You will be required to create company and do one month worth of transactions. At the end of the

month, you will need to produce a Balance Sheet, Profit and Loss statement and print the Transactions

Detail Report. These are the reports that you will be sending me.

Basic Requirements:

1 - I will give everyone $25,000 to begin your business. (Remember to do beginning equity journal

entry with this number)

2 - You must have 1 full time employee and 1 part time (you can have more if you chose) Employees will

be paid every two weeks, therefore you will have 2 payrolls in this assignment. Remember employee

and employer taxes.

3 - Minimum of 5 Customer Invoices. The Invoices will give you Accounts Receivable and Revenue. In

addition to the required 5 customer invoices, you can include cash sales, Revenue and Cash.

4 - You as the owner must make 1 Withdrawl from the business for personal use. Make sure you use the

owner's drawing account.

5 - You must have 1 Fixed Asset on the books and you must do the depreciation entry for that asset in

your month. (Truck, Delivery Van, Expensive Computer)

6 - You can borrow money if you need additional capital. If you borrow money then you will have a Note

Payable.

7 - You have to rent space for this business, no working out of your home, so you will have Rent

expense.

8 - You must purchase Insurance, so you will have Insurance Expense and maybe Prepaid Insurance.

9 - Depending on what type of business you have, the product may be taxable. Make sure you research

to see if it is. If so, you will have a Sales tax payable Account.

10 - Examples of Expenses you might/should have:

- Rent Expense

- Utility Expense

- Salary Expense

- Employer Tax Expense

- Telephone Expense

- Supplies Expense

- Insurance Expense

- Vehicle Expense

- Any other Expense that goes with your business

11 - Depending on your Business, you may have Inventory. If you have Inventory, you will have

Accounts Payable and Cost of Goods Sold.