Record the daily transactions if appropriate, (some events may not involve journal entries), as general journal entries into Excel. Also, post these journal entries into t-accounts and then calculate account balances using cell formulas in Excel. Link the t-account balances into your Excel worksheet as a trial balance. You should create links between your spreadsheets to expedite this process and minimize the risk of an error in data entry. Looking over the answer to the sample problem may be helpful in reviewing your Excel skills.

The next step is to record the adjusting entries into the general journal and then post them into the t-accounts and trial balance.

Record closing entries in your trial balance as if this were a year-end close. (Do not enter the closing entries in your t-accounts.)

Events During January

Event Date Description of Event

1	January 3	Employees are paid monthly on the first business day of the month for work done in the previous month. The total payroll for the previous month equals the balance in account 300700. (Ignore payroll taxes for this assignment.) Accounting wrote and distributed the paychecks.
2		GBI received $55,792 in safety product inventory and $37,228 in raw materials from Dallas Bike Basics. This inventory was ordered on December 28. The payment terms for the invoice total are net 10 days. GBI paid the CWX shipping company $550 with a manual check for the shipment of the goods. The bill of lading showed that the safety product inventory arrived in 6 boxes with a total weight of 120 lbs and the raw materials came on a pallet and weighed 100 lbs.
3		Windy City Bikes in Chicago, IL ordered $22,500 of bicycle accessories from GBI. The cost of the accessories (to GBI) is $15,380. The goods were shipped to Windy City immediately via UPS using Windy Citys UPS shipping number. The terms of payment for Windy Citys order are 2/10 net 30 days.
4	January 7	GBI received payment of $16,550 from Northwest Bikes in Seattle, WA for the balance due on their account.
5	January 10	GBIs account on the utility company website is updated at the end of each month when the meter is read. GBI uses this data to accrue the expenses at the end of each month (in this case on December 31st.) This allows recognition of the expense in the correct period. Expenses are usually accrued at the end of the month as Accrued Expenses. GBI paid the December utility bill of in the amount of the applicable account balance via the companys automatic electronic bill pay program.
6		GBIs advertisement in the English language edition of Italian Cycling Journal was published today. This ad was prepaid at the end of July for six months of advertising, August through January, (Five months of advertising have already been used and the appropriate adjusting entry was made at previous year-end.)
7	January 11	The office manager in San Diego ordered $350 of office (operating) supplies from Staples. While on the way back from a delivery, one of the warehouse staff picked up the Staples order and brought it to GBIs office. GBI has an account with Staples and payment terms are net 10. Operating supplies expense is figured at the end of the month determined by the amount of supplies used during the month.
8		GBI ordered $99,618 in raw materials from Space Bike Composites in Houston, TX. Terms of payment to Space Bikes are net 30.
9		GBI received payment from Windy City Bikes for their order from January 3. Windy City paid the invoice amount less the discount for paying within 10 days.
10	January 12	GBI paid the appropriate amount via bank transfer for the inventory order that they received from Dallas Bike Basics January 3.
11	January 13	In order to better track inventory, GBI ordered a bar-coding and tracking system which will be installed and tested by Computer Specialists, Inc. (CSI). The system will allow employees to track inventory using mobile devices and special software which will link into their new computerized accounting system. The barcode system costs $5,895 (including sales tax) and CSI will charge GBI $1,200 for the installation and tests. GBI paid a deposit of $3,200 on the system and the remainder is due and payable when the system is installed. GBI will classify the bar-coding system as Production Machinery, Equipment and Fixtures.
12	January 17	GBI paid an invoice from Lightbulb Accessory Kits for ordered goods that were received on December 20. The amount of the invoice from Lightbulb is $17,025 due net 30.
13		The city of Denver will be hosting a decathlon at the end of February. The event is expected to create demand for high quality bikes. Rocky Mountain Bikes in Denver, CO placed an order with GBI for $128,530 worth of bicycles to be delivered immediately. Rocky Mountain will pay the shipping. The bikes cost GBI $79,941. GBI shipped the order immediately so that Rocky Mountain can start promoting the bikes. Because Rocky Mountain is a good customer, GBI is giving them special terms of net 45 days on this order.
14		GBI received raw materials inventory ordered from Space Bike Composites January 11. Shipping charges of $807 were included in the $100,425 invoice from Space Bike.
15		GBI received notice that Bunkys Bicycle Emporium had declared section 13 bankruptcy which meant GBI would not be able to collect the $1,650 that Bunkys owed them.
16	January 18	GBI received a $91,960 funds transfer from Silicon Valley Bikes in Palo Alto for the balance due on their account.
17	January 19	GBI paid Staples for the office supplies they received January 11.
18		SoCal Bikes in Irvine, CA placed an order for $2,320 in bicycle helmets for a special event in February. The merchandise cost GBI $1,390. SoCal sent a truck to the GBI distribution center in San Diego, CA and picked up the merchandise directly from GBIs warehouse. Terms of payment are net 30. (Dont forget to charge sales tax of 8.75% for this order.)
19	January 24	Beantown Bikes in Boston, MA placed an order with GBI for $28,450 in bicycles. The cost of the bicycles is $18,092. Beantown Bikes is a new customer. Its buyers saw GBIs booth at a trade show. Because Beantown is a new customer, they must either wait until their credit can be approved or pay for the order before GBI will ship the bikes to them.
20	January 25	GBI has been offered the opportunity to advertise in the Bicycle Times online magazine for a reduced price if they pay for three months in advance. In light of the upcoming Tour de France, the advertising is a great opportunity for GBI to get additional recognition. The advertising will start in February. GBI wrote a check for $18,000 for three months of advertising.
21	January 26	GBI received notification from their bank that $28,450 had been transferred to their account from Beantown Bikes, so GBIs warehouse personnel shipped Beantowns order. Beantown will be responsible for paying Fed-X $360 for shipping the order.
22	January 27	The county approved GBIs building plans for their new warehouse. Estimated building costs are $1,050,000 which will be funded via a mortgage from Bank of America. GBI plans to break ground on the new building April 18th of this year.
23		GBI sent a $30,390 check to Night Rider Aluminum Products for an order of bicycle parts GBI received December 30th.
24		Big Apple Bikes in New York City is expanding to another location in New York and needs to stock the new location. GBI received a phone order from Big Apple for $235,315 in bicycles and $107,690 in bicycle accessories and safety gear at special discount prices. The cost of the bicycles in this order is $168,586 and the cost of the accessories is $65,794. Big Apple will have a contract trucking company pick up the order when it is ready. The order is sent to GBIs warehouse for picking and packing which may take a couple days. Payment terms to Big Apple for this order are net 30.
25	January 31	GBI pays sales tax once a quarter via the states electronic filing and payment system. GBI filed its return and paid sales tax for the quarter ending December 31 in the amount of the credit balance in account number 320000 on that date.
26		GBI paid Februarys rent of $4,500 for the office and warehouse space in San Diego.
27		CSI installed and tested the new barcode system. The warehouse manager approved the installation and commented that he thinks it works great. GBI wrote a check to CSI for the full cost less previously paid deposit and gave it to the installer.
28		Big Apples truck arrived at GBIs warehouse and picked up the order from January 27th.

Events During January

Event Date Description of Event

1	January 3	Employees are paid monthly on the first business day of the month for work done in the previous month. The total payroll for the previous month equals the balance in account 300700. (Ignore payroll taxes for this assignment.) Accounting wrote and distributed the paychecks.
2		GBI received $55,792 in safety product inventory and $37,228 in raw materials from Dallas Bike Basics. This inventory was ordered on December 28. The payment terms for the invoice total are net 10 days. GBI paid the CWX shipping company $550 with a manual check for the shipment of the goods. The bill of lading showed that the safety product inventory arrived in 6 boxes with a total weight of 120 lbs and the raw materials came on a pallet and weighed 100 lbs.
3		Windy City Bikes in Chicago, IL ordered $22,500 of bicycle accessories from GBI. The cost of the accessories (to GBI) is $15,380. The goods were shipped to Windy City immediately via UPS using Windy Citys UPS shipping number. The terms of payment for Windy Citys order are 2/10 net 30 days.
4	January 7	GBI received payment of $16,550 from Northwest Bikes in Seattle, WA for the balance due on their account.
5	January 10	GBIs account on the utility company website is updated at the end of each month when the meter is read. GBI uses this data to accrue the expenses at the end of each month (in this case on December 31st.) This allows recognition of the expense in the correct period. Expenses are usually accrued at the end of the month as Accrued Expenses. GBI paid the December utility bill of in the amount of the applicable account balance via the companys automatic electronic bill pay program.
6		GBIs advertisement in the English language edition of Italian Cycling Journal was published today. This ad was prepaid at the end of July for six months of advertising, August through January, (Five months of advertising have already been used and the appropriate adjusting entry was made at previous year-end.)
7	January 11	The office manager in San Diego ordered $350 of office (operating) supplies from Staples. While on the way back from a delivery, one of the warehouse staff picked up the Staples order and brought it to GBIs office. GBI has an account with Staples and payment terms are net 10. Operating supplies expense is figured at the end of the month determined by the amount of supplies used during the month.
8		GBI ordered $99,618 in raw materials from Space Bike Composites in Houston, TX. Terms of payment to Space Bikes are net 30.
9		GBI received payment from Windy City Bikes for their order from January 3. Windy City paid the invoice amount less the discount for paying within 10 days.
10	January 12	GBI paid the appropriate amount via bank transfer for the inventory order that they received from Dallas Bike Basics January 3.
11	January 13	In order to better track inventory, GBI ordered a bar-coding and tracking system which will be installed and tested by Computer Specialists, Inc. (CSI). The system will allow employees to track inventory using mobile devices and special software which will link into their new computerized accounting system. The barcode system costs $5,895 (including sales tax) and CSI will charge GBI $1,200 for the installation and tests. GBI paid a deposit of $3,200 on the system and the remainder is due and payable when the system is installed. GBI will classify the bar-coding system as Production Machinery, Equipment and Fixtures.
12	January 17	GBI paid an invoice from Lightbulb Accessory Kits for ordered goods that were received on December 20. The amount of the invoice from Lightbulb is $17,025 due net 30.
13		The city of Denver will be hosting a decathlon at the end of February. The event is expected to create demand for high quality bikes. Rocky Mountain Bikes in Denver, CO placed an order with GBI for $128,530 worth of bicycles to be delivered immediately. Rocky Mountain will pay the shipping. The bikes cost GBI $79,941. GBI shipped the order immediately so that Rocky Mountain can start promoting the bikes. Because Rocky Mountain is a good customer, GBI is giving them special terms of net 45 days on this order.
14		GBI received raw materials inventory ordered from Space Bike Composites January 11. Shipping charges of $807 were included in the $100,425 invoice from Space Bike.
15		GBI received notice that Bunkys Bicycle Emporium had declared section 13 bankruptcy which meant GBI would not be able to collect the $1,650 that Bunkys owed them.
16	January 18	GBI received a $91,960 funds transfer from Silicon Valley Bikes in Palo Alto for the balance due on their account.
17	January 19	GBI paid Staples for the office supplies they received January 11.
18		SoCal Bikes in Irvine, CA placed an order for $2,320 in bicycle helmets for a special event in February. The merchandise cost GBI $1,390. SoCal sent a truck to the GBI distribution center in San Diego, CA and picked up the merchandise directly from GBIs warehouse. Terms of payment are net 30. (Dont forget to charge sales tax of 8.75% for this order.)
19	January 24	Beantown Bikes in Boston, MA placed an order with GBI for $28,450 in bicycles. The cost of the bicycles is $18,092. Beantown Bikes is a new customer. Its buyers saw GBIs booth at a trade show. Because Beantown is a new customer, they must either wait until their credit can be approved or pay for the order before GBI will ship the bikes to them.
20	January 25	GBI has been offered the opportunity to advertise in the Bicycle Times online magazine for a reduced price if they pay for three months in advance. In light of the upcoming Tour de France, the advertising is a great opportunity for GBI to get additional recognition. The advertising will start in February. GBI wrote a check for $18,000 for three months of advertising.
21	January 26	GBI received notification from their bank that $28,450 had been transferred to their account from Beantown Bikes, so GBIs warehouse personnel shipped Beantowns order. Beantown will be responsible for paying Fed-X $360 for shipping the order.
22	January 27	The county approved GBIs building plans for their new warehouse. Estimated building costs are $1,050,000 which will be funded via a mortgage from Bank of America. GBI plans to break ground on the new building April 18th of this year.
23		GBI sent a $30,390 check to Night Rider Aluminum Products for an order of bicycle parts GBI received December 30th.
24		Big Apple Bikes in New York City is expanding to another location in New York and needs to stock the new location. GBI received a phone order from Big Apple for $235,315 in bicycles and $107,690 in bicycle accessories and safety gear at special discount prices. The cost of the bicycles in this order is $168,586 and the cost of the accessories is $65,794. Big Apple will have a contract trucking company pick up the order when it is ready. The order is sent to GBIs warehouse for picking and packing which may take a couple days. Payment terms to Big Apple for this order are net 30.
25	January 31	GBI pays sales tax once a quarter via the states electronic filing and payment system. GBI filed its return and paid sales tax for the quarter ending December 31 in the amount of the credit balance in account number 320000 on that date.
26		GBI paid Februarys rent of $4,500 for the office and warehouse space in San Diego.
27		CSI installed and tested the new barcode system. The warehouse manager approved the installation and commented that he thinks it works great. GBI wrote a check to CSI for the full cost less previously paid deposit and gave it to the installer.
28		Big Apples truck arrived at GBIs warehouse and picked up the order from January 27th.

Record four spreadsheets of General Journals, T-accounts, Trial Balance, and COA