Project 2 Northern Sports In Project 2, you complete the Computer Accounting Cycle for Northern Sports, a merchandising business. Northern Sports sells mountain bicycles, road bicycles, and children's bicycles. It is organized as a corporation. You purchased Northern Sports in December 2016. It is the purpose of Project 2 to review what you have learned in Chapters 12 through 15, Part 3 of Sage 50 for Merchandising Businesses. Accounts payable, accounts receivable, payroll, inventory transactions, and account reconciliation are included in this project. Vendors offer Northern Sports a purchase discount of 2% 15, Net 30 days. Northern Sports is located in OR where there is no sales tax. At the end of Project 2, a checklist is shown listing reports that you should have. The step-by-step instructions also remind you to print reports and back up. Step 1: Start Sage 50. Step 2: If a company opens, from the menu bar, select File > New Company for keeping another company open > click Next> (Or, from the startup window, select Create a new Company.) Step 3: Complete the following fields. Company Name: Northern Sports (your last name before company) Address Line 1: 89 Mall Drive, Store 18 City, State, Zip: Eugene, OR 97401 Country: USA Telephone: 541-555-4422 Fax: 541-555-4424 Business Type: Corporation opeel McGraw-Hill Education, Computer Accounting with Sage 50 2017, 20e614 Project 2: Northern Sports Student Name Date CHECK YOUR PROGRESS: PROJECT 2, Northern Sports 1 . What are the total debit and credit balances on your General Ledger Trial Balance? 2. What are the total assets on January 31? 3. What is the balance in the Federal Bank account on January 31? . How much are total revenues as of January 31? 5 . How much net income (net loss) is reported on January 31? 6. What is the balance in the Inventory-Mountain Bikes account on January 31? 7. What is the balance in the Inventory-Road Bikes account on January 31? 8. What is the balance in the Inventory-Children's Bikes account on January 31? moreus 9. What is the balance in the Short-Term Notes Payable account on January 31? 10. What is the balance in the Common Stock account on January 31? 11. What are the total expenses reported on January 31? 12. Were any Accounts Payable incurred during the month of January? (Circle your answer.) YES NO Balance Sheet. Proprie Statement, Statemer of Noothera Sports CofAAUCE VL GUTH, A HiRee Be598 Project 2: Northern Sports Federal Employer ID: 88-1841463 State Employer ID: 32-3178924 State Unemployment ID: 323142-8 Web Site: www.northernsports.com E-mail: mail @northernsports.com Step 4: Accept the default for Use a sample business type that closely matches your company. Step 5: Scroll down the list. In the Detailed types list, select Retail Company. (Hint: Account numbers have 5 digits.) Step 6: Accept the defaults for Accrual accounting, Real Time posting, and 12 monthly accounting periods. Step 7 : The Choose the first period of your fiscal year window appears. If necessary, select 2017 as the year. Step 8: At the You are ready to create your company window, click Finish Close the Sage Advisor Getting Started window. Step 9: Change the accounting period to 01-Jan 01, 2017 to Jan 31, 2017- Period 1 - 01/01/17-01/31/17 d unam well now General Ledger so masqmoo zerdion gaigood jolt 1. Delete accounts: 10000 Petty Cash 10100 Cash on Hand 10300 Payroll Checking Accountmetrokoman engine 11500 Allowance for Doubtful Account 14200 Notes Receivable-Current 15400 Leasehold Improvements 15500 Building 15600 Building Improvements 16900 Land 17400 Accum. Depreciation - Leasehold 17500 Accum. Depreciation - Building 17600 Accum. Depreciation - Bldg Imp McGraw-Hill Education, Computer Accounting with Sage 2017, 20Project 2: Northern Sports 599 19000 Deposits 19200 Note Receivable-Noncurrent 19900 Other Noncurrent Assets 23000 24200 Accrued Expenses 60500 Current Portion Long-Term Debt 63000 Amortization Expense 63500 Charitable Contributions Exp 65000 Commissions and Fees Exp 66000 Employee Benefit Programs Exp 68000 Gifts Expense 89000 Laundry and Cleaning Exp Other Expense Change account: 10200 Regular Checking Account to Federal Bank 10400 Savings Account to West Savings & Loan 12000 Product Inventory to Inventory-Mountain Bikes 14000 Prepaid Expenses to Prepaid Insurance 23300 Deductions Payable to Medicare Employee Taxes Payabl 24000 Other Taxes Payable to Soc. Sec. Employee Taxes Payab 24100 Employee Benefits Payable to Soc. Sec. Employer Taxes Payab 24800 Other Current Liabilities to Short-Term Notes Payable 27000 Notes Payable-Noncurrent to Long-Term Notes Payable 40000 Sales-Merchandise to Sales-Mountain Bikes 50000 Cost of Goods Sold to Cost of Sales-Mountain Bikes 72500 Penalties and Fines Exp to FUTA Expense 73000 Other Taxes to SUTA Expense 74000 Rent or Lease Expense to Rent-Mall Space Add accounts: 12020 Inventory-Road Bikes Inventory 12030 Inventory-Children's Bikes Inventory 23350 Medicare Employer Taxes Payabl Other Current Liabilities McGraw-Hill Education, Computer Accounting with Sage 50 2017, 20e600 Project 2: Northern Sports 40020 Sales-Road Bikes Income 40030 Sales-Children's Bikes Income 50020 Cost of Sales-Road Bikes Cost of Sales 50030 Cost of Sales-Children's Bikes Cost of Sales 73200 Soc. Sec. Expense Expenses 73300 Medicare Expense Expenses 73350 Local Payroll Taxes Expense Expenses 2. Back up. Use Northern Sports Chart of Accounts as the file name. 3. Record chart of accounts beginning balances as of December 31, 2016 Northern Sports, Balance Sheet, January 1, 2017 ASSETS Current Assets Federal Bank $ 87,400.00 West Savings & Loan 15,000.00 Inventory-Mountain Bikes 6,000.00 Inventory-Road Bikes 8,250.00 Inventory-Children's Bikes 4,050.00 Prepaid Insurance 2,400.00 Total Current Assets $123,100.00 Property and Equipment: Furniture and Fixtures 6,000.00 Total Property and Equipment and Other Assets 6,000.00 Total Assets $129,100.00 LIABILITIES AND STOCKHOLDERS' EQUITY Short-Term Notes Payable 4,000.00 Long-Term Notes Payable 5,500.00 Total Liabilities $9,500.00 Stockholder's Equity: Common Stock 119,600.00 Total Liabilities and Stockholders' Equity $129,100.00 McGraw-Hill Education, Computer Accounting with Sage 2017, 20e604 Project 2: Northern Sports E-mail: robert @eugene.com Web site: www.eugene.com/lanning Sales Info: GL sales acct: 40020, Sales-Road Bikes Customer ID: SWOO3 Name: Sherry Worth Billing address: 214 Main Street, Apt. 3C City, ST, Zip: Eugene, OR 97404 Customer type: LANE Telephone 1: 541-555-4590 Fax: 541-555-2285 E-mail: worth @eugene.com Web site: www.eugene.com/sherry Sales Info: GL sales acct: 40030, Sales-Children's Bikes Payroll 1. Use the following information for the Payroll Setup Wizard: State: OR State Unemployment Rate: 3.4% Payroll Setup Wizard Do you have any localities for Payroll Setup Wizard > Home Taxes which you collect taxes in the Payroll Options Payroll Taxes > Company Information Select the default GL accounts you want to use to track the amount owed (lability) . Pay Types and the expense amount for payroll taxes. state of OR? Yes Benefits Tax liability acct no.: 23400 - Federal Payroll Taxes Payable Pu What as thia? Taxes Tax expense acct no,: 72000 - Payroll Tax Expense what is this? . Local Taxes Setup Complete Local Taxes Do you have any localities for which you collect taxes in the state of OR? Help Cancel Save for Later Back New's McGraw-Hill Education, Computer Accounting with Sage 2017, 20eProject 2: Northern Sports 605 Locality: Tri-Met Paytell Setup Wizard Payroll Setup Wizard Home . Payroll Options total Taxes Company Information Select the totality for whack you contest teres. . Fay Types Benefits Taxes * Setup Complete Help cancel Save for Later Buck 2. For entering employee and employer default information, refer to pages 553- 555. Use the Employee Fields shown below. Field Name GL Account Fed_Income 23400, Federal Payroll Taxes Payable Soc_Sec 24000, Soc. Sec. Employee Taxes Payable MEDICARE 23300, Medicare Employee Taxes Payable St_Income 23600, State Payroll Taxes Payable 3. Use the Company Fields shown below. Field Liability column Expense column Soc_Sec_C 24100, Soc. Sec. Employer 73200, Soc. Sec. Taxes Payable Expense Medicare_C 23350 Medicare 73300, Medicare Employer Taxes Payable Expense Fed_Unemp_C 23500, FUTA Tax 72500, FUTA Payable Expense Loc_Income_C 23800, Local Payroll 73350, Local Payroll Taxes Payable Taxes Expense McGraw-Hill Education, Computer Accounting with Sage 50 2017, 20e