This is a mini practice set for accounting I have done the first step but I am stuck there. please help with the other steps to this project.

Mini Practice set 1

Assume that you are the chief accountant for Wells Consulting Services. During January, the business will use the same types of records and procedures that you learned about in Chapters 1-6. The chart of accounts for Wells Consulting Services has been expanded to include a few new accounts. Follow the instructions to complete the accounting records for the month of January.

Wells Consulting Services Chart of Accounts

Assets	Revenue
101 Cash	401 Fees Income
111 Accounts Receivable	Expenses
121 Supplies	511 Salaries Expense
134 Prepaid Insurance	514 Utilities Expense
137 Prepaid Rent	517 Supplies Expense
141 Equipment	520 Rent Expense
142 Accumulated Depreciation-Equipment	523 Depreciation Expense
Liabilities	526 Advertising Expense
202 Accounts Payable	529 Maintenance Expense
Owners Equity	532 Telephone Expense
301 Carolyn Wells Capital	535 Insurance Expense
302 Carolyn Wells, Drawing
309 Income Summary

1. Open the general ledger accounts and enter the balances for January 1, 2017. Obtain the necessary figures from the postclosing trial balance prepared on December 31, 2016, which appears on page 166.

2. Analyze each transaction and record it in the general journal. Use page 3 to begin Januarys transactions.

3. Post the transactions to the general ledger accounts.

4. Prepare the Trial Balance section of the worksheet.

5. Prepare the Adjustments section of the worksheet.

a. Compute and record the adjustment for supplies used during the month. An inventory taken on January 31 showed supplies of $4,200 on hand.

b. Compute and record the adjustment for expired insurance for the month.

c. Record the adjustment for one month of expired rent of $4,000

d. Record the adjustment for depreciation of $183 on the old equipment for the month. The first adjustment for depreciation for the new equipment will be recorded in February.

6. Complete the worksheet.

7. Prepare the income statement for the month.

8. Prepare a statement of owners equity.

9. Prepare a balance sheet using the report form.

10. Journalize and post the adjusting entries.

11. Journalize and post the closing entries.

12. Prepare a postclosing trial balance.

Analyze: Compare the January 31 balance sheet you prepared with the December 31 balance sheet shown on page 167.

a. what changes occurred in total assets, liabilities, and the owners ending capital?

b. What changes occurred in Cash and Accounts Receivable accounts?

c. Has there been an improvement in the firms financial position? Why or why not?

DATE		BUSINESS TRANSACTIONS
	January 2	Purchased supplies for $3,000 cash; issued Check No. 1015.
	2	Purchased & paid for a one-yearinsurance policy for $4,800; issued Check No. 1016.
	7	Sold & provided services during the first week of January. $15,000 in cash sales and
		$1,800 in credit sales.
	12	Collected a total of $1,500 in cash from credit customers during the first week
		of January.
	12	Issued Check No. 1017 for $2,150 to pay for special promotional advertising to
		new businesses on the local radio station during the month.
	13	Collected a total of $2,250 in cash from credit customers during the second week
		of January.
	14	Returned supplies that were damaged for a cash refund of $275.
	15	Sold & provided services during the second week of January. $18,250 in cash sales and
		$2,375 in credit sales.
	20	Purchased supplies for $1,800 from White's, Inc.; received Invoice No. 2384 payable
		in 30 days.
	20	Sold & provided services during the third week of January. $9,050 in cash sales and
		$5,850 in credit sales.
	20	Collected a total of $1,750 in cash from credit customers during the third week
		of January.
	21	Issued Check No. 1018 for $4,250 to pay for maintenance work on the office
		equipment.
	22	Issued Check No. 1019 for $2,750 to pay for special promotional advertising to
		new businesses on the local newspaper.
	23	Received the monthly telephone bill for $410 and paid it with Check No. 1020.
	26	Collected a total of $4,570 in cash from credit customers during the fourth week
		of January.
	27	Issued Check No. 1021 for $2,000 to a vendor, as payment on account for Invoice
		No. 2223.
	28	Sent Check No. 1022 for $1,050 in payment of the monthly bill for utilities.
	29	Sold & provided services during the fourth week of January. $14,050 in cash sales and
		$2,250 in credit sales.
	31	Issued Check No.'s 1023 - 1027 for $15,500 to pay the monthly salaries of the
		regular employees and three part-time workers.
	31	Issued Check No. 1028 for $6,000 for personal use.
	31	Issued Check No. 1029 for $1,050 to pay for maintenance services for the month.
	31	Purchased new equipment for $10,500 from Contemporary Equipment Company;
		issued Check No. 1030 for $5,500and put the rest on account/credit. The equipment
		has a 5 year useful life & no salvage value but depreciation wont begin until February.
	31	Sold & provided services on January 31st. $2,850 in cash sales and $1,450 in credit sales.