***JUST NEED THE LEDGER DONE # 2 ***

***JUST NEED THE LEDGER DONE # 2 ***

***JUST NEED THE LEDGER DONE # 2 ***

INSTRUCTIONS AND TRANSACTIONS FOR THE CHAPTER 3 "BIG" PROJECT WORTH 100 POINTS NOTE: YOU MUST USE THE PROJECT WORKPAPERS (EXCEL FILE) PROVIDED IN D2L CONTENT / CHAPTER 3 FOLDER. NO OTHER FILES WILL BE ACCEPTED. On January 1, 2019, Bruce Wayne created a new Crime Watch agency called Batman's Watchdog Service. The following transactions occurred during the company's first month of operations: Jan 1 To get the business started, Wayne invested $1,000,000 cash, computer equipment worth $150,000, and a patent on new technology worth $850,000 in exchange for Common Stock 2 Rented subteranian office space (Bat cave) by paying $20,000 cash for the first month's rent 3 Purchased $3,000 of office supplies for cash. 3 Paid $120,000 cash for a one-year insurance policy. Coverage began immediately. 14 Paid $6,000 cash for wages to one employee (Robin) 24 Collected $50,000 cash for services provided to customers in January. 26 Wayne took out a bank loan for $10,000,000 with a term of 5 years. 28 Paid another $12,000 cash for wages to Robin and new employee, Bat Girl. 29 Paid $3,000 for internest service in cash. 30 Paid $1,500 cash to repair the company's computer after Robin spilled his coffee on the main server. The company's chart of accounts included the following: 101 Cash 405 Service Fee Revenue 106 Accounts Receivable 612 Depreciation Expense - Computer Equip. 124 Office Supplies 622 Wage Expense 128 Prepaid Insurance 637 Insurance Expense 167 Computer Equipment 640 Rent Expense 168 Accum. Depr. - Computer Equip. 650 Office Supplies Expense 190 Patent 684 Repairs Expense 209 Wages Payable 688 Internet Service Expense 212 Interest Payable 690 Interest Expense 220 Notes Payable 901 Retained Earnings 301 Common Stock Required 1. Prepare journal entries to record the transactions for September and post them to the general ledger accounts. The company records prepaid and unearned items in balance sheet accounts. The journal pages are pre- numbered. Be sure to use the appropriate number in the posting references in the ledger. I will be checking posting references. Make sure to prepare journal entries in proper format and include transaction descriptions. 2. Post journal entries to the General Ledger 3. Prepare an unadjusted trial balance as of 1/31/2019. 4. Use the following information to journalize and post adjusting entries for the month: a. One month's insurance coverage has expired. b. There are $2,000 of office supplies on hand (unused) at the end of the month. c. Depreciation on the computer equipment is $50,000. d. The employees earned $6,000 of unpaid and unrecorded wages. e. The company earned $500,000 of fees for services provided in January, not yet been billed. f. Record monthly interest on bank loan of $30,000, which will not be paid until February 2019.. 5. Post your adjusting entries on the General Ledger and calculate new balances. Complete an Adjusted Trial Balance. 6. Prepare the income statement and statement of Retained Earnings. See your text for 7. Prepare a CLASSIFIED balance sheet at 1/31/2019. proper format. 8. Prepare journal entries to close the temporary accounts and then post these entries to the ledger. 9. Prepare a post-closing trial balance General Ledger GENERAL LEDGER 101 BALANCE Date Cash P.R. GJ1 Explanation DEBIT CREDIT Accounts Receivable P.R. DEBIT 106 BALANCE Date Explanation CREDIT e Office Supplies P.R.L DEBIT 124 BALANCE Explanation CREDIT Date 3-Jan 6 Prepaid Insurance P.R. DEBIT 128 BALANCE Explanation CREDIT Date 3-Jan Computer Equipment P.R. DEBIT 167 BALANCE Explanation CREDIT Date 1-Jan Date Accumulated Depreciation - Computer Equipment Explanation P.R. DEBIT CREDIT 168 BALANCE Patent P.R. 190 BALANCE Explanation DEBIT CREDIT Date 1-Jan Wages Payable P.R. DEBIT 209 BALANCE Date Explanation CREDIT Interest Payable P.R. DEBIT 212 BALANCE Date Explanation CREDIT LT Notes Payable Date Explanation P.R. DEBIT 26-Jan 220 BALANCE CREDIT Common Stock P.R. DEBIT 301 BALANCE Date Explanation CREDIT 1-Jan Depreciation Expense - Computer Equipment Explanation P.R. DEBIT 612 BALANCE Date CREDIT Close Explanation Wage Expense P.R. DEBIT CREDIT 622 B ALANCE Date 14-Jan 28-Jan Close Insurance Expense P.R. DEBIT 637 BALANCE || Explanation CREDIT Date a Close Rent Expense 640 Explanation P.R. DEBIT CREDIT BALANCE Date 2-Jan ! Close 650 Office Supply Expense P.R. DEBIT Date Explanation CREDIT BALANCE b Close Repairs Expense P.R. DEBIT 684 BALANCE Explanation CREDIT Date 30-Jan Close Internet Service expense P.R. DEBIT CREDIT 688 BALANCE Explanation II Date T 29-Jan Close Interest Expense P.R. I DEBIT 690 I BALANCE Date Explanation CREDIT Close Retained Earnings P.R. DEBIT 901 |BALANCE Explanation CREDIT Date Close