match various accounts with their appropriate classification. All accounts in this assignment have been discussed already in previous lecture notes. Refer back to them if you need to refresh your understanding of these accounts.

The second part of the assignment for this week will be to take the accounts listed alphabetically in a trial balance and prepare the financial statements. The accounts listed include the ones used in previous homework assignments. Notice a separate account has been listed for Gilligan, Withdrawals. This is related to Transaction O of the assignment for Week 2.

Do NOT worry about format and formalities (dollar signs, double underscores, etc.). Just place the accounts in the correct financial statement in the same format as the Lecture Notes. Since many of the mistakes noted in the past include leaving out accounts and using accounts twice, my advice is for you to cut and paste from the trial balance to the financial statements. Then review to see whether you used all the accounts or not. If some are still there, they need to go somewhere. By cutting items from the list you should avoid using an account twice.

Match each of the following accounts with their appropriate category listed below by placing the correct answer in the space provided.

A. Asset

D. Revenue (as part of equity)

B. Liability

E. Expense (as part of equity)

C. Equity (not a revenue or expense)

Gilligan, Capital

Accounts Receivable

Supplies Expense

Accounts Payable

Wages Expense

Prepaid Rent

Interest Revenue

Supplies

Unearned Revenue

Service Fees Earned

Rent Expense

Wages Payable

Prepaid Insurance

Office Equipment

Interest Receivable

Use the following alphabetical list of accounts to prepare the financial statements below. Type in the accounts where they should appear in the appropriate financial statement below. Include amounts for Net Income on the Income Statement; Ending Capital Balance on the Statement of Owners Equity; Total Assets; and Total Liabilities and Equity on the Balance Sheet.

Accounts payable

5,000

Prepaid rent

4,000

Accounts receivable

25,000

Rent expense

8,000

Cash

2,000

Service fee revenues

80,000

Gilligan, Capital

27,000

Supplies

6,000

Gilligan, Withdrawals

5,000

Supplies expense

4,000

Interest receivable

1,000

Wages expense

40,000

Interest revenue

1,000

Wages payable

2,000

Office equipment

20,000

Income Statement

Statement of Owners Equity

Balance Sheet

Assets

Liabilities and Equity

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