I have the system understanding project and I was wondering if I could get some help with it. I already completed the the journal entries I just need to finish the year end worksheet, post closing trial balance, along with the bank reconciliation and the aged account

SYSTEMS UNDERSTANDING AID CHECK FIGURES FOR STUDENTS 12-31-2013 SPRING 2016 Financial Statements Current Assets Total Assets Net Sales Operating Expenses (excluding CoGS, interest expense, & FIT) Net Income Net cash provided by operating activities Net cash provided-by /used-in investing activities Net cash provided-by /used-in financing activities Net increase in cash Accounts Receivable Aged Trial Balance Total Current Bank Reconciliation Outstanding Checks Unadjusted G/L Balance, 12-31-2013 Journals Sales Journal credit to #30100 Purchases Journal debit to #30500 Cash Receipts Journal debit to #10100 Cash disbursements Journal credit to #10100 Payroll Journal Debit to #40500 General Ledger Balances #10100 - Cash #30100 - Sales (pre-closing) #30500 - Purchases (pre-closing) 1,132,955.00 #30400 - Cost of Goods Sold (pre-closing) $ 364,357.18 588,278.18 1,520,121.98 306,850.94 132,540.55 60,810.10 44,435.00 70,000 86,375.10 $46,622.00 $25,517.00 59,926.54 97,427.79 58,189.00 54,455.00 138,755.16 102,707.98 14,618.65 97,400.29 1,596,781.00 1,132,955.00 1,029,877.29 PURCHASES JOURNAL Date Dec. Dec. Dec. Dec. Dec. 5 12 23 26 31 Vendor Velocity Sporting Goods Chicago Office Supply Velocity Sporting Goods Chicago Office Supply Chicago Office Supply Vendor Invoice No. 33965 2344 34719 2378 2423 Monthly totals DECEMBER Debit Credit A/P - G/L 20100 Purchases Other G/L G/L 30500 Acc# Amount Post Subs. A/C# Amount Post 36,115.00 252 36,115.00 10800 7,367.00 253 7,367.00 18,340.00 252 18,340.00 40300 559.15 253 559.15 10800 4,558.00 253 4,558.00 ------------------------------54,455.00 12,484.15 66,939.15 ====== ====== ====== Summary Totals 10800 11,925.00 40300 559.15 CASH DISBURSEMENTS JOURNAL Date Dec. 7 Dec. 12 Dec. 13 Dec. 13 Dec. 13 Dec. 13 Dec. 13 Check No. 1140 1141 1142 1143 1144 1145 1146 Dec. 13 Dec. 13 Dec. 13 Description First Security Insurance Chicago Office Supply Velocity Sporting Goods Worldwide Management Board of Water and Light Interstate Motor Freight Internal Revenue Service 1147 Internal Revenue Service 1148 State of Illinois 1149-51 See Payroll Journal Dec.24 Dec.30 Dec.31 Dec.31 Dec.31 Dec.31 Dec.31 1152 1153 1154-56 1157 1158 1159 1160 Dec.31 1161 Interstate Freight Velocity Sporting Goods See Payroll Journal University Athletic News Central Brokerage First American Bank First Security Insurance Maple Valley Electric Monthly totals DECEMBER CREDIT DEBIT Cash Purch. Disc. A/P - G/L 20100 Freight-in Amt. Post G/L 30800 G/L 10100 G/L 30700 Subs. A/C # 2,575.00 7,367.00 253 7,367.00 35,392.70 722.30 252 36,115.00 4,800.00 1,360.25 778.75 778.75 3,523.23 14.82 50.03 483.00 17,973.20 Purch. Ret. G/L 30600 Other G/L A/C # Amt. 41000 2,575.00 Post 40100 41000 4,800.00 1,360.25 20300 20600 20500 20400 1,516.07 2,007.16 14.82 50.03 40200 10600 21000 10500 41000 11000 1,100.00 4,490.00 10,000.00 4,000.00 800.00 8,000.00 ---------------40,713.33 ========= 483.00 366.80 252 18,340.00 1,100.00 4,490.00 10,000.00 4,800.00 8,000.00 ------------------ ----------------102,707.98 1,089.10 =========== ========== RK ---------------61,822.00 ========= ---------------1,261.75 ========= SALES JOURNAL Date Dec. 2 Dec. 7 Dec. 9 Dec. 13 Dec. 19 Dec. 24 Dec. 24 Inv. or Cr. Memo Number Customer Rosemont University 727 Clayborn University 728 E. Wisconsin University 729 Branch College 730 Clayborn University 731 E. Wisconsin University CM 42 Rosemont University 732 Subs. Acct. No. 406 407 410 408 407 410 406 DECEMBER Subs. Post Credit Debit Acct. Rec. Sales Returns Sales G/L 10200 G/L 30200 G/L 30100 4,174.00 4,174.00 7,252.00 7,252.00 21,872.00 21,872.00 1,656.00 1,656.00 16,125.00 16,125.00 (3,480.00) 3,480.00 7,110.00 7,110.00 --------------------- --------------------- --------------------54,709.00 3,480.00 58,189.00 ============ ============ ============ Monthly totals CASH RECEIPTS JOURNAL Date Dec. 6 Dec. 9 Dec. 12 Dec. 14 Dec. 14 Dec. 16 Dec. 23 Dec. 24 Dec. 24 Dec. 26 Dec. 30 Dec. 31 Dec. 31 Description Gates University Rosemont University Hancock College Clayborn University Atwood Brothers First Amer. Bank Branch College E. Wisconsin University Andover University Central Brokerage Rosemont University Central Brokerage Basso & Associates Monthly totals Ctrl Init NF NF NF NF NF NF NF DEBIT Cash G/L 10100 5,891.00 4,090.52 5,306.00 7,106.96 825.00 80,000.00 1,622.88 9,000.00 9,165.00 1,200.00 6,967.80 3,980.00 3,600.00 -------------------138,755.16 ============ RK DECEMBER CREDIT Sales Disc. G/L 30300 A/R - G/L 10200 Subs. A/C # Amt. Post 83.48 406 4,174.00 407 7,252.00 A/C # Other G/L Amt. Post 145.04 Sales G/L 30100 5,891.00 5,306.00 31200 21000 408 410 1,656.00 9,000.00 31100 33.12 825.00 80,000.00 1,200.00 9,165.00 142.20 406 7,110.00 10600 31000 21100 ---------------403.84 ========= -----------------------------29,192.00 ============ ----------------20,362.00 ========== 3,210.00 770.00 3,600.00 -------------------89,605.00 ============ \fDocument No. 1 Transactions List December 16-31, 2013 Complete each of the following transactions in accordance with the seven-step process on pages 11-12 of the Instructions, Flowcharts, and Ledgers book (step 5). Remember the importance of the systems flowcharts on pages 18-24 for details as to (a) documents to prepare, (b) approvals and other internal control procedures, (c) accounting entries, and (d) filing. You are to perform the roles of Ray Kramer, Nancy Ford, and Jim Adams. Some of the following events require the preparation or modification of systems documents and some do not. Although systems documents accompany most business transactions, you are asked to prepare and work with only a representative sample in this project. Each event on the transactions list includes one of three symbols, which determine whether documents from the loose document set in this project must be prepared or used: You are required to prepare or modify documents from the loose document set for this event. An accounting entry may or may not be required. Yes You are not required to prepare or modify documents from the loose document set because documents would not normally be prepared or modified for this type of event. An accounting entry is required, with one exception: the December 20 change in pay rates. No You are not required to prepare or modify documents from the loose document set, although this type of event would normally require you to do so. These events are included to provide additional practice in recording transactions. An accounting entry is required. No Hints are provided in boxed areas like this. December Yes 16 Received validated deposit receipt (Doc. No. 11) from the bank for $7,931.96 deposit made December 14. Option B Follow flowchart on page 21. No recording occurs at this time. Cash receipts prelist is Doc. No. 9. File Doc. No. 9 and Doc. No. 11 in the Temporary file tab. Spring 2015 December Yes 16 Ordered the following inventory on account from Velocity Sporting Goods, using purchase order No. 328 (Doc. No. 16). Units 115 60 70 85 Description Basketball pole pad Basketball bag Portable inflation pump Trainer's first aid kit Vendor address: 1285 Colgrove Avenue, Pierre, SD 57501 Freight carrier: Interstate Motor Freight Freight charges: Collect (i.e., paid by Waren Sports Supply) Allowances: None Yes 16 Borrowed $80,000 from First American Bank and Trust by issuing a two-year note payable (Doc. No. 14) with a stated annual interest rate of 6%. Check No. 545 (Doc. No. 8) for $80,000 was received from the bank and deposited. Reviewed the terms and conditions of the note and signed it (Ray Kramer) as the borrower. Yes 19 Follow flowchart on page 22. Use purchase order No. 325 (Doc. No. 16) as a guide. Use the price list (Doc. No. 3). No receiving or recording occurs at this point for this transaction. Tear document apart and file, following the flowchart guidance. Restrictively endorse means to write the following on the back of the check: \"For deposit only. Waren Sports Supply.\" See flowchart, page 21, for recording and depositing. Detach the bottom portion of the check and file in the Shipping/Banking file tab. File the note in the Shipping/Banking file tab. Received customer purchase order No. ST3107 (Doc. No. 4) in the mail from Clayborn University, approved their credit and shipped the goods. All goods ordered were shipped, except that only 45 shoulder pad sets were available for shipment. Carrier & number: Allied Trucking; Carrier number 2154 Freight charges: FOB shipping point; Billed to buyer (i.e., paid by Clayborn) Route: Express Truck & driver: Truck 2961XZ, Linda Arensmeier Freight rate: $15.00 per 100 lbs. Shipment: 3 cartons/goal and rim sets @ 26 lbs./carton 6 cartons/backboards @ 125 lbs./carton 5 cartons/shoulder pad sets @ 40 lbs./carton 4 cartons/football helmets @ 24 lbs./carton Option B See flowchart, pages 18 and 19; follow all steps carefully. You will use several documents and record an entry in the sales journal and the accounts receivable subsidiary ledger for this transaction. For guidance in preparing the bill of lading, see pages 35-36 of the Reference book. Page 2 Spring 2015 December Yes 20 Received sales return request No. R8034 (Doc. No. 12) in the mail from Eastern Wisconsin University (EWU). The request was approved and the acknowledgment copy mailed to EWU. No 20 Increased employee pay rates, and employees changed their federal income tax withholding amounts, both effective December 16. There were no changes in filing status or withholding allowances. New Federal Income Tax New Pay Rate Withholding Amt. Ray Kramer $3,600.00 semimonthly $466.71 Jim Adams $22.00 per hour $365.06 Nancy Ford $18.00 per hour $136.90 Yes 23 Follow the flowchart steps on page 20. No accounting entries are necessary, but you must update the pay rate history information in the Employee Earnings Subsidiary Ledger. Received merchandise from Velocity Sporting Goods as listed on purchase order No. 328. All merchandise listed on the purchase order was delivered in good condition and in the quantities ordered, except that only 100 basketball pole pads (Item No. BB-019) were received. The goods were placed immediately in the inventory warehouse. Freight carrier: Freight bill: Interstate Motor Freight No. 26425 (Doc. No. 19), received with shipment Remember to follow the flowchart on page 22. You can't record a purchase yet because the invoice hasn't been received. Yes 23 Received check No. 28564 (Doc. No. 8) from Branch College for payment in full for charge invoice No. 730, and deposited the check. No 23 Received legal notification from Benson, Rosenbrook, and Martinson, P.C., attorneys at law, that Stevenson College had filed bankruptcy and will be unable to pay any of its outstanding debts to its suppliers. Write off the account as a bad debt. Yes 24 Received all goods that Waren had authorized Eastern Wisconsin University (EWU) to return on EWU's return request No. R8034 for credit against their account balance. Yes 24 Process and record the sales return now. Received check No. 49326 (Doc. No. 8) for $9,000 from Eastern Wisconsin University in partial payment of the remaining amount (after sales return) on charge invoice No. 729, and deposited the check. Option B Remember that Waren Sports Supply uses the \"Allowance\" method rather than \"Direct write-off\" for accounting for bad debts. Do not finalize a deposit slip until you determine whether there are other cash receipts on the same day. Page 3 Spring 2015 December Yes 24 Received vendor invoice No. 34719 (Doc. No. 18) from Velocity Sporting Goods for goods ordered December 16 and received December 23. Yes 24 Issued a check (Doc. No. 20) to Interstate Motor Freight for the amount of the freight bill (Doc. No. 19) for the Velocity Sporting Goods shipment received December 23. Yes 24 Follow the flowchart steps on page 22. Upon receiving the invoice, you can now record the purchase using the date on which Waren incurred the liability for the goods, December 23. Follow the flowchart steps on page 23. Received check No. 7403 (Doc. No. 8) for $9,165 and customer purchase order No. 94772 (Doc. No. 4) in the mail from Andover University for a cash sale. All goods ordered were shipped and the cash sale was processed and recorded. Carrier & number: Interstate Motor Freight; Carrier number 62XY404 Freight charges: Collect (i.e., paid by Andover University) Route: Direct Truck & driver: Truck 64, Dale Hoch Freight rate: $15.00 per 100 lbs. Shipment: 5 cartons/basketballs @ 23 lbs./carton 4 cartons/hip, tail, arm pad sets @ 36 lbs./carton 2 cartons/footballs @ 16 lbs./carton No 24 Start with the flowchart on page 21. Made a special promotional sale on account to Rosemont University. For the promotion, Waren agreed to a 10% reduction in the selling prices of the following items: Quantity 30 5 Item No. BA-054 BA-807 Description Premium aluminum bat Pitching machine Yes 26 Received office supplies from Chicago Office Supply as listed on purchase order No. 327 (Doc. No. 16), a copy of which is being held in accounting. Chicago Office Supply's vendor invoice No. 2378 (Doc. No. 18) was received with the goods. All supplies ordered were received in good condition and taken directly to the office, but the invoice was not paid. No 26 Sold bookshelves to Nancy Ford for $400. Nancy will pay this amount to Waren in January of 2014. The bookshelves were purchased for a cost of $1,000 on September 30, 2007 along with other office furniture costing $49,750 (total purchase was $50,750). The bookshelves were fully depreciated at the end of 2012. Option B Add a new general ledger account on page 36. Assign it G/L #10210 - Accounts Receivable from Employees. Be sure to include this account in the proper section of Waren's 2013 financial statements. Do not be concerned that the new account is out of sequence in the G/L. Waren reorganizes its chart of accounts and G/L at the beginning of a new fiscal year. Don't forget to update the fixed asset subsidiary ledger on pages 42-43. Page 4 Spring 2015 December No 26 Received check No. 4014 from Central Brokerage for $1,200 of dividend income. The dividends were earned on various common stocks in the marketable securities general ledger account. Yes 30 Issued check (Doc. No. 20) to Velocity Sporting Goods for payment in full of their invoice No. 34719 for goods received December 23. No 30 Received check No. 14002 for $6,967.80 from Rosemont University in payment of the promotional sale on account made December 24. Yes 31 Yes Recall that the original sale was made at a 10% promotional discount. Because Rosemont paid within ten days of the original sale, be sure to record the applicable discount. Received payroll time cards (Doc. No. 21) from Ford and Adams for the time period ended December 31 and prepared the payroll for all three employees, including paychecks. Yes Consider the credit terms before making the payment. Paychecks are considered \"Mailed/Given to Outsiders.\" Timecards are filed in the \"Accounting\" file tab. Recall that federal income tax withholding amounts were listed earlier with employee pay rate increases. 31 Received the laptop computers ordered on Waren's purchase order No. 325 (Doc. No. 16) and vendor invoice No. 2423 (Doc. No. 18) from Chicago Office Supply. The computers were received in new and undamaged condition and taken directly to the office. The estimated useful life is 5 years with no salvage value. 31 Received vendor invoice No. 72654 (Doc. No. 18) from University Athletic News for advertisements Waren ran during the Christmas season and immediately issued a check (Doc. No. 20) for payment in full. Purchase orders are not issued for services that Waren purchases. 31 Purchased 200 shares of Redhawk Corporation common stock for $22.00 per share plus commission of $90.00. Immediately issued a check payable to Central Brokerage. 31 No The Board of Directors declared a $3.00 per share dividend on the 3000 shares of $75 par value common stock outstanding. The dividends will be payable on January 31, 2014 to all stockholders of record as of January 25, 2014. No No 31 Option B Add a new general ledger account on page 36. Assign it G/L #29010 - Dividends Declared. Be sure to include this account in the proper section of Waren's 2013 financial statements. Issued check to First American Bank and Trust for $10,000 for partial payment on the bank note, which included no payment for interest. The terms on the back of the bank note stipulate that prepayments can be made without early payment penalty. For purposes of the year-end adjusting entry for accrued interest that you will be making later, assume that this payment was not received by the bank until January 2, 2014. Page 5 Spring 2015 December No 31 Issued check for $4,800 to First Security Insurance for the premium on Waren's six-month liability insurance policy. The policy period runs from December 1, 2013 to June 1, 2014. No 31 Remember to consider the time period to which this expenditure applies. Sold 150 shares of Sohn Corporation common stock for $27.00 per share. The shares were originally purchased on July 11, 2013 for $21.00 per share plus a commission of $60. Central Brokerage retained a commission of $70 on the sale and forwarded check No. 4289 for the net sale proceeds to Waren. Calculate and record the gain or loss on the sale of the marketable securities. Be sure to consider the effects of both the purchase and sale commission expenses. No 31 Loaned $8,000 to Maple Valley Electric by issuing a four-year note receivable with a stated annual interest rate of 8%. The funds were loaned by issuing a check. Interest payments of $640.00 are due on December 31 of each year, beginning in 2014. The entire principal is due four years from December 31, 2013. No 31 The company signed an agreement to sublease an office in its building to Basso & Associates at a monthly rental rate of $1,200 . In connection with the sublease, Waren received check No. 55941 for $3,600 from Basso & Associates covering rent for the first quarter of 2014. Add a new general ledger account on page 36. Assign it G/L #21100 - Unearned Revenue. Be sure to include this account in the proper section of Waren's 2013 financial statements. MONTH-END PROCEDURES - After you have recorded all the transactions, go to page 12 of the Instructions, Flowcharts, and Ledgers book and complete all the month-end procedures. An additional month-end requirement for this project is: Yes Monthly Statement - Prepare a monthly statement (Doc. No. 15) for Clayborn University. YEAR-END PROCEDURES - After completing all the month-end procedures, go to page 14 of the Instructions, Flowcharts, and Ledgers book and complete all the year-end procedures. Additional information for the year-end procedures is: No Ending Inventory - A physical inventory was taken 1/1/14, before business began for the new year. Merchandise on hand cost $193,306.00 . No Bad Debt Expense - The expense for bad debts is estimated at the end of the year as onequarter of one percent (0.0025) of net sales. No Marketable Securities - At December 31, 2013, the market value of marketable securities held by Waren approximated the cost of the securities. The project is now complete. Good work! Review your materials to make certain everything is finalized. Complete the filing of documents, records, and working papers using the file tabs and the envelope in which the Aid is packaged. File all materials as indicated in the flowcharts. Option B Page 6 Spring 2015