Santos Marketing Specialists FEBRUARY ONLY

I have added in all the January trial balances, please use as guidance for February.

The following information is needed for the adjusting entries.

• Most of the information you already have from what you did in January so first go through all of last month’s entries to see what entries you might need to make again this month.

Once you have completed the books for January, Maria asks you to do all of the accounting needed for the entire month of February. This means you will start with the day-to-day entries and take the company through the close of February. Make sure you do not miss any of the steps in the accounting cycle.

Here are the day-to-day transactions from February.

2^nd Purchased $2,850 worth of office supplies on credit.

3^rd Paid the interest on the loan which accrued in January.

4^th Received and paid the phone and internet bill.

5^th It is the first Friday after January, all employees are paid.

7^th Had routine maintenance done on the heating system with a cost of $280 the company paid cash for the service.

10^th Filled the gas tanks of both cars on account $68.

14^th Changed the oil in both cars $54.

17^th Received $25,600 in advance for a small marketing campaign which will run from the last week of February – the first three weeks of March.

18^th Paid $6,250 on account.

20^th Received $185,000 on account.

24^th Ordered a larger printer that can print larger, poster sized window advertisements and print smaller pamphlets more quickly and efficiently. The printer should come in mid-March.

27^th Completed travel to visit a client. Total cost of travel was $4,840.

28^th The company signed contracts worth $168,500 in early February. All of the work required on those contracts was completed in February. 40% of the customers paid immediately upon completion. The remaining customers asked to be billed.

28^th Since the company did so well in January Maria decides to pay off the note payable early. Of course they owe for this month’s interest as well as the principal.

28^th Paid $25,000 in dividends.

• There are $1,675 worth of office supplies not used!!!!!!!

Adjusted Trial Balance for January

Santos Marketing Specialists Adjusted Trial Balance January 31, 20x1
Particulars	Unadjusted Amount	Adjustments	Adjusted Amount
Debit	Credit	Debit	Credit	Debit	Credit
Cash	128000			1333	126667
Accounts Receivable	202199				202199
Prepaid car insurance	6120			510	5610
Prepaid business insurance	22980			1915	21065
Prepaid Rent	63000			10500	52500
Office Supplies	5200			3120	2080
Vehicles	71520				71520
Furniture and Fixtures	63600				63600
Equipment	6706		14		6720
Accounts Payable		4670		215		4885
Unearned Revenue		2750	2750			0
Notes Payable		50000				50000
Common Stock		225000				225000
Marketing fees earned		293785		2750		296535
Car maintenance and repairs expense	95				95
Gasoline expense	145				145
Office maintenance expense	290				290
Travel Expense	6350				6350
Salaries Expenses			23565		23565
Salaries Payable				23565		23565
Rent Expense			10500		10500
Telephone & Wifi Expenses			1175		1175
Car Insurance Expense			510		510
Business Insurance Expense			1915		1915
Office Supplies Expense			3120		3120
Interest Expense			144		144
Utilities Expense			215		215
Depreciation expense - Vehicles			745		745
Depreciation expense - Furniture & fixtures			530		530
Depreciation expense - Equipment			112		112
Accumulated Depreciation, vehicles				745		745
Accumulated Depreciation, furniture and fixtures				530		530
Accumulated Depreciation, equipment				112		112
Total	576205	576205	45295	45295	601372	601372

- Financial Statements for January

Santos Marketing Specialists Income Statement January 31, 20x1
Particulars	Amount
Marketing Fees earned	296535
less: Office Supplies Expense	3120
Gross Profit	293415
less: Operating Expenses:
Salaries Expense	23565
Travel Expense	6350
Office Maintenance Expense	290
Gasoline Expense	145
Car maintenance and repair expense	95
Rent Expense	10500
Telephone & Wifi Expense	1175
Car insurance Expense	510
Business Insurance Expense	1915
Utilities Expense	215
Depreciation Expense	1387
Total Operating Expenses	46147
Operating Profit	247268
less: Non - Operating Expenses:
Interest Expense	144
Net Profit	247124

- Post Closing Trial Balance for January

I HAVE INCLUDED ALL OF JANUARY PLEASE SOLVE FOR FEBRUARY:

- Trial Balance for February

- Adjusted Trial Balance for February

- Financial Statements for February

- Post-closing Trial Balance for February
 

Santos Marketing Specialists Post Closing Trial Balance January 31, 20x1 Particulars Cash Accounts Receivable Prepaid car insurance Prepaid business insurance Prepaid Rent Office Supplies Vehicles Furniture and Fixtures Equipment Accounts Payable Notes Payable Common Stock Retained Earnings Salaries Payable Accumulated Depreciation, vehicles Accumulated Depreciation, furniture and fixtures Accumulated Depreciation, equipment Total Debit 126667 202199 5610 21065 52500 2080 71520 63600 6720 551961 Credit 4885 50000 225000 247124 23565 745 530 112 551961