Post all transactions entered in a general journal to T-account acting as ledger.
The transactions are described in the transaction handout (attachment: Accounting Project-C). You must apply what you learned from Study Guide 2 to select the proper accounts and to debit and credit them correctly. Note that there are 11 job cost transactions (1-11), 2 revenue transaction (12 and 13), and 10 general ledger transaction (14 through 22 with 22 yielding 23 transactions adjusting for over and under billing).
For all the real accounts: when you post transaction(s) to each real accounts ledger, you need to start with its corresponding beginning balance found in the initial balance sheet in the attachment of Accounting Project-B.
o Prepare income statements using the Percent of Completion method.
o Prepare a balance sheet using the Percent of Completion method. 
Holder Construction Balance Sheet as of X/31/XX Assets Liabilities Current Assets Cash Marketable Securities Accounts Receivable Retainage Receivable Other Receivable Supplies Inventory Material Inventory Underbilling 1,346,521 63,251 1,250,412 217,580 79,658 6,521 69,515 166,412 Current Liabilities Accounts Payable Notes Payable- Current Subcontract Payable Retainage Payable Wages Payable Overbilling 1,396,647 440,268 82,000 47,030 57,700 266,799 Long Term Debt Notes Payable- Long Term Debt 296,150 Net Worth Long Term Assets Land Building Less Accumulated Depr. (Building) Equipment Less Accumulated Depr (Equip) Long Term Investments 341,683 250,000 (200,000) 940,967 (720,515) 62,298 Common Stock Paid-in-Capital Retained Earnings 57,758 63,493 1,166,458 Total Assets 3,874,303 Total Liabilities & Net Worth 3,874,303 Notes: Accounting Method Full Accrual method Marketable Securities: Short-term bonds and stocks owned by the company for investment purposes Supplies Inventories: Inventories that support head office's normal operations Materials Inventories: Inventories that support all divisions operations, a large majority is support for Over-Counter Sales division Transactions for the Month In the month, Holder Construction will be working on the following projects: $24,000,000 Division: New Work Lee Hall Addition Contract Amount: Estimated Cost: Labor Material Subcontracts Equipment Job Overhead Total $12,052,410 $9,652,140 $321,450 $174,510 $117,580 $22,318,090 Start Date: This month $1,200,000 Division: Service Rebar Installation Contract Amount: Estimated Cost: Labor Material Equipment Total $800,000 $150,000 $150,000 $1,100,000 Start Date: This month Transactions for the month are as follows: Job Cost Information 1. Payroll disbursement for Lee Hall Addition for $251,190. 2. Labor wages incurred but not paid for Lee Hall Addition, $251,190. 3. Purchased materials for Lee Hall Addition, $276,500 on account, and $250,000 in cash. 4. Used materials from inventories for Lee Hall Addition, $151,000. 5. Received subcontractor's bill for Lee Hall Addition, $50,000, 10% Retainage 6. Incur fees for permits for Lee Hall Addition, $45,000, paid in cash. 7. Equipment rental for Lee Hall Addition, $25,000, paid in cash. 8. Payroll disbursement for Rebar Installation, $250,000 9. Labor wages incurred but not paid for Rebar Installation, $100,000. 10. Materials used from inventories for Rebar Installation, $75,000. 11. Equipment rental for Rebar Installation, $50,000 in cash. Billing Information 12. Progress billing sent for Lee Hall Addition, $1,705,000, 10% Retainage 13. Progress billings sent out for Rebar Install, $500,000, 10% Retainage. General Ledger Information 14. Paid cash to materials vendor for outstanding accounts, $150,000. 15. Purchased materials for inventories $ 730,000 on account. 16. Purchased supplies for inventories $20,000 in cash. 17. Salary disbursement $120,000 18. Depreciation of building $20,000 and Depreciation of equipment $100,000. 19. Office wages incurred but not paid $15,750. 20. Interest payment in cash $10,000. 21. Labor wages disbursement for delivery of materials to all projects $48,000, of which $19,500 for accrued labor. 22. Rent $12.000, Utilities $10,000, and Advertising $10,000 paid in cash 23. Adjust revenue for over-billing and under-billing for Month. (Note: Separate calculation of revenue compared with billings for Project Lee Hall Addition, and Service Rebar Installation to determine over and under-billing for each project. Round off percent complete to the nearest whole number. Example: 6.49% round to 6% and 6.5% round to 7%. If the billing is greater than the earned revenue the job has been over-billed. If the billing is less than the earned revenue the job has been under-billed.) Holder Construction Balance Sheet as of X/31/XX Assets Liabilities Current Assets Cash Marketable Securities Accounts Receivable Retainage Receivable Other Receivable Supplies Inventory Material Inventory Underbilling 1,346,521 63,251 1,250,412 217,580 79,658 6,521 69,515 166,412 Current Liabilities Accounts Payable Notes Payable- Current Subcontract Payable Retainage Payable Wages Payable Overbilling 1,396,647 440,268 82,000 47,030 57,700 266,799 Long Term Debt Notes Payable- Long Term Debt 296,150 Net Worth Long Term Assets Land Building Less Accumulated Depr. (Building) Equipment Less Accumulated Depr (Equip) Long Term Investments 341,683 250,000 (200,000) 940,967 (720,515) 62,298 Common Stock Paid-in-Capital Retained Earnings 57,758 63,493 1,166,458 Total Assets 3,874,303 Total Liabilities & Net Worth 3,874,303 Notes: Accounting Method Full Accrual method Marketable Securities: Short-term bonds and stocks owned by the company for investment purposes Supplies Inventories: Inventories that support head office's normal operations Materials Inventories: Inventories that support all divisions operations, a large majority is support for Over-Counter Sales division Transactions for the Month In the month, Holder Construction will be working on the following projects: $24,000,000 Division: New Work Lee Hall Addition Contract Amount: Estimated Cost: Labor Material Subcontracts Equipment Job Overhead Total $12,052,410 $9,652,140 $321,450 $174,510 $117,580 $22,318,090 Start Date: This month $1,200,000 Division: Service Rebar Installation Contract Amount: Estimated Cost: Labor Material Equipment Total $800,000 $150,000 $150,000 $1,100,000 Start Date: This month Transactions for the month are as follows: Job Cost Information 1. Payroll disbursement for Lee Hall Addition for $251,190. 2. Labor wages incurred but not paid for Lee Hall Addition, $251,190. 3. Purchased materials for Lee Hall Addition, $276,500 on account, and $250,000 in cash. 4. Used materials from inventories for Lee Hall Addition, $151,000. 5. Received subcontractor's bill for Lee Hall Addition, $50,000, 10% Retainage 6. Incur fees for permits for Lee Hall Addition, $45,000, paid in cash. 7. Equipment rental for Lee Hall Addition, $25,000, paid in cash. 8. Payroll disbursement for Rebar Installation, $250,000 9. Labor wages incurred but not paid for Rebar Installation, $100,000. 10. Materials used from inventories for Rebar Installation, $75,000. 11. Equipment rental for Rebar Installation, $50,000 in cash. Billing Information 12. Progress billing sent for Lee Hall Addition, $1,705,000, 10% Retainage 13. Progress billings sent out for Rebar Install, $500,000, 10% Retainage. General Ledger Information 14. Paid cash to materials vendor for outstanding accounts, $150,000. 15. Purchased materials for inventories $ 730,000 on account. 16. Purchased supplies for inventories $20,000 in cash. 17. Salary disbursement $120,000 18. Depreciation of building $20,000 and Depreciation of equipment $100,000. 19. Office wages incurred but not paid $15,750. 20. Interest payment in cash $10,000. 21. Labor wages disbursement for delivery of materials to all projects $48,000, of which $19,500 for accrued labor. 22. Rent $12.000, Utilities $10,000, and Advertising $10,000 paid in cash 23. Adjust revenue for over-billing and under-billing for Month. (Note: Separate calculation of revenue compared with billings for Project Lee Hall Addition, and Service Rebar Installation to determine over and under-billing for each project. Round off percent complete to the nearest whole number. Example: 6.49% round to 6% and 6.5% round to 7%. If the billing is greater than the earned revenue the job has been over-billed. If the billing is less than the earned revenue the job has been under-billed.)
