Show transcribed image textInstructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Beg TB 3 Cycle Path, Inc. went into business as a corporation in early 2017. For the first few years, the company provided bicycle rental and repair services only (no merchandise). During 2020, the company began selling bicycles and related gear, and decided to use the FIFO inventory method. The other worksheets include the following: Sheet Name | Cycle Path's trial balance on January 1, 2020, | Background Info 2 A list of events that occurred during 2020 Events Background Info An accounting equation grid for you to analyze the impacts of the events. Grid Completion Required Note check totals or row 42-46 A worksheet to analyze the cost of inventory and the cost of goods sold. Inventory Completion Required Enough rows are provided after each event to list all the inventory layers at their costs. $ A worksheet to prepare appropriate transaction and adjusting joumal entries. J-ES Completion Required A worksheet to prepare the 2020 Adjusted Trial Balance Ad TB Completion Required Worksheets to prepare the 2020 financial statements Fin St Completion Required A worksheet to prepare the 2020 closing journal entries. Closing Completion Required 4 6 7 8 Inventory J-Es Adj TB Fin St Instructions Beg TB Events Grid Shown below is the Post-Closing Trial Balance for Cycle Path at the end of 2019. Cycle Path, Inc. Post-Closing Trial Balance as of December 31, 2019 Credit Debit 12.410 2.380 153 680 0 3,400 Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Uncamed revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS 0 884 765 6,800 10,574 0 0 0 0 0 0 0 0 0 0 19,023 19,023 Instructions Beg TB Events Grid Inventory J-E i) k) 1) n) cach Following are the events for Cycle Path during 2020. a) Jan 6, 2020 - Cycle Path paid the salaries payable from 2019. b) Jan 14, 2020 - The company acquired an additional S42.500 cash from the issue of common stock. c) Jan 17, 2020 - The company paid $765 cash for supplies to be used by the business d) Jan 21, 2020-Cycle Path purchased 35 bicycles and related gear for later sale at a cost of 516,142. The bicycles and related gear were purchased on account with the terms 1/10,n30 c) Jan 29, 2020-Cycle Path decided to pay $4.200 of its accounts payable balance from event (d) before the discount period expired, so Cycle Path first applied the discount to the $4,200 amount so it could reduce its accounts payable balance (note: the actual payment is described in event (below). After applying this discount, Cycle Path's inventory cost was $460 for each item. 0 Jan 29, 2020 - Cycle Path paid cash to settle parts of its accounts payable balance as described in event (e). 8) Feb. 12. 2020 - The company sold 24 bicycles and related gear for a total price of $15,300. Sales of $11,050 were on account, while 54.250 were cash sales. Record revenue 1) Feb. 12. 2020 - The cost to Cycle Path of each product sold in event (g) was $460 Feb. 17.2020 - The company paid the workers a total of 57,140 in salaries Feb. 28, 2020. The company provided $30.600 of bicycle rental and repair services. The services were billed to the customers. Mar. 1.2020 - Cycle Path rented a business van, paying S4,00 in advance for a one year rental Mar 3, 2020 - Paid cash to settle additional accounts payable in the amount of $3.213. The payment was made after the discount period expired. m) Mar 11, 2020 - Collected $32,300 of accounts receivable. Apr. 9. 2020 - Cycle Path performed S11,900 worth of bicycle rental and repair services for a local college S10.200 was on account and S1,700 was for cash. May 1, 2020 - Paid S6,120 for one year's rent on office space in advance. P) May, 2020-Cycle Path purchased, and paid cash, for 8 bicycles and related gear for later sale at a cost of S474 May. 17.2020 - The company paid accounts payable of 1.224, but not within the discount period (the company uses the gross method) ) Jun. 1. 2020-Cycle Path rented a larger building paid 5.610 for 12 months' rent in advance. Jun. 5. 2020 - Cycke Path purchased, and paid cash, for 12 bicycles and related gear for later sale at a cost of S480 Jun. 12. 2020 - Cycle Path purchased 15 bicycles and related gear for later sale at a cost of S486 each. The purchase was on account Jun.23.2020 - The company sold 32 bicycles and related car for a total price of $23,800. Sales of $17,000 were on account, while 56,800 were cash sales. Record revenue. Jun 23.2020 - Record the cost of goods sold related to the sale from event (u) using the perpetual FIFO method w Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the event part of the event. Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the cost part of the event. y Jul 15, 2020 - Paid employees a total of 59,350 cash for salaries employees carned during the current period Aug 24, 2020 - Provided $27,000 of bicycle rental and repair services during the year. The services were billed to the customers aa) Sep 30, 2020 - Recognized $680 of service revenue earned during the first nine months of the year, it had been collected in the prior year 16) Oct. 1, 2020 - Sold additional bicycle rental and repair services worth $340 for one year's service, starting immediately. The customers paid cash for the full amount cc) Nov. 13.2020 - Collected $43.350 of accounts receivable. 4) Nov 20, 2020 - Paid an additional S4,675 to settle some accounts payable, the payment was made after the discount period expired. ce) Dec 27, 2020 - Paid $2,380 of advertising expense during the year. Dec 28, 2020. Paid $3,553 of utilities expense for the year. 2) Dec 28, 2020 - Paid $10.600 of other operating expense for the ycar. hh) Dec 29, 2020. Paida dividend of S10.200 to the shareholders. Dec 31, 2020 - There was $537 of supplies on hand at the end of the year, Dec 31, 2020 - Recognized the expired rent from the prior year, van (event (k)), office space [event (o)), and the building (event)] for the year. kk) Dec 31, 2020 - Recognized revenue for the current year earned from event (bb). Dec 31, 2020 - Accrued salaries at December 31 were $1,020 $) each 1) V) 2) 11) 11 11 11 Instructions Beg TB Events Grid Inventory J-Es Adj TB Use the worksheet below to prepare the Adjusted Trial Balance for Cycle Path. Cycle Path, Inc. Adjusted Trial Balance as of December 31, 2020 Debit Credit Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Unearned revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Clos Land Use the worksheets below to prepare the 2020 financial statements for Cycle Path. Cycle Path, Inc. Cycle Path, Inc. Income Statement Balance Sheet For the Year Ended December 31, 2020 As of December 31, 2020 Service revenue Cash Product sales, net Accounts receivable Cost of Goods Supplies Gross Margin Prepaid rent Supplies expense Inventory Salaries expense Rent expense TOTAL ASSETS Utilities expense Accounts payable Advertising expense Salaries payable Other operating expenses Unearned revenue Net Income Subtotal Liabilities Retained earnings Cycle Path, Inc. Common stock Statement of Changes in Stockholders' Equity Subtotal Equity For the Year Ended December 31, 2020 TOTAL LIABILITIES & EQUITY Beginning common stock Plus: Common stock issued Cycle Path, Inc. Ending Common Stock Statement of Cash Flows Beginning retained camings For the Year Ended December 31, 2020 Plus: Net Income Cash flows from operating activities Less: Dividends Cash receipts from customers Ending Retained Earnings Cash payments for expenses TOTAL STOCKHOLDERS' EQUITY Net cash flow from operating activities Net cash flow from investing activities Cash flows from financing activities Cash receipts from stock insted Cash payments for dividends Net cash flow from financing activities Net increase in cash Plus: beginning cash balance Ending Cash Balance Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Closing Chart of Accounts Use the worksheet below to prepare the appropriate closing journal entries for Cyele Path. For all journal entries, you must only use account names from the Chart of Accounts in cells 12 thru 125, and you must only use Basic Accounting Equation Impact codes from the list in cells K2 thru K7. a) Close revenue accounts. Dane Basic Act Account Names Debits Credits Eg Impacts 12/31/20 Basie Act E4 Impacts A+ Assets up A. Assets down L+ L- SE+ SE Liabilities up Liabilities down Equity Equity down b) Close expense accounts. Dane Basie Act Eg Impacts 12/01/20 Account Names Dobiti Credits 100 Cash 110 Accounts Receivable 120 Prepaid rent 130 Supplies (on hand 140 Inventory 150 Equipment 155 Accum. Deprec. (Equip 170 Land 210 Accounts Payable 220 Salaries Payable 240 Uneamed Revenue 250 Notes Payable 310 Common Stock 350 Reted amnings 410 Dividends Declared 510 Service Revenue d) Close dividende account Date Basic Acct Hq Impacts 12/31/20 Account Names Dobits Credits 520 Product Sales 600 Cost of Goods Sold 610 Supplies Expense 640 Salaries Expense 650 Rent Expense 660 Utilities expense 670 Advertising SE 690 Other Operating Expenses

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Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Beg TB 3 Cycle Path, Inc. went into business as a corporation in early 2017. For the first few years, the company provided bicycle rental and repair services only (no merchandise). During 2020, the company began selling bicycles and related gear, and decided to use the FIFO inventory method. The other worksheets include the following: Sheet Name | Cycle Path's trial balance on January 1, 2020, | Background Info 2 A list of events that occurred during 2020 Events Background Info An accounting equation grid for you to analyze the impacts of the events. Grid Completion Required Note check totals or row 42-46 A worksheet to analyze the cost of inventory and the cost of goods sold. Inventory Completion Required Enough rows are provided after each event to list all the inventory layers at their costs. $ A worksheet to prepare appropriate transaction and adjusting joumal entries. J-ES Completion Required A worksheet to prepare the 2020 Adjusted Trial Balance Ad TB Completion Required Worksheets to prepare the 2020 financial statements Fin St Completion Required A worksheet to prepare the 2020 closing journal entries. Closing Completion Required 4 6 7 8 Inventory J-Es Adj TB Fin St Instructions Beg TB Events Grid Shown below is the Post-Closing Trial Balance for Cycle Path at the end of 2019. Cycle Path, Inc. Post-Closing Trial Balance as of December 31, 2019 Credit Debit 12.410 2.380 153 680 0 3,400 Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Uncamed revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS 0 884 765 6,800 10,574 0 0 0 0 0 0 0 0 0 0 19,023 19,023 Instructions Beg TB Events Grid Inventory J-E i) k) 1) n) cach Following are the events for Cycle Path during 2020. a) Jan 6, 2020 - Cycle Path paid the salaries payable from 2019. b) Jan 14, 2020 - The company acquired an additional S42.500 cash from the issue of common stock. c) Jan 17, 2020 - The company paid $765 cash for supplies to be used by the business d) Jan 21, 2020-Cycle Path purchased 35 bicycles and related gear for later sale at a cost of 516,142. The bicycles and related gear were purchased on account with the terms 1/10,n30 c) Jan 29, 2020-Cycle Path decided to pay $4.200 of its accounts payable balance from event (d) before the discount period expired, so Cycle Path first applied the discount to the $4,200 amount so it could reduce its accounts payable balance (note: the actual payment is described in event (below). After applying this discount, Cycle Path's inventory cost was $460 for each item. 0 Jan 29, 2020 - Cycle Path paid cash to settle parts of its accounts payable balance as described in event (e). 8) Feb. 12. 2020 - The company sold 24 bicycles and related gear for a total price of $15,300. Sales of $11,050 were on account, while 54.250 were cash sales. Record revenue 1) Feb. 12. 2020 - The cost to Cycle Path of each product sold in event (g) was $460 Feb. 17.2020 - The company paid the workers a total of 57,140 in salaries Feb. 28, 2020. The company provided $30.600 of bicycle rental and repair services. The services were billed to the customers. Mar. 1.2020 - Cycle Path rented a business van, paying S4,00 in advance for a one year rental Mar 3, 2020 - Paid cash to settle additional accounts payable in the amount of $3.213. The payment was made after the discount period expired. m) Mar 11, 2020 - Collected $32,300 of accounts receivable. Apr. 9. 2020 - Cycle Path performed S11,900 worth of bicycle rental and repair services for a local college S10.200 was on account and S1,700 was for cash. May 1, 2020 - Paid S6,120 for one year's rent on office space in advance. P) May, 2020-Cycle Path purchased, and paid cash, for 8 bicycles and related gear for later sale at a cost of S474 May. 17.2020 - The company paid accounts payable of 1.224, but not within the discount period (the company uses the gross method) ) Jun. 1. 2020-Cycle Path rented a larger building paid 5.610 for 12 months' rent in advance. Jun. 5. 2020 - Cycke Path purchased, and paid cash, for 12 bicycles and related gear for later sale at a cost of S480 Jun. 12. 2020 - Cycle Path purchased 15 bicycles and related gear for later sale at a cost of S486 each. The purchase was on account Jun.23.2020 - The company sold 32 bicycles and related car for a total price of $23,800. Sales of $17,000 were on account, while 56,800 were cash sales. Record revenue. Jun 23.2020 - Record the cost of goods sold related to the sale from event (u) using the perpetual FIFO method w Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the event part of the event. Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the cost part of the event. y Jul 15, 2020 - Paid employees a total of 59,350 cash for salaries employees carned during the current period Aug 24, 2020 - Provided $27,000 of bicycle rental and repair services during the year. The services were billed to the customers aa) Sep 30, 2020 - Recognized $680 of service revenue earned during the first nine months of the year, it had been collected in the prior year 16) Oct. 1, 2020 - Sold additional bicycle rental and repair services worth $340 for one year's service, starting immediately. The customers paid cash for the full amount cc) Nov. 13.2020 - Collected $43.350 of accounts receivable. 4) Nov 20, 2020 - Paid an additional S4,675 to settle some accounts payable, the payment was made after the discount period expired. ce) Dec 27, 2020 - Paid $2,380 of advertising expense during the year. Dec 28, 2020. Paid $3,553 of utilities expense for the year. 2) Dec 28, 2020 - Paid $10.600 of other operating expense for the ycar. hh) Dec 29, 2020. Paida dividend of S10.200 to the shareholders. Dec 31, 2020 - There was $537 of supplies on hand at the end of the year, Dec 31, 2020 - Recognized the expired rent from the prior year, van (event (k)), office space [event (o)), and the building (event)] for the year. kk) Dec 31, 2020 - Recognized revenue for the current year earned from event (bb). Dec 31, 2020 - Accrued salaries at December 31 were $1,020 $) each 1) V) 2) 11) 11 11 11 Instructions Beg TB Events Grid Inventory J-Es Adj TB Use the worksheet below to prepare the Adjusted Trial Balance for Cycle Path. Cycle Path, Inc. Adjusted Trial Balance as of December 31, 2020 Debit Credit Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Unearned revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Clos Land Use the worksheets below to prepare the 2020 financial statements for Cycle Path. Cycle Path, Inc. Cycle Path, Inc. Income Statement Balance Sheet For the Year Ended December 31, 2020 As of December 31, 2020 Service revenue Cash Product sales, net Accounts receivable Cost of Goods Supplies Gross Margin Prepaid rent Supplies expense Inventory Salaries expense Rent expense TOTAL ASSETS Utilities expense Accounts payable Advertising expense Salaries payable Other operating expenses Unearned revenue Net Income Subtotal Liabilities Retained earnings Cycle Path, Inc. Common stock Statement of Changes in Stockholders' Equity Subtotal Equity For the Year Ended December 31, 2020 TOTAL LIABILITIES & EQUITY Beginning common stock Plus: Common stock issued Cycle Path, Inc. Ending Common Stock Statement of Cash Flows Beginning retained camings For the Year Ended December 31, 2020 Plus: Net Income Cash flows from operating activities Less: Dividends Cash receipts from customers Ending Retained Earnings Cash payments for expenses TOTAL STOCKHOLDERS' EQUITY Net cash flow from operating activities Net cash flow from investing activities Cash flows from financing activities Cash receipts from stock insted Cash payments for dividends Net cash flow from financing activities Net increase in cash Plus: beginning cash balance Ending Cash Balance Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Closing Chart of Accounts Use the worksheet below to prepare the appropriate closing journal entries for Cyele Path. For all journal entries, you must only use account names from the Chart of Accounts in cells 12 thru 125, and you must only use Basic Accounting Equation Impact codes from the list in cells K2 thru K7. a) Close revenue accounts. Dane Basic Act Account Names Debits Credits Eg Impacts 12/31/20 Basie Act E4 Impacts A+ Assets up A. Assets down L+ L- SE+ SE Liabilities up Liabilities down Equity Equity down b) Close expense accounts. Dane Basie Act Eg Impacts 12/01/20 Account Names Dobiti Credits 100 Cash 110 Accounts Receivable 120 Prepaid rent 130 Supplies (on hand 140 Inventory 150 Equipment 155 Accum. Deprec. (Equip 170 Land 210 Accounts Payable 220 Salaries Payable 240 Uneamed Revenue 250 Notes Payable 310 Common Stock 350 Reted amnings 410 Dividends Declared 510 Service Revenue d) Close dividende account Date Basic Acct Hq Impacts 12/31/20 Account Names Dobits Credits 520 Product Sales 600 Cost of Goods Sold 610 Supplies Expense 640 Salaries Expense 650 Rent Expense 660 Utilities expense 670 Advertising SE 690 Other Operating Expenses Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Beg TB 3 Cycle Path, Inc. went into business as a corporation in early 2017. For the first few years, the company provided bicycle rental and repair services only (no merchandise). During 2020, the company began selling bicycles and related gear, and decided to use the FIFO inventory method. The other worksheets include the following: Sheet Name | Cycle Path's trial balance on January 1, 2020, | Background Info 2 A list of events that occurred during 2020 Events Background Info An accounting equation grid for you to analyze the impacts of the events. Grid Completion Required Note check totals or row 42-46 A worksheet to analyze the cost of inventory and the cost of goods sold. Inventory Completion Required Enough rows are provided after each event to list all the inventory layers at their costs. $ A worksheet to prepare appropriate transaction and adjusting joumal entries. J-ES Completion Required A worksheet to prepare the 2020 Adjusted Trial Balance Ad TB Completion Required Worksheets to prepare the 2020 financial statements Fin St Completion Required A worksheet to prepare the 2020 closing journal entries. Closing Completion Required 4 6 7 8 Inventory J-Es Adj TB Fin St Instructions Beg TB Events Grid Shown below is the Post-Closing Trial Balance for Cycle Path at the end of 2019. Cycle Path, Inc. Post-Closing Trial Balance as of December 31, 2019 Credit Debit 12.410 2.380 153 680 0 3,400 Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Uncamed revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS 0 884 765 6,800 10,574 0 0 0 0 0 0 0 0 0 0 19,023 19,023 Instructions Beg TB Events Grid Inventory J-E i) k) 1) n) cach Following are the events for Cycle Path during 2020. a) Jan 6, 2020 - Cycle Path paid the salaries payable from 2019. b) Jan 14, 2020 - The company acquired an additional S42.500 cash from the issue of common stock. c) Jan 17, 2020 - The company paid $765 cash for supplies to be used by the business d) Jan 21, 2020-Cycle Path purchased 35 bicycles and related gear for later sale at a cost of 516,142. The bicycles and related gear were purchased on account with the terms 1/10,n30 c) Jan 29, 2020-Cycle Path decided to pay $4.200 of its accounts payable balance from event (d) before the discount period expired, so Cycle Path first applied the discount to the $4,200 amount so it could reduce its accounts payable balance (note: the actual payment is described in event (below). After applying this discount, Cycle Path's inventory cost was $460 for each item. 0 Jan 29, 2020 - Cycle Path paid cash to settle parts of its accounts payable balance as described in event (e). 8) Feb. 12. 2020 - The company sold 24 bicycles and related gear for a total price of $15,300. Sales of $11,050 were on account, while 54.250 were cash sales. Record revenue 1) Feb. 12. 2020 - The cost to Cycle Path of each product sold in event (g) was $460 Feb. 17.2020 - The company paid the workers a total of 57,140 in salaries Feb. 28, 2020. The company provided $30.600 of bicycle rental and repair services. The services were billed to the customers. Mar. 1.2020 - Cycle Path rented a business van, paying S4,00 in advance for a one year rental Mar 3, 2020 - Paid cash to settle additional accounts payable in the amount of $3.213. The payment was made after the discount period expired. m) Mar 11, 2020 - Collected $32,300 of accounts receivable. Apr. 9. 2020 - Cycle Path performed S11,900 worth of bicycle rental and repair services for a local college S10.200 was on account and S1,700 was for cash. May 1, 2020 - Paid S6,120 for one year's rent on office space in advance. P) May, 2020-Cycle Path purchased, and paid cash, for 8 bicycles and related gear for later sale at a cost of S474 May. 17.2020 - The company paid accounts payable of 1.224, but not within the discount period (the company uses the gross method) ) Jun. 1. 2020-Cycle Path rented a larger building paid 5.610 for 12 months' rent in advance. Jun. 5. 2020 - Cycke Path purchased, and paid cash, for 12 bicycles and related gear for later sale at a cost of S480 Jun. 12. 2020 - Cycle Path purchased 15 bicycles and related gear for later sale at a cost of S486 each. The purchase was on account Jun.23.2020 - The company sold 32 bicycles and related car for a total price of $23,800. Sales of $17,000 were on account, while 56,800 were cash sales. Record revenue. Jun 23.2020 - Record the cost of goods sold related to the sale from event (u) using the perpetual FIFO method w Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the event part of the event. Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the cost part of the event. y Jul 15, 2020 - Paid employees a total of 59,350 cash for salaries employees carned during the current period Aug 24, 2020 - Provided $27,000 of bicycle rental and repair services during the year. The services were billed to the customers aa) Sep 30, 2020 - Recognized $680 of service revenue earned during the first nine months of the year, it had been collected in the prior year 16) Oct. 1, 2020 - Sold additional bicycle rental and repair services worth $340 for one year's service, starting immediately. The customers paid cash for the full amount cc) Nov. 13.2020 - Collected $43.350 of accounts receivable. 4) Nov 20, 2020 - Paid an additional S4,675 to settle some accounts payable, the payment was made after the discount period expired. ce) Dec 27, 2020 - Paid $2,380 of advertising expense during the year. Dec 28, 2020. Paid $3,553 of utilities expense for the year. 2) Dec 28, 2020 - Paid $10.600 of other operating expense for the ycar. hh) Dec 29, 2020. Paida dividend of S10.200 to the shareholders. Dec 31, 2020 - There was $537 of supplies on hand at the end of the year, Dec 31, 2020 - Recognized the expired rent from the prior year, van (event (k)), office space [event (o)), and the building (event)] for the year. kk) Dec 31, 2020 - Recognized revenue for the current year earned from event (bb). Dec 31, 2020 - Accrued salaries at December 31 were $1,020 $) each 1) V) 2) 11) 11 11 11 Instructions Beg TB Events Grid Inventory J-Es Adj TB Use the worksheet below to prepare the Adjusted Trial Balance for Cycle Path. Cycle Path, Inc. Adjusted Trial Balance as of December 31, 2020 Debit Credit Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Unearned revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Clos Land Use the worksheets below to prepare the 2020 financial statements for Cycle Path. Cycle Path, Inc. Cycle Path, Inc. Income Statement Balance Sheet For the Year Ended December 31, 2020 As of December 31, 2020 Service revenue Cash Product sales, net Accounts receivable Cost of Goods Supplies Gross Margin Prepaid rent Supplies expense Inventory Salaries expense Rent expense TOTAL ASSETS Utilities expense Accounts payable Advertising expense Salaries payable Other operating expenses Unearned revenue Net Income Subtotal Liabilities Retained earnings Cycle Path, Inc. Common stock Statement of Changes in Stockholders' Equity Subtotal Equity For the Year Ended December 31, 2020 TOTAL LIABILITIES & EQUITY Beginning common stock Plus: Common stock issued Cycle Path, Inc. Ending Common Stock Statement of Cash Flows Beginning retained camings For the Year Ended December 31, 2020 Plus: Net Income Cash flows from operating activities Less: Dividends Cash receipts from customers Ending Retained Earnings Cash payments for expenses TOTAL STOCKHOLDERS' EQUITY Net cash flow from operating activities Net cash flow from investing activities Cash flows from financing activities Cash receipts from stock insted Cash payments for dividends Net cash flow from financing activities Net increase in cash Plus: beginning cash balance Ending Cash Balance Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Closing Chart of Accounts Use the worksheet below to prepare the appropriate closing journal entries for Cyele Path. For all journal entries, you must only use account names from the Chart of Accounts in cells 12 thru 125, and you must only use Basic Accounting Equation Impact codes from the list in cells K2 thru K7. a) Close revenue accounts. Dane Basic Act Account Names Debits Credits Eg Impacts 12/31/20 Basie Act E4 Impacts A+ Assets up A. Assets down L+ L- SE+ SE Liabilities up Liabilities down Equity Equity down b) Close expense accounts. Dane Basie Act Eg Impacts 12/01/20 Account Names Dobiti Credits 100 Cash 110 Accounts Receivable 120 Prepaid rent 130 Supplies (on hand 140 Inventory 150 Equipment 155 Accum. Deprec. (Equip 170 Land 210 Accounts Payable 220 Salaries Payable 240 Uneamed Revenue 250 Notes Payable 310 Common Stock 350 Reted amnings 410 Dividends Declared 510 Service Revenue d) Close dividende account Date Basic Acct Hq Impacts 12/31/20 Account Names Dobits Credits 520 Product Sales 600 Cost of Goods Sold 610 Supplies Expense 640 Salaries Expense 650 Rent Expense 660 Utilities expense 670 Advertising SE 690 Other Operating Expenses