Prepare journal entries to record the December transactions in the General Journal Tab in the excel template file "Accounting Cycle Excel Template.xlsx". Use the following accounts as appropriate:

Cash

Land

Notes Payable

Depreciation Expense

Accounts Receivable

Accumulated Depreciation

Common Stock

Salaries Expense

Supplies

Accounts Payable

Retained Earnings

Supplies Expense

Prepaid Insurance

Deferred Revenue

Dividends

Rent Expense

Equipment

Salaries Payable

Service Revenue

Insurance Expense

1-Dec

Issue common stock in exchange for cash of $9,000.

1-Dec

Paid the premium in advance on a one-year insurance policy, $960.

1-Dec

Purchased Equipment for $4,200 cash.

5-Dec

Purchased office supplies from XYZ Company on account, $400.

15-Dec

Provided services to customers for $8,600 cash.

16-Dec

Provided services to customer ABC Inc. on account, $7,300.

17-Dec

Received $2,400 cash in advance from a customer for services to be provided in January.

22-Dec

Paid $230 to XYZ company for the Dec 5 purchase on account.

23-Dec

Received $3,100 cash from customer, ABC Inc., on account.

25-Dec

Paid the rent for the current month, $1,300.

28-Dec

Paid salaries to employees for work performed from December 1 through December 28, $4,200.

29-Dec

Declared and paid dividends to stockholders $550.

30-Dec

Purchased land by signing 3 year note payable for $12,000.

Step 2:

Post all of the December transactions from the General Journal tab to the T-accounts under the General Ledger/T-Accounts" tab in the excel template file "Accounting Cycle Excel Template.xlsx". Assume there are no beginning balances in any of the accounts.

Step 3:

Compute the balance for each T-account after all of the entries have been posted.

Step 4:

Prepare the unadjusted trial balance on the Unadjusted Trial Balance tab.

1

Provide the total of the credit column from the Unadjusted Trial Balance

Step 5:

Record the December adjusting entries on the General Journal tab.

31-Dec

One months insurance has expired $80.

31-Dec

The remaining inventory of unused office supplies is $90.

31-Dec

The estimated depreciation on equipment is $70.

31-Dec

Salaries incurred from December 29 to December 31 but not yet paid or recorded total $450.

Step 6:

Post all of the adjusting entries to the T-accounts on the T-Accounts tab. Compute the balance for each T-account after all of the adjusting entries have been posted.

Step 7:

Prepare the adjusted trial balance on the Adjusted Trial Balance tab.

Check point 1:

Adjusted trial balance total debit/credit =

$ 39,990