please help me fill out this worksheet using these pages
Byte of Accounting The remaining ice equipment, 564,100,00, was purchased last January and has an estimated useful We of 10 years with a salvage value of SJ,100,00, Calculate the depreciation for one year using the raight line method of depreciation Ariew of Byte's payroll records show that unpaid salaries in the amount of $1,200.00 are owed by Byte for three day, December 28 - JI. (gore payroll taxes at this time.) Bytes CPA indicated that 5.00% of the outstanding Accounts Receivable would be a good estimate of the uncollectable accounts. Record the bad debt expense using the adjusted allowance method. 48 Byte's income taxes are to be computed at the rate of 25% of net income before taxes. IMPORTANT NOTE: Since the income taxes are a percent of the net income, you will want to prepare the income Statement through the Net Income Before Tax line He your adjusting journal entries to the general ledger and prepare the Adjusted Trial Balance as of Dember 31, A 8 Using the Adjustel Trial Balance as of December 31 as a reference, prepare the income Statement, Statement of Sockholder's Equity, Balance Sheef and Statement of Cash Flows. Byte of Accounting Closing Entries: Record the closing entries to Retained Earnings in the general journal and post to the general ledger. 50. Close the revenue account 51. Close the expense accounts 52 Close the dividend account A Prepare the Post Closing Trial Balance B. Complete the Ratio Analysis Current Ratio Receivable Turnover Average Collection Period Inventory Turnover Average Days in Inventory Gross Profit Rate Profit Margin Earnings per Share (EPS) Byte of Accounting Adjusting Putries. Record the following adjusting entries in the general journal and post to the goeral ledger Round to be derimal places, Round(number or formula,2). 37 The cash received and deposited from customers was $14,400.00 not the $14,375.00 orignially recorded. 34 A physical inventory showed that only $878.00 worth of supplies remained on hand as of December 31. 30. The interest on the note for the Ricoh Color Copier will be paid every six months. Record the December accrued interest on the note payable for the Ricoh purchased on December 1. 40. Record a journal entry to reflect that one-half month's insurance has expired. 41. A review of Byte's emails indicated that they received an invoice in the amout of $4,065.00 for computers that were drop shipped and received on December 28. 42 Bill various miscellaneous customers 200% of the cost of the computers that were drop shipped and received on December 28. 43. Record the cost of the computers that were sold on December 28. 44. The computer equipment on the Post Closing Trial Balance from last year was purchased last January for $20,000.00. It is being depreciated based upon an estimated useful life of 5.0 years with no salvage value. Calculate the depreciation for one year using the straight-line method of depreciation. 45. The Ricoh Color Copier, part of the office equipment, is estimated to be able to make 480,000 copies and have a salvage value of $500.00. During December, 9,500 copies were made. Calculate the depreciation for one year using the activity-based method of depreciation. Byte December 31: Check # 5367 was issued on June 30 for the timely interest payment for the bond. Record the entry using the straight-line method. This entry was never recorded. 35 36 December 31: Check # 6011 was issued on December 31st for the timely interest payment for the bond. Record the entry using the straight-line method. A. Post your journal entries to the general ledger and prepare the Unadjusted Trial Balance as of December 31st B. Make sure your work is correcr by uploading your file. 22 yte December 22: Byte received 17 Super Toners purchased for resale to customers. The cost was SJ1.00 per toner. The tovole number was 8988, and payment is required in 30 days. December 23, Byte received $21,075.00 from customers billed when they received delivery. 23 24 December 23: Byte received an emailed invoice in the amount of $7,350.00 for computers that were drop shipped and received today, 25 December 28: Byte billed various miscellaneous local customers $14,700.00 for computers that were delivered today 20 December 28: Record the cost of the computers that were sold today. 27 December 28: Byte paid the bill that was previously received and recorded from Computer Parts and Repairs Co with Check 86007. The invoice number was 43254. 28 December 29: Byte received $14,375.00 from customers billed when they received delivery. 29 December 29: Byte received a bill for the amount of 5680.00 from AT&T for the telephone and internet access. The involce number was 784537. 30. December 30: Check W 6008 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 31. December 30: Check 6009 was issued to pay a cash dividend of 5.25 per share to Lauryn, a shareholder of Byte. 32 December 30: Check w 6010 was issued to pay a cash dividend of S.25 per share to Zachary Church, a shareholder of Byte. December 30: Byte received a $9,215.00 check from Church Corporation for merchandise ordered which will be delivered in January Christian Wolff, Byte's CPA, indicated that the previous bookkeeper was not very good. The CPA prepared a bank reconciliation and discovered that the bookkeeper neglected to record the bond issued on January 1 of this year and neglected the recording of the interest payment on June 30. Since Byte does not make entries into "closed" periods, record the entries as of December 31. December 31: On January 1, Byte received $128,926.80 when they issued a S120,000.00, 7%, ten- year bond. Interest is to be paid semiannually on June 30 and December 31. The market rate was 6%. This entry was never recorded. 00 07 08 Byte of Accounting December 10: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12100, December 11: Check #6002 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) December 14 Check # 6003 was issued to purchase a one-year insurance policy covering its computer equipment. The cost of the insurance is 56,456.00 and paid to Seth's Insurance. The effective date of the policy was December 16 and the invoice number was 2387. December 15: Byte purchased $700.00 of supplies on account. December 16: Byte received 10 Super Toners purchased for resale to customers. The cost was $29.00 per toner. The invoice number was 7959, and payment is required in 30 days. December 17: Byte was informed that Mr. Madoff who has an account with the company will never pay the $534.00 he owes. Record the transaction to write off Mr. Madoff's accounts receivable account using the allowance method. 00 10 11. 12 December 17: Byte received invoice number 26354 in the amount of $700.00 from the local newspaper for advertising, 13. December 18: Check 6004 was issued to pay Accounts Payable in the amount of $820.00. 14. December 19: Byte sold 14 Super toners to a customer on account for $52.00 each. The sales order number was 12101. 15. December 19: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12101. 16. December 21: Byte received an emailed invoice in the amount of $6,100.00 for computers that were drop shipped and received today. 17. December 21: Byte billed various miscellaneous local customers $12,200.00 for computers that were delivered today. 18. December 21: Record the cost of the computers that were sold today. 19. December 22: Check# 6005 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 20. December 22: Byte received a bill for $1,515.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 21. December 22: Check # 6006 was issued to pay the advertising bill that was previously received and recorded from the local newspaper for advertising, invoice number 26354. Byte of Accounting The lyte of Accounting Corporation (Byte) sells turn-key computer systems to midsize businesses on account, Byte was started by Lauryn on January 1 of last year when she was issued 2,200 shares of stock Business Operations: Clients' orders are drop shipped directly from the suppliers to the client's location. Upon delivery of the hardware, Byte is notified and Byte's employees install, modify and test the new items. Significant Accounting Policies: The business has adopted the following accounting policies: . Items that cost less than $2,000.00 are expensed, . Inventory is valued using a perpetual inventory system. Specific identification is used to determine the cost of computers sold since the units are drop shipped directly to the clients. In response to customers, Byte will now start to inventory and install Super Toners at our clients' locations. Perpetual FIFO will be used for the Super Toners. The allowance method is used to account for bad debts. . Rent payments are expensed in the period in which they are incurred. When calculating depreciation, assets purchased during a month are treated as if purchased on the first day of the month. Transaction Description of transaction 01. December 1: Zachary Church, a new investor, made an investment in Byte by purchasing 2,700 shares of its common stock paying $86,400.00 in cash. The par value of the common stock was $22.00 per share. 02. December 3: Byte purchased a Ricoh Color Copier for $5,100.00. The invoice number was 61298. Byte paid 10% in cash and signed a three-year note for the remaining balance. Interest at a rate of 6% a year will be paid semiannually. 03. December 3: Check # 6001 for $2,600.00 was issued by Byte to pay for rent of the office space for December December 3: Byte received 19 Super Toners for resale to customers at a cost of $22.00 per toner. The invoice number was 7249, and requires payment within 30 days. Allow 04. dat 05. December 10: Byte sold 14 Super Toners to a customer on account for $52.00 each. The Sales order number was 12100 A Byte of Accounting, Inc. Trial Balance As of November 30, 2020 Unad usted Trial Balance Debit Credit 63.775.00 20,000.00 $ 600.00 2.000.00 2700 00 64,100.00 Account Number Name ||| 11170 Accounts Receivable Aance for Doubt Accounts 1130 Prepaid insurance 1140 Prepaid Rent 1150 Cuppies 1100 Inventory 210 Orice Equipment 1212 Accum Depotice Equip 1310 Computer Equipment 1312 Accm Depe Computer Equip 2101 Accounts Payable 2102 Unearned Revenue 2103 interest Payable 2105 Batanes and Wages Payable 2100 Income Taxes Payable 2202 Notes Payable 6,100.00 20 000.00 4,000.00 3,665.00 A Byte of Accounting, Inc. Post Closing Trial Balance As of December 31, 2019 Credit Debit 41.630.00 30,000.00 800.00 2,800.00 900.00 84 100.00 6,100.00 Account Number Name 1110 Cash 1120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1140 Prepaid Rent 1150 Supplies 1211 Office Equipment 1212 Accum. Depr.-Office Equip 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip 2101 Accounts Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 3100 Common Stock 3120 Paid-In Capital in Excess of Par 3200 Retained Earnings Total 20,000.00 4,000.00 47,330.00 800.00 6,000.00 48,400.00 22,000.00 24,000.00 159,230.00 159.230.00 A Byte of Accounting, Inc. Worksheet For Period Ending December 31, 2020 Uradjusted Trial Balance Debt Credit 63,775.00 20000700 60000 Aciusting Entries Debit Credit - Income Statement Debit Credit Balance sheet Dott Cred Agusted Trial Balance Debit Credit 63,775 00 26,000.00 000.00 - - 2.800.00 2.700 00 2760000 2.700.00 . 6410000 64.700.00 6, 10000 - 6.100.00 Account Number Name 1110 Cash 120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1130 Prepaid Insurance 1140 Prepaid Rent Lo Supplies 1100 Inventory 1210 Oce Equipment 1212 Acum Depronice Equip 1311 Computer Equipment 1312Accum Depre-computer Equip 21011 Accounts Payable 2102 Ureamed Revenue 2103 interest Payable E1100 laris and Wages Payable 2100 income To Payabia 2202 Not Payable 2210 Land Payabi 2212 Premium on blond Payable 100 Common Stock 3120 Paid in Capital in Excess Par 3.200 cand aming 300 Dividende 20.000700 - 2000000 4,000.00 385.00 4000.00 3365.00 28.400700 22.00000 20.00 40,000 22 000.00 246000 - - - 420 000 00 20 000 00 266000 B6 000 DO 168000 156000 26.600.00 8 000.00 6000 13.040.00 - 100 de BOLO Randspense 1030 Geweepers SONO Ang Ep 5040 Main Repairs Expert 20 ppp 500 5100 5110 Depreciation 5120 Bar De 510 TL 5150 5500 Good 210 60000 5026 2076008 TOTAL INET INCOME Byte of Accounting The remaining ice equipment, 564,100,00, was purchased last January and has an estimated useful We of 10 years with a salvage value of SJ,100,00, Calculate the depreciation for one year using the raight line method of depreciation Ariew of Byte's payroll records show that unpaid salaries in the amount of $1,200.00 are owed by Byte for three day, December 28 - JI. (gore payroll taxes at this time.) Bytes CPA indicated that 5.00% of the outstanding Accounts Receivable would be a good estimate of the uncollectable accounts. Record the bad debt expense using the adjusted allowance method. 48 Byte's income taxes are to be computed at the rate of 25% of net income before taxes. IMPORTANT NOTE: Since the income taxes are a percent of the net income, you will want to prepare the income Statement through the Net Income Before Tax line He your adjusting journal entries to the general ledger and prepare the Adjusted Trial Balance as of Dember 31, A 8 Using the Adjustel Trial Balance as of December 31 as a reference, prepare the income Statement, Statement of Sockholder's Equity, Balance Sheef and Statement of Cash Flows. Byte of Accounting Closing Entries: Record the closing entries to Retained Earnings in the general journal and post to the general ledger. 50. Close the revenue account 51. Close the expense accounts 52 Close the dividend account A Prepare the Post Closing Trial Balance B. Complete the Ratio Analysis Current Ratio Receivable Turnover Average Collection Period Inventory Turnover Average Days in Inventory Gross Profit Rate Profit Margin Earnings per Share (EPS) Byte of Accounting Adjusting Putries. Record the following adjusting entries in the general journal and post to the goeral ledger Round to be derimal places, Round(number or formula,2). 37 The cash received and deposited from customers was $14,400.00 not the $14,375.00 orignially recorded. 34 A physical inventory showed that only $878.00 worth of supplies remained on hand as of December 31. 30. The interest on the note for the Ricoh Color Copier will be paid every six months. Record the December accrued interest on the note payable for the Ricoh purchased on December 1. 40. Record a journal entry to reflect that one-half month's insurance has expired. 41. A review of Byte's emails indicated that they received an invoice in the amout of $4,065.00 for computers that were drop shipped and received on December 28. 42 Bill various miscellaneous customers 200% of the cost of the computers that were drop shipped and received on December 28. 43. Record the cost of the computers that were sold on December 28. 44. The computer equipment on the Post Closing Trial Balance from last year was purchased last January for $20,000.00. It is being depreciated based upon an estimated useful life of 5.0 years with no salvage value. Calculate the depreciation for one year using the straight-line method of depreciation. 45. The Ricoh Color Copier, part of the office equipment, is estimated to be able to make 480,000 copies and have a salvage value of $500.00. During December, 9,500 copies were made. Calculate the depreciation for one year using the activity-based method of depreciation. Byte December 31: Check # 5367 was issued on June 30 for the timely interest payment for the bond. Record the entry using the straight-line method. This entry was never recorded. 35 36 December 31: Check # 6011 was issued on December 31st for the timely interest payment for the bond. Record the entry using the straight-line method. A. Post your journal entries to the general ledger and prepare the Unadjusted Trial Balance as of December 31st B. Make sure your work is correcr by uploading your file. 22 yte December 22: Byte received 17 Super Toners purchased for resale to customers. The cost was SJ1.00 per toner. The tovole number was 8988, and payment is required in 30 days. December 23, Byte received $21,075.00 from customers billed when they received delivery. 23 24 December 23: Byte received an emailed invoice in the amount of $7,350.00 for computers that were drop shipped and received today, 25 December 28: Byte billed various miscellaneous local customers $14,700.00 for computers that were delivered today 20 December 28: Record the cost of the computers that were sold today. 27 December 28: Byte paid the bill that was previously received and recorded from Computer Parts and Repairs Co with Check 86007. The invoice number was 43254. 28 December 29: Byte received $14,375.00 from customers billed when they received delivery. 29 December 29: Byte received a bill for the amount of 5680.00 from AT&T for the telephone and internet access. The involce number was 784537. 30. December 30: Check W 6008 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 31. December 30: Check 6009 was issued to pay a cash dividend of 5.25 per share to Lauryn, a shareholder of Byte. 32 December 30: Check w 6010 was issued to pay a cash dividend of S.25 per share to Zachary Church, a shareholder of Byte. December 30: Byte received a $9,215.00 check from Church Corporation for merchandise ordered which will be delivered in January Christian Wolff, Byte's CPA, indicated that the previous bookkeeper was not very good. The CPA prepared a bank reconciliation and discovered that the bookkeeper neglected to record the bond issued on January 1 of this year and neglected the recording of the interest payment on June 30. Since Byte does not make entries into "closed" periods, record the entries as of December 31. December 31: On January 1, Byte received $128,926.80 when they issued a S120,000.00, 7%, ten- year bond. Interest is to be paid semiannually on June 30 and December 31. The market rate was 6%. This entry was never recorded. 00 07 08 Byte of Accounting December 10: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12100, December 11: Check #6002 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) December 14 Check # 6003 was issued to purchase a one-year insurance policy covering its computer equipment. The cost of the insurance is 56,456.00 and paid to Seth's Insurance. The effective date of the policy was December 16 and the invoice number was 2387. December 15: Byte purchased $700.00 of supplies on account. December 16: Byte received 10 Super Toners purchased for resale to customers. The cost was $29.00 per toner. The invoice number was 7959, and payment is required in 30 days. December 17: Byte was informed that Mr. Madoff who has an account with the company will never pay the $534.00 he owes. Record the transaction to write off Mr. Madoff's accounts receivable account using the allowance method. 00 10 11. 12 December 17: Byte received invoice number 26354 in the amount of $700.00 from the local newspaper for advertising, 13. December 18: Check 6004 was issued to pay Accounts Payable in the amount of $820.00. 14. December 19: Byte sold 14 Super toners to a customer on account for $52.00 each. The sales order number was 12101. 15. December 19: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12101. 16. December 21: Byte received an emailed invoice in the amount of $6,100.00 for computers that were drop shipped and received today. 17. December 21: Byte billed various miscellaneous local customers $12,200.00 for computers that were delivered today. 18. December 21: Record the cost of the computers that were sold today. 19. December 22: Check# 6005 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 20. December 22: Byte received a bill for $1,515.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 21. December 22: Check # 6006 was issued to pay the advertising bill that was previously received and recorded from the local newspaper for advertising, invoice number 26354. Byte of Accounting The lyte of Accounting Corporation (Byte) sells turn-key computer systems to midsize businesses on account, Byte was started by Lauryn on January 1 of last year when she was issued 2,200 shares of stock Business Operations: Clients' orders are drop shipped directly from the suppliers to the client's location. Upon delivery of the hardware, Byte is notified and Byte's employees install, modify and test the new items. Significant Accounting Policies: The business has adopted the following accounting policies: . Items that cost less than $2,000.00 are expensed, . Inventory is valued using a perpetual inventory system. Specific identification is used to determine the cost of computers sold since the units are drop shipped directly to the clients. In response to customers, Byte will now start to inventory and install Super Toners at our clients' locations. Perpetual FIFO will be used for the Super Toners. The allowance method is used to account for bad debts. . Rent payments are expensed in the period in which they are incurred. When calculating depreciation, assets purchased during a month are treated as if purchased on the first day of the month. Transaction Description of transaction 01. December 1: Zachary Church, a new investor, made an investment in Byte by purchasing 2,700 shares of its common stock paying $86,400.00 in cash. The par value of the common stock was $22.00 per share. 02. December 3: Byte purchased a Ricoh Color Copier for $5,100.00. The invoice number was 61298. Byte paid 10% in cash and signed a three-year note for the remaining balance. Interest at a rate of 6% a year will be paid semiannually. 03. December 3: Check # 6001 for $2,600.00 was issued by Byte to pay for rent of the office space for December December 3: Byte received 19 Super Toners for resale to customers at a cost of $22.00 per toner. The invoice number was 7249, and requires payment within 30 days. Allow 04. dat 05. December 10: Byte sold 14 Super Toners to a customer on account for $52.00 each. The Sales order number was 12100 A Byte of Accounting, Inc. Trial Balance As of November 30, 2020 Unad usted Trial Balance Debit Credit 63.775.00 20,000.00 $ 600.00 2.000.00 2700 00 64,100.00 Account Number Name ||| 11170 Accounts Receivable Aance for Doubt Accounts 1130 Prepaid insurance 1140 Prepaid Rent 1150 Cuppies 1100 Inventory 210 Orice Equipment 1212 Accum Depotice Equip 1310 Computer Equipment 1312 Accm Depe Computer Equip 2101 Accounts Payable 2102 Unearned Revenue 2103 interest Payable 2105 Batanes and Wages Payable 2100 Income Taxes Payable 2202 Notes Payable 6,100.00 20 000.00 4,000.00 3,665.00 A Byte of Accounting, Inc. Post Closing Trial Balance As of December 31, 2019 Credit Debit 41.630.00 30,000.00 800.00 2,800.00 900.00 84 100.00 6,100.00 Account Number Name 1110 Cash 1120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1140 Prepaid Rent 1150 Supplies 1211 Office Equipment 1212 Accum. Depr.-Office Equip 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip 2101 Accounts Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 3100 Common Stock 3120 Paid-In Capital in Excess of Par 3200 Retained Earnings Total 20,000.00 4,000.00 47,330.00 800.00 6,000.00 48,400.00 22,000.00 24,000.00 159,230.00 159.230.00 A Byte of Accounting, Inc. Worksheet For Period Ending December 31, 2020 Uradjusted Trial Balance Debt Credit 63,775.00 20000700 60000 Aciusting Entries Debit Credit - Income Statement Debit Credit Balance sheet Dott Cred Agusted Trial Balance Debit Credit 63,775 00 26,000.00 000.00 - - 2.800.00 2.700 00 2760000 2.700.00 . 6410000 64.700.00 6, 10000 - 6.100.00 Account Number Name 1110 Cash 120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1130 Prepaid Insurance 1140 Prepaid Rent Lo Supplies 1100 Inventory 1210 Oce Equipment 1212 Acum Depronice Equip 1311 Computer Equipment 1312Accum Depre-computer Equip 21011 Accounts Payable 2102 Ureamed Revenue 2103 interest Payable E1100 laris and Wages Payable 2100 income To Payabia 2202 Not Payable 2210 Land Payabi 2212 Premium on blond Payable 100 Common Stock 3120 Paid in Capital in Excess Par 3.200 cand aming 300 Dividende 20.000700 - 2000000 4,000.00 385.00 4000.00 3365.00 28.400700 22.00000 20.00 40,000 22 000.00 246000 - - - 420 000 00 20 000 00 266000 B6 000 DO 168000 156000 26.600.00 8 000.00 6000 13.040.00 - 100 de BOLO Randspense 1030 Geweepers SONO Ang Ep 5040 Main Repairs Expert 20 ppp 500 5100 5110 Depreciation 5120 Bar De 510 TL 5150 5500 Good 210 60000 5026 2076008 TOTAL INET INCOME
