Part I - Transactions and Adjusting Journal Entries

John and Lou Topp are brothers.In May 2016, they decided to form a Company,Top Dog, Inc. selling hot dogs.

Required:

Record the 1) transactions and 2) separate adjusting journal entries for Top Dog, Inc.

You can write-up the entries manually using the accounting paper below or use excel.Note that there are cash transactions and month-end journal entry adjustments - keep these entries separately.1) After "writing-up" the cash transactionsrecord (post) the Cash transactions to the T Accounts(Blank separate excel file ) then, once cash transactions 1-11 are recorded to the T - Accounts, calculate the balance in each account and transfer the unadjusted balance amounts to the unadjustedtrial balance column in the separate excel template worksheet provided.

Then, record the adjustments to the middle column and extend the trial balance.

The Company is on a perpetual inventory system. Write "N/A" if no entry is required. (In a perpetual inventory system cost of goods sold and inventory amounts are adjusted for each sale vs a periodic system where inventory and cost of goods sold amounts are adjusted at the end of the year.)

Hint 2- The general ledger accounts used by Top Dog, Inc. are as follows - note each account type:

Equipment (A) Rent Expense (E) Prepaid Insurance (A) Supplies Expense (E) Accounts Payable (L) Sales (R) Unearned (Deferred) Revenue (L) Accumulated Depreciation - Equipment (CA) Cash (A) Cost of Goods Sold (E) Salaries and Wages Payable (L) Insurance Expense (E) Accrued Expenses Payable Salaries and Wages Expense(E) (L) Depreciation Expense (E) Bank Charges(E) Inventory (A) Supplies (on Hand) (A) Common Stock (EQ) Retained Earnings (EQ)