Solve the problem below clearly, orderly, accurately, and completely using Excel. (You may use a pencil/paper T account General Ledger, if you prefer.)

ROUND ALL AMOUNTS TO THE NEAREST DOLLAR, AS NECESSARY

1. Enter the balances of each of the accounts as of November 30 in the appropriate balance column of a T account (use account names and numbers) or a four-column account. [You are creating the General Ledger.]

2. Journalize (using the General Journal) the transactions for December. 3. Post the December journal entries to the General Ledger, computing the year-end balances after all posting is completed.

4. Prepare an Unadjusted Trial Balance as of December 31.

5. Analyze the following adjustment data assembled at the end of December. Use the adjustment data to journalize, then post, the necessary adjusting entries.

a. Merchandise inventory on hand at December 31, per physical count, $248,315. b. Insurance coverage expired during the year, $12,350. c. Supplies on hand at December 31, $2,100. d. Additional depreciation to be recorded on the equipment for the year, $14,130. e. Accrued sales salaries $1,800 and accrued office salaries $890 on December 31. 3 f. Accrued interest on the note payable as of December 31, $240. g. Unearned Rent at December 31 is $8,300. h. Company estimates that customers will request an additional $12,830 of refunds related to current year sales and the related merchandise to be costing $5,900 will be returned.

6. Prepare an Adjusted Trial Balance as of December 31.

7. Prepare, in good form, a multiple-step Income Statement, a Retained Earnings Statement, and a classified Balance Sheet at the end of the December 31 fiscal year. Retained earnings as of 11/30 equaled retained earnings as of beginning of the fiscal year (1/1).

8. Journalize and post the necessary closing entries.

9. Prepare a Post-Closing Trial Balance as of December 31

Pacheco Inc. is a merchandising business headquartered in the U.S. and selling primarily to wholesalers. The accounting information system is based upon the principles and rules of U.S. Generally Accepted Accounting Principles (GAAP). Business activity is recorded on an accrual basis. The company employs the perpetual Inventory system in accounting for its merchandise Inventory. Sales revenue is recorded net of sales discounts. Purchases of inventory are also recorded net of purchases discounts. The company operates using a January through December fiscal year. The balances of the accounts in the general ledger as of November 30 of the current fiscal year are as follows: 110 Cash 65,900 111 Accounts Receivable 192, 100 112 Inventory 256,400 113 Estimated Returns Inventory 8,100 114 Supplies 12,100 115 Prepaid Insurance 30,000 120 Land 140,000 121 Equipment 897,100 122 Accumulated Depreciation -- Equip 229.600 210 Accounts Payablo 42,810 211 Customer Refunds Payable 25,200 212 Salaries Payable 0 213 Interest Payable 0 214 Unearned Rent 33,200 220 Notes payable (final payment due in 4 years) 50,000 310 Common Stock, $1 par 100.000 Retained Earnings 500,800 312 Dividends 75,000 313 Income Summary 0 410 Sales 4,281.190 311 0 510 Cost of Goods Sold 2,122, 100 520 Sales Salaries Expense 650.800 621 Advertising expenso 220.000 522 Delivery Expense 36.000 523 Rent expense 125,000 524 Miscellaneous selling expense 42,800 530 Office Salaries Expense 357.000 531 Depreciation Exponse- Equip 29,800 532 Insurance Expense 0 633 Supplies Expense 0 610 Rent revenue 710 Interest Expense 3,000 There are 100,000 shares of common stock outstanding. During December, the last month of the fiscal year, the following transactions were completed: Dec 3 Purchased $24,500 of merchandise on account, FOB shipping point terms 2/10, 1/30 4 Paid transportation costs of $475 on the December 3 purchase 7 Returned $4,000 of the merchandise purchased on December 3 11 Sold merchandise on account. $12,700, FOB destination, 1/15, 30. The cost of the merchandise sold was $7,600. 12 Paid transportation charges of $300 for the merchandise sold on December 11 13 Paid for the purchase of December 3 less the return and the discount. 15 Received payment from customers on account. $8,430. Amount received is not of discount 22 Received payment on account for the sale of December 11, less the discount 23 Purchased supplies on account, 1/30 $500. 26 Paid amounts owed to creditors on account. $9.040. Amount paid was net of discount 27 Pald sales salaries, $2,300, and office salaries, $1.400 28 Sold merchandise for cash $16,500. The cost of the merchandise sold was $11.200 29 Paid customer a cash refund of $2,210 for returned merchandise from the sale of Dec. 11. The cost of the returned merchandise was $1,212 30 Paid rent for store equipment for December $1.000, 31. Paid cash for a web page advertisement $400 INSTRUCTIONS: ROUND ALL AMOUNTS TO THE NEAREST DOLLAR, AS NECESSARY! 1. Enter the balances of each of the accounts as of November 30 in the appropriate balance column of a Taccount (use account names and numbers) or a four-column account. [You are creating the General Ledger) 2. Journalize (using the General Journal) the transactions for December. 3. Post the December journal entries to the General Ledger, computing the year-end balances after all 4. Prepare an unadjusted Trial Balance as of December 31 5. Analyze the following adjustment data assembled at the end of December. Use the adjustment data to journalize, then post, the necessary adjusting entries. a Merchandise inventory on hand at December 31, per physical count, $248,315, b. Insurance coverage expired during the year. $12,350 Supplies on hand at December 31, S2.100. Additional depreciation to be recorded on the equipment for the year. $14,130 Accrued sales salaries $1,800 and accrued office salaries $890 on December 31, C d e. Accrued interest on the note payable as of December 31A $240 9 Uneamed Rent at December 31 is 58,300 h. Company estimates that customers will request an additional $12,830 of refunds related to current year sales and the related merchandise to be costing $5,900 will be returned 6. Prepare an Adjusted Trial Balance as of December 31 7. Prepare, in good form, a multiple-step Income Statement, a Retained Earnings Statement, and a classified Balance Sheet at the end of the December 31 fiscal year. Retained earnings as of 11/30 equaled retained earnings as of beginning of the fiscal year (1/1). 8. Journalize and post the necessary closing entries 9. Prepare a Post-Closing Trial Balance as of December 31 Pacheco Inc. is a merchandising business headquartered in the U.S. and selling primarily to wholesalers. The accounting information system is based upon the principles and rules of U.S. Generally Accepted Accounting Principles (GAAP). Business activity is recorded on an accrual basis. The company employs the perpetual Inventory system in accounting for its merchandise Inventory. Sales revenue is recorded net of sales discounts. Purchases of inventory are also recorded net of purchases discounts. The company operates using a January through December fiscal year. The balances of the accounts in the general ledger as of November 30 of the current fiscal year are as follows: 110 Cash 65,900 111 Accounts Receivable 192, 100 112 Inventory 256,400 113 Estimated Returns Inventory 8,100 114 Supplies 12,100 115 Prepaid Insurance 30,000 120 Land 140,000 121 Equipment 897,100 122 Accumulated Depreciation -- Equip 229.600 210 Accounts Payablo 42,810 211 Customer Refunds Payable 25,200 212 Salaries Payable 0 213 Interest Payable 0 214 Unearned Rent 33,200 220 Notes payable (final payment due in 4 years) 50,000 310 Common Stock, $1 par 100.000 Retained Earnings 500,800 312 Dividends 75,000 313 Income Summary 0 410 Sales 4,281.190 311 0 510 Cost of Goods Sold 2,122, 100 520 Sales Salaries Expense 650.800 621 Advertising expenso 220.000 522 Delivery Expense 36.000 523 Rent expense 125,000 524 Miscellaneous selling expense 42,800 530 Office Salaries Expense 357.000 531 Depreciation Exponse- Equip 29,800 532 Insurance Expense 0 633 Supplies Expense 0 610 Rent revenue 710 Interest Expense 3,000 There are 100,000 shares of common stock outstanding. During December, the last month of the fiscal year, the following transactions were completed: Dec 3 Purchased $24,500 of merchandise on account, FOB shipping point terms 2/10, 1/30 4 Paid transportation costs of $475 on the December 3 purchase 7 Returned $4,000 of the merchandise purchased on December 3 11 Sold merchandise on account. $12,700, FOB destination, 1/15, 30. The cost of the merchandise sold was $7,600. 12 Paid transportation charges of $300 for the merchandise sold on December 11 13 Paid for the purchase of December 3 less the return and the discount. 15 Received payment from customers on account. $8,430. Amount received is not of discount 22 Received payment on account for the sale of December 11, less the discount 23 Purchased supplies on account, 1/30 $500. 26 Paid amounts owed to creditors on account. $9.040. Amount paid was net of discount 27 Pald sales salaries, $2,300, and office salaries, $1.400 28 Sold merchandise for cash $16,500. The cost of the merchandise sold was $11.200 29 Paid customer a cash refund of $2,210 for returned merchandise from the sale of Dec. 11. The cost of the returned merchandise was $1,212 30 Paid rent for store equipment for December $1.000, 31. Paid cash for a web page advertisement $400 INSTRUCTIONS: ROUND ALL AMOUNTS TO THE NEAREST DOLLAR, AS NECESSARY! 1. Enter the balances of each of the accounts as of November 30 in the appropriate balance column of a Taccount (use account names and numbers) or a four-column account. [You are creating the General Ledger) 2. Journalize (using the General Journal) the transactions for December. 3. Post the December journal entries to the General Ledger, computing the year-end balances after all 4. Prepare an unadjusted Trial Balance as of December 31 5. Analyze the following adjustment data assembled at the end of December. Use the adjustment data to journalize, then post, the necessary adjusting entries. a Merchandise inventory on hand at December 31, per physical count, $248,315, b. Insurance coverage expired during the year. $12,350 Supplies on hand at December 31, S2.100. Additional depreciation to be recorded on the equipment for the year. $14,130 Accrued sales salaries $1,800 and accrued office salaries $890 on December 31, C d e. Accrued interest on the note payable as of December 31A $240 9 Uneamed Rent at December 31 is 58,300 h. Company estimates that customers will request an additional $12,830 of refunds related to current year sales and the related merchandise to be costing $5,900 will be returned 6. Prepare an Adjusted Trial Balance as of December 31 7. Prepare, in good form, a multiple-step Income Statement, a Retained Earnings Statement, and a classified Balance Sheet at the end of the December 31 fiscal year. Retained earnings as of 11/30 equaled retained earnings as of beginning of the fiscal year (1/1). 8. Journalize and post the necessary closing entries 9. Prepare a Post-Closing Trial Balance as of December 31