excel work help…plz experts only in excel finance

i will send u work …i have already done but want some changes according to my friends work respond only if u are expert in excel and finance ..

it needs to be filled out like sample one….plz experts only

2

>Cover

page

Intro

Introduction Queta Johnson is about to open a new business –

Chocolate Nirvana

. It will be a small chocolate specialties store. She plans on selling a limited number of hand-made molded candies, some of which are holiday specific and others that are of a more generic nature, as well as carrying a line of top-end candy bars. The majority of her sales will come from walk-in customers which will all be on a cash only basis. She anticipates working full-time at the store and needing the help of four part-time employees. She uses a perpetual FIFO (First-in, First-Out) method to account for her inventory. So, every time you record a sale of merchandise you must also figure out the cost of the goods (determined from recording it in the merchandise inventory sheets and applying FIFO). The purpose of this practice set is to allow you the chance to see how each of the separate components we have worked on this semester fit together. As you complete the set, you may find it necessary to look back at what we learned in various chapters to help remember exactly what to do. Instructions 1

. Be sure to complete each form before moving on to the next form. 2. Read the form and decide which journal to put it in. 3

. First – journalize the form into ONE of the journals. If it can go into one of the special journals, that is where you first put it. Only if you cannot (the transaction does not work for any of them) would you record it in the general journal. It would never go in two journals but it does have to go in one – you cannot record it anywhere else until you have journalized it. CASH PAYMENTS JOURNAL

– Use this if you are told to write a check. It must go in the

Cash

credit column, which means that it must also go to the check book and write out a check. Why did we pay it? On account would go in the

Account

s Payable

debit column, you would need the name of the business off to the left, and it would need to be recorded in the

Accounts Payable

subidiary. Some other reason? Would need to go in the Other column and you would need the name of an account from the chart of accounts. If we have an asset relating to what we are paying for we should use that. If not then we can use the expense or other appropriate account. If we pay for more

than

one thing with the single check we will need 2 lines to record it so that we can properly show the details. CASH RECEIPTS JOURNAL

– Use this one if you receive money FOR ANY REASON. The total amount of cash received must go in the Cash debit column and into the check book as a deposit. Why did you get the money? If you received it for a summary of cash sales, you must credit

Sales – Store Sales

and

Sales Tax Payable

. These numbers come from the bottom of the cash sales form. Then we must also take the things we sold into the merchandsie inventory sheets and record them as sales and determine what our COST in the goods sold would be. This is based on what we learned in chapter

7

. If we received it for any other reason it needs to go in the Other column and we need the name of an account on the left. PURCHASES JOURNAL

– Used if you buy something on account (or receive a service that you will be paying for a bit later). Because everything in this journal will include a credit to Accounts Payable you will need the name of the business off to the left and have to take it to the Accounts Payable Subsidiary. Then, what did you buy? Merchandise? Then also put it in the

Merchandise

Inventory

column and have to take it to the Inventory sheets and show the purchase. Something else? Then over on the right, put the amount in and then find an account from the chart of account that matches what you have gotten. SALES JOURNAL – This business does not use a sales journal GENERAL JOURNAL

– Only if you cannot record it in one of these four journals would you record it in the general journal. Which means you should not record anything here that affects Cash. We study payroll in chapter

11

. We will also use the general journal for our adjusting and closing entries. Payroll – record the payroll as instructed – 1) into their employee earnings records, 2) then transfer the information into the payroll register and 3) after totaling the payroll register use that information to prepare a general journal entry and then from what we learned in chapter 11 also prepare the entry to record payroll tax expense. Specific data for each individual regarding their pay rate, status and number of allowances can be found on their earnings record sheets. Actual hours worked are given on the form.

Federal Income Tax

withholding amounts are found on the chart near the front of the booklet. First detemine their gross wages, then based on their claimed marital status go to the appropriate chart (married or single – in the front of the book) and find the intersection of their gross wages and how many allowances they are claiming. This is the dollar amount to take for their income tax withholding. Prepare the journal entries based off what we were taught in the textbook. 4

. After journalizing all forms, total up every column from all four special journals and write down your total on the journal page. Compare your totals with the check figures. Do they match? If they do not, determine how far off they are. Try to determine where the error would come from. 5

. Once you have your totals correct, begin posting into the general ledger. You must post all 5 journals (includes the general journal!!!) From the special journals, if you have the name of an account in the column heading, you will post ONLY the total from that column into the general ledger as either a debit (DR) or a credit (CR) based on what is shown in the column heading.

For

the “Other” columns you must post each amount individually. This comes from chapter 5. Notice in chapter 5 how your post reference numbers should look. From the general journal you need to post every account you have used. 6

. As you post in the general ledger, keep running balances. Remember if you have a debit balance and a debit transaction they are added and stay a debit. If you have a credit balance and a credit transaction they are added and stay a credit. If you have one as a debit and the other as a credit they are subtracted and the balance goes to the higher side. Remember the rules for normal balances! Do not worry about an account’s balance too much until you have posted all transactions – at that time all accounts should have their “normal” balance.

7 After posting all numbers from the journals into the general ledger, go to the

Unadjusted Trial
Balance

in the back of the booklet. Write down each account, in order, from the general ledger that has a balance (you will have many accounts that do not yet have balances) and write in the balance amount – debit or credit – and add up your balances. Check your totals (this is a Trial BALANCE so your two balances should be the same) and compare to the check figures.

8

. Use your chart of accounts page to begin work on your worksheet. List all accounts, in order, except you do not need to list Notes Payable – current,

Income Summary

, or

Miscellaneous Expense

. 9

. For the accounts on your unadjusted trial balance, fill in their balances on to the worksheet in the

Unadjusted Trial Balance

columns. Leave all other accounts blank for these columns. 1

0

. Journalize your adjusting entries in the general journal. You are given the information here, but you will need to also use the chart of accounts, sometimes you will need to look back at the form where we originally got the information we recorded for this charge, or you may need to look up on the forms, the ledger, or the trial balance a cost amount. Prepare month end adjusting entries based on the following data for OCTOBER: a) Record accrued interest on the long term note for 3 days –

$ 13

.56 b) Depreciation – calculate depreciation for JUST the month of October based on the following information: Store Equipment

– 5 year life, $

30

00 salvage value, use straight line depreciation Office Equipment

– 5 year life, $

20

0

salvage value, use straight line depreciation c) Record entry for expired insurance d) Currently there are $45 worth of office supplies on hand e) Currently there are $

90

worth of store supplies on hand f) Record entry for amount of advertising expired for the period just ended g) Record wages earned, but unpaid, on Oct

31

of $1

10 11. Post your adjusting entries into the general ledger and get new running balances. Remember from chapter 3 what date we use and how we show this in the ledger. 12

. Also, add your adjusting entries on to the worksheet in the

Adjustments

column. You will total your adjusting entries here.

13. You can now complete the worksheet. Your

Adjusted Trial Balance

columns should match your general ledger balances. What accounts need to get extended into the

Income Statement

columns (based on the Adjusted Trial Balance numbers) and which ones need to go into the

Balance Sheet

columns? Look at chapter 4 if you can’t remember. Also, check chapter 4 to remind yourself how to show the totals on the bottom of the last page of the worksheet.

14

. You are now ready to prepare your financial statements. Be sure to use chapter 6 examples as references. 15

. Your Accounts Payable Vendor balance (Schedule of Accounts Payable) is from chapter 5. Simply list each vendor that you owe money to (Accounts Payable) and total them (example in chapter 5). You do not have to list any business that does not have a balance at the end of the month. 16

. Income Statement – use a multiple step format. What all do you show, and in what columns (chapter 6) to get to gross profit? Where do you show

Interest Expense

? The company decided not to separate their operating expenses into selling and administrative but rather to list them all under Operating Expenses unless they are considered to be Other Expenses. 17

. Statement of Owner’s Equity – were we in business last month? Does that affect how we show anything on this statement? 18

. Balance Sheet – be sure to use the classified format as described and illustrated in chapter 6. They show their Note Payable as a noncurrent liability rather than splitting it between current and noncurrent. 19

. You are now ready to prepare your closing entries. These need to be journalized in the general journal. Use chapter 4 as a reference. If you prepared your worksheet correctly this is a great help in preparing the closing entries. Remember, though, we may have some accounts now that we did not have back in chapter 4 that still need to be closed because of the type of account they are. We close revenues and expenses – where are they found on the balance sheet? What amount should we have for the third entry? What are we trying to close in the 4th entry? 20. After journalizing the closing entries, you then need to post them into the general ledger. Do we put something in the item column? 21

. After posting the closing entries, you will then prepare the post-closing trial balance. Which accounts should still be open? Be sure to use your textbook as a reference as you work through this set. All of this information comes from work in our textbook. Before turning in your completed practice set – Please be sure to put your name on it

chart of accts

Chocolate Nirvana

Cash

0

Sales – Store Sales

0

of Merchandise Sold

Office Equipment

Store Equipment

0

Accounts Payable

Tax Payable

Payable

Miscellaneous Expense

Interest Expense

Income Summary

Chart of Accounts
ASSETS	REVENUE
	100		41
	112		Office Supplies
	113		Store Supplies
	114		Prepaid Insurance	COST OF GOODS SOLD
	115		Prepaid Advertising		51							Cost
	120	Merchandise Inventory
	150
	151	Accumulated Depreciation – Office Equip	OPERATING EXPENSES
	160		61		Advertising Expense
	161	Accumulated Depreciation – Store Equip		615	Depreciation Exp – Store Eq
	620		Wages Expense
6								25		Store Supplies Expense
LIABILITIES		65		Rent Expense
	210		660	Depreciation Exp – Office Eq
	211		Interest Payable		665		Insurance Expense
	213	Sales Tax Payable		670		Payroll Tax Expense
	214		Employee’s Federal Income Tax Payable		675		Office Supplies Expense
	215			Social Security		6	80		Telephone Expense
	216							Medicare Tax		685	Utilities Expense
	217		FUTA Tax Payable		690
	218		SUTA Tax Payable
	219		Wages Payable
	250		Notes Payable – Non Current	OTHER EXPENSE
	810
OWNERS’ EQUITY
	310		Queta Johnson, Capital
	311		Queta Johnson, Drawing
	312

Fed Inc Tax Withholding Amts

Persons

than 0 1 2 3 4 5

0 200 0 0 0 0 0 0
200

0

15 12 8 4 0 0

30

17 11 5 2

700

31

17 13 9

1200

25 19 11

1800

31 24 16

2500

00

65 58 51 40 30 22

Persons

If the wages are And the number of withholding allowances claimed is
But less
At least than 0 1 2 3 4 5
The amount of income tax to be withheld is

0 400 0 0 0 0 0 0
400 700 9 5 2 0 0 0
700

17 12 7 5 3 0

1000

0

40

19 14 5

1400 1800

46

25 19 11

1800 2500 61 52 41 34 24 20

These are the Federal Income Tax Withholding DOLLAR amounts to
use for our practice set

		Single
	If the wages are		And the number of withholding allowances claimed is
	But less
	At least
	The amount of income tax to be withheld is
			40
	400				700				22
	1200	38					24
			1800		46	39		33
		2500		58	47	42
						32
	These are the Federal Income Tax Withholding DOLLAR amounts to
	use for our practice set
		Married
	1000
		140		34			27
	52	37
The numbers used in these charts do not reflect actual IRS numbers

Check Figures

Check Figures – Chocolate Nirvana Purchase Journal Accounts Payable

49,147.80 Merchandise Inventory

48,117.80 Other

1,030.00 Cash Receipts Journal Other

30,000.00 Merchandise Inventory / COGS 45,709.56 Sales – Store Sales 93,539.25 Sales Tax Payable 6,547.76 Cash 130,087.01 Cash Payments Journal Other

37,008.73 Accounts Payable

34,312.30 Cash 71,321.03 After posting your journals here are some selected balances: Cash

58,765.98 Merchandise Inventory

2,408.24 Accounts Payable

14,835.50 After computing payroll total net pay for all employees 4,910.75 End of month activities:

Work Sheet

:

Trial Balance 150,042.91 Adjustments 1,5

28

.56 Adjusted Trial Balance 150,466.47 Income Statement (very bottom)

93,539.25
Balance Sheet (very bottom ) 91,209.22 Income Statement: Sales

93,539.25
Gross Profit 47,8

29

.69

To

tal

Operating Expenses 13,370.40

Net Income

34,282.00 Statement of Owner’s Equity: Queta Johnson, October 31, 2016 36,782.00 Balance Sheet:

Total

Current

Assets

62,509.22 Total Property, Plant, & Equipment 20,900.00 Total Assets 62,360.24 Total Current Liabilities 28,002.22 Total Non-Current Liabilities 18,

625

.00 Total Liabilities 46,627.22 Total Liabilities plus Owner’s Equity 83,409.22 Post-Closing Trial Balance:

Debit

s and credit 83,709.22

purchase journal

PURCHASES JOURNAL

ED

POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15

Page 1

DATE 2016

ACCOUNT

CREDIT

POST REF

Accounts Payable CR.

Merchandise Inventory DR.

ACCOUNT DR.

Amount

cash receipts journal

CASH RECEIPTS JOURNAL Page 1

ACCOUNT CREDITED POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9

10 10
11 11
12 12
13 13
14 14
15 15

DATE 2016	INV NO	Other CR	Merch Inventory CR. COGS DR.	Sales – Store Sales CR.	Sales Tax Pay CR.	Cash DR
– 0

cash payments journal

CASH PAYMENTS JOURNAL Page 1

ED

POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
11 11
12 12
13 13
14 14
16 16
17 17
18 18
19 19
20 20

DATE 2016

Check No.

ACCOUNT

DEBIT

Other Accounts DR.

Accounts Payable DR.

Cash CR.

General Journal

GENERAL JOURNAL Page 1

DEBIT CREDIT

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

13 13
14 14

21 21
22 22

23

24 24
25 25

26

27 27
28 28
29 29
30 30
31 31
32 32
33 33
GENERAL JOURNAL

DESCRIPTION

Debit

1

2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

19 19
20 20

21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

GENERAL JOURNAL

DATE 2016 DESCRIPTION POST. REF. Debit Credit

1

2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9

10 10

11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

DATE 2016

DESCRIPTION

POST REF.

23

26

Page 2

DATE 2016

POST. REF.

Credit

Adjusting Entries

Page 3

Closing Entries

accts pay sub

2016

Debit Credit Balance

Name

Address

Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

ACCOUNTS PAYABLE SUBSIDIARY LEDGER

Name

Antwerp Supreme

Address

337 Prumer Str., Antwerp, Belgium

Date

Item

Post. Ref.

Chocolate Delights

48956 257th Ave NE, Minneapolis, MN 55444

Date 2016

Fireplace Supplies

368 Express Place,

Westminster, SD 58307

TA & A Bell

251 381st St, Westminster, SD 58307

XY Energy

461 2nd St, Westminster, SD 58307

Merchandise Inventory sub

Inventory

Total Unit Total Unit Total

Date

Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

C – 101

Item Description

Christmas

Purchases

Cost of Merchandise Sold

Unit

Qty

D – 101

Dark Chocolate

H – 101

Halloween

M – 101

Milk chocolate

T – 101

Thanksgiving

Check book

1001

Date
To 20 16
For

$

Deposit

Dollars

1002

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check

Balance For

1003

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1004

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1005

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1006

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1007

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1008

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1009

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1010

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1011

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1012

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1013

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

No.

1001

Dollars

Cents

Balance Forward

Pay to the

Deposit

Order of

Sub Total

Current Check

Balance

For

No.

1002

No.

1003

No.

1004

No.

1005

No.

1006

No.

1007

No.

1008

No.

1009

No.

1010

No.

1011

No.

1012

No.

1013

General Ledger

Account Cash

100

Date 2016 Item Post. Ref. Debit Credit

Account Office Supplies Account No. 112

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Supplies Account No. 113

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Prepaid Insurance Account No. 114

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Prepaid Advertising Account No. 115

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Merchandise Inventory Account No. 120

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Office Equipment Account No. 150

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 151

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Equipment Account No. 160

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 161

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Accounts Payable Account No. 210

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Interest Payable Account No. 211

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Sales Tax Payable Account No. 213

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Employee’s Federal Income Tax Payable Account No. 214

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Payable Account No. 215

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Medicare Tax Payable Account No. 216

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account FUTA Tax Payable Account No. 217

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account SUTA Tax Payable Account No. 218

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Wages Payable Account No. 219

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Notes Payable – Non Current Account No. 250

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Queta Johnson, Capital Account No. 310

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Queta Johnson, Drawing Account No. 311

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Income Summary Account No. 312

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Sales – Store Sales Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Advertising Expense Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 615

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Wages Expense Account No. 620

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Supplies Expense Account No. 625

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Rent Expense Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 660

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Insurance Expense Account No. 665

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Payroll Tax Expense Account No. 670

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Office Supplies Expense Account No. 675

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Telephone Expense Account No. 680

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Utilities Expense Account No. 685

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Miscellaneous Expense Account No. 690

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Interest Expense Account No. 810

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account No.

Balance Debit Credit

Accumulated Depreciation – Office Equipment

Accumulated Depreciation – Store Equipment

Social Security Tax

410

Cost of Goods Sold

510

610

Depreciation Expense – Store Equipment

650

Depreciation Expense – Office Equipment

Employee Earnings Records

:

Social Security

Single

Westminster, SD 58307

3

140

Federal Income Tax Social Security Tax Medicare Tax

1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Address:

Status: Single

Westminster, SD 58307 Allowances: 0
Pay Rate per hour:

Hours:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax

Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2
Pay Rate per hour:

Hours: 90

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2

Pay Rate per hour:

Hours: 80

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name

Sue A. Doll

501-08-1111

Address:

231 Crescent Street

Status:

Allowances:

Pay Rate per hour:

$14.00

Hours:

Pay Period Ending

Gross Earnings

Cumulative Earnings

Total

Deductions

Net Pay

Angie Faust

Social Security #:

501-08-2222

2216 Ave D East

$10.75

127

Total Deductions

Marge Hoffman

501-08-3333

152 Columbia Blvd

$13.25

Thomas Kapp

501-08-4444

3248 Manitoba Ave

$11.50

Payroll Register

Chocolate Nirvana
Payroll Register
Gross Earnings Deductions

Employee Name Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay Check No.

1

2 Angie Faust 2
3 Marge Hoffman 3
4 Thomas Kapp 4

5 5

6

7 7
8 8
9 9

Account Debited

Wages Expense (Gross Wages)

Sue Doll

TOTALS

Unadjusted Trial Balance

Chocolate Nirvana

Unadjusted Trial Balance
DEBIT CREDIT

Work Sheet

Chocolate Nirvana

Work Sheet
Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement

Balance Sheet

Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22

Chocolate Nirvana
Work Sheet

Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
Account Title Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
1 1
2 2
3 3
4 4

5 5

6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15

16 Net Income 16

17 17

18 18

19 19
20 20
21 21

Account Title

Sch of Acc Pay

Chocolate Nirvana

ACCOUNT

Schedule of Accounts Payable (Accounts Payable Creditor Balances)

Income Statement

Chocolate Nirvana

Income Statement

Stmt of Owners’ Equity

Chocolate Nirvana

Statement of Owners’ Equity

Balance Sheet

Chocolate Nirvana
Balance Sheet

Assets

Post Closing TB

Chocolate Nirvana

ACCOUNT DEBIT CREDIT

Post Closing Trial Balance

2

>Cover

page

Intro

Introduction Queta Johnson

is about to open a new business –

Chocolate Nirvana

. It will be a small chocolate specialties store. She plans on selling a limited number of hand

–

made molded candies, some of which are holiday specific and others that are of a more generic nature, as well as carrying a line of top-end candy bars. The majority of her sales will come from walk-in customers which will all be on a cash only basis. She anticipates working full-time at the store and needing the help of four part-time employees. She uses a perpetual FIFO (First-in, First-Out) method to account for her inventory. So, every time you record a sale of merchandise you must also figure out the cost of the goods (determined from recording it in the merchandise inventory sheets and applying FIFO). The purpose of this practice set is to allow you the chance to see how each of the separate components we have worked on this semester fit together. As you complete the set, you may find it necessary to look back at what we learned in various chapters to help remember exactly what to do. Instructions 1

. Be sure to complete each form before moving on to the next form. 2. Read the form and decide which journal to put it in. 3

. First – journalize the form into ONE of the journals. If it can go into one of the special journals, that is where you first put it. Only if you cannot (the transaction does not work for any of them) would you record it in the general journal. It would never go in two journals but it does have to go in one – you cannot record it anywhere else until you have journalized it. CASH PAYMENTS JOURNAL

– Use this if you are told to write a check. It must go in the

Cash

credit column, which means that it must also go to the check book and write out a check. Why did we pay it? On account would go in the

Account

s Payable

debit column, you would need the name of the business off to the left, and it would need to be recorded in the

Accounts Payable

subidiary. Some other reason? Would need to go in the Other column and you would need the name of an account from the chart of accounts. If we have an asset relating to what we are paying for we should use that. If not then we can use the expense or other appropriate account. If we pay for more

than

one thing with the single check we will need 2 lines to record it so that we can properly show the details. CASH RECEIPTS JOURNAL

– Use this one if you receive money FOR ANY REASON. The total amount of cash received must go in the Cash debit column and into the check book as a deposit. Why did you get the money? If you received it for a summary of cash sales, you must credit

Sales – Store Sales

and

Sales Tax Payable

. These numbers come from the bottom of the cash sales form. Then we must also take the things we sold into the merchandsie inventory sheets and record them as sales and determine what our COST in the goods sold would be. This is based on what we learned in chapter

7

. If we received it for any other reason it needs to go in the Other column and we need the name of an account on the left. PURCHASES JOURNAL

– Used if you buy something on account (or receive a service that you will be paying for a bit later). Because everything in this journal will include a credit to Accounts Payable you will need the name of the business off to the left and have to take it to the Accounts Payable Subsidiary. Then, what did you buy? Merchandise? Then also put it in the

Merchandise

Inventory

column and have to take it to the Inventory sheets and show the purchase. Something else? Then over on the right, put the amount in and then find an account from the chart of account that matches what you have gotten.

SALES JOURNAL – This business does not use a

sales journal

GENERAL JOURNAL

– Only if you cannot record it in one of these four journals would you record it in the general journal. Which means you should not record anything here that affects Cash. We study payroll in chapter

11

. We will also use the general journal for our adjusting and

closing

entries. Payroll – record the payroll as instructed – 1) into their employee earnings records, 2) then transfer the information into the payroll register and 3) after totaling the payroll register use that information to prepare a general journal entry and then from what we learned in chapter 11 also prepare the entry to record payroll tax expense. Specific data for each individual regarding their pay rate, status and number of allowances can be found on their earnings record sheets. Actual hours worked are given on the form.

Federal Income Tax

withholding amounts are found on the chart near the front of the booklet. First detemine their gross wages, then based on their claimed marital status go to the appropriate chart (married or single – in the front of the book) and find the intersection of their gross wages and how many allowances they are claiming. This is the dollar amount to take for their income tax withholding. Prepare the journal entries based off what we were taught in the textbook. 4

. After journalizing all forms, total up every column from all four special journals and write down your total on the journal page. Compare your totals with the check figures. Do they match? If they do not, determine how far off they are. Try to determine where the error would come from. 5

. Once you have your totals correct, begin posting into the general ledger. You must post all 5 journals (includes the general journal!!!) From the special journals, if you have the name of an account in the column heading, you will post ONLY the total from that column into the general ledger as either a debit (DR) or a credit (CR) based on what is shown in the column heading.

For

the “Other” columns you must post each amount individually. This comes from chapter 5. Notice in chapter 5 how your post reference numbers should look. From the general journal you need to post every account you have used. 6

. As you post in the general ledger, keep running balances. Remember if you have a debit balance and a debit transaction they are added and stay a debit. If you have a credit balance and a credit transaction they are added and stay a credit. If you have one as a debit and the other as a credit they are subtracted and the balance goes to the higher side. Remember the rules for normal balances! Do not worry about an account’s balance too much until you have posted all transactions – at that time all accounts should have their “normal” balance.

7 After posting all numbers from the journals into the general ledger, go to the

Unadjusted Trial
Balance

in the back of the booklet. Write down each account, in order, from the general ledger that has a balance (you will have many accounts that do not yet have balances) and write in the balance amount – debit or credit – and add up your balances. Check your totals (this is a Trial BALANCE so your two balances should be the same) and compare to the check figures.

8

. Use your chart of accounts page to begin work on your worksheet. List all accounts, in order, except you do not need to list Notes Payable – current,

Income Summary

, or

Miscellaneous Expense

. 9

. For the accounts on your unadjusted trial balance, fill in their balances on to the worksheet in the

Unadjusted Trial Balance

columns. Leave all other accounts blank for these columns. 1

0

. Journalize your adjusting entries in the general journal. You are given the information here, but you will need to also use the chart of accounts, sometimes you will need to look back at the form where we originally got the information we recorded for this charge, or you may need to look up on the forms, the ledger, or the trial balance a cost amount. Prepare month end adjusting entries based on the following data for OCTOBER: a) Record accrued interest on the long term note for 3 days –

$ 13

.56 b) Depreciation – calculate depreciation for JUST the month of

Oct

ober based on the following information: Store Equipment

– 5 year life, $

30

00 salvage value, use straight line depreciation Office Equipment

– 5 year life, $

20

0 salvage value, use straight line depreciation c) Record entry for expired insurance d) Currently there are $45 worth of office supplies on hand e) Currently there are $90 worth of store supplies on hand f) Record entry for amount of advertising expired for the period just ended g) Record wages earned, but unpaid, on

Oct 31

of $1

10 11. Post your adjusting entries into the general ledger and get new running balances. Remember from chapter 3 what date we use and how we show this in the ledger. 12

. Also, add your adjusting entries on to the worksheet in the

Adjustments

column. You will total your adjusting entries here.

13. You can now complete the worksheet. Your

Adjusted Trial Balance

columns should match your general ledger balances. What accounts need to get extended into the

Income Statement

columns (based on the Adjusted Trial Balance numbers) and which ones need to go into the

Balance Sheet

columns? Look at chapter 4 if you can’t remember. Also, check chapter 4 to remind yourself how to show the totals on the bottom of the last page of the worksheet.

14

. You are now ready to prepare your financial statements. Be sure to use chapter 6 examples as references. 15

. Your Accounts Payable Vendor balance (Schedule of Accounts Payable) is from chapter 5. Simply list each vendor that you owe money to (Accounts Payable) and total them (example in chapter 5). You do not have to list any business that does not have a balance at the end of the month. 16

. Income Statement – use a multiple step format. What all do you show, and in what columns (chapter 6) to get to gross profit? Where do you show

Interest Expense

? The company decided not to separate their operating expenses into selling and administrative but rather to list them all under Operating Expenses unless they are considered to be Other Expenses. 17

. Statement of Owner’s Equity – were we in business last month? Does that affect how we show anything on this statement? 18

. Balance Sheet – be sure to use the classified format as described and illustrated in chapter 6. They show their Note Payable as a noncurrent liability rather than splitting it between current and noncurrent. 19

. You are now ready to prepare your closing entries. These need to be journalized in the general journal. Use chapter 4 as a reference. If you prepared your worksheet correctly this is a great help in preparing the closing entries. Remember, though, we may have some accounts now that we did not have back in chapter 4 that still need to be closed because of the type of account they are. We close revenues and expenses – where are they found on the balance sheet? What amount should we have for the third entry? What are we trying to close in the 4th entry? 20. After journalizing the closing entries, you then need to post them into the general ledger. Do we put something in the item column? 21

. After posting the closing entries, you will then prepare the post-closing trial balance. Which accounts should still be open? Be sure to use your textbook as a reference as you work through this set. All of this information comes from work in our textbook. Before turning in your completed practice set – Please be sure to put your name on it

chart of accts

Chocolate Nirvana

Chart of Accounts

Cash

Sales – Store Sales

of Merchandise Sold

Office Equipment

Store Equipment

Expense

Accounts Payable

Tax Payable

Payable

Miscellaneous Expense

Interest Expense

Income Summary

	Chart of Accounts
ASSETS	REVENUE
	100						410
			112								Office Supplies
			113							Store Supplies
			114						Prepaid Insurance	COST OF GOODS SOLD
			115							Prepaid Advertising		510			Cost
		120					Merchandise Inventory
	150
		151	Accumulated Depreciation – Office Equip	OPERATING EXPENSES
			160			610			Advertising Expense
		161	Accumulated Depreciation – Store Equip			615	Depreciation Exp – Store Eq
	620			Wages
6												25	Store Supplies
LIABILITIES			650					Rent Expense
		210			660		Depreciation Exp – Office Eq
		211				Interest Payable			665			Insurance Expense
	213	Sales Tax Payable		670				Payroll Tax Expense
	214			Employee’s Federal Income Tax Payable			675			Office	Supplies Expense
	215			Social Security			680					Telephone Expense
	216							Medicare Tax			685			Utilities Expense
	217					FUTA Tax Payable			690
	218					SUTA Tax Payable
		219					Wages Payable
		250		Notes Payable – Non Current	OTHER EXPENSE
			810
OWNERS’ EQUITY
		310							Queta Johnson, Capital
		311					Queta Johnson, Drawing
	312

Fed Inc Tax Withholding Amts

Wages

than

$ – 0 $ – 0 $ – 0 $ – 0 $ – 0 $ – 0

.00

$ – 0 $ – 0

$ 400.00

.00

$ 700.00

.00

$ 17.00

$ 1,200.00

.00

$ 11.00

$ 1,800.00

.00

$ 31.00 $ 24.00

$ 2,500.00

$ 58.00

$ 30.00 $ 22.00

Wages Claimed Number of wihholding Allowances
less

Least than 0 1 2 3 4 5

Income tax for withholding

$ – 0 $ 400.00 $ – 0 $ – 0 $ – 0 $ – 0 $ – 0 $ – 0
$ 400.00 $ 700.00 $ 9.00 $ 5.00 $ 2.00 $ – 0 $ – 0 $ – 0
$ 700.00

$ 17.00 $ 12.00

$ 5.00

$ – 0

$ 1,000.00

$ 40.00

.00

$ 19.00

$ 5.00

$ 1,400.00 $ 1,800.00

$ 46.00

$ 25.00 $ 19.00 $ 11.00

$ 1,800.00 $ 2,500.00

$ 52.00

$ 34.00 $ 24.00

Persons –		Single
	Claimed Number of wihholding Allowances
	less
	Least				0.00	1.00	2.00	3.00	4.00	5.00
	Income tax for withholding
																$ – 0	$				200.00
$ 200.00				$ 400.00	$	15		$ 12.00	$ 8.00	$ 4.00
			$ 700.00		$ 30.00		$											22			$ 17.00		$ 11.00	$ 5.00	$ 2.00
							$ 1,200.00	$ 38.00		$	31.00		$						24	$ 13.00		$ 9.00
			$ 1,800.00		$		46.00	$ 39.00	$			33	$ 25.00	$ 19.00
		$ 2,		500		$ 58.00		$ 47.00	$ 42.00	$ 16.00
	$ 3,200.00	$ 65.00	$ 51.00		$ 40.00
Persons –		Married
						$ 1,000.00	$ 7.00	$ 3.00
	$ 1,400.00		$ 34.00	$											27	$ 14.00
	$ 52.00	$		37.00
$ 61.00	$ 41.00	$ 20.00
These are the Federal Income Tax Withholding dollar amounts to use for our practice set
The FITW amounts in dollar – for the practice and do not show the actual IRS figures

Check Figures

Chocolate Nirvana

Figures – Check Sales – Journal Accounts – Receivable

$ 3,844.

29 Retail Sales $ 3,592.80 Sales -Tax Payable $ 251.49 Cost of goods sold / Inventory for merchandise $ 2,827.18 Purchase – Journal Accounts – Payable

$ 38,507.00 Inventory Merchandise $ 37,477.00 Others

$ 1,030.00 Journal – Cash Receipts Others

$ 44,000.00 Inventory- Merchandise / COGS $

32

,4

94

.14 Store Sales $ 57,800.00 Sales – Tax Payable $ 4,046.00 Discount on sales $

17.60 Accounts – Receivable

$ 1,760.36 Cash $

107

,588.76 Journal – Cash Payments Others

$ 42,835.89 Accounts – Payable

$ 30,308.

28 Cash $ 73,144.17 After posting your journals here are some selected balances: Balances Select after journal postings Cash

$ 34,444.59 Accounts – Receivable $ 1,939.97 Inventory – Merchandise $ 2,155.68 Accounts – Payable

$ 8,090.00 Payroll total net – all employees, after $

6,252.16 Activities at the end of month

The

Work Sheet

:

Trial Balance $ 118,135.93 Adjustments $ 1,683.56 Adjusted – Trial Balance $ 118,719.49 Income Statement at ver bottom $ 61,392.80 Balance Sheetat very bottm $ 67,180.24 Income – Statement: Net Sales $ 61,240.75

Gross Profit

$

26

,028.15

To

tal

– Operating Expenses $ 15,997.31

Net Income

$ 9,853.55 Owner’s Equity Statement Queta Johnson On October 31st 2011. $ 16,353.55 Balance Sheet:

Total

– Current

Assets

$ 40,180.24 Total Property; Plant; Equipment. $ 22,180.00

Total Assets

$ 62,360.24 Total – Current Liabilities $ 30,881.69 Total Non-Current Liabilities $ 15,125.00

Total Liabilities

$ 46,006.69 Total Liabilities added Owner’s Equity

$ 62,360.24

Closing

Trial Balance for posting

Debit

s & credit $ 62,680.24

sales journal

ED

1 Oct 10

1

2 Oct 10

✓

2

3 Oct 27

Edwin’s Pharmacy ✓

3

4 $ 3,844.29 $ 3,592.80 $ 251.49 $ 2,827.18 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22

23

24 24
25 25
26 26
27 27
28 28
29 29
30 30

SALES – JOURNAL					Page 1
	DATE 2015		INV NO					ACCOUNT	DEBIT	REF	Accounts – Receivable DR.	Retail Sales CR.	Sales – Tax Payable CR	COG DR. Merchandise – Inventory CR.
	1001		Edwin’s Pharmacy												✓	$ 951.44	$ 889.20	$ 62.24	$ 711.36
	1002	Gifts of SRM	$ 808.92	$ 756.00	$ 52.92	$ 604.80
	1003			$ 2,083.93	$ 1,947.60	$ 136.33	$ 1,511.02
													23

purchase journal

PURCHASES JOURNAL Page 1

ED

POST REF

1 Oct 5

✓

Office Supplies 112

1

2 Oct 5

✓

$ 3,528.00 2

3 Oct 5

✓

$ 12,956.00 3

4 Oct 18 Chocolate Delights ✓

$ 9,839.00 4

5 Oct 20

✓

$ 3,724.00 5

6 Oct 27 Antwerp Supreme ✓

$

6

7 Oct 27 Chocolate Delights ✓

$ 4,980.00 7

8 Oct 28

✓

Telephone Expense 680

8

9 Oct 28

✓

Utilities Expense 685

9

10

$ 38,507.00 $ 37,477.00 $ 1,030.00 10

11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19

20 20 ✓

21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30

DATE 2015	ACCOUNT			CREDIT				POST REF	Accounts Payable CR.	Merchandise Inventory DR.	ACCOUNT DR.	Amount
	Fire Place Supplies							$			3					70.00	$ 370.00
							Antwerp	Supreme							$ 3,528.00
							Chocolate Delights							$ 12,956.00
							$ 9,839.00
Antwerp Supreme						$ 3,724.00
								$ 2,		450.00	2,450.00
			$	4,980.00
TA&A Bell					$				340.00		$ 340.00
		XY Energy					$				320.00		$ 320.00
			Totals

cash receipts journal

CASH RECEIPTS JOURNAL Page 1

INV NO

POST REF

1 Oct 1

Queta Johnson, Capital 310

$ 11,000.00 1

2 Oct 1

250

$ 33,000.00 2

3 Oct 13

410

3

4 20

✓

4

5 20

✓

5

6 20

Sales- Store Sales 410

6

7 27 107 Sales- Store Sales 410

7

8 31

Sales- Store Sales 410

8

9 31 Totals $ 44,000.00

$ 57,800.00 $ 4,046.00 $ 17.60 $ 1,760.36

9

10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30

DATE 2015	ACCOUNT – CREDITED	Other CR	Merch Inventory CR. COGS DR.	Sales – Store Sales CR.	Sales -Tax Pay CR.	Sales – Discount DR.	Accts – Rec CR	Cash DR
			101						$ 11,000.00
	102	Notes Payable, Noncurrent					$ 33,000.00
	103				Sales- Store Sales		$ 7,628.04	$ 13,770.00	$ 963.90	$ 14,733.90
	104			Edwin Pharmacy				$ 941.93	$ 9.51
105		SRM Gifts	$ 800.00	$ 8.09
106	$ 10,049.48	$ 18,660.00	$ 1,306.20		$ 19,966.20
$ 7,734.18	$ 13,490.00	$ 944.30		$ 14,434.30
108	$ 7,314.74	$ 11,880.00	$ 831.60	$ 12,711.60
	$ 32,494.14		$ 107,588.76

cash payments journal

CASH PAYMENTS JOURNAL Page 1
DATE 2015

ACCOUNT DEBITED POST REF

1 Oct 1 1001 Rent Expense 650

$ 5,500.00 1

2 1 1002 Store Equipment 160

$ 18,000.00 2

3 1 1003 Prepaid Insurance 114 $ 1,200.00 $ 1,200.00 3
4 5

Office Equipment 160

$ 4,500.00 4

5 5

Store Supplies 113

5

6 5

115

6

7 15

Fire Place Supplies ✓ $ 370.00 $ 370.00 7

8 15

Antwerp Supreme ✓ $ 3,528.00 $ 3,528.00 8

9 15

Chocolate Delights ✓ $ 12,956.00 $ 12,956.00 9

10 22

Memo

✓

$ (108.72) 10

11 28

11

12 28

✓ $ 9,839.00 $ 9,839.00 12

13 28

Antwerp Supreme ✓ $ 3,724.00 $ 3,724.00 13

14 28

$ 1,375.00 14

15 Interest Expense 810

$ 163.73 15

16 28

101 $ 6,252.16 $ 6,252.16 16

17 31

Queta Johnson, Drawing 311 $ 4,500.00 $ 4,500.00 17

18 Totals $ 42,835.89

$ 73,144.17 18

19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26

	Check No.	Other Accounts DR.	Accounts Payable DR.	Cash CR.
				$ 5,500.00
					$ 18,000.00
1004											$ 4,500.00
1005		$			570.00		$ 570.00
1006	PrePaid Advertising		$			600.00		$ 600.00
1007
1008
1009
													Credit	$ (108.72)
1010				Cleaning Expense		655	$		1	75.00	$	175.00
1011	Chocolate delights
1012
1013	Notes Payable- Current		212				$ 1,375.00
			$		163.73
1014		Payroll Checking Account
1015
	$ 30,308.28

general journals

GENERAL JOURNAL Page 1

DEBIT CREDIT

1 Oct 20

$ 941.93 1

2

$ 941.93 2

3 Oct 20

for SRM Gifts

110

3

4 Retail sales 411 $ 800.84 4
5 Oct 22

5

6

110 $ 143.96 6

7 Oct 22

210

7

8

120 $ 108.72 8

9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

13 13
14 14

21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33
GENERAL JOURNAL

DESCRIPTION

Debit Credit

1

2 Oct 31

810

2

3

211

3

4 Oct 31

615

4

5

161 $ 3,000.00 5

6 Oct 31

660

6

7

151 $ 840.00 7

8 Oct 31

665 $ 200.00 8

9

114 $ 200.00 9

10

11 Oct 31

675

11

12 Office Supplies 112

12

13

14 Oct 31

expense

14

15 store – supplies 113

15

16

17 Oct 31

610

17

18 Prepaid Advertising 115

18

19

20 Oct 31

690

20

21

219

21

22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

DATE 2015		DESCRIPTION	POST REF.
Accounts receivable for Edwin Pharmacy				110
	Retail sales			411
				Accounts Receivable				$ 800.84
Sales returns and allowances		420					$			143.96
Acounts receivable for Edwin Pharmacy
Accounts Payable- fpr Antwerp Supreme				$ 108.72
Inventroy – merchandise
Page 2
DATE 2015	POST. REF.
Adjusting Entries
Expense on interest		$			13.56
Interest – Payable		$ 13.56
Depreciation on expense on store eq		$ 3,000.00
Accumulated depreciation on store equipment
Depreciation exp on office eq		$ 840.00
Accumulated depreciation on Office Equip
expense on insurance
insurance – prepaid
Insurance expires
Supplies Expense of office				$			295.00
$ 295.00
Office – Supplies Used
	store – supplies		625			$			455.00
$ 455.00
Store – Supplies Used
Expense on Advertising				$			150.00
$ 150.00
Advertising Expires
Expense – Miscellaneous				$							250.00
Wages – Payable				$ 250.00

accts rec sub

Edwin Pharmacy
Debit

2015

Debit Credit Balance

Oct 10

$ 951.44 $ 951.44

20

$ 951.44 $ – 0

22

$ 143.96

27 S1 $ 2,083.93 $ 1,939.97
SRM Gifts

Item Post. Ref. Debit Credit Balance

Oct 10 S1

808.52

20 CR1 808.52 0.00

SUBSIDIARY LEDGER – FOR ACCOUNTS RECEIVABLE

Date

Item

Post. Ref.

S1

CR1

Cr1

$ (143.96)

Date 2015

808.52

accts pay sub

Antwerp Supreme

Date 2015 Item Post. Ref. Debit Credit Balance

Oct 5

$ 3,528.00 $ 3,528.00

15

$ 3,528.00 $ – 0

20 P1 $ 3,724.00 $ 3,724.00
22 $ 108.72

27 $ 2,450.00

28 $ 3,615.28 $ 2,450.00
Chocolate Delights

Date 2015 Item Post. Ref. Debit Credit Balance

Oct 5 $ 12,956.00 $ 12,956.00
15 $ 12,956.00 –
18 $ 9,839.00 $ 9,839.00
27 $ 4,980.00

28 $ 9,839.00 $ 4,980.00

Date 2015 Item Post. Ref. Debit Credit Balance

Oct 5 P1 $ 370.00 $ 370.00
15 CP1 $ 370.00 $ – 0

Date 2015 Item Post. Ref. Debit Credit Balance

Oct 28 P1 $ 340.00 $ 340.00
XY Energy

Date 2015 Item Post. Ref. Debit Credit Balance

Oct 28 P1 $ 320.00 $ 320.00

ACCOUNTS PAYABLE – SUBSIDIARY LEDGER
			P1
				CP1
		$ 3,615.28
$ 6,065.28
$ 14,819.00
	Fireplace Supplies
	TA & A Bell

Merchandise Inventory sub

Inventory

Total Unit Total Unit Total

Date

Cost Cost Qty Cost Cost Qty Cost Cost

500

3

$ 1.58

$ 1,000.00

343.00 $ 1.58 $ 541.94 $ 1,000.00 $ 1.52 $ 1,520.00

$ 1.52

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

$ 0.72 $ 1,584.00

$ 0.72

Oct 10

$ 0.72

Oct 13

$ 0.72

Oct 20

$ 0.70 $ 2,058.00

Oct 20 701.00 $ 0.72 $ 504.72 $ 2,940.00 $ 0.70 $ 2,058.00

$ 0.70

.00

$ 0.72

$ 0.72 $ 62.64

$ 2,447.00 $ 0.70 $ 1,712.90
Oct 22 -87 $ 0.72 $ 62.64 $ 2,447.00 $ 0.70 $ 1,712.90

$ 0.70

Oct 27

$ 0.70

Oct 31 94 $ 0.70

$ 0.70

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

$ 1.58

$ 4,500.00 $ 1.58 $ 7,110.00

Oct 13

$ 1.58

Oct 18

$ 1.46 $ 5,475.00

Oct 20

$ 1.58 $ 3,125.24 $ 3,750.00 $ 1.46 $ 5,475.00

$ 1.46

Oct 27

$ 2,790.00 $ 1.46 $ 4,073.40

Oct 27

$ 1.46 $ 4,073.40

$ 2.10 $ 4,200.00

$ 2.10

Oct 31

$ 2.10

$ 47.00 $ 2.10

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

$ 0.72

$ 0.72 $ 1,944.00

Oct 10

$ 0.72

Oct 10 456.00 $ 0.72

$ 0.72

Oct 13

$ 0.72

Oct 20

$ 2,450.00 $ 0.68 $ 1,666.00

Oct 20 427.00 $ 0.72 $ 427.00 $ 2,450.00 $ 0.68 $ 1,666.00

$ 0.68

Oct 22

.00

$ 0.72

$ 189.00 $ 0.68 $ 128.52
Oct 22 -64 $ 0.72 $ (46.08) $ 189.00 $ 0.68 $ 128.52
Oct 27

$ 0.70 $ 2,450.00 $ 189.00 $ 0.68 $ 128.52

$ 0.70 $ 2,450.00

Oct 27 189.00 $ 0.68 $ 128.52 $ 3,500.00 $ 0.70 $ 2,450.00

$ 0.70

.00

$ 0.70

Oct 27

$ 0.70

Oct 31

$ 0.70

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

$ 1.58

$ 3,200.00 $ 1.58 $ 5,056.00

Oct 13

$ 1.58

Oct 18

$ 1.58

Oct 20

$ 1.58

$ 500.00

Oct 27 500 $ 1.56 $ 780.00 $ 2,314.00 $ 1.58 $ 3,656.12

$ 500.00 $ 1.56 $ 780.00

Oct 27

$ 1.58

$ 500.00 $ 1.56 $ 780.00

Oct 31

$ 1.58

$ 500.00 $ 1.56 $ 780.00

ID on Item	C – 101
Description	Christmas
				Purchases					Cost of Merchandise Sold
														Unit
														Qty
							Oct 5	1.58	790.00					$ 500.00						$ 1.58	$ 790.00
					Oct 1	157.00	$ 248.06	$	343.00		$ 541.94
		Oct 18	1000	1.52	1,520.00						$ 1.52		$ 1,520.00
						Oct 20
219.00	$ 332.88	$ 781.00	$ 1,187.00
					Oct 31	481.00	$ 731.12	$ 300.00	$	456.00
			Item ID	D – 101
			Item Description	Dark Chocolate
2200																$ 0.72	$ 1,584.00	$ 2,200.00
			Oct 10	408.00	$ 293.76	$ 1,792.00	$ 1,290.24
384.00	$ 276.48	$ 1,408.00	$ 1,013.76
707.00	$ 509.04	$	701.00		$ 504.72
2940															$ 0.70		$ 2,058.00		$ 2,940.00
493.00	$ 345.10			$ 2,447.00			$ 1,712.90
			Oct 22		-87			$ 62.64	$ 87.00
								Oct 27	896.00	$ 627.20	$ 1,551.00	$ 1,085.70
961.00	$ 672.70	$ 590.00	$ 413.00
94.00	$ 65.80	$ 496.00	$ 347.20
H – 101
Halloween
4500		$ 7,110.00
2522.00	$ 3,984.76	$ 1,978.00		$ 3,125.24
3750							$ 1.46			$ 5,475.00		$ 3,750.00
1978.00
960.00	$ 1,401.60		$ 2,790.00			$ 4,073.40
2000						$ 2.10		$ 4,200.00
2790.00	$ 2,000.00
140.00	$ 294.00	$ 1,860.00	$ 3,906.00
1813.00	$ 3,807.30	$ 98.70
M – 101
Milk chocolate
2700		$ 1,944.00	$ 2,700.00
580.00	$ 417.60	$ 2,120.00	$ 1,526.40
$ 328.32	$ 1,664.00	$ 1,198.08
1237.00	$ 890.64		$	4		27.00	$ 427.00
2450									$ 0.68			$ 1,666.00
2261.00	$ 1,537.00				$	189.00					$ 128.52
	-64		$ (46.08)	$ 64.00	$ 46.08
3500
	$ 3,500.00
1079.00	$ 755.30	$ 2,	421	$ 1,694.70
1111.00	$ 777.70	$ 1,310.00	$ 917.00
737.00	$ 515.90	$ 573.00	$ 401.10
T – 101
Thanksgiving
3200		$ 5,056.00
1263.00	$ 1,995.54	$ 1,937.00	$ 3,060.46
1800	$ 2,844.00	$ 3,737.00	$ 5,904.46
1426.00	$ 2,253.08		$ 2,314.00		$ 3,656.12
				$ 1.56					$ 780.00
876.00	$ 1,384.08	$ 1,438.00	$ 2,272.04
1389.00	$ 2,194.62	$ 49.00	$ 77.42

Check book

Date
To

20 15

For

$ 11,000.00

$

Deposit $ 33,000.00

$ 44,000.00 Dollars

$ 5,500.00

Date

To Oct 1 20 15

For
Dollars Cents

Balance Forward $ 38,500.00 Pay to the
Deposit Order of

$

Deposit
Sub Total $ 38,500.00 Dollars
Current Check $ 18,000.00
Balance

For

Date

To

20 15

For
Dollars Cents

Balance Forward $ 20,500.00 Pay to the
Deposit Order of

$

Deposit

Sub Total $ 20,500.00 Dollars
Current Check $ 1,200.00
Balance

For

Date

To Oct 5 20 15

For
Dollars Cents

Balance Forward $ 19,300.00 Pay to the
Deposit Order of

$

Deposit

Sub Total $ 19,300.00 Dollars
Current Check $ 4,500.00
Balance

For

Date
To Oct 5 20 15
For
Dollars Cents

Balance Forward $ 14,800.00 Pay to the
Deposit Order of

$ 570.00

Deposit

Sub Total $ 14,800.00 Dollars
Current Check $ 570.00
Balance

For

Date
To Oct 5 20 15
For
Dollars Cents

Balance Forward $ 14,230.00 Pay to the
Deposit Order of

$ 600.00

Deposit

Sub Total

Dollars

Current Check $ 600.00
Balance

For

Date

To

20

For
Dollars Cents

Balance Forward $ 13,630.00 Pay to the
Deposit $ 14,733.90 Order of Fireplace Supplies $ 370.00

Deposit

Sub Total

Dollars

Current Check $ 370.00
Balance

For

$

Date
To Oct 15 20 15.00
For
Dollars Cents

Balance Forward $ 27,993.90 Pay to the
Deposit Order of Antwerp Supreme $

Deposit

Sub Total $ 27,993.90 Dollars
Current Check $ 3,528.00
Balance

For

$

Date
To Oct 15 20 15.00
For
Dollars Cents

Balance Forward $ 24,465.90 Pay to the
Deposit Order of Chocolate Delights $

Deposit

Sub Total

Dollars

Current Check $ 12,956.00
Balance

For

$

Date

To 20 15.00

For
Dollars Cents

Balance Forward $ 11,509.90 Pay to the
Deposit $ 941.93 Order of

$ 175.00

Deposit $ 800.84
Sub Total

Dollars

Current Check

Balance

For

$

Date

To

20 15.00

For
Dollars Cents

Balance Forward $ 13,077.67 Pay to the
Deposit $ 19,966.20 Order of Chocolate Delights $

Deposit $ 14,434.30
Sub Total

Dollars

Current Check $ 9,839.00
Balance

For

Date

To

20 15.00

For
Dollars Cents

Balance Forward $ 37,639.17 Pay to the
Deposit Order of Antwerp Supreme $

Deposit

Sub Total $ 37,639.17 Dollars
Current Check $ 3,615.28
Balance

For

Date
To Oct 28 20 15.00
For
Dollars Cents

Balance Forward $ 34,023.89 Pay to the
Deposit Order of

$

Deposit

Sub Total $ 34,023.89 Dollars
Current Check

Balance

For

Date
To Oct 28 20 15.00
For
Dollars Cents

Balance Forward $ 32,485.16 Pay to the
Deposit Order of

$

Deposit

Sub Total $ 32,485.16 Dollars
Current Check

Balance

For

Date

To Oct 31 20 15.00

For
Dollars Cents

Balance Forward $ 25,562.41 Pay to the
Deposit Order of Queta Johnson $ 4500.00

Deposit

Sub Total $ 25,562.41 Dollars

Current Check $ 4,500.00

Balance

For

No. 1001	1001.00
Oct 1
											Dollars	Cents
							Balance Forward				Pay to the
											Deposit	Order of	Thunderbird mall	5500.00
							Sub Total
							Current Check
							Balance	$ 38,500.00	For	Robert Reichensperger
No. 1002	1002.00
D&D Shelving				18000.00
		$ 20,500.00
No. 1003	1003.00
Oct 1
Noc Overage			1200.00
		$ 19,300.00
No. 1004	1004.00
Machines Ltd					4500.00
		$ 14,800.00
No. 1005	1005.00
PDQ Supplies
	$ 14,230.00
No. 1006	1006.00
Image Counts Advertising
$ 14,320.00
	$ 13,630.00
No. 1007	1007.00
		Oct 15				15.00
$ 28,363.00
		$ 27,993.90
No. 1008	1008.00
3528.00
	$ 24,465.90
No. 1009	1009.00
12956.00
$ 24,465.00
	$ 11,509.90
No. 1010	1010.00
Reecie Cleaning service
$ 13,252.67
$ 175.00
	$ 13,077.67
****Record 2 deposits here, then 2 on the next stub, then you will write out this check
No. 1011	1011.00
		Oct 28
9839.00
$ 47,478.17
		$ 37,639.17
No. 1012	1012.00
28-Oct
3615.28
		$ 34,023.89
No. 1013	1013.00
Boot Hill Bank	1538.73
$ 1,538.73
		$ 32,485.16
No. 1014	1014.00
Pay Roll Checking Account		6922.75
	$	6,922.75
		$ 25,562.41
No. 1015	1015.00
$ 21,062.41

General Ledger

Account Cash

100

Date 2015 Item Post. Ref. Debit Credit

Oct 31 CR1 $ 107,588.76
31 CP1 $ 73,144.17 $ 34,444.59
Account Payroll Checking Account Account No. 101

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1 $ 6,252.16
31 Closing $ 6,252.16
Account Accounts Receivable Account No. 110
Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit
Oct 22

$ 143.96

27 S1 $ 2,083.93 $ 1,939.97

31 closing $ 1,939.97
Account Office Supplies Account No. 112

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

CP1 $ 370.00 $ 370.00
Oct 31 $ 295.00

Account Store Supplies Account No. 113

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

$ 570.00 $ 570.00
Oct 31 $ 455.00

Account Prepaid Insurance Account No. 114

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

$ 1,200.00 $ 1,200.00 $ 1,200.00
Oct 31 $ 200.00 $ 1,000.00
Account Prepaid Advertising Account No. 115

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

$ 600.00 $ 600.00
Oct 31 $ 150.00

Account Merchandise Inventory Account No. 120

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

$ 2,827.18
$ 37,477.00
$ 32,494.14
Oct 31 Closing $ 2,155.68
Account Office Equipment Account No. 150

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 4,500.00
Account

Account No. 151

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing

Account Store Equipment Account No. 160

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 18,000.00
Account

Account No. 161

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing

Account Accounts Payable Account No. 210

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

CP1 $ 30,308.28

P1 $ 38,507.00

Oct 31 Closing J1 $ 108.72 $ 8,090.00
Account Interest Payable Account No. 211

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing CP1 $ 163.73
Account

Account No. 212

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 Closing $ 1,375.00 $ 1,375.00
Account Sales Tax Payable Account No. 213

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 CR1 $ 4,046.00 $ 4,046.00
Oct 31 S1 $ 251.49

Oct 31 Closing $ 4,297.49
Account Employee’s Federal Income Tax Payable Account No. 214

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account

Payable Account No. 215

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account

Account No. 216

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account FUTA Tax Payable Account No. 217

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account SUTA Tax Payable Account No. 218

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account Wages Payable Account No. 219

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 J1 $ 250.00
Account Notes Payable – Non Current Account No. 250

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CR1 $ 33,000.00 $ 33,000.00
28 CP1 $ 1,375.00

Oct 31 Closing $ 31,625.00
Account Queta Johnson, Capital Account No. 310

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CR1 $ 11,000.00 $ 11,000.00
31 CP1 $ 4,500.00

Oct 31 Closing $ 6,500.00
Account Queta Johnson, Drawing Account No. 311

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

31 CP1 $ 4,500.00
Oct 31 Closing $ 4,500.00
Account Income Summary Account No. 312

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 9,853.55
Account Sales – Store Sales Account No. 410

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

13 $ 7,628.04
Oct 31 Closing $ 57,800.00
Account

Account No. 411

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 20 J1 $ 800.84 $ 800.84
Oct 31 Closing S1 $ 3,592.80

Account

& Allow

ances

Account No. 420

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 22 J1 $ 143.96
Oct 31 Closing $ 143.96
Account

Account No. 421

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing

Account

Account No. 510

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

S1 $ 2,827.18
CR1 $ 32,494.14
Oct 31

Account Advertising Expense Account No. 610

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 $ 150.00
Account

– Store Equipment

Account No. 615

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 $ 250.00
Account

Account No. 620

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 $ 6,922.75
Account

Account No. 625

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 $ 455.00
Account Rent Expense Account No. 650

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 $ 5,500.00
Account Cleaning Expense Account No. 655

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 175.00
Account

Account No. 660

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing

Account Insurance Expense Account No. 665

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓ $ 200.00
Account Payroll Tax Expense Account No. 670

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓

Account Office Supplies Expense Account No. 675

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31
Oct 31 Closing ✓ $ 295.00
Account Telephone Expense Account No. 680

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing ✓ $ 340.00
Account Utilities Expense Account No. 685

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 320.00
Account Miscellaneous Expense Account No. 690

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ – 0
Account Interest Expense Account No. 810

Date 2015 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Closing $ 163.73

						Account No.
						Balance Debit Credit
				J1	$ 143.00
		$ 75.00
$		115.00
		$ 450.00
Accumulated Depreciation – Office Equipment
	$ (70.00)
Accumulated Depreciation – Store Equipment
	$ (250.00)
$ 30,308.00
$ 8,198.72
Notes Payable – Current
			$ 4,297.49
$					141.00
				Social Security Tax
$					429.21
			Medicare Tax Payable
$					100.38
$				55.38
		$ 1,004.67
			$ 31,625.00
	$ 6,500.00
		Sales – Retail
$ 4,393.64
			Sales Returns
			Sales Discounts
$ 179.16
Cost of Goods Sold
	$ 35,212.60
	Depreciation Expense
			Wages Expense
	Store Supplies Expense
Depreciation Expense – Office Equipment
		$ 70.00
	$ 1,060.05

Employee Earnings Records

:

Social Security

Single

3

Federal Income Tax Social Security Tax Medicare Tax

1

2380.00 31.00

1

2 2
3 3
4 4

EMPLOYEE EARNINGS RECORD

Employee Name:

Address:

Status: Single

Westminster, SD 58307 Allowances: 0
Pay Rate per hour:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax

Net Pay

1 Oct 28, 2015

1687.75 46.00

1

2 2
3 3
4 4
EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2
Pay Rate per hour:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay

1 Oct 28, 2015

1590.00 37.00

1

2 2
3 3
4 4
EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2

Pay Rate per hour:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay

1 Oct 28, 2015

1265.00 27.00

1

2 2
3 3
4 4

			EMPLOYEE EARNINGS RECORD
				Employee Name	Sue A. Doll	501-08-1111
			Address:	231 Crescent Street				Status:
			Westminster, SD 58307				Allowances:
			Pay Rate per hour:	$14.00
			Pay Period Ending					Gross Earnings			Cumulative Earnings	Total	Deductions	Net Pay
			Oct 28, 2015		2380.00		147.56		34.51	213.07	2166.93
	Angie Faust			Social Security #:	501-08-2222
2216 Ave D East
$10.75
Total Deductions
	1687.75		104.64		24.47		175.11	1512.64
	Marge Hoffman	501-08-3333
152 Columbia Blvd
$13.25
	1590.00		98.58		23.06		158.64	1431.36
	Thomas Kapp	501-08-4444
3248 Manitoba Ave
$11.50
	1265.00		78.43		18.34		123.77	1141.23

Payroll Register

Chocolate Nirvana
Payroll Register
Gross Earnings Deductions

Employee Name Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay Check No.

1

31.00 147.56 34.51 213.07

101

1

2 Angie Faust

46.00 104.64 24.47 175.11

102

2

3 Marge Hoffman

37.00 98.58 23.06 158.64

103

3

4 Thomas Kapp

27.00 78.43 18.34 123.77

104

4

5 5

6

6,922.75 141.00 429.21 100.38

6,252.16

6

7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

For the Pay Period Ending: October 28, 2015
Account Debited
Wages Expense (Gross Wages)
Sue Doll	2,380.00	2,166.93	2,565.64
1,687.75	1,512.64	1,819.39
1,590.00	1,431.36	1,714.02
1,265.00	1,141.23	1,363.67
TOTALS	670.59	7,462.72

Unadjusted Trial Balance

Chocolate Nirvana

Unadjusted Trial Balance
DEBIT CREDIT
Cash

Accounts Receivable

Office Supplies 370.00
Store Supplies 570.00
Prepaid Insurance 1200.00
Prepaid Advertising 600.00
Merchandise Inventory

Office Equipment 4500.00
Store Equipment 18000.00
Accounts Payable

Employee’s Federal Income Tax Payable 141.00

429.21

Medicare Tax Payable 100.38
FUTA Tax Payable 55.38
SUTA Tax Payable

Queta Johnson, Capital

Queta Johnson, Drawing 4500.00
Sales – Store Sales

Sales – Retail

Sales Returns & Allowances 143.96
Sales Discounts 17.60
Wages Expense 6922.75
Rent Expense 5500.00
Cleaning Expense 175.00
Payroll Tax Expense

Telephone Expense 340.00
Utilities Expense 320.00
Interest Expense 163.73

118135.93

34444.59
		1939.97
		2155.68
		8090.00
Sales tax Payable			4297.49
Social Security Tax Payable
		1004.67
Notes Payable – Noncurrent			31625.00
1	1000.00
		57800.00
		3592.80
Cost of Merchandise (Goods) Sold			35212.60
		1060.05
	118135.93

Work Sheet

Chocolate Nirvana

Work Sheet
Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement

Balance Sheet

Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

1 Cash 0.00 0.00 1
2 Accounts Receivable 1939.97 1939.97 1939.97 2
3 Office Supplies 370.00 295.00 75.00 75.00 3
4 Store Supplies 570.00 455.00 115.00 115.00 4
5 Prepaid Insurance 1200.00 200.00 1000.00 1000.00 5
6 Prepaid Advertising 600.00 150.00 450.00 450.00 6
7 Merchandise Inventory 2155.68 2155.68 2155.68 7
8 Office Equipment 4500.00 4500.00 4500.00 8
9

70.00 70.00 70.00 9

10 Store Equipment 18000.00 18000.00 18000.00 10
11

250.00 250.00 250.00 11

12 Accounts Payable 8090.00 8090.00 8090.00 12
13 Interest Payable 13.56 13.56 13.56 13
14 Sales Tax Payable 4297.49 4297.49 4297.49 14
15

141.00 141.00 141.00 15

16

429.21 429.21 429.21 16

17 Medicare Tax Payable 100.38 100.38 100.38 17
18 FUTA Tax Payable 55.38 55.38 55.38 18
19 SUTA Tax Payable 1004.67 1004.67 1004.67 19
20 Wages Payable 250.00 250.00 250.00 20
21

31625.00 31625.00 31625.00 21

22 Queta Johnson, Capital

11000.00 11000.00 22

23 Queta Johnson, Drawing 4500.00 4500.00 4500.00 23
24 Totals

24

Chocolate Nirvana
Work Sheet

Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
Account Title Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

1 Sales – Store Sales 57800.00 57800.00 57800.00 1
2 Sales – Retail 3592.80 3592.80 3592.80 2
3 Sales Returns & Allow 143.96 143.96 143.96 3
4 Sales Discounts 17.60 17.60 17.60 4
5 Cost of Merchandise Sold 35212.60 35212.60 35212.60 5
6 Advertising Expense 150.00 150.00 150.00 6
7

250.00 250.00 250.00 7

8 Wages Expense

250.00

7172.75 8

9 Store Supplies Expense 455.00 455.00 455.00 9
10 Rent Expense 5500.00 5500.00 5500.00 10
11 Cleaning Expense 175.00 175.00 175.00 11
12 Depreciation Exp – Office Eq 70.00 70.00 70.00 12
13 Insurance Expense 200.00 200.00 200.00 13
14 Payroll Tax Expense 1060.05 1060.05 1060.05 14
15 Office Supplies Expense 295.00 295.00 295.00 15
16 Telephone Expense 340.00 340.00 340.00 16
17 Utilities Expense 320.00 320.00 320.00 17
18 Interest Expense 163.73 13.56

177.29 18

19

118135.93 1683.56 1683.56

32735.65

19

20 Net Income

9853.55 20

21 61392.80 61392.80 32735.65

21

22 22
23 23
24 24

	Account Title
	Acc Depr – Off Equip
			Acc Depr – Store Equip
	Emp Fed Inc Tax Pay
	Soc Security Tax Pay
	Notes Payable – noncurrent
		11000.00
33835.65	52488.13			1683.56	32735.65	57897.18
Depreciation Exp – St Eq
6922.77		7172.75
	177.29
83691.36	84274.90	118719.49	51539.25		61392.80	57326.69
	9853.55
67180.25

Sch of Acc Rec – Pay

Chocolate Nirvana

ACCOUNT
Edwin Pharmacy $ 1,939.97
Total $ 1,939.97

Chocolate Nirvana

ACCOUNT

Antwerp Supreme 2,450.00
Chocolate Delights 4,980.00
TA & A Bell $ 340.00
XY Energy $ 320.00
Total $ 8,090.00

Schedule of Accounts Receivable (Accounts Receivable Customer Balances)

Schedule of Accounts Payable (Accounts Payable Creditor Balances)

Income Statement

Chocolate Nirvana

Income Statement
Sales – Store Sales $ 57,800.00

$ 3,592.80

61392.80

Sales Returns $ (143.96)
Sales Discounts

$ 35,212.60

Gross Profit

$ 150.00

Depreciation Expense $ 250.00
Wages Expense

Supplies Expense $ 455.00

$ 5,500.00

$ 175.00

$ 70.00

$ 200.00

$ 1,060.05

$ 295.00

$ 340.00

$ 320.00

Net Income $ 9,853.55

Sales 0 Retail
Gross Sales
$ (17.60)	$ (161.56)
Net sales	$ 61,231.24
less cost of goods sold
$ 26,018.64
less Operating Expense
Advertising Expenses
$ 7,172.75
Rent expense
cleaning expense
Depreciation expense-office equip
insurance expense
Payroll expense
Office Supplies expense
Phone Expense
Utilites Expense
Internet Expense	$ 177.29
Total Operating cost	$ 16,165.09

Stmt of Owners’ Equity

Chocolate Nirvana

$ 11,000.00

$ 9,853.55

$ 4,500.00

$ 16,353.55

Statement of Owners’ Equity
Beginning Balance	$ –
Add investment by owner
Add net income
Less drawings
Ending Balance

Balance Sheet

Chocolate Nirvana
Balance Sheet

Assets
Cash $ 34,444.59
Accounts Receivable $ 1,939.97
Office Supplies $ 75.00
Store Supplies

Prepaid Insurance $ 1,000.00
Prepaid Advertising $ 450.00
Merchandise Inventory $ 2,155.68

$ 40,180.24

Office Equipment $ 4,500.00
Acc Depr – Off Equip $ (70.00)
Store Equipment $ 18,000.00
Acc Depr – Store Equip $ (250.00)

$ 22,180.00

Total Assets $ 62,360.24
Accounts Payable $ 8,090.00
Interest Payable $ 13.56
Sales Tax Payable $ 4,297.49
Emp Fed Inc Tax Pay

Soc Security Tax Pay

Medicare Tax Payable

FUTA Tax Payable

SUTA Tax Payable $ 1,004.67
Wages Payable $ 250.00
Notes Payable – noncurrent $ 31,625.00
Total Liabilities $ 46,006.69
Queta Johnson, Capital $ 16,353.55

$ 62,360.24

	$ 115.00
Total Current Assets
Net Fixed Assets
Liabilities and Capital
	$ 141.00
	$ 429.21
	$ 100.38
	$ 55.38
Total Current Liabilties	$ 14,381.00
Total Liabilities and Capital

Post Closing TB

Chocolate Nirvana

ACCOUNT DEBIT CREDIT

Cash $ 34,444.59

$ 1,939.97

Office Supplies $ 75.00
Store Supplies $ 115.00

$ 1,000.00

Prepaid Advertising $ 450.00
Merchandise Inventory $ 2,155.68
Office Equipment $ 4,500.00

Acc Depr – Store Equip $ 70.00
Store Supplies $ 18,000.00
Acc Depr – Store Equip $ 250.00
Accounts Payable $ 8,090.00

$ 13.56

$ 4,297.49

$ 141.00

$ 429.21

Medicare Tax Payable $ 100.38

$ 55.38

$ 1,004.67

Wages Payable $ 250.00

$ 31,625.00

Queta Johnson, Capital

$ 62,680.24 $ 62,680.24

Post Closing Trial Balance

Accounts Recievable

Prepaid Equipment

Interest payable

Sales Tax payable

EFIT Payable

Soc Sec Tax Payable

Futa Tax Payable

Suta Tax Payable

Notes Payable, noncurrent

$ 16,353.00

Sheet1

Sheet2

2

>Cover

page

Intro

Introduction Queta Johnson

is about to open a new business –

Chocolate Nirvana

. It will be a small chocolate specialties store. She plans on selling a limited number of hand-made molded candies, some of which are holiday specific and others that are of a more generic nature, as well as carrying a line of top-end candy bars. The majority of her sales will come from walk-in customers which will all be on a cash only basis. In addition, she will also sell direct to two local businesses, on account, with terms

1

/1

0

,n/

3

0. She anticipates working full-time at the store and needing the help of four part-time employees. She uses a perpetual FIFO (First-in, First-Out) method to account for her inventory. So, every time you record a sale of merchandise, whether on account or for cash, you must also figure out the cost of the goods while recording the sale in the inventory subsidiary. The purpose of this practice set is to allow you the chance to see how each of the separate components we have worked on this semester fit together. As you complete the set, you may find it necessary to look back at what we learned in various chapters to help remember exactly what to do. Instructions 1. Record the transactions for Chocolate Nirvana found on the enclosed forms in one of the journals provided: Cash

Payments – any time you spend money Cash Receipts – any time you receive money Purchase – any time you purchase something on account Sales – any time you sell something on account General – only transactions that do NOT fit into one of the previous journals Chocolate Nirvana uses

Account

s Receivable

,

Accounts Payable

, and

Merchandise

Inventory

Subsidiary

Ledgers

as well as a check book Remember to post to the subsidiary ledgers any time those accounts are used The first work you will be doing will be do determine which journal each form belongs in. Each form will only go into one journal. If we can post it into one of the special journals, we will. If it does not belong in a special journal – that is the only time we will use the general journal for our transactions. This will be fairly rare. Pay attention to the words used on the forms. If it indicates that we have received money – FOR ANY REASON – we will record that in the

Cash Receipts Journal

. If it indicates that we need to write out a check – FOR ANY REASON – it must go into the

Cash Payments Journal

. If we sell something on account then it would go into the

Sales Journal

. And if we buy something on account or we receive a service on account, then it would go into the

Purchases

Journal. If it is a sales return, a purchase return, or the payroll entries it must go into the General Journal. As we record the information from the forms into the journals we need to watch the columns where we record the information. If we record something in the Cash Receipts or the Cash Payments Journals, then we will have to affect cash. Any number we put in the Cash debit column from Cash Receipts we will also put into the check book as a deposit. Any number we put in the Cash credit column from Cash Payments we will also put into the check book as a check we write out. If we affect

Accounts Receivable

, Accounts Payable, or

Merchandise Inventory

in any of the special journals OR in the general journal, we must ALSO take that amount into that subsidiary ledger. If we debited it in the journal we will debit it in the subsidiary; if we credited it in the journal we will credit it in the subsidiary. If we purchased the merchandise inventory we will show it as a purchase in the inventory sheets, if we sold it we will show it under the cost of goods sold section – we will determine our cost for the sale by applying the FIFO rules and determining our cost in the goods we sold. Payroll – record the payroll as instructed first into their employee earnings records, then transfer the information into the payroll register and after totaling the payroll register use that information to prepare a general journal entry. Specific data for each individual regarding their pay rate, status and number of allowances can be found on their earnings record sheets. Specific rates to be used for social security, medicare, and the unemployment amounts can be found down in the next section. Prepare the journal entries based off what we were taught in the textbook. You will need to debit the salary expense account for total gross wages and credit each of the things we withheld (as summarized on the payroll register). However you must credit

Payroll Checking Account

for the net pay because this business uses a separate checking account for normal checks and payroll checks. When you are asked to transfer enough funds to cover payroll, you will debit the Payroll Checking account for the same amount you credited in the first payroll entry in the general journal (net pay) but now it will be in the Cash Payments Journal. This will give you a debit and a credit and will result in a zero balance (and nothing recorded in the

Wages Payable

account yet). Keep in mind that after recording the general journal entry to record the actual payroll you must also prepare a journal entry to record the payroll tax expense for the business. Chocolate Nirvana is responsible for matching the

Social Security

and Medicare amounts withheld from its employees and also must pay in for Federal and State Unemployment. This means that when it comes time to post into the ledger you will have two identical amounts in the Social Security account and two identical amounts in the Medicare account. This entry was shown in the textbook so please follow the format we saw there. The following rates apply: Social Security

6

.2%, on the first

$ 11

0

,

00

0 earned each year by each employee Medicare 1.

4 5

% FUTA .

8

%, on the first $

7

,000 earned each year by each employee SUTA

9

%, on the first $

12

,000 earned each year by each employee We will NOT actually write out the individual payroll checks Hint: If you are asked to write out a check to cover more

than

one thing you must take more than one line so that you properly record the affect to each account. To

this point you should NOT have anything recorded in the

General Ledger

. Wait until you have your journals completed,

TOTAL

ED, and corrected, before putting anything into the general ledger.

2. After completing all journals, TOTAL THEM and write the totals below the last number in the column, compare to the check figures, and post to the general ledger.

For

any journal column with the name of a specific account in the column heading you will post only the total from that column into that account in the general ledger. Journal columns shown as “Other” in the heading need to be posted individually into the general ledger. As you post remember that you have to use the post reference numbers. In the ledger you fill in the journal abbreviation and page number where you get your data and in the journal you put the ledger account number where you posted it. Cash Receipts is CR; Cash Payments is CP; Purchases is P; Sales is S; and General Journal is J. In the journal to show that you posted it into a subsidiary ledger you put a check mark. 3. Prepare an unadjusted trial balance. After getting your numbers to match the check figure transfer the information into the first columns of the worksheet. 4. Prepare month end adjusting entries based on the following data: a) Record accrued interest on the long term note for 3 days – $

16

.77 b) Depreciation – calculate depreciation for JUST the month of

Oct

ober based on the following information: Store Equipment

– 5 year life, $

20

0

0 salvage value, purchased October

10

, use straight line depreciation 1

40

00 120

00 24

00

200
Office Eq

uipment

– 5 year life, $200 salvage value, purchased October 10, use straight line depreciation 500

0 4

80

0 96

0

80
c) Record entry for expired

insurance 25

0 d) Currently there are $75 worth of office supplies on hand 445 37

0 e) Currently there are $125 worth of store supplies on hand 4

35 31

0 f) Record entry amount of advertising expired for the period just ended 200
g) Record wages earned, but unpaid, on

Oct

31 of $

27

5 Adjusting

entries need to be recorded in the general journal, posted into the general ledger (remember to indicate Adjusting Entry in the

Item

column), and added to the worksheet.

5. Complete the worksheet, schedule of accounts receivable/payable,

Income Statement

,

Statement of Owners’ Equity

, and

Balance
Sheet

. Add any accounts not already found on the worksheet as needed to complete your adjusting entries.

The schedule of accounts receivable and schedule of accounts payable are prepared by listing every business owing us money at the end of the month and totaling them and listing every business we owe money to at the end of the month and totalling them. We use the two subsidiary ledgers to get this information. Prepare the Income Statement using the Multiple step format and the

Balance Sheet

using the classified format. The Notes Payable – current balance on the Balance Sheet should be $

15

,000 and the Notest Payable – noncurrent balance on the Balance Sheet should be $

13

,750. 6. Prepare

closing

entries, post to the ledger, and prepare a post-closing trial balance The easiest way to prepare your closing entries would be to use your completed worksheet. Close the credit amounts in the Income Statement column into income summary for the first entry. Close the debit amounts from the Income Statement columns into

Income Summary

for the second entry. Close the difference between the two income summary amounts (should equal net income) in to the

Capital account

in the third entry. Finally, close the drawing account into the capital account in the fourth entry. These entries are done in the General Journal and then posted into the General Ledger. Be sure to indicate

Closing

entry in the Item column. You will then prepare the post-closing trial balance by going through the ledger and listing every account that still has a balance and listing the balance (as either a debit or a credit – based on what it is in the ledger). (Have you made sure that your balances in your subsidiary ledgers match their controlling accounts in the general ledger? Does the net income from your work sheet match the net income you reported on your Income Statement?) In the Exhibit section you will find: Chart of Account Tax Withholding Chart

Check Figures

In the Forms section you will find: The transactions forms you need to record in the various journals In the Journals section you will find: Sales Journal – begin with invoice

100

1 Purchases Journal Cash Receipts Journal – begin with invoice

101 Cash Payments Journal – begin with check

1001 General Journal (ONLY transactions that CANNOT go into one of the special journals) In the Ledgers section you will find: Accounts Receivable Subsidiary Ledger Accounts Payable Subsidiary Ledger Merchandise Inventory Subsidiary Ledger General Ledger In the Checkbook section you will find: Checkbook – begin with check 1001 In the Payroll section you will find: Individual Earnings Records

Payroll Register

– Begin with check 101 (assign to employees in order – do not actually write out checks to the employees)

In the

Financial

Statement section you will find:

Unadjusted
Trial Balance

Work Sheet

Schedule of Accounts Receivable Schedule of Accounts Payable Income Statement (Multiple Step format) Statement of Owners’ Equity Balance Sheet (Classified format) Post Closing Trial Balance

exhibit sheet

Exhibits

chart of accts

Chocolate Nirvana
100 Cash

0

101 Payroll Checking Account

Accounts Receivable

0

& Allowances

s

of Merchandise Sold

120 Merchandise Inventory

PENSES

Store Equipment

0

Expense

5

– Office Eq

Accounts Payable

Payable

Expense

Wages Payable

Income Summary

Chart of Accounts
ASSETS	REVENUE
	41		Sales – Store Sales
		411		Sales – Retail
110		42					Sales Returns
			112								Office Supplies	4											21		Sales Discount
		113							Store Supplies
1																										14		Prepaid Insurance	COST OF GOODS SOLD
			115	Prepaid	Advertising			510																			Cost
	150					Office Equipment
		151		Accumulated Depreciation – Office Equipment	E																	X
		1	60		61					Advertising Expense
		161		Accumulated Depreciation – Store Equipment			611			Rent
		62			Cleaning Expense
6													30			Depreciation Expense
LIABILITIES			631	Depreciation Expense – Store Eq
				210			635					Insurance Expense
			211			Interest Payable		640						Wages Expense
		212		Notes Payable – Current		645		Payroll Tax Expense
		213		Sales Tax Payable			655					Office Supplies Expense
		214		Employee’s					Federal Income Tax			656					Store Supplies Expense
		215							Social Security Tax		660						Telephone Expense
		216							Medicare Tax		665					Utilities
2																			17		FUTA Tax Payable		670	Miscellaneous Expense
2																		18		SUTA Tax Payable
2															19
	250		Notes Payable – Non Current
OWNERS’ EQUITY
	310			Queta Johnson, Capital	OTHER EXPENSE
		311			Queta Johnson, Drawing			810					Interest Expense
	312

Fed Inc Tax Withholding Chart

Persons

than 0 1 2 3 4 5

0 200 0 0 0 0 0 0
200 500 15 12 8 4 0 0
500

30

17 11 5 2

800

31 24 17 13 9

1200

0

25 19 11

1800

42 31 24 16

Persons

If the wages are And the number of withholding allowances claimed is
But less
At least than 0 1 2 3 4 5
The amount of income tax to be withheld is
0 200 0 0 0 0 0 0

200 500 9 5 2 0 0 0
500 800 17 12 7 5 3 0
800 1200 40

27 19 14 5

1200 1800

46 37 25 19 11

1800 2500 61 52 41 34 24 20

		Single
	If the wages are		And the number of withholding allowances claimed is
	But less
	At least
	The amount of income tax to be withheld is
					800				22
					1200	38
				180		46	39	33
			2500	58	47
		Married
	34
	52
The numbers used in these charts do not reflect actual numbers

&N

Check Figures

Sales Journal

,65

Cash Receipts Journal
Other

.00

.72

Sales Tax Payable

Accounts Receivable

Cash Payments Journal
Other

Accounts Payable

Cash

,8

.

Merchandise Inventory

Accounts Payable

.83

Operating Expenses

Current

.53

s and credit

13,305.73

Check Figures – Chocolate Nirvana
	Accounts Receivable				762.69
Sales – Retail Sales											712.80
	Sales Tax Payable			49.89
COGS / Merchandise Inventory				561.60
Purchase Journal
		Accounts Payable													28	0.00
	Merchandise Inventory	27,595.00
		Other	1,055.00
4			5,000
Merchandise Inventory / COGS	22,3	57
Sales – Store Sales	38,							800.00
2,716.00
	Sales Discounts									5.08
		508.46
	Cash			87,019.38
37,386.16
19,806.							32
Cash		57,192.48
After posting your journals here are some selected balances:
												29	26	90
Accounts Receivable								116.95
4,675.			68
							8,740.00
After computing payroll total net pay for all employees								5,062.83
End of month activities:
Work Sheet:
Trial Balance	96,3	04
	Adjustments			1,701.77
	Adjusted Trial Balance			96,876.60
Income Statement (very bottom)						39,512.80
Balance Sheet (very bottom )				60,669.53
Income Statement:
	Net Sales	39,379.51
	Gross Profit		16,563.87
									Total			13,078.04
			Net Income								3,305.73
Statement of Owner’s Equity:
Queta Johnson, October 31, 2011				13,305.73
Balance Sheet:
									Total	Assets		36,669.53
Total Property, Plant, & Equipment		18,720.00
	Total Assets		55,	389
Total Current Liabilities			28,333.80
Total Non-Current Liabilities						13,750.00
	Total Liabilities		42,083.80
Total Liabilities plus Owner’s Equity		55,389.53
Post-Closing Trial Balance:
																Debit	55,669.53

sales journal

ED

1 Oct 10 1001

X

1

2 10

X

1.12

2

3 27

Edwin Pharmacy X

3

4 31

762.69 712.80 49.89 561.60 4

5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30

SALES JOURNAL				Page 1
	DATE 2014		INV NO					ACCOUNT		DEBIT	POSTREF	Accounts Receivable DR.	Sales – Retail Sales CR.	Sales Tax Payable CR	COGS DR. Merchandise Inventory CR.
			Edwin Pharmacy			277.34	259.20		18.14		207.36
		1002		SRM Gifts												23	216.00	15.12	172.80
		1003		254.23	237.60		16.63	181.44
Totals

purchase journal

Page 1

ED

POST REF

1 Oct 5

X

Office Supplies 112 445.00 1

2 5

Supreme

X

2088.00 2

3 5

X

9006.00 3

4 18 Chocolate Delights X

5697.00 4

5 20

X

2674.00 5

6 27 Antwerp Supreme X

0.00

1050.00 6

7 27 Chocolate Delights X

7080.00 7

8 28

X

Telephone Expense 660 140.00 8

9 28

X

665 470.00 9

10 31

95.00

10

11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30

PURCHASES JOURNAL
DATE 2014		ACCOUNT			CREDIT		POST REF	Accounts Payable CR.	Merchandise Inventory DR.	ACCOUNT DR.	Amount
	Fire Place Supplies										445.00
						Antwerp				2088.00
						Chocolate Delights				9006.00
				5697.00
	Antwerp Supreme		2674.00
		105
		70									80.00
TA&A Bell											140.00
	XY Energy											470.00	Utilities Expense
			TOTALS		28650.00			275	1055.00

cash receipts journal

Page 1

INV NO ACCOUNT CREDITED POST REF

1 Oct 1 101 Queta Johnson, Capital 310

.00

1

2 1

250 1

2

3 13

.90

3

4 20

Edwin Pharmacy X 207.36

277.34

4

5 20 105 SRM Gifts X 172.80

5

6 20

Sales, Store Sales 410

.20

6

7 27

Sales, Store Sales 410

.30

7

8 31

Sales, Store Sales 410

7080.00

8

9 31 TOTALS

.00

5.08 508.46

9

10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24

24
25 25
26 26
27 27
28 28
29 29
30 30

CASH RECEIPTS JOURNAL
DATE 2014	Other CR	Merch Inventory CR. COGS DR.	Sales – Store Sales CR.	Sales Tax Pay CR.	Sales Discount DR.	Accts Rec CR	Cash DR
		30,000			15,000
	102	Notes Payable, Noncurrent													5,000.00	30,000.00
	103				Sales, Store Sales					410	4266.00	7570.00	529.90	8099
	104				2.77	274.57
		2.31			231.12		228.81
106	8024.62	14560.00	1019.20		15579
107	5567.66	9590.00	671.30		10261
	108	4119.24	495.60	757.60
4							5000	22357.72	38800.00	2716.00	87019.38

cash payments journal

Page 1

DATE 2014

ACCOUNT DEBITED POST REF

1 Oct 1 1001

611

.00

1

2 1 1002 Store Equipment

.00

2

3 1 1003

.00

3

4 5

Store Equipment 160 5000.00 5000.00 4

5 5

Store Supplies 656

435.00 5

6 5

115 800.00 800.00 6

7 15

Fire Place Supplies X 445.00 445.00 7

8 15

Antwerp Supreme X 2088.00 2088.00 8

9 15

Chocolate Delights X 9006.00 9006.00 9

10 28

Cleaning Expense

.00

10

11 28

Chocolate Delights X 5697.00 5697.00 11

12 28

Antwerp Supreme X

2570.32 12

13 28

212

13

14 Interest Expense 211

163.33 14

15 28

Payroll Checking Account 101

5062.83 15

16 31

Queta Johnson, Drawing 311 5000.00 5000.00 16

17 31 TOTALS

17

18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26

CASH PAYMENTS JOURNAL
	Check No.	Other Accounts DR.	Accounts Payable DR.	Cash CR.
			Rent Expense			4,000						4,000.00
160				14,000					14,000.00
PrePaid Insurance			114				1500	1500.00
	1004
	1005						435.00
	1006	PrePaid Advertising
	1007
		1008
	1009
	1010	625			1				75.00	175
	1011
	1012		2570.32
	1013	Notes Payable- Current		1						250.00	1250.00
					163.33
	1014		5062.83
	1015
37386.16	19806.32	57192.48

general journals

Page 1

DEBIT CREDIT

1 Oct 22

1

2

213

2

3

4

X

4

5 Merchandise Inventory 120

5

6

510 129.60 6

7 22

210

7

8

120 103.68 8

9 28 Wages Expense

9

10 215

10

11 216

11

12 214

12

13 101 5,062.83 13
14 28 FUTA Tax Payable

14

15 SUTA Tax Payable

15

16 16
17 17
18 18
13

13

14 14
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33
GENERAL JOURNAL

DESCRIPTION

Debit

1

2 Oct 31 Office Supplies Expense 655

2

3

112 370.00 3

4

5 31 Store Supplies Expense 656

5

6

113 310.00 6

7

8 31 Insurance Expense 635 250.00 8
9

114 250.00 9

10

11 31 Advertising Expense

11

12

115 200.00 12

13

14 31 Interest Expense 810

14

15

211 16.77 15

16 31

80.00 16

17

151 80.00 17

18 31

631 200.00 18

19

161 200.00 19

20 31 Miscellaneous Expense 670

20

21

219 275.00 21

22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

GENERAL JOURNAL

DATE 2014 DESCRIPTION POST. REF. Debit Credit

1 Closing Entries 1
2 Oct 31

2

3

712.80 3

4 Income Summary 39,512.80 4
5 5
6 31 Income Summary

6

7 Sales Returns 128.21 7
8 Sales Discount 5.08 8
9

9

10 Rent Expense 4,000.00 10
11 Wages Expense

11

12

13

14 Telephone Expense 140.00 14
15 Utilities 470.00 15
16 Depreciation Expense

16

17 Office Supplies Expense 370.00 17
18 Store Supplies Expense 310.00 18
19 Advertising Expense 200.00 19
20 Insurance Expense 250.00 20
23

23

25

– 0 25

26 Income Summary 3,305.73 26
27 Capital account 3,305.73 27

28 28

29

5,000.00 29

30 Capital account 5,000.00 30

31 31
32 32
33 33

		GENERAL JOURNAL
DATE 2014			DESCRIPTION	POST REF.
Sales Returns & Allowances		420							128.21
Sales Tax Payable	9.07
Sales Discounts		421
Accounts Reciveable- Edwin Pharmacy						137.28
			129.60
				Cost of Merchandise Sold
Accounts Payable- Antwerp Supreme				103.68
Merchandise Inventory
		219			6,177.62
									348.83
									81.59
13			3.00
	217											45.01
	218										506.36
	Closing Entries
Page 2
	DATE 2014		POST. REF.												Credit
Adjusting Entries
										370.00
Office Supplies
Office Supplies Used ($445-$75)
									310.00
Store Supplies
Store Supplies Used ($435-$125)
PrePaid Insurance
Insurance Expires ($1500/6 Months)
	610												200.00
PrePaid advertising
Advertising Expires ($800/4 Months)
								16.77
Interest Payable
Depreciation Expense- Office Eq		630
Accumulated Depreciation- Office Eq
Depreciation Expense- Store Eq
Accumulated Depreciation- Store Eq
						275.00
Wages Payable
Page 3
Sales Store									38,800.00
			Sales Retail
	36,207.07
Cost of goods sold						22,815.64
			6,331.67
			Payroll taxes							551.37
			Cleaning expense								175.00
				280.00
	less Interest Expense						180.10
														– 0
Drawing account

Subsidiary ledger sheets

Ledgers

accts rec sub

Edwin Pharmacy

2014

Item

Debit Credit Balance

Oct 10

277.34 277.34

CR1 2.77

27

254.23

S1 137.28

Name SRM Gifts
Address

Item Post. Ref. Debit Credit Balance

Oct 27 CR1 231.12 231.12
CR1 2.31 228.81

ACCOUNTS RECEIVABLE SUBSIDIARY LEDGER

Name

Address

1028 Main Street,

Westminster, SD 58307

Date

Post. Ref.

CR1

274.52

S1

391.47

739 Riverside Lane, Westminster, SD 58307

Date 2014

accts pay sub

Name Antwerp Supreme
Address

Date 2014 Item Post. Ref. Debit Credit Balance

Oct 5

.00

2,088.00

15

2,088.00 – 0

20 P1

2,674.00

22

103.68

.32

27 P1

28 CP1 2,570.32 1,050.00
Name Chocolate Delights
Address

Date 2014 Item Post. Ref. Debit Credit Balance

Oct 5 P1

.00

9,006.00

15 CP1 9,006.00 – 0
18 P1

.00

5,697.00

27 P1

28 CP1 5,697.00 7,080.00
Name

Address

Date 2014 Item Post. Ref. Debit Credit Balance

Oct 5 P1 445.00
31 Closing 370.00 75.00
Name

Address

Date 2014 Item Post. Ref. Debit Credit Balance

Oct 28 P1 140.00 140.00
Name XY Energy
Address

2nd St, Westminster, SD 58307

Date 2014 Item Post. Ref. Debit Credit Balance

Oct 28 P1 470.00 470.00

ACCOUNTS PAYABLE SUBSIDIARY LEDGER
337 Prumer Str., Antwerp, Belgium
						P1	2,088
								CP1
	2,674.00
							J1	2,570
				1,050.00	3,620.32
48956 257th Ave NE, Minneapolis, MN 55444
			9,006
			5,697
	7,080.00	12,777.00
Fireplace Supplies
368 Express Place, Westminster, SD 58307
TA & A Bell
251 381st St, Westminster, SD 58307
	461

Merchandise Inventory sub

3.00

Purchases Cost of Merchandise Sold Inventory

Total Unit Total Unit Total

Date

Cost Cost Qty Cost Cost Qty Cost Cost

1000 1.58 1,580.00

57 1.58

3

1.58

275

943 1.58 1,489.94

275 1.52 418.00

1.58

275 1.52 418.00

1.58

275 1.52 418.00

Item ID

Cash Sales Price

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5 1200

1200 0.72 864.00

108 0.72

0.72

Oct 10

0.72

1008 0.72

Oct 13

0.72

Oct 20

301 0.72 216.72

1440 0.70 1,008.00
Oct 20 301 0.72 216.72

0.70

)

0.72

)

82 0.72 59.04

947 0.70 662.90
Oct 22

0.72

947 0.70 662.90

96 0.70

0.70

Oct 27 461 0.70

0.70

Oct 31 94 0.70

0.70

Item ID

Cash Sales Price 3.00

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5 2500 1.58

2500 1.58 3,950.00

Oct 13

1.58

Oct 18

1178 1.58 1,861.24

2750 1.46 4,015.00
Oct 20 1178 1.58 1,861.24

1.46

Oct 27

1390 1.46 2,029.40

3000 2.10 6,300.00
Oct 27 1390 1.46 2,029.40

2.10

Oct 31

2.10

Item ID

Cash Sales Price 1.00

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

0.72

1700 0.72

Oct 10 180 0.72 129.60

0.72

Oct 10

0.72

Oct 13

0.72

Oct 20

627 0.72 451.44

2450 0.68 1,666.00
Oct 20 627 0.72 451.44

0.68

Oct 22

0.72

)

62 0.72 44.64

789 0.68 536.52
Oct 22 (62) 0.72

789 0.68 536.52

Oct 27 1500 0.70 1,050.00 789 0.68 536.52
1500 0.70 1,050.00
Oct 27

0.68

1500 0.70 1,050.00

Oct 27 411 0.68

210 0.68

1500 0.70 1,050.00

Oct 31 210 0.68 142.80

0.70

Item ID

Cash Sales Price 3.00

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Oct 5

1.58

.00

2200 1.58 3,476.00

Oct 13

1.58

Oct 18 800 1.58

1.58

Oct 20

1.58

Oct 27 500

1211 1.58 1,913.38

500 1.56 780.00
Oct 27 476 1.58

1.58

500 1.56 780.00

Oct 31 389 1.58

1.58

500 1.56 780.00

				Item ID	C – 101					Cash Sales Price
				Item Description	Christmas
													Unit
													Qty
				Oct 5		1000													1.58	1,580.00
				Oct 13	90.06			94		1,489.94
		Oct 18				1.52				418.00
						Oct 20	162	255.96	781	1,233.98
				Oct 31	481	759.98	300	474.00
D – 101		1.00
Dark Chocolate
																	0.72	864.00
			Oct 10	77.76	1092	786.24
84	60.48	725.76
707	509.04			301			216.72
	1440														0.70	1,008.00
493	345.10			947			662.90
			Oct 22	(	82	(	59.04
(82)	(59.04)
								Oct 27	67.20	851	595.70
322.70	390	273.00
65.80	296		207.20
H – 101
Halloween
	3,950.00
1322	2,088.76			1178			1,861.24
	2750						1.46		4,015.00
1360	1,985.60			1390			2,029.40
	3000						2.10		6,300.00
1040	2,184.00	1960	4,116.00
1213	2,547.30	747		1,568.70
M – 101
Milk chocolate
	1700	1,224.00	1,244.00
1520	1,094.40
156	112.32	1364	982.08
737	530.64			627			451.44
	2450											0.68		1,666.00
1661	1,129.48				789				536.52
	(62)	(	44.64
(44.64)
168	114.24	621	422.28
279.48		142.80
527	368.90	973		681.10
T – 101
Thanksgiving
	2200		3,	476
663	1,047.54	1537	2,428.46
1,264.00	2337	3,692.46
1126	1,779.08		1211		1,913.38
			1.56				780.00
752.08	735	1,161.30
614.62	346	546.68

Check book

1001

Date

-14

To

1-Oct 20 14

For Rent

0 00

15,000 00 1

$ 4,000.00

Deposit 30,000 00 2

00 Dollars

4,000 00 3

00

1002

Date 1-Oct
To

1-Oct 20 14

For Office Eq

Dollars Cents

Balance Forward 41,000 00 Pay to the
Deposit Order of

$ 14,000.00

Deposit
Sub Total 41,000 00 Dollars
Current Check 14,000 00
Balance

00

For

1003

Date 1-Oct

To

1-Oct 20 14

For insurance

Dollars Cents

Balance Forward 27,000 00 Pay to the
Deposit Order of

$

.00

Deposit

Sub Total 27,000 00 Dollars
Current Check 1,500 00
Balance

00 For

1004

Date

To

5-Oct 20 14

For Office Eq
Dollars Cents

Balance Forward 25,500 00 Pay to the
Deposit Order of Machines LTD $ 5000

Deposit

Sub Total 25,500 00 Dollars
Current Check 5,000 00
Balance

00 For

1005

Date 5-Oct

To

5-Oct 20

For Office Supplies

Dollars Cents

Balance Forward 20,500 00 Pay to the
Deposit Order of PDQ Supplies $ 435

Deposit

Sub Total 20,500 00 Dollars
Current Check 435 00
Balance

00 For

1006

Date 5-Oct

To

5-Oct 20 14

For Advertising

Dollars Cents

Balance Forward 20,065 00 Pay to the
Deposit Order of

$ 800.00

Deposit

Sub Total 20,065 00 Dollars
Current Check 800 00
Balance

00 For

1007

Date

To

15-Oct 20 14

For Office Supplies
Dollars Cents

Balance Forward 19,625 00 Pay to the
Deposit Order of

$ 445.00

Deposit

Sub Total 19,625 00 Dollars
Current Check 445 00
Balance

00 For

$ 1008

Date 15-Oct

To Antwerp 15-Oct 20 14

For
Dollars Cents

Balance Forward 18,820 00 Pay to the
Deposit Order of Antwerp Supreme $ 2088.00

Deposit

Sub Total 18,820 00 Dollars
Current Check 2,088 00
Balance

00 For

$ 1009

Date 15-Oct

To

15-Oct 20 14

For
Dollars Cents

Balance Forward 16,732 00 Pay to the
Deposit Order of Chocolate Delights $ 9006.00

Deposit

Sub Total 16,732 00 Dollars
Current Check 9,006 00
Balance

00 For

$ 1010

Date

To

28-Oct 20 14

For

Dollars Cents

Balance Forward 7,726 00 Pay to the
Deposit 8099 90 Order of

$ 175.00

Deposit 15579 20
Sub Total

10 Dollars

Current Check 175 00
Balance

10 For

$ 1011

Date 28-Oct

To Chocolate D. 28-Oct 20 14

For
Dollars Cents

Balance Forward 31,230 10 Pay to the
Deposit 10261 30 Order of Chocolate Delights $ 5697.00
Deposit

60

Sub Total

00 Dollars

Current Check 5,697 00
Balance

00 For

1012

Date 28-Oct

To Antwerp 28-Oct 20 14

For
Dollars Cents

Balance Forward 43,370 00 Pay to the
Deposit Order of Antwerp Supreme $ 2,570.32

Deposit

Sub Total 43,370 00 Dollars
Current Check 2,570 32
Balance

68 For

1013

Date 28-Oct

To

28-Oct 20 14

For
Dollars Cents

Balance Forward 40,799 68 Pay to the
Deposit Order of Boot Hill Bank $

.33

Deposit

Sub Total 40,799 68 Dollars
Current Check 1,413 33
Balance

35 For

1014

Date 28-Oct

To

28-Oct 20 14

For
Dollars Cents

Balance Forward 39,386 35 Pay to the
Deposit Order of

$

.04

Deposit

Sub Total 39,386 35 Dollars
Current Check 6,608 04
Balance

31 For

1015

Date

To Queta Johnson 31-Oct 20 14

For
Dollars Cents

Balance Forward 32,778 31 Pay to the
Deposit Order of Queta Johnson $ 5000

Deposit

Sub Total 32,778 31 Dollars
Current Check 5000 00
Balance

31 For

No. 1001

1-Oct

Thunderbird

Dollars

Cents

Balance Forward

Pay to the

Deposit

Order of

Thunder Bird Mall

Sub Total

45,000

Current Check

Balance

41,000

For

No. 1002

D&D

D&D Shelving

27,000

No. 1003

NOC Insurance

NOC Overage Insurance

1,500

25,500

No. 1004

5-Oct

Machines LTD

20,500

No. 1005

PDQ Supplies

14

20,065

No. 1006

Image Counts

Image Counts Advertising

19,625

No. 1007

15-Oct

FirePlace

FirePlace Supplies

18,820

No. 1008

16,732

No. 1009

Chocolate D.

7,726

No. 1010

28-Oct

Reecie

Cleaning Service

Reecie Cleaning

31,405

31,230

****Record 2 deposits here, then 2 on the next stub, then you will write out this check

No. 1011

7575

49,067

43,370

No. 1012

40,799

No. 1013

Boot Hill Bank

1,413

39,386

No. 1014

Pay Roll

Pay Roll Checking Account

6,608

32,778

No. 1015

31-Oct

27,778

General Ledger

Account Cash

100

Date 2014 Item Post. Ref. Debit Credit

Oct 31 CR1 87,019.38 87,019.38
57,192.48

Account Payroll Checking Account Account No. 101

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 5,062.83 5,062.83
31 Closing 5,062.83 – 0 0.00
Account Accounts Receivable Account No. 110

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 10 S1 762.69 762.69
10 CR1 508.46 254.23
27 J1 137.28 116.95
Account Office Supplies Account No. 112

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 P1 445.00 445.00
31 Adjusting

370.00 75.00

Account Store Supplies Account No. 113

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CP1 435.00 435.00
31 Adjusting J2 310.00

Account Prepaid Insurance Account No. 114

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CP1

1,500.00

31 Adjusting J2 250.00

Account

Account No. 115

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 5 CP1 800.00 800.00
31 Adjusting J2 200.00

Account Merchandise Inventory Account No. 120

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31

892.00

J3 207.20

J3 1,568.70

J3 681.10

J3

Account Office Equipment Account No. 150

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 5 CP1 5,000.00 5,000.00
Account Accumulated Depreciation – Office Equipment Account No. 151

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 J1 80.00 80.00
Account Store Equipment Account No. 160

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CP1 14,000.00 14,000.00
Account Accumulated Depreciation – Store Equipment Account No. 161

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 J1 200.00 200.00
Account Accounts Payable Account No. 210

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 P1

28650.00

27 CP1

27 J1 103.68 8,740.00
Account Interest Payable Account No. 211

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1
Account Notes Payable – Current Account No. 212

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1

15,000.00

Account Sales Tax Payable Account No. 213

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 10 S1 18.14 18.14
10 S1 15.12

27 S1 16.63 49.89
Account Employee’s Federal Income Tax Payable Account No. 214

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1

133.00

Account Social Security Tax Payable Account No. 215

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 348.83 348.83
31 closing J3 – 0 0.00
Account Medicare Tax Payable Account No. 216

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 81.59 81.59

31 closing J3 – 0 0.00

Account FUTA Tax Payable Account No. 217

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 45.01 45.01
Account SUTA Tax Payable Account No. 218

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 506.36 506.36
Account Wages Payable Account No. 219

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1 5,062.83 5,062.83
Account Notes Payable – Non Current Account No. 250

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CR1 15,000.00 15,000.00
1 CR1 30,000.00 15,000.00
28 CP1 1,250.00 13,750.00
Account Queta Johnson, Capital Account No. 310

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CR1 15,000.00 15,000.00
1 CR1
31 CP1
Account Queta Johnson, Drawing Account No. 311

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 CP1 5,000.00 5,000.00
Closing J3 5,000.00 – 0 0.00
Account Income Summary Account No. 312

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 CR1

16,442.28

CP1

3,305.73

Net Income 3,305.73
Account Sales – Store Sales Account No. 410

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 CR1 38,800.00 38,800.00
Closing J3 38,800.00 – 0 0.00
Account Sales – Retail Account No. 411

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 27 S1 712.80 712.80
31 Closing J3 712.80 – 0 0.00
Account Sales Returns & Allowances Account No. 420

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 20 J1 137.28 137.28
31 Closing J1 137.28 – 0 0.00
Account Sales Discounts Account No. 421

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 20 CR1 2.77 2.77
CR1 2.31 5.08
22 J1

Account

Account No. 510

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 S1 561.60 561.60
CR1

J1 129.60

Account Advertising Expense Account No. 610

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 J2
31 Adjusting J2 200.00 600.00
Account Rent Expense Account No. 611

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CP1 4,000.00 4,000.00
31 Closing J3 4,000.00 – 0 0.00
Account Cleaning Expense Account No. 625

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1 175.00 175.00
31 Closing J3 175.00 – 0 0.00
Account

Account No. 630

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Adjusting J2 80.00 80.00
Closing J3 80.00 – 0 0.00
Account

Account No. 631

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 Adjusting J2 200.00 200.00
Closing J3 200.00 – 0 0.00
Account Insurance Expense Account No. 635

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 1 CP1 1500.00
31 Adjusting J2 250.00 1250.00
Account Wages Expense Account No. 640

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 6,177.62 6,177.62
31 J3

31 J3

Account Payroll Tax Expense Account No. 645

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 J1 45.01 45.01
J1 506.36 551.37
Account Office Supplies Expense Account No. 655

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 5 P1 445.00 445.00
31 Adjusting J2 370.00 75.00
Account Store Supplies Expense Account No. 656

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 5 CP1 435.00 435.00
31 Adjusting J2 310.00 125.00
Account Telephone Expense Account No. 660

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 P1 140.00 140.00
31 Closing J3 140.00 – 0 0.00
Account Utilities Expense Account No. 665

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 P1 470.00 470.00
31 Closing J3 470.00 – 0 0.00
Account Miscellaneous Expense Account No. 670

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 31 J2 275.00 275.00
31 Adjusting J2 275.00 – 0 0.00
Account Interest Expense Account No. 810

Date 2014 Item Post. Ref. Debit Credit Balance Debit Credit

Oct 28 CP1 163.33 163.33
31 J2 16.77 180.10
31 Closing J3 180.10 – 0 0.00

												Account No.
												Balance Debit Credit
					29,826.90
								J2
				125.00
		1,500.00
							1,250.00
			Prepaid Advertising
				600.00
										J3	892.00
1,099.20
2,667.90
3,349.00
1,326.68						4,675.68
28,650.00
19,806.32	8,843.68
									15,000.00
33.26
							133.00
	16,442.28
13,136.55
1.39	3.69
Cost of Goods Sold
22,357.72	22,919.32
22,789.72
Depreciation Expense – Office Equipment
Depreciation Expense – Store Equipment

Employee Earnings Records

:

Social Security

Single

Westminster, SD 58307

3

Federal Income Tax Social Security Tax Medicare Tax

1 28-Oct

2,231.25

1

2 2
3 3
4 4

EMPLOYEE EARNINGS RECORD

Employee Name:

Address:

Status: Single

Westminster, SD 58307 Allowances: 0
Pay Rate:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax

Net Pay

1 28-Oct

1,155.00

1

2 2
3 3
4 4
EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2
Pay Rate:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay

1 28-Oct 1,250.00 1,250.00

1

2 2
3 3
4 4
EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2

Pay Rate:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay

1 28-Oct

990 27

1

2 2
3 3
4 4

			EMPLOYEE EARNINGS RECORD
				Employee Name	Sue A. Doll	501-08-1111
			Address:	231 Crescent Street				Status:
			Allowances:
			Pay Rate:	$12.75 per hour
			Pay Period Ending					Gross Earnings			Cumulative Earnings	Total	Deductions	Net Pay
		2,231.25		31.00		138.34		32.35		201.69	2,029.56
	Angie Faust			Social Security #:	501-08-2222
2216 Ave D East
$8.25 per hour
Total Deductions
		1,155.00		38.00		71.61		16.75		126.36	1,028.64
	Marge Hoffman	501-08-3333
152 Columbia Blvd
$12.50 per hour
	37.00		77.50		18.13		132.63		1,117.37
	Thomas Kapp	501-08-4444
3248 Manitoba Ave
$11.00 per hour
	990		61.38		14.36		102.74		887.26

Payroll Register

Chocolate Nirvana
Payroll Register
Gross Earnings Deductions

Employee Name Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay Check No. Wages Expense
1

2,231.25 31.00 138.34 32.35 201.69 2,029.56 101

1

2 Angie Faust 1,155.00 38.00 71.61 16.75 126.36 1,028.64 102

2

3 Marge Hoffman 1,250.00 37.00 77.50 18.13 132.63 1,117.37 103

3

4 Thomas Kapp

61.38 14.36 102.74 887.26 104

4

5 5

6 TOTALS

133.00 348.83 81.59

5,062.83

6

7 7

8

9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

For the Pay Period Ending:
Account Debited
Sue A Doll	2,620.60
1,356.55
1,468.13
990.00	27.00	1,162.76
5,626.25	563.42	6,608.04
(981.79)

Financial stmt sheet

Financial

Statements

Unadjusted Trial Balance

Chocolate Nirvana

Unadjusted Trial Balance
ACCOUNT DEBIT CREDIT
Cash 29,826.90
Accounts Receivable 116.95
Office Supplies 445.00
Store Supplies 435.00
Prepaid Insurance 1,500.00
Prepaid Advertising 800.00
Merchandise Inventory 4,675.68
Office Equipment 5,000.00
Store Equipment 14,000.00
Accounts Payable 8,740.00

133.00

348.83

81.59

45.01

506.36

Wages Payable

15,000.00

13,750.00

15,000.00

5,000.00

38,800.00

Sales Retail 712.80
Sales Returns 128.21
Sales Discount 5.08

22,815.64

Rent Expense 4,000.00
Wages Expense

Payroll taxes 551.37
Cleaning expense 175.00
Telephone Expense 140.00
Utilities 470.00
Interest Expense 163.33
TOTAL

96304.83

96304.83 96304.83

		Sales Taxes Payable		2,756.82
		Federal income taxes payable
		Social Security taxes payable
		Medicare Taxes Payable
		FUTA Taxes Payable
		SUTA Taxes Payble
430.42
		Notes Payable Current
Notes Payable- Noncurrent
Queta Johnson Capital
Queta Johnson Drawing
	Sales Stores
Cost Of Goods Sold
6,056.67
			96304.83

Work Sheet

Chocolate Nirvana

Work Sheet
Trial Balance Adjustments Adjusted Trial Balance Income Statement

Balance Sheet

Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

1 Cash 29,826.90 29,826.90 29,826.90 1
2 Accounts Receivable 116.95 116.95 116.95 2
3 Office Supplies 445.00 370.00 75.00 75.00 3
4 Store Supplies 435.00 310.00 125.00 125.00 4
5 Prepaid Insurance 1,500.00 250.00 1,250.00 1,250.00 5
6 Prepaid Advertising 800.00 200.00 600.00 600.00 6
7 Merchandise Inventory 4,675.68 4,675.68 4,675.68 7
8 Office Equipment 5,000.00 5,000.00 5,000.00 8
9 Store Equipment 14,000.00 14,000.00 14,000.00 9
10 Accounts Payable 8,740.00 – 0 8,740.00 8,740.00 10
11 Sales Taxes Payable 2,756.82 – 0 2,756.82 2,756.82 11
12 Federal income taxes payable 133.00 – 0 133.00 133.00 12
13 Social Security taxes payable 348.83 – 0 348.83 348.83 13
14 Medicare Taxes Payable 81.59 – 0 81.59 81.59 14
15 FUTA Taxes Payable 45.01 – 0 45.01 45.01 15
16 SUTA Taxes Payble 506.36 – 0 506.36 506.36 16
17 Wages Payable 430.42 275.00

705.42 17

18 Notes Payable Current 15,000.00 – 0 15,000.00 15,000.00 18
19 Notes Payable- Noncurrent 13,750.00 – 0 13,750.00 13,750.00 19
20 Queta Johnson Capital 15,000.00 – 0 15,000.00 15,000.00 20
21 Queta Johnson Drawing 5,000.00 5,000.00 – 0 5,000.00 21
22 Sales Stores 38,800.00 – 0 38,800.00 38,800.00 22
23 Sales Retail 712.80 – 0 712.80 712.80 23
24 Sales Returns 128.21 128.21 – 0 128.21 24
Sales Discount 5.08 5.08 – 0 5.08 24
Cost Of Goods Sold 22,815.64 22,815.64 – 0 22,815.64 24
Rent Expense 4,000.00 4,000.00 – 0 4,000.00 24
Wages Expense 6,056.67 275.00 6,331.67 6,331.67 24
Payroll taxes 551.37 551.37 – 0 551.37 24
Cleaning expense 175.00 175.00 – 0 175.00 24
Telephone Expense 140.00 140.00 – 0 140.00 24
Utilities 470.00 470.00 – 0 470.00 24
Interest Expense 163.33 16.77 180.10 180.10 24
TOTAL 96304.83 96304.83 – 0 24
Interest Payable 16.77 16.77 – 0 16.77 24
Depreciation Expense 280.00 280.00 280.00 24

80.00 80.00 – 0 80.00 24

200.00 200.00 – 0 200.00 24

Office Supplies Expense 370.00 370.00 370.00 24
Store Supplies Expense 310.00 310.00 310.00 24
Advertising Expense 200.00 200.00 200.00 24
Insurance Expense 250.00 250.00 250.00
1,701.77 1,701.77 96,876.60 96,876.60 36,207.07 39,512.80 60,669.53

24

Net Income 3,305.73 3,305.73 24
Total 39,512.80 39,512.80 60,669.53 60,669.53 24

24
24
24
24

Account Title
		705.42
	Acc. Depr Off Equp
	Acc Depr Store Equip
57,363.80

Sch of Acc Rec – Pay

Chocolate Nirvana

Schedule of Accounts Receivable
ACCOUNT

Chocolate Nirvana

Schedule of Accounts Payable

ACCOUNT

Income Statement

Chocolate Nirvana

Income Statement
Sales Stores 38,800.00
Sales Retail 712.80

39,512.80

128.21

5.08

Net Sales

22,815.64

Gross Profit 16,563.87

Rent Expense 4,000.00

Wages Expense 6,331.67

Payroll taxes 551.37
Cleaning expense 175.00
Telephone Expense 140.00
Utilities 470.00

Depreciation Expense 280.00
Office Supplies Expense 370.00
Store Supplies Expense 310.00
Advertising Expense 200.00
Insurance Expense 250.00
Total 13,078.04 13,078.04
less Interest Expense 180.10
Net Income 3,305.73

For the Month Ending _____October 2014__________
Gross Sales
less Sales Returns
less Sales Discount
$ 39,379.51
less Cost of goods sold
less Operating Expense
Operating Income	3,485.83

Stmt of Owners’ Equity

Chocolate Nirvana

Statement of Owners’ Equity

For the Month Ending __October_________
Beginning Balance	$ – 0
add investment by owner	$ 15,000.00
add net income	$ 3,305.73
less drawings	$ 5,000.00
Ending Balance		$ 13,305.73

Balance Sheet

Chocolate Nirvana
Balance Sheet

Assets

Cash 29,826.90
Accounts Receivable 116.95

Office Supplies 75.00
Store Supplies 125.00
Prepaid Insurance 1,250.00
Prepaid Advertising 600.00

Merchandise Inventory 4,675.68

36,669.53

Office Equipment 5,000.00

Acc. Depr Off Equp

Store Equipment 14,000.00

Acc Depr Store Equip

18,720.00

Total Assets 55,389.53
Accounts Payable 8,740.00
Notes Payable Current 15,000.00
Sales Taxes Payable 2,756.82
Federal income taxes payable 133.00
Social Security taxes payable 348.83
Medicare Taxes Payable 81.59
FUTA Taxes Payable 45.01
SUTA Taxes Payble 506.36
Wages Payable 705.42

16.77

28,333.80 28,333.80

Total Liabilities 42,083.80
Owner’s Equity 13,305.73

55,389.53

Current Assets
Total Current Assets
Property, Plant & Equipment
(80.00)	4,920.00
(200.00)	13,800.00
Total Property Plant and Equipment
Liabiliteis and		Owner’s Equity
	Interet Payable
Total Current Liabiliteis
	Notes Payable Non Current	$ 13,750.00
Total Liabitities and Owner’s Equity

Post Closing TB

Chocolate Nirvana

Post Closing Trial Balance

ACCOUNT DEBIT CREDIT
Cash 29,826.90
Accounts Receivable 116.95
Office Supplies 75.00
Store Supplies 125.00
Prepaid Insurance 1,250.00
Prepaid Advertising 600.00
Merchandise Inventory 4,675.68
Office Equipment 5,000.00

Acc. Depr Off Equp 80.00

Store Equipment 14,000.00

Acc Depr Store Equip 200.00

Accounts Payable 8,740.00
Notes Payable Current 15,000.00
Sales Taxes Payable 2,756.82
Federal income taxes payable 133.00
Social Security taxes payable 348.83
Medicare Taxes Payable 81.59
FUTA Taxes Payable 45.01
SUTA Taxes Payble 506.36

Wages Payable 705.42
Interet Payable 16.77
Notes Payable Non Current

Owner’s Equity $ 13,305.73
Total 55,669.53 55,669.53

13750

2

>Cover

page

Intro

Introduction Queta Johnson is about to open a new business –

Chocolate Nirvana

. It will be a small chocolate specialties store. She plans on selling a limited number of hand-made molded candies, some of which are holiday specific and others that are of a more generic nature, as well as carrying a line of top-end candy bars. The majority of her sales will come from walk-in customers which will all be on a cash only basis. She anticipates working full-time at the store and needing the help of four part-time employees. She uses a perpetual FIFO (First-in, First-Out) method to account for her inventory. So, every time you record a sale of merchandise you must also figure out the cost of the goods (determined from recording it in the merchandise inventory sheets and applying FIFO). The purpose of this practice set is to allow you the chance to see how each of the separate components we have worked on this semester fit together. As you complete the set, you may find it necessary to look back at what we learned in various chapters to help remember exactly what to do. Instructions 1

. Be sure to complete each form before moving on to the next form. 2. Read the form and decide which journal to put it in. 3

. First – journalize the form into ONE of the journals. If it can go into one of the special journals, that is where you first put it. Only if you cannot (the transaction does not work for any of them) would you record it in the general journal. It would never go in two journals but it does have to go in one – you cannot record it anywhere else until you have journalized it. CASH PAYMENTS JOURNAL

– Use this if you are told to write a check. It must go in the

Cash

credit column, which means that it must also go to the check book and write out a check. Why did we pay it? On account would go in the

Account

s Payable

debit column, you would need the name of the business off to the left, and it would need to be recorded in the

Accounts Payable

subidiary. Some other reason? Would need to go in the Other column and you would need the name of an account from the chart of accounts. If we have an asset relating to what we are paying for we should use that. If not then we can use the expense or other appropriate account. If we pay for more

than

one thing with the single check we will need 2 lines to record it so that we can properly show the details. CASH RECEIPTS JOURNAL

– Use this one if you receive money FOR ANY REASON. The total amount of cash received must go in the Cash debit column and into the check book as a deposit. Why did you get the money? If you received it for a summary of cash sales, you must credit

Sales – Store Sales

and

Sales Tax Payable

. These numbers come from the bottom of the cash sales form. Then we must also take the things we sold into the merchandsie inventory sheets and record them as sales and determine what our COST in the goods sold would be. This is based on what we learned in chapter

7

. If we received it for any other reason it needs to go in the Other column and we need the name of an account on the left. PURCHASES JOURNAL

– Used if you buy something on account (or receive a service that you will be paying for a bit later). Because everything in this journal will include a credit to Accounts Payable you will need the name of the business off to the left and have to take it to the Accounts Payable Subsidiary. Then, what did you buy? Merchandise? Then also put it in the

Merchandise

Inventory

column and have to take it to the Inventory sheets and show the purchase. Something else? Then over on the right, put the amount in and then find an account from the chart of account that matches what you have gotten. SALES JOURNAL – This business does not use a sales journal GENERAL JOURNAL

– Only if you cannot record it in one of these four journals would you record it in the general journal. Which means you should not record anything here that affects Cash. We study payroll in chapter

11

. We will also use the general journal for our adjusting and closing entries. Payroll – record the payroll as instructed – 1) into their employee earnings records, 2) then transfer the information into the payroll register and 3) after totaling the payroll register use that information to prepare a general journal entry and then from what we learned in chapter 11 also prepare the entry to record payroll tax expense. Specific data for each individual regarding their pay rate, status and number of allowances can be found on their earnings record sheets. Actual hours worked are given on the form.

Federal Income Tax

withholding amounts are found on the chart near the front of the booklet. First detemine their gross wages, then based on their claimed marital status go to the appropriate chart (married or single – in the front of the book) and find the intersection of their gross wages and how many allowances they are claiming. This is the dollar amount to take for their income tax withholding. Prepare the journal entries based off what we were taught in the textbook. 4

. After journalizing all forms, total up every column from all four special journals and write down your total on the journal page. Compare your totals with the check figures. Do they match? If they do not, determine how far off they are. Try to determine where the error would come from. 5

. Once you have your totals correct, begin posting into the general ledger. You must post all 5 journals (includes the general journal!!!) From the special journals, if you have the name of an account in the column heading, you will post ONLY the total from that column into the general ledger as either a debit (DR) or a credit (CR) based on what is shown in the column heading.

For

the “Other” columns you must post each amount individually. This comes from chapter 5. Notice in chapter 5 how your post reference numbers should look. From the general journal you need to post every account you have used. 6

. As you post in the general ledger, keep running balances. Remember if you have a debit balance and a debit transaction they are added and stay a debit. If you have a credit balance and a credit transaction they are added and stay a credit. If you have one as a debit and the other as a credit they are subtracted and the balance goes to the higher side. Remember the rules for normal balances! Do not worry about an account’s balance too much until you have posted all transactions – at that time all accounts should have their “normal” balance.

7 After posting all numbers from the journals into the general ledger, go to the

Unadjusted Trial
Balance

in the back of the booklet. Write down each account, in order, from the general ledger that has a balance (you will have many accounts that do not yet have balances) and write in the balance amount – debit or credit – and add up your balances. Check your totals (this is a Trial BALANCE so your two balances should be the same) and compare to the check figures.

8

. Use your chart of accounts page to begin work on your worksheet. List all accounts, in order, except you do not need to list Notes Payable – current,

Income Summary

, or

Miscellaneous Expense

. 9

. For the accounts on your unadjusted trial balance, fill in their balances on to the worksheet in the

Unadjusted Trial Balance

columns. Leave all other accounts blank for these columns. 1

0

. Journalize your adjusting entries in the general journal. You are given the information here, but you will need to also use the chart of accounts, sometimes you will need to look back at the form where we originally got the information we recorded for this charge, or you may need to look up on the forms, the ledger, or the trial balance a cost amount. Prepare month end adjusting entries based on the following data for OCTOBER: a) Record accrued interest on the long term note for 3 days –

$ 13

.56 b) Depreciation – calculate depreciation for JUST the month of October based on the following information: Store Equipment

– 5 year life, $

30

00 salvage value, use straight line depreciation Office Equipment

– 5 year life, $

20

0

salvage value, use straight line depreciation c) Record entry for expired insurance d) Currently there are $45 worth of office supplies on hand e) Currently there are $

90

worth of store supplies on hand f) Record entry for amount of advertising expired for the period just ended g) Record wages earned, but unpaid, on Oct

31

of $1

10 11. Post your adjusting entries into the general ledger and get new running balances. Remember from chapter 3 what date we use and how we show this in the ledger. 12

. Also, add your adjusting entries on to the worksheet in the

Adjustments

column. You will total your adjusting entries here.

13. You can now complete the worksheet. Your

Adjusted Trial Balance

columns should match your general ledger balances. What accounts need to get extended into the

Income Statement

columns (based on the Adjusted Trial Balance numbers) and which ones need to go into the

Balance Sheet

columns? Look at chapter 4 if you can’t remember. Also, check chapter 4 to remind yourself how to show the totals on the bottom of the last page of the worksheet.

14

. You are now ready to prepare your financial statements. Be sure to use chapter 6 examples as references. 15

. Your Accounts Payable Vendor balance (Schedule of Accounts Payable) is from chapter 5. Simply list each vendor that you owe money to (Accounts Payable) and total them (example in chapter 5). You do not have to list any business that does not have a balance at the end of the month. 16

. Income Statement – use a multiple step format. What all do you show, and in what columns (chapter 6) to get to gross profit? Where do you show

Interest Expense

? The company decided not to separate their operating expenses into selling and administrative but rather to list them all under Operating Expenses unless they are considered to be Other Expenses. 17

. Statement of Owner’s Equity – were we in business last month? Does that affect how we show anything on this statement? 18

. Balance Sheet – be sure to use the classified format as described and illustrated in chapter 6. They show their Note Payable as a noncurrent liability rather than splitting it between current and noncurrent. 19

. You are now ready to prepare your closing entries. These need to be journalized in the general journal. Use chapter 4 as a reference. If you prepared your worksheet correctly this is a great help in preparing the closing entries. Remember, though, we may have some accounts now that we did not have back in chapter 4 that still need to be closed because of the type of account they are. We close revenues and expenses – where are they found on the balance sheet? What amount should we have for the third entry? What are we trying to close in the 4th entry? 20. After journalizing the closing entries, you then need to post them into the general ledger. Do we put something in the item column? 21

. After posting the closing entries, you will then prepare the post-closing trial balance. Which accounts should still be open? Be sure to use your textbook as a reference as you work through this set. All of this information comes from work in our textbook. Before turning in your completed practice set – Please be sure to put your name on it

chart of accts

Chocolate Nirvana

Cash

0

Sales – Store Sales

0

of Merchandise Sold

Office Equipment

Store Equipment

0

Accounts Payable

Tax Payable

Payable

Miscellaneous Expense

Interest Expense

Income Summary

Chart of Accounts
ASSETS	REVENUE
	100		41
	112		Office Supplies
	113		Store Supplies
	114		Prepaid Insurance	COST OF GOODS SOLD
	115		Prepaid Advertising		51							Cost
	120	Merchandise Inventory
	150
	151	Accumulated Depreciation – Office Equip	OPERATING EXPENSES
	160		61		Advertising Expense
	161	Accumulated Depreciation – Store Equip		615	Depreciation Exp – Store Eq
	620		Wages Expense
6								25		Store Supplies Expense
LIABILITIES		65		Rent Expense
	210		660	Depreciation Exp – Office Eq
	211		Interest Payable		665		Insurance Expense
	213	Sales Tax Payable		670		Payroll Tax Expense
	214		Employee’s Federal Income Tax Payable		675		Office Supplies Expense
	215			Social Security		6	80		Telephone Expense
	216							Medicare Tax		685	Utilities Expense
	217		FUTA Tax Payable		690
	218		SUTA Tax Payable
	219		Wages Payable
	250		Notes Payable – Non Current	OTHER EXPENSE
	810
OWNERS’ EQUITY
	310		Queta Johnson, Capital
	311		Queta Johnson, Drawing
	312

Fed Inc Tax Withholding Amts

Persons

than 0 1 2 3 4 5

0 200 0 0 0 0 0 0
200

0

15 12 8 4 0 0

30

17 11 5 2

700

31

17 13 9

1200

25 19 11

1800

31 24 16

2500

00

65 58 51 40 30 22

Persons

If the wages are And the number of withholding allowances claimed is
But less
At least than 0 1 2 3 4 5
The amount of income tax to be withheld is

0 400 0 0 0 0 0 0
400 700 9 5 2 0 0 0
700

17 12 7 5 3 0

1000

0

40

19 14 5

1400 1800

46

25 19 11

1800 2500 61 52 41 34 24 20

These are the Federal Income Tax Withholding DOLLAR amounts to
use for our practice set

		Single
	If the wages are		And the number of withholding allowances claimed is
	But less
	At least
	The amount of income tax to be withheld is
			40
	400				700				22
	1200	38					24
			1800		46	39		33
		2500		58	47	42
						32
	These are the Federal Income Tax Withholding DOLLAR amounts to
	use for our practice set
		Married
	1000
		140		34			27
	52	37
The numbers used in these charts do not reflect actual IRS numbers

Check Figures

Check Figures – Chocolate Nirvana Purchase Journal Accounts Payable

49,147.80 Merchandise Inventory

48,117.80 Other

1,030.00 Cash Receipts Journal Other

30,000.00 Merchandise Inventory / COGS 45,709.56 Sales – Store Sales 93,539.25 Sales Tax Payable 6,547.76 Cash 130,087.01 Cash Payments Journal Other

37,008.73 Accounts Payable

34,312.30 Cash 71,321.03 After posting your journals here are some selected balances: Cash

58,765.98 Merchandise Inventory

2,408.24 Accounts Payable

14,835.50 After computing payroll total net pay for all employees 4,910.75 End of month activities:

Work Sheet

:

Trial Balance 150,042.91 Adjustments 1,5

28

.56 Adjusted Trial Balance 150,466.47 Income Statement (very bottom)

93,539.25
Balance Sheet (very bottom ) 91,209.22 Income Statement: Sales

93,539.25
Gross Profit 47,8

29

.69

To

tal

Operating Expenses 13,370.40

Net Income

34,282.00 Statement of Owner’s Equity: Queta Johnson, October 31, 2016 36,782.00 Balance Sheet:

Total

Current

Assets

62,509.22 Total Property, Plant, & Equipment 20,900.00 Total Assets 62,360.24 Total Current Liabilities 28,002.22 Total Non-Current Liabilities 18,

625

.00 Total Liabilities 46,627.22 Total Liabilities plus Owner’s Equity 83,409.22 Post-Closing Trial Balance:

Debit

s and credit 83,709.22

purchase journal

PURCHASES JOURNAL

ED

POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15

Page 1

DATE 2016

ACCOUNT

CREDIT

POST REF

Accounts Payable CR.

Merchandise Inventory DR.

ACCOUNT DR.

Amount

cash receipts journal

CASH RECEIPTS JOURNAL Page 1

ACCOUNT CREDITED POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9

10 10
11 11
12 12
13 13
14 14
15 15

DATE 2016	INV NO	Other CR	Merch Inventory CR. COGS DR.	Sales – Store Sales CR.	Sales Tax Pay CR.	Cash DR
– 0

cash payments journal

CASH PAYMENTS JOURNAL Page 1

ED

POST REF

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
11 11
12 12
13 13
14 14
16 16
17 17
18 18
19 19
20 20

DATE 2016

Check No.

ACCOUNT

DEBIT

Other Accounts DR.

Accounts Payable DR.

Cash CR.

General Journal

GENERAL JOURNAL Page 1

DEBIT CREDIT

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

13 13
14 14

21 21
22 22

23

24 24
25 25

26

27 27
28 28
29 29
30 30
31 31
32 32
33 33
GENERAL JOURNAL

DESCRIPTION

Debit

1

2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18

19 19
20 20

21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

GENERAL JOURNAL

DATE 2016 DESCRIPTION POST. REF. Debit Credit

1

2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9

10 10

11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22
23 23
24 24
25 25
26 26
27 27
28 28
29 29
30 30
31 31
32 32
33 33

DATE 2016

DESCRIPTION

POST REF.

23

26

Page 2

DATE 2016

POST. REF.

Credit

Adjusting Entries

Page 3

Closing Entries

accts pay sub

2016

Debit Credit Balance

Name

Address

Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

Name

Address

Date 2016 Item Post. Ref. Debit Credit Balance

ACCOUNTS PAYABLE SUBSIDIARY LEDGER

Name

Antwerp Supreme

Address

337 Prumer Str., Antwerp, Belgium

Date

Item

Post. Ref.

Chocolate Delights

48956 257th Ave NE, Minneapolis, MN 55444

Date 2016

Fireplace Supplies

368 Express Place,

Westminster, SD 58307

TA & A Bell

251 381st St, Westminster, SD 58307

XY Energy

461 2nd St, Westminster, SD 58307

Merchandise Inventory sub

Inventory

Total Unit Total Unit Total

Date

Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

Item Description

Purchases Cost of Merchandise Sold Inventory
Unit Total Unit Total Unit Total
Date Qty Cost Cost Qty Cost Cost Qty Cost Cost

Item ID

C – 101

Item Description

Christmas

Purchases

Cost of Merchandise Sold

Unit

Qty

D – 101

Dark Chocolate

H – 101

Halloween

M – 101

Milk chocolate

T – 101

Thanksgiving

Check book

1001

Date
To 20 16
For

$

Deposit

Dollars

1002

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check

Balance For

1003

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1004

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1005

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1006

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1007

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1008

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1009

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1010

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

$ 1011

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1012

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

1013

Date
To 20 16
For
Dollars Cents
Balance Forward Pay to the
Deposit Order of $
Deposit
Sub Total Dollars
Current Check
Balance For

No.

1001

Dollars

Cents

Balance Forward

Pay to the

Deposit

Order of

Sub Total

Current Check

Balance

For

No.

1002

No.

1003

No.

1004

No.

1005

No.

1006

No.

1007

No.

1008

No.

1009

No.

1010

No.

1011

No.

1012

No.

1013

General Ledger

Account Cash

100

Date 2016 Item Post. Ref. Debit Credit

Account Office Supplies Account No. 112

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Supplies Account No. 113

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Prepaid Insurance Account No. 114

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Prepaid Advertising Account No. 115

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Merchandise Inventory Account No. 120

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Office Equipment Account No. 150

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 151

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Equipment Account No. 160

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 161

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Accounts Payable Account No. 210

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Interest Payable Account No. 211

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Sales Tax Payable Account No. 213

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Employee’s Federal Income Tax Payable Account No. 214

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Payable Account No. 215

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Medicare Tax Payable Account No. 216

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account FUTA Tax Payable Account No. 217

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account SUTA Tax Payable Account No. 218

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Wages Payable Account No. 219

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Notes Payable – Non Current Account No. 250

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Queta Johnson, Capital Account No. 310

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Queta Johnson, Drawing Account No. 311

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Income Summary Account No. 312

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Sales – Store Sales Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Advertising Expense Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 615

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Wages Expense Account No. 620

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Store Supplies Expense Account No. 625

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Rent Expense Account No.

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account

Account No. 660

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Insurance Expense Account No. 665

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Payroll Tax Expense Account No. 670

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Office Supplies Expense Account No. 675

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Telephone Expense Account No. 680

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Utilities Expense Account No. 685

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Miscellaneous Expense Account No. 690

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account Interest Expense Account No. 810

Date 2016 Item Post. Ref. Debit Credit Balance Debit Credit

Account No.

Balance Debit Credit

Accumulated Depreciation – Office Equipment

Accumulated Depreciation – Store Equipment

Social Security Tax

410

Cost of Goods Sold

510

610

Depreciation Expense – Store Equipment

650

Depreciation Expense – Office Equipment

Employee Earnings Records

:

Social Security

Single

Westminster, SD 58307

3

140

Federal Income Tax Social Security Tax Medicare Tax

1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Address:

Status: Single

Westminster, SD 58307 Allowances: 0
Pay Rate per hour:

Hours:

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax

Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2
Pay Rate per hour:

Hours: 90

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name:

Social Security #:

Address:

Status: Married

Westminster, SD 58307 Allowances: 2

Pay Rate per hour:

Hours: 80

Pay Period Ending Gross Earnings Cumulative Earnings Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay
1 1

EMPLOYEE EARNINGS RECORD

Employee Name

Sue A. Doll

501-08-1111

Address:

231 Crescent Street

Status:

Allowances:

Pay Rate per hour:

$14.00

Hours:

Pay Period Ending

Gross Earnings

Cumulative Earnings

Total

Deductions

Net Pay

Angie Faust

Social Security #:

501-08-2222

2216 Ave D East

$10.75

127

Total Deductions

Marge Hoffman

501-08-3333

152 Columbia Blvd

$13.25

Thomas Kapp

501-08-4444

3248 Manitoba Ave

$11.50

Payroll Register

Chocolate Nirvana
Payroll Register
Gross Earnings Deductions

Employee Name Federal Income Tax Social Security Tax Medicare Tax Total Deductions Net Pay Check No.

1

2 Angie Faust 2
3 Marge Hoffman 3
4 Thomas Kapp 4

5 5

6

7 7
8 8
9 9

Account Debited

Wages Expense (Gross Wages)

Sue Doll

TOTALS

Unadjusted Trial Balance

Chocolate Nirvana

Unadjusted Trial Balance
DEBIT CREDIT

Work Sheet

Chocolate Nirvana

Work Sheet
Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement

Balance Sheet

Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

1 1
2 2
3 3
4 4
5 5
6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15
16 16
17 17
18 18
19 19
20 20
21 21
22 22

Chocolate Nirvana
Work Sheet

Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
Account Title Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
1 1
2 2
3 3
4 4

5 5

6 6
7 7
8 8
9 9
10 10
11 11
12 12
13 13
14 14
15 15

16 Net Income 16

17 17

18 18

19 19
20 20
21 21

Account Title

Sch of Acc Pay

Chocolate Nirvana

ACCOUNT

Schedule of Accounts Payable (Accounts Payable Creditor Balances)

Income Statement

Chocolate Nirvana

Income Statement

Stmt of Owners’ Equity

Chocolate Nirvana

Statement of Owners’ Equity

Balance Sheet

Chocolate Nirvana
Balance Sheet

Assets

Post Closing TB

Chocolate Nirvana

ACCOUNT DEBIT CREDIT

Post Closing Trial Balance

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