Overview

The production and analysis of financial statements are core tasks for accounting professionals. The activities for this final project have traditionally been performed monthly by accountants in most organizations. However, with automation making accounting more efficient, many executives are requiring even more frequent financial statements. This new reality further underscores the need for accurate transaction collection and adjustment computations. Additionally, external users rely on ratio analyses to draw informed conclusions about a company$$s financial health. This information often will factor heavily into their investment and lending decisions.

In your final project, you will assume the role of an accountant and complete the year$-$end adjustment process for your company using a provided workbook. This workbook is the first deliverable $($Part I$)$ of your final project. In Part II$,$ you will analyze the provided financials of the same company and create a report documenting your findings. The project is divided into three milestones, which will be submitted at various points throughout the course to scaffold learning and ensure quality final submissions. These milestones will be submitted in Modules Three, Five, and Six. Final Project Part I will be submitted in Module Seven; Final Project Part II is due in Module Eight.

In this assignment, you will demonstrate your mastery of the following course competencies:

Demonstrate the year$-$end adjustment process in the preparation of a business$$s financial documentation

Apply generally accepted accounting principles in preparing financial statements

Prompt

Review the Final Project Scenario document for information about the financial background of your hypothetical company. Use the provided workbook to complete Part I of your final project.

Specifically, you must address the critical elements listed below.

Part I: Final Project Workbook

Demonstrate the year$-$end adjustment process:

Prepare the adjusting journal entries in the Adjusting Entries tab in the provided workbook.

Transfer the values from the Adjusting Entries tab to the proper cells of the Adjusting Entries columns in the Worksheet tab.

Create the adjusted trial balance by computing the Adjusted Trial Balance columns using the Worksheet tab.

Close temporary accounts by completing the Closing Entries tab.

Prepare the financial statements:

Prepare an income statement for the provided company by completing the Income Statement tab in your workbook.

Prepare a statement of retained earnings by completing the Statement of Retained Earnings tab.

Prepare a balance sheet by completing the Balance Sheets tab.