This project will give you an opportunity to apply your knowledge of accounting principles and procedures by handling all the accounting work of Eil's Consulting Services for the month of January 2020, Assume that you are the chief accountant for Eli's Consulting Services. During January, the business will use the same types of records and procedures that you learned about in Chapters 1 through 6. The chart of accounts for Ell's Consulting Services has been expanded to include a few new accounts. Follow the instructions on the Requirements tab to complete the accounting records for the month of January DATE TRANSACTIONS Jan - 2 Purchased supplies for $14,000; issued Check 1815. 2 Purchased a one-year insurance policy for $16,800 7. Sold services for $30,000 in cash and $20,000 on credit during the first week of January, 12 Collected a total of $8,890 on account from credit customers during the first week of January 12 Issued Check 1017 for $7,289 to pay for special promotional advertising to new businesses on the local radio station during the month, 13 Collected a total of $9,000 on account from credit customers during the second week of January 14 Returned supplies that were damaged for a cash refund of $1,500 15 Sold services for $41, 480 in cash and $4,600 on credit during the second week of January 20 Purchased supplies for $10.000 from White's, Inc., received invoice 2384 payable in 30 days. 20 Sold services for $25,000 in cash and $7.989 on credit during the third week of January. 20 collected a total of $11,200 on account from credit customers during the third week of January 21 Issued Check 1018 for $14, 130 to pay for maintenance work on the office equipment. 22 Issued Check 1019 for S7,200 to pay for special promotional advertising to new businesses in the local newspaper 28 Received the monthly telephone bill for $2,058 and paid it with check 1020. 26 collected a total of $3,200 on account from credit customers during the fourth week of January, 27 Issued Check 1021 for $6,000 to office Plus as payment on account for Invoice 2223. 2. Sent Check 1022 for $3,350 in payment of the monthly bill for utilities 29 Sold services for $38.988 in cash and $5,508 on credit during the fourth week of January. 31 Issued checks 1023-1027 for $65.600 to pay the monthly salaries of the regular employees and three part-time workers 31 Issued Check 1828 for $24,000 for personal use. 31 Issued Check 1029 for $8,300 to pay for maintenance services for the month 31. Purchased additional equipment for $30,000 from Contemporary Equipment Company issued check 1030 for $20,000 and bought the rest on credit. The equipment has a five year lire and no salvage value 31 Sold services for $15,200 in cash and $3,240 on credit on January 31. ADJUSTMENTS 31 Compute and record the adjustment for supplies used during the month. An inventory taken on January 31 showed 383 SR ALUE 26 Lut SUAR ADJUSTMENTS 31 compute and record the adjustment for supplies used during the month. An inventory taken on January 31 showed Supplies of 59,400 on hand. 31 compute and record the adjustment for expired insurance for the month 31 Record the adjustment for one month of expired rent of $4,000. 31 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 Required: 1. General Ledger tab: Enter the account balances for January 1, 20x2 from the postclosing trial balance prepared on December 31, 20x1, which appears in Figure 63. 2. General Journal tab: Analyze each of the transactions listed for January and record it in the general journal. 3. General Ledger tab: Post the transactions to the general ledger accounts. 4. Worksheet tab: Prepare the Trial Balance section of the worksheet. 5. Worksheet tab: Prepare the Adjustments section of the worksheet using the adjusting transactions 6. Worksheet tab: Complete the worksheet. 7. Income Statement tab: Prepare an income statement for the month. 8. Simt of OE tab: Prepare a statement of owner's equity 9. Balance Sheet tab: Prepare a balance sheet. 10. Adjusting and Closing tab: Record the adjusting erries and the closing entries in the general Journal. 11. General Ledger tab: Post the adjusting entries and the closing entries to the general ledger accounts. 12. Post Closing tab: Prepare a postclosing trial balance. Analyze: Answer the questions on the Analyze tab to compare the January 31 balance sheet you prepared with the December 31 balance sheet shown in Figure 6.4 Complete this question by entering your answers in the tabs below. Requirement General Journal Adjusting and Closing General Ledger Worksheet Income Statement Strnt of OE Bal Sheet Pastclosing Analyze ELIS CONSULTING SERVICES Worksheet Month Ended January 31, 20X2 Adjustments Adjusted Trial Balance Debit Credit Debit Credit Inco Account Name Trial Balance Debit Credit Debit + Cash Accounts receivable Supplies Prepaid insurance Prepaid rent Equipment Accumulated depreciation --Equipment Accounts payable Trayton Ell, Capital Trayton El, Drawing Income Summary Fees income Salaries expense Les expense Supplies expense Insurance expensie Rent expense Depreciation expense-Equipment Advertising expense Telephone extenso i Supplies Prepaid insurance Prepaid rent Equipment Accumulated depreciation-Equipment Accounts payable Trayton Ell, Capital Trayton Ell, Drawing Income summary Fees income Salaries expense Utilities expense Supplies expense Insurance expense Rent expense Depreciation expense-Equipment Advertising expense Telephone expense Maintenance expense Sub-totals 0 $ 0 0 $ Totals General Ledg tments section using the adjusting transactions. Now complete the worksheet. ELI'S CONSULTING SERVICES Worksheet Month Ended January 31, 20X2 Adjustments Adjunted Trial Balance Debit Credit Debit Credit Income Statement Debit Credit Balance Sheet Debit Credit This project will give you an opportunity to apply your knowledge of accounting principles and procedures by handling all the accounting work of Eil's Consulting Services for the month of January 2020, Assume that you are the chief accountant for Eli's Consulting Services. During January, the business will use the same types of records and procedures that you learned about in Chapters 1 through 6. The chart of accounts for Ell's Consulting Services has been expanded to include a few new accounts. Follow the instructions on the Requirements tab to complete the accounting records for the month of January DATE TRANSACTIONS Jan - 2 Purchased supplies for $14,000; issued Check 1815. 2 Purchased a one-year insurance policy for $16,800 7. Sold services for $30,000 in cash and $20,000 on credit during the first week of January, 12 Collected a total of $8,890 on account from credit customers during the first week of January 12 Issued Check 1017 for $7,289 to pay for special promotional advertising to new businesses on the local radio station during the month, 13 Collected a total of $9,000 on account from credit customers during the second week of January 14 Returned supplies that were damaged for a cash refund of $1,500 15 Sold services for $41, 480 in cash and $4,600 on credit during the second week of January 20 Purchased supplies for $10.000 from White's, Inc., received invoice 2384 payable in 30 days. 20 Sold services for $25,000 in cash and $7.989 on credit during the third week of January. 20 collected a total of $11,200 on account from credit customers during the third week of January 21 Issued Check 1018 for $14, 130 to pay for maintenance work on the office equipment. 22 Issued Check 1019 for S7,200 to pay for special promotional advertising to new businesses in the local newspaper 28 Received the monthly telephone bill for $2,058 and paid it with check 1020. 26 collected a total of $3,200 on account from credit customers during the fourth week of January, 27 Issued Check 1021 for $6,000 to office Plus as payment on account for Invoice 2223. 2. Sent Check 1022 for $3,350 in payment of the monthly bill for utilities 29 Sold services for $38.988 in cash and $5,508 on credit during the fourth week of January. 31 Issued checks 1023-1027 for $65.600 to pay the monthly salaries of the regular employees and three part-time workers 31 Issued Check 1828 for $24,000 for personal use. 31 Issued Check 1029 for $8,300 to pay for maintenance services for the month 31. Purchased additional equipment for $30,000 from Contemporary Equipment Company issued check 1030 for $20,000 and bought the rest on credit. The equipment has a five year lire and no salvage value 31 Sold services for $15,200 in cash and $3,240 on credit on January 31. ADJUSTMENTS 31 Compute and record the adjustment for supplies used during the month. An inventory taken on January 31 showed 383 SR ALUE 26 Lut SUAR ADJUSTMENTS 31 compute and record the adjustment for supplies used during the month. An inventory taken on January 31 showed Supplies of 59,400 on hand. 31 compute and record the adjustment for expired insurance for the month 31 Record the adjustment for one month of expired rent of $4,000. 31 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 Required: 1. General Ledger tab: Enter the account balances for January 1, 20x2 from the postclosing trial balance prepared on December 31, 20x1, which appears in Figure 63. 2. General Journal tab: Analyze each of the transactions listed for January and record it in the general journal. 3. General Ledger tab: Post the transactions to the general ledger accounts. 4. Worksheet tab: Prepare the Trial Balance section of the worksheet. 5. Worksheet tab: Prepare the Adjustments section of the worksheet using the adjusting transactions 6. Worksheet tab: Complete the worksheet. 7. Income Statement tab: Prepare an income statement for the month. 8. Simt of OE tab: Prepare a statement of owner's equity 9. Balance Sheet tab: Prepare a balance sheet. 10. Adjusting and Closing tab: Record the adjusting erries and the closing entries in the general Journal. 11. General Ledger tab: Post the adjusting entries and the closing entries to the general ledger accounts. 12. Post Closing tab: Prepare a postclosing trial balance. Analyze: Answer the questions on the Analyze tab to compare the January 31 balance sheet you prepared with the December 31 balance sheet shown in Figure 6.4 Complete this question by entering your answers in the tabs below. Requirement General Journal Adjusting and Closing General Ledger Worksheet Income Statement Strnt of OE Bal Sheet Pastclosing Analyze ELIS CONSULTING SERVICES Worksheet Month Ended January 31, 20X2 Adjustments Adjusted Trial Balance Debit Credit Debit Credit Inco Account Name Trial Balance Debit Credit Debit + Cash Accounts receivable Supplies Prepaid insurance Prepaid rent Equipment Accumulated depreciation --Equipment Accounts payable Trayton Ell, Capital Trayton El, Drawing Income Summary Fees income Salaries expense Les expense Supplies expense Insurance expensie Rent expense Depreciation expense-Equipment Advertising expense Telephone extenso i Supplies Prepaid insurance Prepaid rent Equipment Accumulated depreciation-Equipment Accounts payable Trayton Ell, Capital Trayton Ell, Drawing Income summary Fees income Salaries expense Utilities expense Supplies expense Insurance expense Rent expense Depreciation expense-Equipment Advertising expense Telephone expense Maintenance expense Sub-totals 0 $ 0 0 $ Totals General Ledg tments section using the adjusting transactions. Now complete the worksheet. ELI'S CONSULTING SERVICES Worksheet Month Ended January 31, 20X2 Adjustments Adjunted Trial Balance Debit Credit Debit Credit Income Statement Debit Credit Balance Sheet Debit Credit
