Horton has operated a part-time consulting business from his home. As of April 1, 20Y6, Jeff decided to move to rented quarters and to operate the business, which was to be known as Rosebud Consulting, on ng assets were received from Jeff Horton in exchange for common stock: cash, $20,000; accounts receivable, $14,700; supplies, $3,300; and office equipment, $12,000. There were no liabilities received. months' rent on a lease rental contract, $6,000. emiums on property and casualty insurance policies, $4,200. ash from clients as an advance payment for services to be provided and recorded it as unearned fees, $9,400. additional office equipment on account from Smith Office Supply Co., $8,000. ash from clients on account, $11,700. or a newspaper advertisement, $350. Office Supply Co. for part of the debt incurred on April 5, $6,400. services provided on account for the period April 112, $21,900. tionist for two weeks' salary, $1,650. on Page 2 of the journal: ash from cash clients for fees earned during the period April 1-16, $6,600. or supplies, $725. services provided on account for the period April 1320, $16,800. ash from cash clients for fees earned for the period April 1724, $4,450. ash from clients on account, $26,500. tionist for two weeks' salary, $1,650. one bill for April, $540. city bill for April, $760. ash from cash clients for fees earned for the period April 2530, $5,160. services provided on account for the remainder of April, $2,590. nds, $18,000. 30 Recorded cash from cash clients for fees earned for the period April 2530, $5,160. 30 Recorded services provided on account for the remainder of April, $2,590. 30 Paid dividends, $18,000. Required: 1. Journalize each transaction in a two-column journal starting on Page 1, referring to the following chart of accounts in selecting the accounts to be debited and credited. If there is more than one entry on the sa 11 Cash 31 Common Stock 12 Accounts Receivable 32 Retained Earnings 14 Supplies 33 Dividends 15 Prepaid Rent 41 Fees Earned 16 Prepaid Insurance 51 Salary Expense 18 Office Equipment 52 Supplies Expense 19 Accumulated Depreci 53 Rent Expense 21 Accounts Payable 54 Depreciation Expense 22 Salaries Payable 55 Insurance Expense 23 Unearned Fees 59 Miscellaneous Expense You will use the attached spreadsheet to complete several of the remaining parts of this problem. Click on the Spreadsheet icon above to open and save the Excel file to your computer. Your input into the spread 2. Post the transactions from part 1 to the general ledger in the attached spreadsheet. The posting must be in chronological order. Be sure to go back and enter the appropriate posting references in the journal. 3. In the spreadsheet, prepare an unadjusted trial balance. 4. At the end of April, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during April is $350. b. Supplies on hand on April 30 are $1,225. c. Depreciation of office equipment for April is $400. d. Accrued receptionist salary on April 30 is $275. e. Rent expired during April is $2.000. 16 Prepaid Insurance 18 Office Equipment 19 Accumulated Depreci 21 Accounts Payable 22 Salaries Payable 23 Unearned Fees 51 Salary Expense 52 Supplies Expense 53 Rent Expense 54 Depreciation Expense 55 Insurance Expense 59 Miscellaneous Expense You will use the attached spreadsheet to complete several of the remaining parts of this problem. Click on the Spreadsheet icon above to open and save the Excel file to your computer. Your input into the sprea 2. Post the transactions from part 1 to the general ledger in the attached spreadsheet. The posting must be in chronological order. Be sure to go back and enter the appropriate posting references in the journal 3. In the spreadsheet, prepare an unadjusted trial balance. 4. At the end of April, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during April is $350. b. Supplies on hand on April 30 are $1,225. c. Depreciation of office equipment for April is $400. d. Accrued receptionist salary on April 30 is $275. e. Rent expired during April is $2,000. f. Unearned fees on April 30 are $2,350. 5. (Optional) In the spreadsheet, enter the unadjusted trial balance on the end-of-period work sheet and complete the work sheet. 6. Journalize the adjusting entries on Page 3 of the journal. (Do not insert the account numbers in the journal at this time.) Post the adjusting entries to the general ledger in the spreadsheet. The posting must be 7. In the spreadsheet, prepare the adjusted trial balance. 8. Prepare an income statement, a statement of stockholders' equity, and a balance sheet. If an amount box does not require an entry, leave it blank. If a net loss is incurred or dividends were paid, enter that a 9. Journalize the closing entries on Page 4 of the journal. (Do not insert the account numbers in the journal at this time.) Post the closing entries to the general ledger in the spreadsheet. Then go back and enter 10. Prepare a post-closing trial balance. List the accounts in order by type: Assets, Liabilities, Capital, Dividends, Revenue, and Expenses. If an amount box does not require an entry, leave it blank. 16 Prepaid Insurance 18 Office Equipment 19 Accumulated Depreci 21 Accounts Payable 22 Salaries Payable 23 Unearned Fees 51 Salary Expense 52 Supplies Expense 53 Rent Expense 54 Depreciation Expense 55 Insurance Expense 59 Miscellaneous Expense You will use the attached spreadsheet to complete several of the remaining parts of this problem. Click on the Spreadsheet icon above to open and save the Excel file to your computer. Your input into the sprea 2. Post the transactions from part 1 to the general ledger in the attached spreadsheet. The posting must be in chronological order. Be sure to go back and enter the appropriate posting references in the journal 3. In the spreadsheet, prepare an unadjusted trial balance. 4. At the end of April, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during April is $350. b. Supplies on hand on April 30 are $1,225. c. Depreciation of office equipment for April is $400. d. Accrued receptionist salary on April 30 is $275. e. Rent expired during April is $2,000. f. Unearned fees on April 30 are $2,350. 5. (Optional) In the spreadsheet, enter the unadjusted trial balance on the end-of-period work sheet and complete the work sheet. 6. Journalize the adjusting entries on Page 3 of the journal. (Do not insert the account numbers in the journal at this time.) Post the adjusting entries to the general ledger in the spreadsheet. The posting must be 7. In the spreadsheet, prepare the adjusted trial balance. 8. Prepare an income statement, a statement of stockholders' equity, and a balance sheet. If an amount box does not require an entry, leave it blank. If a net loss is incurred or dividends were paid, enter that a 9. Journalize the closing entries on Page 4 of the journal. (Do not insert the account numbers in the journal at this time.) Post the closing entries to the general ledger in the spreadsheet. Then go back and enter 10. Prepare a post-closing trial balance. List the accounts in order by type: Assets, Liabilities, Capital, Dividends, Revenue, and Expenses. If an amount box does not require an entry, leave it blank. JOURNAL Page 1 Post. Description Ref. Debit Credit Date 20Y6 April 1 # # HILL TT TIT # LLLLL # #### LLLLL TITAT # HU 1 # UL HH ## # HL 2 # # * LLL # # 4 # HHH ## # # LLLL Hit 5 # # # # 6 # # TTTTT # # HT 10 # # HU TTTTTT # # 2 12 # # HAT # # ## LLLLL 12 # # # # 11 14 # # 11+ HHH ## JOURNAL Page 2 Post. JOURNAL Page 2 Post. Ref. Description Debit Credit Date 2016 april 17 ### # HHH HARE # ## # HH TT HE 18 # # HELL HAH # ## # UL HHH 11 20 # # # HE ### # LL Hit HHH HA # 24 ### # HHH ### # LU Hit 26 # + # # 14 Hit 1 HE 27 # ## #H # HHH Hit ### # 29 + TUTT # LLLLL ATT #H # HHH ti 30 # HH LLLLL # FRITT # ## # # ## 30 # HHH Hit ### # ## # # # 1111 30 # HL TA 141+ TT 1 # ### TE 17 LLLLL 30 # # # # ## # # # ### F., and 9. GENERAL LEDGER Cash 11 Post. Balance rna Cash Post. Ref. 11 Balance Credit Item Debit Credit Debit Date 20Y6 April 1 1 1 2 LLLLL HT HHH HE LLLLL 4 HHH 6 LLLLL HAT HH HHH TTTT LILL HHH TTTTTT 10 12 14 17 18 24 26 27 29 30 HT HHH TTTTTT HIL TTTTTT LLLLL TTTTT HHH HHH HT 27 29 30 30 30 HHH HHH HAT LLLLL TE Accounts Receivable Post. Ref. 12 Balance Credit Item Debit Credit Debit HEHEHE TTTTTT 111 HT Date 2016 April 1 6 12 20 26 30 TTTT HH HHHH TTTTTT H Supplies Post. Ref. 14 Balance Credit Date Item Debit Credit Debit Supplies Post. 14 Balance Credit Ref. Debit Credit Debit Date Item 2046 April 1 18 30 Adjusting LLLL HT HILI HHH HT Prepaid Rent 15 Post. Ref. Balance Credit Item Debit Credit Debit Date 2016 April 1 30 HHH Adjusting HHH Prepaid Insurance Post. Ref. 16 Balance Credit Item Debit Credit Debit Date 20Y6 April 2 TITIT Supplies Post. 14 Balance Credit Ref. Debit Credit Debit Date Item 2046 April 1 18 30 Adjusting LLLL HT HILI HHH HT Prepaid Rent 15 Post. Ref. Balance Credit Item Debit Credit Debit Date 2016 April 1 30 HHH Adjusting HHH Prepaid Insurance Post. Ref. 16 Balance Credit Item Debit Credit Debit Date 20Y6 April 2 TITIT Debit Balances Credit Balances 18 Rosebud Consulting Unadjusted Trial Balance April 30, 2046 Acct. No. Cash 11 Accounts Receivable 12 Supplies 14 Prepaid Rent 15 Prepaid Insurance 16 Office Equipment Accumulated Depreciation 19 Accounts Payable Salaries Payable 22 Unearned Fees 23 Common Stock 31 Retained Earnings 32 Dividends 33 Fees Earned 41 Salary Expense 51 Supplies Expense 52 Rent Expense 53 Depreciation Expense 54 Insurance Expense 55 21 ################### 31 32 33 41 51 Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense Rent Expense Depreciation Expense Insurance Expense Miscellaneous Expense 52 53 54 55 59 ########### Rosebud Consulting End-of-Period Spreadsheet (Work Sheet) For the Month Ended April 30, 2046 Adjusted Adjustments Trial Balance Debit Credit Debit Credit # Income Statement Debit Credit # Balance Sheet Debit Credit LLLLL HAM HH # # # # A # # # # TTTTT # Unadjusted Trial Balance Debit Credit 43,535 17,790 4,025 6,000 4,200 20,000 # LLLLL ## # # # # # # + # # # # # LLLLL 14 HT # # # # # # # TOTT # # # # # # 1+1+1 A ## # # # # # LLLLL Account Title Cash Accounts Receivable Supplies Prepaid Rent Prepaid Insurance Office Equipment Accum. Depreciation Accounts Payable Salaries Payable Unearned Fees Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense 1,600 # + # # # # # 1414 HT 14 HT # # # # # # # TOTT # # # # # 9,400 50,000 11111 TTTTTT ## # # # # # # # 1+1+1 A + # # # # # 18,000 # LLLLL TTTTTT 14 # # # # # LLL 57,500 LLLLL HAT # # # # # 3,300 # # # 12 # # # # # TTTT LLLLL ## # # # # # 1,600 # HEHEHE TTTTTT ## # # # # # # LLLLL HT HT # # # # # LLLLL TAT TIT # # + # # 9,400 50,000 Lu # TITAT # # + # # # HHH TTTTTT 12 # # # # # 18,000 # LLLLL TA LU # # # # # # Accounts Payable Salaries Payable Unearned Fees Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense Rent Expense Depreciation Expense Insurance Expense Miscellaneous Expense 57,500 # LLLLL TTTTT TIT # + # # # # Lu 3,300 # HELL TITAT # # # # HHH TTTTTT 12 # # # # # LLLLL # HH # # # # # # # LLLLL TTTTTT Hit # + # # # # LLL # HELL THE # + # # # HH TT TIT 44 # # # # # 1,650 118,500 #REF! 118,500 # HHH HT ## # # # # # # # # # # # # Debit Balances Credit Balances # Cash Accounts Receivable Supplies Prepaid Rent Prepaid Insurance Office Equipment Accumulated Depreciation Accounts Payable Salaries Payable Unearned Fees Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense Rent Expense Rosebud Consulting Adjusted Trial Balance April 30, 2016 Acct. No. 11 12 14 15 16 18 19 21 22 23 31 32 33 41 51 52 53 ################# Debit Balances Credit Balances # Cash Accounts Receivable Supplies Prepaid Rent Prepaid Insurance Office Equipment Accumulated Depreciation Accounts Payable Salaries Payable Unearned Fees Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense Rent Expense Rosebud Consulting Adjusted Trial Balance April 30, 2016 Acct. No. 11 12 14 15 16 18 19 21 22 23 31 32 33 41 51 52 53 ################# Accounts Payable Salaries Payable Unearned Fees Common Stock Retained Earnings Dividends Fees Earned Salary Expense Supplies Expense Rent Expense Depreciation Expense Insurance Expense Miscellaneous Expense 21 22 23 31 32 33 41 51 52 53 54 55 59 ############## Rosebud Consulting Income Statement For the Month Ended April 30, 2076 Revenues: ## # Expenses: # # # # # # ###### Total expenses Net income Rosebud Consulting Statement of Stockholders' Equity For the Month Ended April 30, 20Y6 Common Retained Stock Farnings Total ## Total current assets Property, plant, and equipment: ## Total property, plant, and equipment Total assets Liabilities Current liabilities: Total liabilities Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity Total liabilities and stockholders' equity LLLL AITH JOURNAL Page 4 Post. Ref. Date Debit Credit Description Closing Entries 2046 April 30 # # TTTTTT # # HH Hit # THAT TT TE TTTT # # # HHHH AF UL TTTT # TE DIE # HA HAFF TTTT # HHHHH TTTT # # # # # # # # TITTE 10 30 # TTT # HH Rosebud Consulting Total liabilities and stockholders' equity LLLL AITH JOURNAL Page 4 Post. Ref. Date Debit Credit Description Closing Entries 2046 April 30 # # TTTTTT # # HH Hit # THAT TT TE TTTT # # # HHHH AF UL TTTT # TE DIE # HA HAFF TTTT # HHHHH TTTT # # # # # # # # TITTE 10 30 # TTT # HH Rosebud Consulting Complete Accounting Cycle For the past several years, Jeff Horton has operated a part-time consulting business from his home. As of April 1, 20Y6, Jeff decided to move to rented quarters and to operate the business, which was to be kno Apr. 1. The following assets were received from Jeff Horton in exchange for common stock: cash, $20,000; accounts receivable, $14,700; supplies, $3,300; and office equipment, $12,000. There w 1 Paid three months' rent on a lease rental contract, $6,000. 2 Paid the premiums on property and casualty insurance policies, $4,200. 4 Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $9,400. 5 Purchased additional office equipment on account from Smith Office Supply Co., $8,000. 6 Received cash from clients on account, $11,700. 10 Paid cash for a newspaper advertisement, $350. 12 Paid Smith Office Supply Co. for part of the debt incurred on April 5, $6,400. 12 Recorded services provided on account for the period April 112, $21,900. 14 Paid receptionist for two weeks' salary, $1,650. Record the following transactions on Page 2 of the journal: 17 Recorded cash from cash clients for fees earned during the period April 1-16, $6,600. 18 Paid cash for supplies, $725. 20 Recorded services provided on account for the period April 1320, $16,800. 24 Recorded cash from cash clients for fees earned for the period April 1724, $4,450. 26 Received cash from clients on account, $26,500. 27 Paid receptionist for two weeks' salary, $1,650. 29 Paid telephone bill for April, $540. 30 Paid electricity bill for April, $760. 30 Recorded cash from cash clients for fees earned for the period April 2530, $5,160. 30 Recorded services provided on account for the remainder of April. $2.590