I need the following completed: Part 1 Journal entries and completed worksheet Part 2 Adjusted trial balance***, Balance Sheet and income statement & notes to both Part 3 Statement of Cash flows & notes, Post-closing Trial balance***

Here is the assignment:Your assignment is to set up a journal and general ledger to account for transactions during 2011. This should all be set up in an Excel Workbook. You may use different worksheets but only one workbook. The general ledger can be comprised of a set of T-accounts. To assist your preparation of financial statements, you should generate post-transaction (unadjusted), pre-closing (adjusted) and post-closing trial balances for each year. (A worksheet like you used in Accounting Principles 1 may be helpful.)

You should also create a set of financial statements (balance sheet, income statement, statement of cash flows and notes to the statements) for 2011. The balance sheet should also have a comparative for 2010. You should have notes to the financial statements as necessary but as a minimum should include significant accounting policies, current assets, depreciable assets, and long-term debt. Finally, compose a reflective paragraph describing your experience working on the Portfolio Project. Specifically, describe the concepts learned from this assignment and assess whether financial statements are easier to understand as a result of this assignment

INFO:

The Widget Company is a small company with only a few employees. Its line of business is to purchase several items from a line of widgets and resale them to other companies. The Company owns one small shop with two rooms, one for sales and office work, and one for product receiving and shipping. The company is owned by a group of investors and it is organized as a corporation.

Widget Company uses a straight-forward financial accounting information system. Of course, accrual accounting is used. Other generally accepted accounting principles used are the $-Value LIFO of valuing product inventory, FIFO for valuing supplies, the straight-line depreciation method for matching the cost of long-term assets to periods of use (half year of depreciation in year of acquisition and disposition), and earnings per share. Widgets fiscal year extends from January 1 through December 31. Additional information: Accounts receivable is recorded at gross. The Allowance for doubtful accounts is computed at 2% of ending accounts receivable. The Office supplies inventory is valued according to FIFO

The Product inventory balance of 62,754 on December 31, 2010 is based on the following information: $-Value LIFO index at January 1, 2006 1.0000 $-Value LIFO index at December 31, 2006 1.0425 $-Value LIFO index at December 31, 2007 1.0750 $-Value LIFO index at December 31, 2008 1.0675 $-Value LIFO index at December 31, 2009 1.1400 $-Value LIFO index at December 31, 2010 1.1825 Ending inventory valued at FIFO $72,000 Ending inventory valued at base $60,888 Base layer $35,200 2006 layer at base $19,250 2009 layer at base $3,000 2010 layer at base $3,438 Ending inventory at $-Value LIFO $62,754 Prepaid insurance is for a six-month policy that expires on April 30, 2011.

The sole Building was purchased in early 2003 for $550,000. At that time, the useful life was expected to be 25 years, and the eventual salvage value was expected to be $0. After a half year of depreciation in 2003, seven years of straight-line depreciation have been recorded at $22,000 per year.

Equipment is recorded using straight-line depreciation.

Accounts payable is comprised of $28,000 owed to various artisans for credit purchases, and $1,000 of accrued utilities. Wages: A healthcare deduction from employee paychecks is computed at 5% of gross wages.

The Widget Company contributes an additional 5% of gross wages (record under Fringe Benefit Expense). Federal income taxes average 9% and state income taxes average 4% of income taxable wages (deductions for healthcare are not taxable for federal or state income tax purposes). State unemployment taxes are 7% on the first $12,000 of yearly accumulated wages. Federal unemployment taxes are 6.2% (credit of 5.4% granted for state unemployment taxes) on the first $7,000 of yearly accumulated wages. For social security, the tax rate on employees is 4.2%, and on employers is 6.2%. The Medicare tax rate is 1.45% on both employee and employer.

Prepayments and deposits are from customer deliveries that are to be made in 2011.

Note Payable: There are two loans outstanding. One is an interest-bearing note of $100,000, due on October 1, 2014. The annual interest rate is 10%, and semi-annual interest payments are made on April 1 and October 1 of each year. Accrued interest of $2,500 is for three months.

The second is for a 9% installment loan, with annual installments of $44,584 is due on December 31 of each year. The last scheduled payment was made. Its amortization table is:

Cash Interest Loan Date Payment Expense Amort. Balance Jan 1, 2008 200,000 Dec 31, 2008 cash payment 44,584, int. exp 18,000, Amort 26,584, Loan bal 173,416 Dec 31, 2009 cash payment 44,584 int. exp15,607 Amort28,977 Loan bal 144,439 Dec 31, 2010 cash payment 44,584 int. exp13,000 Amort31,584 Loan bal 112,855 Dec 31, 2011 cash payment 44,584 int. exp 10,157 Amort34,427 Loan bal 78,428 Dec 31. 2012 cash payment 44,584 int. exp7,059 Amort37.525 Loan bal 40,903 Dec 31. 2013 cash payment 44,584 int. exp3,681 Amort 40,903 Loan ba 0

Common stock issued and outstanding (December 31, 2010) consists of 47,000 shares of $1 par value

Trial Balance (post-closing) December 31, 2010

Here is a trial balance prepared on December 31, 2010. It includes all accounts that you are to use. Closing entries can be made using an income summary account, or you can omit the income summary account and make closing entries directly to retained earnings.

Debt credit

Cash 210,326 Accounts receivable 34,512 Allowance for uncollectible accounts 690 Office supplies inventory 2,000 Product inventory 62,754 Prepaid insurance 3,000 Land 75,000 Building 550,000 Accumulated depreciationbuilding 165,000 Equipment Group 316,000 Accumulated depreciationequipment 126,400 Accounts payable 29,000 Wages payable 30,000 Federal income taxes payable 3,420 State income taxes payable 1,520 Social security payable 4,960 Medicare payable 1,160 State unemployment tax payable 350 Federal unemployment tax payable 16 Health care payable 4,000 Prepayments & deposits 17,500 Interest payable 2,500 Note payable 212,855 Common stock 47,000 Additional paid in capital 24,000 Retained earnings 583,221 Dividends 0 Income summary 0 0 Sales revenue 0 Cost of goods sold expense 0 Utilities expense 0 Wages expense 0 Payroll taxes expense 0 Fringe Bad debt expense benefits expense 0 0 Supplies expense 0 Insurance expense 0 Depreciation expense 0 Gain on sale 0 Loss on sale 0 Interest expense 0 1,253,592 1,253,592

Transactions to account for during 2011 Jan 1 Reversing entries made where appropriate. Jan 1 Purchased on credit and received $160,000 of product inventory. Jan 1 Purchased on credit and received $5,000 of office supplies inventory. Jan 5 Made all payments related to 4th quarter payroll. Jan 10 Paid $1,000 utility bill for 4th quarter. Mar 31 Sold product inventory for $320,000 on credit and shipped to customers. Mar 31 Made payments to suppliers for $125,000. Mar 31 Receipts on account and prepayments from customers total $290,000. AR of $1,800 written off. Apr 1 Purchased on credit and received $185,000 of product inventory. Apr 1 Purchased on credit and received $3,000 of office supplies inventory. Apr 1 Made $5,000 interest payment on first loan. Apr 1 Paid dividends of 13,000 Apr 5 Made all payments related to 1st quarter payroll. Gross wages of $65,000, income taxes wages of $61,750, social security wages of $65,000, Medicare wages of $65,000, state unemployment wages of $52,000, federal unemployment wages of $49,000. Apr 10 Paid $1,200 utility bill for 1st quarter. May 1 Sold 80,500 shares of common stock for $140,000 May 1 Purchased $5,000 insurance policy for May 1 to October 31. June 30 Sold product inventory for $280, 000 on credit and shipped to customers. June 30 Made payments to suppliers for $130,000. June 30 Receipts on account and prepayments from customers total $310,000. AR of $1,700 written off. July 1 Purchased on credit and received $165,000 of product inventory. July 1 Purchased on credit and received $11,000 of office supplies inventory. July 1 Sold equipment with original historical cost of $20,000 for $3,000. Its depreciation table is:

Equipment #315 Date purchased May 1, 2007 Purchase cost $20,000 Salvage value $0

Year Depreciationexpense Accumulated depreciation Book value 2007 2,000 2,000 1 8,000 2008 4,000 6,000 14,000 2009 4,000 10,000 10,000 2010 4,000 14,000 6,000 2011 4,000 18,000 2,000 2012 2,000 20,000 0

July 1 Purchased equipment (5 year useful life and 0 salvage value) for $80,000. This will be identified as Equipment #512 July 5 Made all payments related to 2"" quarter payroll. Gross wages of $70,000, Income taxes wages of $66,500, social security wages of $70,000, Medicare wages of $70,000, state unemployment wages of $37,000, federal unemployment wages of $11,000. July 10 Paid $800 utility bill for 2nd quarter. Sep 30 Receipts on account and prepayments from customers total $270,000. AR of`$1,600 written off. Sep 30 Sold product inventory for $487,000 on credit and shipped to customers. Sep 30 Made payments to suppliers for $135,000. Oct 1 Made $5,000 interest payment on first loan. Oct 1 Purchased on credit and received $110,000 of product inventory. Oct 1 Purchased on credit and received $5000 of office supplies inventory. Oct 1 Paid dividends of 10,000 Oct 5 Made all payments related to 3rd quarter payroll. Gross wages of $60,000, Income taxes wages of $57,000, social security wages of $60,000, Medicare wages of $60,000, state unemployment wages of$17,000, federal unemployment wages of $5,000. Oct 10 Paid 1,100 utility bill for 3rd quarter. Oct 25 Purchased land for 60,000 Nov 1 Purchased $6,000 insurance policy November 1 to April 30. Dec 31 Sold product inventory for $430,000 on credit and shipped to customers. Dec 31 Receipts on account and prepayments from customers total $330,000. AR of $1,500 written off. Dec 31 Made payments to suppliers for $125,000. Dec 31 Made $44,584 installment payment on second loan.

Dec 31 Accrued for 4th quarter payroll. Gross wages of $70,000, income taxes wages of $66,500, social security wages of $70,000, Medicare wages of $70,000, state unemployment wages of $9,000, federal unemployment wages of $0. Dec 31 Ending product inventory of $85,000 valued at FIFO. Index value for $- Value LIFO on December 31,2011, is 1.2333. Dec 31 Office supplies on hand, 500. Dec 31 Record accrued interest for loans. Dec 31 Record accrued utilities of 1,900. Dec 31 Record time passage on insurance policy. Dec 31 Record adjustment for uncollectible accounts. Dec 31 Prepayments still owed to customers amount to $18,000. Dec 31 Record depreciation for building. Dec 31 Depreciation for equipment (not including #512 or #315) is $45,20