How do I prepare and close the trial balance?
Trial Balance December 31, 2020 Unadjusted Debit Credit 15,000 13,000 1,100 9,000 3,600 350,000 120,000 40,000 150,000 70,000 Cash Accounts Receivable - Members Allowance for Doubtful Accounts Rent Receivable Prepaid Insurance Shop Supplies Land Buildings Accumulated Depreciation - Buildings Equipment Accumulated Depreciation - Equipment Interest Payable Salaries and Wages Payable Unearned Dues Note Payable Common Stock Retained Earnings Dues Revenue Green Fees Revenue Rent Revenue Bad Debt Expense Depreciation Expense - Buildings Depreciation Expense - Equipment Insurance Expense Interest Expense Salaries and Wages Expense Shop Supplies Expense Utilities Expenses Maintenance and Repairs Expense Income Summary TOTALS 100,000 300,000 82,000 200,000 7,900 17,600 80,000 54,000 24,000 818,600 818,600 The following additional information is available for First Landing Golf Club at December 31, 2020 a. Prepare adjusting journal entries for First Landing Golf Club based on the trial balance and the following information. The buildings have an estimated life of 30 years with no salvage value (straight-line method.) b. The equipment is depreciated over ten years using the straight-line method. c. Insurance expired during the year totaled $4,000. d. The rent revenue represents the amount received for 11 months for dining facilities. The December rent has not yet been received. e. It is estimated that 15% of the Accounts Receivable will be uncollectible. f. Employees had earned $3,800, by December 31, for which they had not been paid. g. Dues received in advance from members, $8,100 were recorded as Dues Revenue. h. The note payable of $100,000 was issued on April 1, 2020, with interest of 5% and is due April 1, 2021. i. Shop supplies remaining at December 31 were $900. Requirements: 1. (2 points) Using Excel, setup a worksheet for First Landing Golf Club with columns for the unadjusted trial balance, adjusting journal entries, adjusted trial balance, closing entries, and post-closing trial balance - all formatted with numbers rounded to nearest dollar. (See Figure 1 for an example) 2. (2 points) Transfer unadjusted balances to the worksheet, use formulas to ensure columns balance across worksheet. (See Figure 1 for an example) 3. (18 points) Prepare adjusting journal entries using the included general journal worksheet and then post the entries to worksheet. 4. (6 points) Using formulas, complete the adjusted trial balance columns. (See Figures 2 and 3 as a guide for creating formulas. Note that each cell in the debit and credit column will contain a formula, but there should only be one balance per account.) No formulas, no points 5. (6 points) Prepare closing entries and post to the worksheet. (Check # - Net income = $26,900) 6. (6 points) Complete worksheet by preparing post-closing trial balance. Use formulas! (NOTE: Use formulas similar to ones created in Req. 4. Debit column =IF(B7+D7-C7-E7+H7-17>0,+B7+D7-C7-E7+H7-17, ""), credit column=IF(B7+D7-C7-E7+H7-17>0,(+B7+D7-C7-E7+H7-17)*-1, "") - again, no formulas, no points
