The ledger of Articulation Systems Inc. showed the following balances after adjustment, but before closing, on December 31, 2023, the end of the current year (all accounts have normal balances):

Insurance expense	12000
Sales returns and allowances	22400
Bad debt expense	7100
Accounts payable	81000
Accounts receivable	108590
Allowance for doubtful accounts	8500
Accumulated depreciation - equipment	27740
Depreciation expense	1200
Interest revenue	2400
Cash	80970
Common stock (10,000 shares outstanding)	100000
Cost of goods sold	598550
Dividends declared	18000
Equipment	139450
General expenses	113250
Dividends payable	2000
Sales discounts	23000
Interest expense	5600
Paid-in capital in excess of par	110000
Marketable Securities	12000
Merchandise inventory	154250
Prepaid insurance	11325
Salaries expense	40100
Retained earnings	?
Dividend Revenue	10000
Salaries Payable	12350
Sales	984000
Selling expenses	139210

The president of Articulation Systems Inc., has asked you to develop a flexible financial statement package (call the file yournameFinState23), using Excel that includes:

• a data entry sheet (the information above can be on your data entry sheet)
• an adjusted trial balance (accounts in proper order),
• a single-step income statement,
• a multi-step income statement,
• a statement of retained earnings,
• a classified balance sheet, and
• a post-close trial balance

Additional Instructions:

You can ignore taxes in this project - this is an academic exercise in this regard.

Each statement must be on one sheet in the file and this file should allow the financial statements to be prepared quickly by entering account balances in the appropriate cells on the first sheet of the file (book) - data entry sheet.

Include percentages in the Multi-step Income Statement (vertical analysis) i.e. gross profit percentage, % of selling expenses to sales, etc.

Your file must contain documentation with comments(Excel function).

The selling expenses and general expense categories in the data are a combination of numerous accounts not needed to be listed separately (they are mainly composed of senior executives' salaries and other compensation items). If you do not know if an account is selling or general/admin. then split the dollar amount 50/50 between the 2 categories. This only matters in the preparation of the multi-step income statement.

Use the financial information above as input for your statements. Only formulas/cell references should appear on all sheets except your data entry sheet (except titles and dates; center dates and titles at the top of each sheet; do not use headers).

Arriving at the correct solution using appropriate formulas and the correct format for financial statements will allow you to keep your current position (with a score of 85).The presentation of the financials (i.e. underlining, bold, font, commas, color etc.) will potentially enable you to secure a promotion (an additional 15 points).

Please post questions in the Virtual Office. You can discuss anything about the project in the Virtual Office except check figures and your Excel file.