Where do I start this assignment? What do I need to complete first and where do I go from there? Please help.

Kruisin Kayak Co. manufactures and sells both single and double kayaks. They follow IFRS so prepare their financial statements using GAAP-IFRS on a quarterly basis. Their year-end is December 31.

Kruisin Kayak has completed their statements for December 31, 2020 and are looking for your help to complete the transactional journal entries, quarter-end adjusting entries, and preparation of the Income Statement and Statement of Financial Position for the quarter-ended March 31, 2021.

Kruisin has provided you with an Excel file with information on their sales, deposits, and payments for their year to date. You will use this information to prepare journal entries for these transactions. Be careful to only prepare entries up to the quarter-ended March 31, 2021. Some accruals may also be needed.

The directives of the assignment are as follows:

- Preparation of Journal Entries in clear form 20

(Closing entries, Sales entries, Payment entries, Deposits entries, and quarterly Adjusting Entries needed)

-Preparation of General Ledger 20 (post all entries from tabs onto Trial Balance 12 31 20 tab as summary GL)

-Preparation of Financial Statements as follows:

Schedule of Cost of Goods Sold (See Note a) 20

Comparative Income Statement (See Note b) 10

Comparative Statement of Financial Position (See Note c) 20

High level discussion of key variances for the quarter (as compared to 2020 Q1 & Q4) for:

Gross margin $ and % 8

Period expenses 2

Total 100

> This can all be completed in the excel file that has been provided.

> Ensure that you complete all the tabs provided, include all backup, and ensure all the Requireds above are completed.

ADDITIONAL INFORMATION

1. All sales are FOB Shipping Point and on account. The billing date and shipping are the same.

2. The company calculates COGS using the average cost of Finished Goods. For simplicity, calculate

   average cost at March 31 prior to recording Cost of Sales for the quarter.

3. Depreciation for the first quarter of 2021 needs to be recorded:

Manufacturing Factory $27,000 Admin (operating) $4,500

4. Actual Direct labour hours (DLH) incurred:

   Singles - 810 hours Doubles - 950 hours

5. Predetermined overhead rate is $37.50 per DLH

6. Direct materials charged to Finished Goods: Singles - $65.00 each Doubles - $70.00 each

7. Supplies inventory at March 31, 2021 is $33,800.

8. Raw Materials Inventory at March 31, 2021 is $113,110.

9. WIP inventory at March 31, 2021 is $124,860.

10. All variances (over/under applied MOH, labour and materials) are allocated to COGS through WIP.

11. Finished goods inventory at March 31, 2021 is:

    Singles - 182 units Doubles - 165 units

12. Finished goods inventory at Dec 31, 2020 was:

    Singles - 189 units (cost = $145 each) Doubles - 120 units (cost = $158 each)

13. Income taxes payable must be recorded for the quarter. Ignore timing differences/future income taxes. The estimated tax rate is 20%