Need help with coming up with the journal entries!
Dorsey Landscape, Inc. Case Study This case study must be completed in Excel or other spreadsheet program using the formats provided in this workbook. Objectives: 1. Practice the steps involved in the Accounting Cycle 2. Practice electronic spreadsheet skills a. Formulas b. Linking worksheets 3. Practice using data visualization to share results Instructions 1. Using the Chart of Accounts provided, record the transactions in the General Journal. Do not add accounts. 2. Post the General Journal entries to the General Ledger. 3. Prepare the Unadjusted Trial Balance in the Trial Balance tab 4. Journalize any adjusting entries in the General Journal and post in the General Ledger. Show your calcuations for the adjustments in the Adjustments tab. 5. Prepare the Adjusted Trial Blance in the Trial Balances tab. Also include the Income Statement and Balance Sheet on the Trial Balance Worksheet. 6. Prepare IN GOOD FORM the Income Statement, Statement of Shareholders' Equity, and Balance Sheet for the period May 1, 2018 - April 30, 2019 in the appropriate tabs. Ignore the effects of income tax. 7. Prepare an appropriate data visualization of financial results (either income statement or balance sheet). 8. Prepare and post the closing entries for the year ended April 30, 2019. 9. Prepare the Post-Closing Trial Balance in the Trial Balance tab. 10. Note the following additional information: 1. The business began on May 1, 2018. 2. The period under consideration is the year May 1, 2018 - April 30, 2019. 3. For the purposes of this assignment, ignore the effects of income tax, property tax, sales tax, and payroll tax. 4. Straight-line depreciation method is used. 5. On April 30, 2016, the company had $150 of Office Supplies and $2,850 of Lawn & Garden Supplies. Supplies on hand. 6. The telephone bill for April 2019 for $260 was received May 2019. 6. The telephone bill for April 2019 for $260 was received May 2019. 7. The utility bill for April 2019 for $185 was received May 2019. 8. For the purposes of this assignment, consider the note payable for the truck purchase to be a current liability. 9. The following transactions occurred in the first month of operations and are reflected in the general ledger account balances: May 1, 2018 The stockholders purchase 2,500 shares of $10 par value stock. Total cash received was $25,000 May 1, 2018 The company took a $30,000 business loan from a local bank. The loan is "interest only" loan for three years at a fixed rate of 10%. A ballon payment of the principal will be due in 3 years. The montly interest payment is due by the 10th of the following month. May 1, 2018 Management rents a combination office and garage facility for $1,000 per month and pays 4 months ($4,000) in advance by cash in addition to a $1,500 security deposit. May 1, 2018 Purchased a truck valued at $40,000 with a $10,000 down payment and a 4-year $30,000 note payable with an annual interest rate of 5%. The truck has a 10-year useful life and no salvage value. The monthly payment including principal and interest is $690.88 beginning June 1, 2018, May 1, 2018 Purchased used equipment and trailers for $25,000 cash. The equipment and trailers have a 5-year useful life and no salvage value. May 4, 2018 Dorsey contracted with two local businesses, Preston Hill B & B and Grace's Diner to provide monthly landscaping service at a rate of $350 per month each. Dorsey Landscape will bill the businesses at the end of each month. May 8, 2018 Paid invoice from Insurance company for 4 months of coverage beginning May 1, 2018 for a total of $1,600. March 15, 2019 Received advance deposit in the amount of $1,000 from customer for landscaping service to begin April 5, 2019. March 28, 2019 Sent invoice to Preston Hill B & B and Grace's Diner for landscaping services for the month of March. Accounting Transactions for the Period of April 1, 2019 - April 30, 2019 Date Description April 1, 2019 Paid April rent in the amount of $1,000. April 5, 2019 Paid $850 for six-month truck insurance policy beginning on April 1, 2019. April 10, 2019 Receipts of cash from landscaping services in the amount of $1,520 were deposited to bank. April 10, 2019 Paid interest on bank loan for March. April 14, 2019 Purchased lawn and garden supplies on account from Wintergreen Garden Center in the amount of $2,800. April 15, 2019 Completed landscape services on advanced customer deposit on March 15. April 16, 2019 Paid $1,200 in wage expense for the period April 1 - April 15, 2019. April 16, 2019 Received payment of $700 from Preston Hill B & B and Grace's Dinner for March 2019. April 18, 2019 Paid utilities for the month of March in the amount of $238.00 April 18, 2019 Paid telephone bill for the month of March in the amount of $197.00. April 20, 2019 Returned $500 worth of lawn and garden supplies to Wintergreen Garden Center and received credit on account April 22, 2019 Received $1,000 advance deposit from customer for landscaping work to be stared in May 2019. April 24, 2019 Paid invoice from Insurance company for 4 months of coverage beginning May 1, 2019 for a total of $1,800. April 25, 2019 Cash receipts deposited for landscape services rendered in the amount of $2,850. April 28, 2019 Paid remaining balance owed to Wintergreen Garden Center. April 30, 2019 Truck Payment - Total $690.88 (Principal = $589.91; Interest = $100.97) April 30, 2019 Paid $1,400 in wages expense for the period April 16 - April 30, 2019. April 30, 2019 Pay credit card in full with the following charges incurred in April 2019: Gasoline $625 Equipment maintenance $375 Dues $150 Uniforms $425 Advertising $375 Postage $100 Sent invoices to Grace's Diner and Preston Hill B & B for monthly lawn service. April 30, 2019 April 30, 2019 Dividends paid to shareholders in the amount of $500 Dorsey Landscape, Inc. General Journal - Period April 1, 2019 - April 30, 2019 Date Description PR Debit Credit
