Specific instructions to be followed carefully: Requirements (to be completed sequentially):

All work should be done in Excel. The attached Excel file has three tabs.

A. Start with the journal papers tab, record the May transactions that occurred they are listed below in B. Each transaction does require an entry. Refer to the pages of t-accounts for a list of the companys accounts.

B. The following transactions describe business activity for Tommys Boat & Tackle during May of 2021:

May 1: The company generated $35,000 from the sale of its common stock.

May 4: $9,800 of equipment was purchased with a $800 cash down payment. The balance should be paid within the next 90 days.

May 6: Tommy, on behalf of the company, signed a 5-year note, borrowing $24,750 from the local bank.

May 7: Tommys crew completed a fishing boat customization job for the Smiths; a bill for $24,000 was sent to the customer.

May 9: The company paid its workers May wages of $5,615.

May 11: Tommys Boat & Tackle purchased $15,250 of supplies on account.

May 14: One of Tommys employees completed $15,400 of repairs on fishing gear and received payment immediately. May 16: The company paid half of the amount owed on the equipment purchased on May 4. May 22: Tommys Boat & Tackle paid cash dividends of $10,500 to its shareholders.

May 25: The Smiths paid Tommys one-half of the amount described in the May 7 transaction.

May 29: A bill in the amount of $520 for the companys May electric service arrived but was not immediately paid. It was not paid until the following month.

May 31: One of Tommys employees completed $7,500 of repairs on account.

C. Post the May transactions to the appropriate t-accounts. Balances after the company closed its accounts on April 30 are indicated in each t-account. DO NOT IGNORE THESE BALANCES. The T-Accounts are in the second tab on the excel spreadsheet.

D. Determine the balance in each account and prepare an unadjusted trial balance. Be sure the trial balance is in balance before proceeding to the next step. All the trial balances and financial statements are on the final third tab. E. Use the information provided below to prepare all necessary adjusting entries in the general journal. You might need to establish several new accounts. Place the journal entries back on the first tab with all the other journal entries.

-- As of May 31, the company owes its employees $1,950 of wages to be paid on the next payday.

-- A count of office supplies shows that $5,325 of supplies are on hand.

-- A review shows that $1,725 of boat customization work has been completed, but has never been paid and was never recorded.

-- Record depreciation of $1,900 on the equipment.

-- The notes accrued $88 of interest during May.

E. Post the adjusting entries to the t-accounts, establishing new accounts as needed.

F. Determine the balance in each account and create an adjusted trial balance on the sheet provided. Be sure the trial balance is in balance before proceeding to the next step.

G. Using the adjusted trial balance as your guide, create an income statement, statement of retained earnings and balance sheet on the blanks provided.

H. Prepare the necessary closing entries, using an Income Summary account. Place these entries back on the first tab with all the other journal entries.

I. Post the closing entries to the t-accounts.

J. Determine the balance in each account and create a post-closing trial balance on the sheet provided.

4 B c D E G H 1 1 K M M unadjusted trial balance debit adjusted trial balance debit post closing trial balance debit credit account credit account credit account 1 2 3 4 5 6 7 8 9 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 tommy's boat & tackle income statemant for the month of May 2021 tommy's boat & tackle balance sheet 31-May-21 tommy's boat & tackle Statement of retained earnings for the month of May 2021 4 B c D E G H 1 1 K M M unadjusted trial balance debit adjusted trial balance debit post closing trial balance debit credit account credit account credit account 1 2 3 4 5 6 7 8 9 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 tommy's boat & tackle income statemant for the month of May 2021 tommy's boat & tackle balance sheet 31-May-21 tommy's boat & tackle Statement of retained earnings for the month of May 2021