The Waren’s Month-End Procedures

Transaction Table -Transaction List A_Alt 1(84 points) IMPORTANT: Do not use the Transaction List A and Price List in your hard copy SUA packet. Use the “Transaction List A and Price List_Alt 1” posted on Canvas. The table below lists what you need to do for each transaction. Please assume the employee role of Waren Sports and fill in each missing cell with appropriate actions. If no action is needed for that transaction, type in “NA” in the corresponding cell. For each transaction, I have completed some tasks. You only need to fill in the blank cells. Note that for Transaction #1, 8, and 20, I have filled in all cells. However you still need to record these transactions in your workbook if applicable. Instructions: 1. Source Documents – Fill in documents you need to prepare for this transaction. Clearly write out Document #, and name, and the specific number of that particular document because some documents have multiple copies. 2. Journals – Fill in the name of special journals you use to record this transaction. – Specify what accounts to debit and credit and the dollar amount. – When the transaction needs to be recorded under “Other G/L”, write out the account number based on Chart of Accounts. You do not need to put the customer account number or vendor account number in the table. But you need to specify the customers or vendors’ names. – Record the transaction in corresponding journals in the workbook. 3. Ledgers – Fill in the name of the subsidiary ledger to record the transaction. – Also specify the names of customer or vendor – Show debits or credits and the dollar amount – Record the transaction in the subsidiary ledgers in the workbook 4. JE – Write out the complete journal entries for this transaction. – Nothing to do in workbook regarding this column Tran# Source Documents 1 -Doc #5: Bill of lading 6890BR -#6: Sale invoice # 731 2 #9 cash receipts prelist 3 4 #16 purchase order No.328 #17 receiving report no. 73 5 #9 cash receipts prelist 6 7 #12 return request (sign) #20 check 8 NA Journals (Fill in here and workbook) Sales Journal: 12/16 Rosemount U: Dr. AR G/L $16,170 Cr: sales $16,170 Ledgers (Fill in here and in the workbook) AR subsidiary ledge: (Rosemont) Dr. $16,170 JE Cash receipts journal 12/16 Branch College DR. cash 1622.88 Dr. Discount 33.12 CR. AR 1656.00 n/a Purchase journal (Chicago office supply) 12/19 Dr. other G/L 830.25 Cr. Accounts payable GL 830.25 AR subsidiary ledger (branch) CR. 1656.00 Dr. cash 1622.88 Dr. discount 33.12 Cr. AR – branch college 1656.00 n/a Ap subsidiary (Chicago office): cr 830.25 n/a Dr. office supplies expense 830.25 Cr. AP Chicago 830.25 Cash receipt 12/19 (first American bank) Dr. cash 900000 Cr. Other GL 900000 n/a Cash disbursements (first security insurance) 12/20/22 Dr. other GL 1710 Cr. Cash 1710 NA NA Dr. cash 90000 Cr. Other GL (21100) 90000 NA NA n/a Dr. Other GL (41000) 1710 Cr. Cash 1710 Update the pay rate for each employee (in the “Pay Rate History” tab in your workbook. NA Dr. AR_Rosemount $16,170 CR. Sale $16,170 9 10 #17 receiving report 74 Doc #5: bill of landing 6891BR Doc #6 sales invoice # 732 11 12 Use FC p22 (Accounting): -#18 Vendor invoice from Velocity (adjust the differences in quantities and prices, JA initial the adjusted vendor invoice) NA 13 #17 receiving report 75 14 -#8 Restrictively endorse the check Doc#8 -# 9 Cash receipt prelist (Look for the original sales amt in SJ) 15 #5 6892BR #7 cash sales invoice C-30 #9 cash prelist 16 FC p23: -#20 Check#1153, sign, write “paid” on vendor invoice NA SJ 12/21: Rosemount U, cr $3325 Dr. AR GL $3325 Purchases journal 12/22 (velocity) Dr. purchases GL 21,199 Cr. AP GL 21,199 Dr. allowance for doubtful accounts 2900 Cr. AR GL 2900 Sales journal 12/23/22 (eastern Wisconsin) Dr. sales return 4550 Cr. AR GL 4550 Cash receipts Journal: dr. $12,000 cr. AR_EWU GL $12000 Cash receipts journal 12/27 (Hawkins) Dr. Cash 5835 Cr. Sales GL 5835 Cash disbursement journal 12/28 University athletics Dr. Other GL (40200) 1590 In your hard copy SUA packet, the pay rate history is on the page of Employee Earnings Sub ledger. NA AR subsidiary ledger: (Rosemount) DR $3325.00 AP subsidiary ledger: (velocity) Cr. $21199.00 NA Dr. AR_Rosemount $3325 CR. Sale $3325 Dr. Purchases 21,199 Cr. AP_Velocity 21,199 AR subsidiary ledger (Stevenson college) 12/23/22 Cr. 2900 AR_sub ledger: Eastern Wisconxin U, cr. $4550 Dr. allowance for doubtful accounts 2900 Cr. AR GL (Stevenson college) 2900 AR subsidiary ledger (eastern Wisconsin) 12/27 Cr. 12000 Dr. Cash 12000 Cr. AR EWU 12000 NA Dr. Cash 5835 Cr. Sales GL (Hawkins) 5835 NA Dr. Other GL (40200) 1590 Cr. Cash 1590 Dr. Sales return 4550 Cr. AR (E Wisconsin) 4550 Commented [VL1]: No Acctg entries recorded because invoice hasn’t been received. 17 #20 check no. 1154 #19 freight bill no. 26245 18 FC p23 -#21 ACH payment auth. write “paid” on vendor invoice 19 201 1 FCp22 receiving: -#17 receiving report No.76, note No quantity differences between receiving report and vendor invoice FC P21: #22 RK approves and initial the time record report – #20 Checks# 1155-1157 Cr. Cash 1590 Cash disbursements (interstate motor freight) 12/28/22 Dr. Freight 738.15 Cr. Cash 738.15 Cash disbursements (velocity sporting goods) 12/29/22 Dr. AP GL 21199 Cr. Cash 20775.02 Cr. Purchase Discount 423.98 Purchase journal (Chicago office) 12/29 Dr. Oher GL 1256.10 Cr. AP GL 1256.10 Payroll Journal: – Fill in the three section of gross pay, deductions, payment for each employee NA Dr. Freight-in G/L 30800 $738.15 Cr. Cash $738.15 AP subsidiary ledger (velocity sporting goods) 12/29 Dr. 21199 Dr. AP GL (velocity) 21199 Cr. Cash 20775.02 Cr. Purchase Discount 423.98 Fixed assets subsidiary ledger (Chicago office) 12/29 Dr. 1256.10 Dr. Fixed assets (10800) $1256.10 Cr. AP_Chicago Office: $1256.10 AP subsidiary (Chicago) 12/29 Cr. 1256.10 Employee sub ledger, one for each person Dr. wages and salaries expense 7663.20 Cr. FICA 586.24 Cr. Fed income taxes w/h 610.00 Cr. State income taxes w/h 346.48 Cr. Cash (net pay) 6120.48 Need to use the information in p.8 of Instr. & FC book to get the SS tax rate of 6.2% and medicare 1.45%. Total of SS tax + Medicare is FICA. Commented [VL2]: The CD Journal has a column for freight-in. so we do not use other G/L Commented [VL3]: Consider the credit terms (Info&FC book p.7) when recording Journal Entries Systems Understanding Aid – 10th Edition* Hybrid Approach Workbook * Enter your name marina luttrell Table of Contents Reference Chart of Accounts Ledgers General Ledger Accounts Payable Subsidiary Ledger Accounts Receivable Subsidiary Ledger Employee Earnings Subsidiary Ledger Fixed Assets Subsidiary Ledger Journals General Journal Sales Journal Cash Receipts Journal Purchases Journal Cash Disbursements Journal Payroll Journal Pay Rate History Other Required Documents Bank Reconciliation Year End Worksheet Post Closing TB Cash Flow Worksheet Financial Statements Balance Sheet Income Statement Statement of Cash Flows Other Reports AR Aging Report Doc No 2 Ledgers pg. 3-15 Ledgers pg. 18 Ledgers pg. 16-17 Ledgers pg. 19-21 Ledgers pg. 22-23 Jrnls pg. 3-5 Jrnls pg. 7 Jrnls pg. 9 Jrnls pg. 11 Jrnls pg. 12-13 Jrnls pg. 15 Ledgers pg. 19 See Ref book Doc 26 Doc 27 See Ref book See Ref book See Ref book See Ref book Systems Understand Aid by Alvin A. Arens and D. Dewey Ward © 2020, by Armond Dalton Publishers, Inc. blishers, Inc. Mode TARP marina luttrell Chart of Accounts Account Number 10100 10200 10210 10300 10400 10500 10600 10700 10800 10900 11000 20100 20200 20300 20400 20500 20600 20700 20800 20900 21000 21100 21200 26000 27000 28000 29000 29010 30100 30200 30300 30400 30500 30600 30700 30800 30900 31000 31100 31200 40100 40200 40300 Account Cash Accounts receivable Accounts receivable from employees Allowance for doubtful accounts Inventory Prepaid expense Marketable securities Interest receivable Fixed assets Accumulated depreciation Notes receivable Accounts payable Wages and salaries payable Federal income taxes withheld State income taxes withheld State unemployment taxes payable Federal unemployment taxes payable F.I.C.A. taxes payable Federal income taxes payable Dividends payable Interest payable Notes payable Unearned revenue Common stock Paid in capital Income summary Retained earnings Dividends declared Sales Sales returns and allowances Sales discounts taken Cost of goods sold Purchases Purchases returns and allowances Purchases discounts taken Freight-in Gain/loss on sale of fixed assets Gain/loss on sale of marketable securities Interest/dividends income Miscellaneous revenue Rent expense Advertising expense Office supplies expense Page 3 of 30 Category Assets Assets Assets Assets Assets Assets Assets Assets Assets Assets Assets Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Liabilities Equity Equity Equity Equity Equity Gross Profit Gross Profit Gross Profit Gross Profit Gross Profit Gross Profit Gross Profit Gross Profit Other Revenue Other Revenue Other Revenue Other Revenue Operating Expenses Operating Expenses Operating Expenses marina luttrell Chart of Accounts Account Number 40400 40500 40600 40700 40800 40900 41000 Account Depreciation expense Wages and salaries expense Payroll tax expense federal income tax expense Interest expense Bad debt expense Other operating expense Category Operating Expenses Operating Expenses Operating Expenses Operating Expenses Operating Expenses Operating Expenses Operating Expenses Page 4 of 30 marina luttrell General Ledger In Balance 2,412,758.30 2,412,758.30 – 10100 CASH 69,753.20 10200 ACCOUNTS RECEIVABLE 24,005.00 10210 ACCOUNTS RECEIVABLE FROM EMPLOYEES – 10300 ALLOWANCE FOR DOUBTFUL ACCOUNTS (1,750.81) 10400 INVENTORY 101,681.00 10500 PREPAID EXPENSE – 10600 MARKETABLE SECURITIES 24,000.00 10700 INTEREST RECEIVABLE – 10800 FIXED ASSETS 320,665.00 10900 ACCUMULATED DEPRECIATION (81,559.50) 11000 NOTES RECEIVABLE – 20100 ACCOUNTS PAYABLE (3,650.00) 20200 WAGES AND SALARIES PAYABLE – 20300 FEDERAL INCOME TAXES WITHHELD (1,037.00) 20400 STATE INCOME TAXES WITHHELD (590.86) 20500 STATE UNEMPLOYMENT TAXES PAYABLE (60.96) 20600 FEDERAL UNEMPLOYMENT TAXES PAYABLE (10.30) 20700 F.I.C.A. TAXES PAYABLE (2,029.32) 20800 FEDERAL INCOME TAXES PAYABLE – 20900 DIVIDENDS PAYABLE – 21000 INTEREST PAYABLE – 21100 NOTES PAYABLE – 21200 UNEARNED REVENUE – 26000 COMMON STOCK (225,000.00) 27000 PAID IN CAPITAL – 28000 INCOME SUMMARY – 29000 RETAINED EARNINGS (90,264.99) 29010 DIVIDENDS DECLARED – 30100 SALES (1,518,230.00) 30200 SALES RETURNS AND ALLOWANCES 57,631.00 30300 SALES DISCOUNTS TAKEN 15,144.18 30400 COST OF GOODS SOLD – 30500 PURCHASES 1,078,500.00 30600 PURCHASES RETURNS AND ALLOWANCES (19,445.00) 30700 PURCHASES DISCOUNTS TAKEN (15,561.30) 30800 FREIGHT-IN 23,380.94 Page 5 of 30 marina luttrell General Ledger In Balance 2,412,758.30 2,412,758.30 – 30900 GAIN/LOSS ON SALE OF FIXED ASSETS – 31000 GAIN/LOSS ON SALE OF MARKETABLE SECURITIES – 31100 INTEREST/DIVIDENDS INCOME – 31200 MISCELLANEOUS REVENUE – 40100 RENT EXPENSE 52,800.00 40200 ADVERTISING EXPENSE 20,805.00 40300 OFFICE SUPPLIES EXPENSE 5,062.30 40400 DEPRECIATION EXPENSE – 40500 WAGES AND SALARIES EXPENSE 125,464.80 40600 PAYROLL TAX EXPENSE 10,742.62 40700 FEDERAL INCOME TAX EXPENSE – 40800 INTEREST EXPENSE – 40900 BAD DEBT EXPENSE – 41000 OTHER OPERATING EXPENSE 29,555.00 Page 6 of 30 marina luttrell Accounts Receivable Subsidiary Ledger Customer Number 406 Date 1-Oct 6-Oct 14-Oct 7-Nov 17-Nov 1-Dec 8-Dec 16-Dec 21-Dec Customer Number 407 Customer Name Terms Rosemont University 2/10 net 30 Description Balance Forward Invoice Payment Invoice Payment Invoice Payment invoice invoice Invoice 722 722 724 724 727 727 731 732 Debit Credit Limit 125,000.00 Credit 29,018.00 29,018.00 2,460.00 2,460.00 4,174.00 4,174.00 16,170.00 3,325.00 Customer Name Terms Clayborn University 2/10 net 30 Page 7 of 30 Credit Limit 125,000.00 Due 19,495.00 Balance 29,018.00 (29,018.00) 2,460.00 (2,460.00) 4,174.00 16,170.00 19,495.00 19,495.00 19,495.00 19,495.00 Due – marina luttrell Accounts Receivable Subsidiary Ledger 408 Date 1-Oct 7-Oct 10-Nov 17-Nov 13-Dec 16-Dec Customer Number 409 410 Date 1-Oct 14-Nov 21-Nov 8-Dec 23-Dec 27-Dec Branch College Description Balance Forward Payment invoice Payment Invoice Payment 2/10 net 30 Invoice 721 725 725 730 730 Debit 46,551.00 100,000.00 Credit 45,351.00 32,912.00 32,912.00 1,656.00 1,656.00 Customer Name Terms University of Southern Iowa Eastern Wisconsin University 2/10 net 30 100,000.00 2/10 net 30 75,000.00 Description Balance Forward Invoice Payment invoice sales return Payment Invoice Debit 726 726 729 729 729 24,905.00 Credit Limit Credit 5,000.00 21,872.00 Page 8 of 30 4,550.00 12,000.00 1,200.00 Balance 46,551.00 1,200.00 34,112.00 1,200.00 2,856.00 1,200.00 1,200.00 1,200.00 Due 25,227.00 Balance 24,905.00 19,905.00 41,777.00 37,227.00 25,227.00 25,227.00 25,227.00 marina luttrell Accounts Receivable Subsidiary Ledger Customer Number 411 Date 1-Oct 24-Oct 7-Nov 7-Nov 23-Dec Customer Name Terms Stevenson College 2/10 net 30 Description Balance Forward Invoice Credit memo on 723 Payment allowance for doubtful accounts Invoice 723 41 723 Debit 2,900.00 57,696.00 Credit Limit 75,000.00 Credit 23,014.00 34,682.00 2,900.00 Due Balance 2,900.00 60,596.00 37,582.00 2,900.00 – Total Outstanding Receivables 45,922.00 Balance Per GL 24,005.00 Difference Needs Reconciliation (21,917.00) Approved Page 9 of 30 Expand before printing Page 10 of 30 Expand before printing Page 11 of 30 Expand before printing Page 12 of 30 marina luttrell Accounts Payable Subsidiary Ledger Vendor Number 252 Date 1-Oct 5-Oct 13-Oct 3-Nov 13-Nov 5-Dec 13-Dec 22-Dec 29-Dec Vendor Number 253 Date 1-Oct 6-Oct 19-Oct 8-Nov 21-Nov 23-Nov 12-Dec 12-Dec 19-Dec 29-Dec Vendor Name Terms Freight Velocity Sporting Goods 2/10 Net 30 Collect Debit Credit Description Balance Forward Vendor Invoice ACH payment Vendor Invoice Check Vendor Invoice ACH payment vendor invoice ach payment invoice / check # 32407 E-53429 33371 1125 33965 E-53430 34719 E-53431 81,285.00 81,285.00 27,380.00 27,380.00 36,115.00 36,115.00 21,199.00 21,199.00 Vendor Name Terms Freight Chicago Office Supplies Due on Receipt No Charge Description Balance Forward Check Vendor Invoice Check Vendor Invoice Check Vendor Invoice Check Vendor Invoice Vendor Invoice invoice / check # 1111 2112 1124 2275 1136 2344 1141 2378 2423 Debit Credit 1,087.83 1,087.83 985.80 985.80 558.09 558.09 7,367.00 7,367.00 Page 13 of 30 830.25 1,256.10 Due Balance 81,285.00 27,380.00 36,115.00 21,199.00 Due 2,086.35 Balance 1,087.83 985.80 558.09 7,367.00 830.25 2,086.35 2,086.35 marina luttrell Accounts Payable Subsidiary Ledger Vendor Number 261 Vendor Name Vendor Name Terms Freight Gillett Consulting Net 30 Days NA Due 3,650.00 Total Accounts Payable Due 5,736.35 Balance Per GL 3,650.00 Difference needs reconcilation Page 14 of 30 (2,086.35) marina luttrell Fixed Asset Subsidiary Ledger Description Location Office Furniture Delivery Truck Inventory Handling System 146 GB Rack Server standing workstation Office Loading Dock Warehouse Office office Purchased From: Depreciation Method: Life: Salvage value: Date 12/29/22 Debit 1,256.10 Cost 50,750.00 69,255.00 200,660.00 7,367.00 1,256.10 Accumulated Depreciation 50,750.00 20,776.50 10,033.00 – Net book Value 48,478.50 190,627.00 7,367.00 1,256.10 chicago office supply straight line 5 years 0 Asset Credit Balance 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 Debit Depreciation Credit Net book value Balance – 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 1,256.10 Totals 329,288.10 81,559.50 247,728.60 Per GL 320,665.00 81,559.50 239,105.50 Difference Requires Reconciliation (8,623.10) Page 15 of 30 – (8,623.10) marina luttrell Employee Earnings Subsidiary Ledger Employee’s Name Home Address Employed Date of Birth Ray Kramer 417 Cherry Chicago, 60912 4/6/11 2/15/79 Soc.Sec.No. Phone No. Date of Termination Occupation Hours Worked Period Ending Paid 10-1 Balance Forward 15-Oct 14-Oct 31-Oct 31-Oct October subtotal 15-Nov 15-Nov 30-Nov 30-Nov November subtotal 15-Dec 15-Dec 31-Dec 30-Dec December subtotal Employee’s Name Home Address Employed Date of Birth Employee’s Name Home Address Employed Date of Birth Period Ending Paid Oct 1 Balance forward 15-Oct 14-Oct 31-Oct 31-Oct October subtotal 15-Nov 15-Nov 30-Nov 30-Nov November subtotal 15-Dec 15-Dec 31-Dec 30-Dec December subtotal Gross Pay 63,000.00 3,500.00 3,500.00 70,000.00 3,500.00 3,500.00 77,000.00 3,500.00 3,575.00 84,075.00 Social Security 3,906.00 217.00 217.00 4,340.00 217.00 217.00 4,774.00 217.00 221.65 5,212.65 Jim Adams 2522 Longfellow, Chicago, 60823 1/16/18 10/2/93 Medicare 913.50 50.75 50.75 1,015.00 50.75 50.75 1,116.50 50.75 51.84 1,219.09 Federal Income Tax State Income Tax 5,454.00 2,949.66 303.00 163.87 303.00 163.87 6,060.00 3,277.40 303.00 163.87 303.00 163.87 6,666.00 3,605.14 303.00 163.87 312.00 167.58 7,281.00 3,936.59 Soc.Sec.No. Phone No. Date of Termination Occupation Net Pay 49,776.84 2,765.38 2,765.38 55,307.60 2,765.38 2,765.38 60,838.36 2,765.38 2,821.93 66,425.67 xxx-xx-9833 312-351-5874 Accounting Clerk FICA Over Time Regular Hours Hours 80 88 5.7 8.25 88 88 12.7 14.3 88 11.6 9.3 Gross Pay 36,567.87 1,859.55 2,107.88 40,535.30 2,248.05 2,298.45 45,081.80 2,213.40 2,293.86 49,589.06 Social Security 2,267.21 115.29 130.69 2,513.19 139.38 142.50 2,795.07 137.23 142.22 3,074.52 Nancy Ford 1018 Whittier, Chicago, 60823 10/1/22 5/23/89 Hours Worked Over Time Regular Hours Hours Medicare 530.23 26.97 30.56 587.76 32.60 33.33 653.69 32.09 33.26 719.04 Medicare 11.83 12.33 24.16 12.08 12.81 49.05 22.14 26.02 97.21 Total 140,367.98 8,702.82 2,035.34 Per GL 125,464.80 0 0 49 52 0 0 88 1.2 6.7 Net Pay 28,914.25 1,480.63 1,667.67 32,062.55 1,764.18 1,797.23 35,623.96 1,740.90 1,794.22 39,159.08 xxx-xx-4832 312-351-5251 Clerk FICA Social Security 50.59 52.70 103.29 51.65 54.81 209.75 94.65 111.25 415.65 48 50 Federal Income Tax State Income Tax 3,215.00 1,641.18 154.00 82.66 184.00 94.96 3,553.00 1,818.80 210.00 101.89 221.00 104.39 3,984.00 2,025.08 203.00 100.18 220.00 104.16 4,407.00 2,229.42 Soc.Sec.No. Phone No. Date of Termination Occupation Gross Pay 816.00 850.00 1,666.00 833.00 884.00 3,383.00 1,526.60 1,794.32 6,703.92 Difference Manager FICA Over Time Regular Hours Hours Hours Worked Period Ending Paid Oct 1 Balance forward 15-Oct 14-Oct 31-Oct 31-Oct October subtotal 15-Nov 15-Nov 30-Nov 30-Nov November subtotal 15-Dec 15-Dec 31-Dec 30-Dec December subtotal xxx-xx-2376 312-781-3565 14,903.18 Page 16 of 30 Federal Income Tax State Income Tax 26.32 28.00 54.32 27.16 29.68 111.16 51.00 61.49 78.00 74.74 129.00 247.39 11,817.00 6,413.40 Net Pay 727.26 756.97 1,484.23 742.11 786.70 3,013.04 1,297.32 1,504.31 5,814.67 111,399.43 marina luttrell General Journal November and December 2022 Ref # 1 Date 30-Nov Balance: Account Explanation 40600 Payroll Tax Expense 20700 FICA Payable 20500 SUTA Payable 20600 FUTA Payable Post 4,006.92 Debit 4,006.92 Credit X X X X 1,085.92 X X 21.00 1,014.66 60.96 10.30 To record November payroll taxes 2 3 30-Nov 23-Dec 41000 Other Operating Expenses 10100 Cash To record November bank service charges 10300 allowance for doubful accounts 10200 accounts receivable record bad debt allowance for stevenson college Page 17 of 30 21.00 2,900.00 2,900.00 marina luttrell General Journal November and December 2022 Ref # Date Account Balance: Explanation Page 18 of 30 Post 4,006.92 Debit 4,006.92 Credit marina luttrell General Journal November and December 2022 Ref # Date Account Balance: Explanation Page 19 of 30 Post 4,006.92 Debit 4,006.92 Credit marina luttrell Sales Journal November and December 2022 Date 7-Nov 7-Nov 10-Nov 14-Nov November Customer Stevenson College Rosemont University Branch College Eastern Wisconsin Univ. Out of Bal Debit Invoice / Credit Memo Number Subsidiary Account Posted CM41 724 725 726 411 406 408 410 x x x x Monthly Totals Acct. Rec. GL 10200 23,0 2,460.00 32,912.00 24,905.00 60,277.00 Posted 1-Dec 7-Dec 8-Dec 13-Dec 16-Dec 21-Dec 23-Dec December Rosemont University Clayborn University Eastern Wisconsin Univ. Branch College Rosemont University Rosemont University Eastern Wisconsin Univ. 727 728 729 730 731 732 729 406 407 410 408 406 406 410 Monthly Totals x x x x x x x 23,0 P 4,174.00 7,252.00 21,872.00 1,656.00 16,170.00 3,325.00 4,5 54,449.00 Posted Page 20 of 30 Sales Ret GL 302 4,5 P marina luttrell Cash Receipts Journal November and December 2022 Debit Date 7-Nov 13-Nov 17-Nov 17-Nov 21-Nov November Description Stevenson College McClain College Rosemont University Branch College Eastern Wisconsin Univ. Dep Ctrl init NF NF NF NF NF Monthly Totals Cash GL 10100 34,682.00 7,767.00 2,410.80 32,253.76 5,000.00 82,113.56 Posted 6-Dec 8-Dec 12-Dec 14-Dec 14-Dec 16-Dec 19-Dec 27-Dec 27-Dec December Gates University Rosemont University Hancock College Clayborn University Atwood Brothers Branch College first american bank eastern wisconsin univ. hawkins college December Total NF NF NF NF NF NF NF NF NF RK 5,891.00 4,090.52 5,306.00 7,106.96 825.00 1,622.88 90,000.00 12,000.00 5,835.00 132,677.36 Posted Credit Sales Disc GL 30300 Accounts Receivable GL 10200 Subs Acct Subs Post Trans Amount No Ref 411 34,682.00 x Sales GL 30100 Acct No. 7,767.00 49.20 658.24 406 408 410 707.44 2,460.00 32,912.00 5,000.00 x x x 75,054.00 7,767.00 Posted Posted Posted 5,891.00 83.48 406 4,174.00 x 145.04 407 7,252.00 x 1,656.00 x 12,000.00 x 5,306.00 31200 33.12 21100 5,835.00 261.64 25,082.00 Posted Posted Page 21 of 30 17,032.00 Posted Tra marina luttrell Purchases Journal November and December 2022 Date 3-Nov 21-Nov November Vendor Velocity Sporting Goods Chicago Office Supply Vendor Invoice Number 33371 2275 Monthly Totals Debit Purchases GL 30500 Acct. No Other GL Transaction Amount Post Ref 27,380.00 40300 27,380.00 558.09 x Accounts Payable G Subs Acct. Trans Amount No. 252 253 558.09 27,938.09 Posted 5-Dec 12-Dec 19-Dec 22-Dec 29-Dec December Velocity Sporting Goods Chicago Office Supplies Chicago Office Supplies Velocity Sporting Goods Chicago Office Supplies Monthly Totals 33965 2344 2378 34719 2423 27,380.00 558.09 Posted 36,115.00 10800 40300 7,367.00 830.25 10800 1,256.10 21,199.00 57,314.00 9,453.35 252 253 253 252 253 36,115.00 7,367.00 830.25 21,199.00 1,256.10 66,767.35 Posted Posted Page 22 of 30 marina luttrell Cash Disbursements Journal November and December 2022 1 Credit Date Check/ACH No. Description Cash GL 10100 8-Nov 11-Nov 15-Nov 15-Nov 1124 1125 1126-8 1129 Chicago Office Supplies Velocity Sporting Goods See Payroll Journal Internal Revenue Service 985.80 26,832.40 15-Nov 15-Nov 17-Nov 17-Nov 17-Nov 17-Nov 23-Nov 30-Nov 1130 1131 1132 1133 1134 1135 1136 1137-9 Internal Revenue Service State of Illinois Worldwide Management Board of water and Light Interstate motor freight University Athletic News Chicago Office Supply See Payroll Journal 10.00 618.82 4,800.00 1,763.65 2,356.99 3,250.00 558.09 November Monthly Totals Freight in GL 30800 2,356.99 40200 253 547.60 Posted Posted 1140 1141 E-53430 1142 1143 1144 1145 First Security Insurance Chicago Office Supply Velocity Sporting Goods Worldwide Management Board of Water & Light Interstate Motor Freight Internal Revenue Service 575.00 7,367.00 35,392.70 4,800.00 1,360.25 778.75 3,066.32 14-Dec 14-Dec 14-Dec 15-Dec 20-Dec 28-Dec 28-Dec 29-Dec 31-Dec 1146 1147 1148 1149-51 1152 1153 1154 E-53431 1155-57 Internal Revenue Service State of Illinois State of Illinois See Payroll Journal first security insurance university athletic news interstate motor frieght Velocity sporting goods See Payroll Journal 10.30 60.96 590.86 558.09 X 28,923.89 2,356.99 Posted Posted 41000 722.30 253 252 7,367.00 36,115.00 X X 40100 41000 778.75 20300 20700 20600 20500 20400 1,710.00 1,590.00 738.15 20,775.02 423.98 78,815.31 1,146.28 Posted Acct No. 20300 20700 20600 20400 40100 41000 44,052.67 7-Dec 12-Dec 13-Dec 13-Dec 13-Dec 13-Dec 14-Dec Monthly Totals Accounts Payable GL 20100 Subs Acct Subs Post Trans Amount No. Ref 253 985.80 X 547.60 252 27,380.00 X 2,876.92 RK December Debit Purchase Discounts GL 30700 41000 40200 738.15 252 21,199.00 64,681.00 Posted Posted Page 23 of 30 x 1,516.90 Posted Tran marina luttrell Payroll Journal November and December 2022 Gross Pay Date Employee Regular Hours Regular Pay Overtime Hours Overtime Pay 15-Nov 15-Nov 15-Nov Ray Kramer Jim Adams Nancy Ford 88 49 3,500.00 1,848.00 833.00 12.70 400.05 30-Nov 30-Nov 30-Nov Ray Kramer Jim Adams Nancy Ford 88 52 3,500.00 1,848.00 884.00 14.30 450.45 November Monthly Totals 12,413.00 850.50 Deductions Medicare Fed. Inc. Tax GL 20700 GL 20300 Credit Credit 50.75 303.00 32.60 210.00 12.08 – Gross Pay GL 40500 Debit 3,500.00 2,248.05 833.00 Social Security GL 20700 Credit 217.00 139.38 51.65 3,500.00 2,298.45 884.00 13,263.50 217.00 142.50 54.81 50.75 33.33 12.81 303.00 221.00 – 822.34 192.32 1,037.00 Posted Posted Posted Posted State. Inc. Tax GL 20400 Credit 163.87 101.89 27.16 Net GL 10 Cred 2, 1, 163.87 104.39 29.68 2, 1, 590.86 10, Posted RK 15-Dec 15-Dec 15-Dec Ray Kramer Jim Adams Nancy Ford 88 88 3,500.00 1,848.00 1,496.00 11.60 1.20 365.40 30.60 31-Dec 31-Dec 31-Dec Ray Kramer Jim Adams Nancy Ford 88 88 3,575.00 1,980.00 1,610.40 9.30 6.70 313.88 183.92 December Monthly Totals 14,009.40 893.80 3,500.00 2,213.40 1,526.60 3,575.00 2,293.88 1,794.32 14,903.20 Posted 217.00 137.23 94.65 221.65 142.22 111.25 50.75 32.09 22.14 51.84 33.26 26.02 303.00 203.00 51.00 163.87 100.18 61.49 2, 1, 1, 312.00 220.00 78.00 167.58 104.16 74.74 2, 1, 1, 924.00 216.10 1,167.00 672.02 11, Posted Posted Posted – – Page 24 of 30 – Posted marina luttrell Pay rate History Employee Ray Kramer Ray Kramer Ray Kramer Pay Rate $3,400 $3,500 $3,575 Time Unit Filing Status Semimonthly Semimonthly Semimonthly M M M Employee Pay Rate Time Unit Filing Status Jim Adams Jim Adams Jim Adams $20.00 $21.00 $22.50 hourly hourly hourly S S S Employee Pay Rate Time Unit Filing Status Nancy Ford Nancy Ford $17.00 $18.30 Hourly hourly M M Withholding Allowance 2 2 2 Withholding Allowance 2 2 2 Withholding Allowance 3 3 Effective Date Approved 12/16/20 12/16/21 12/20/22 RK RK RK Effective Date Approved 12/16/20 12/16/21 12/20/22 RK RK RK Effective Date Approved 10/1/22 12/20/22 Hire date, RK RK Bank Reconciliation December 2022 Bank Statement General Ledger Unadjusted Balance 12/31/22 Add Deposits in transit – Deduct Outstanding checks: – 0 Checks Outstanding Adjustments Je Post Ref – Adjusted Balance – Approved – marina luttrell Warren Sports Supply December 31, 2022 Year-end worksheet Do not show the entries to close income to income summary on this schedule 12/31/21 Post Closing Trial Balance 10100 10200 10210 10300 10400 10500 10600 10700 10800 10900 11000 20100 20200 20300 20400 20500 20600 20700 20800 20900 21000 21100 21200 26000 27000 28000 29000 29010 30100 30200 30300 30400 30500 30600 30700 30800 30900 31000 31100 31200 40100 40200 40300 40400 40500 40600 40700 40800 40900 41000 Cash Accounts receivable Accounts receivable from employees Allowance for doubtful accounts Inventory Prepaid expense Marketable securities Interest receivable Fixed assets Accumulated depreciation Notes receivable Accounts payable Wages and salaries payable Federal income taxes withheld State income taxes withheld State unemployment taxes payable Federal unemployment taxes payable F.I.C.A. taxes payable Federal income taxes payable Dividends payable Interest payable Notes payable Unearned revenue Common stock Paid in capital Income summary Retained earnings Dividends declared Sales Sales returns and allowances Sales discounts taken Cost of goods sold Purchases Purchases returns and allowances Purchases discounts taken Freight-in Gain/loss on sale of fixed assets Gain/loss on sale of marketable securities Interest/dividends income Miscellaneous revenue Rent expense Advertising expense Office supplies expense Depreciation expense Wages and salaries expense Payroll tax expense federal income tax expense Interest expense Bad debt expense Other operating expense Sub Total Debits 11,025.19 11,065.00 Credits 12/31/22 Pre Closing Trial Balance Debits Credits Adjustments Debits Adjusted Trial Balance Credits Ref 3,250.81 101,681.00 320,665.00 81,559.50 11,279.35 878.81 447.95 281.17 83.31 1,593.30 29,797.00 225,000.00 90,264.99 444,436.19 444,436.19 – – – Income Summary – Total Page 27 of 30 Debits Inc Credits Debits – – – – marina luttrell WAREN SPORTS SUPPLY BALANCE SHEET AT DECEMBER 31, 2022 AND 2021 In Dollars ASSETS 2022 CURRENT ASSETS Cash Accounts receivable – net Inventory Prepaid expenses Marketable securities Total current assets 2021 $ – FIXED ASSETS – Net of accumulated depreciation Total assets 11,025.19 7,814.19 101,681.00 120,520.38 239,105.50 $ – $ 359,625.88 $ 11,279.35 LIABILITIES AND STOCKHOLDERS’ EQUITY CURRENT LIABILITIES Accounts payable Payroll taxes withheld and payable Federal income taxes payable Dividends payable Interest payable Unearned revenue Total current liabilities NOTE PAYABLE Total liabilities STOCKHOLDERS’ EQUITY Common stock Retained earnings Total stockholders’ equity Total liabilities and stockholders’ equity $ Page 28 of 30 – 3,284.54 29,797.00 44,360.89 – 44,360.89 – 225,000.00 90,264.99 315,264.99 – $ 359,625.88 marina luttrell WAREN SPORTS SUPPLY STATEMENT OF INCOME AND RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31, 2022 In Dollars REVENUE Sales Less: Sales returns and allowances Sales discounts taken Net sales – COST OF GOODS SOLD Beginning inventory Net purchases Freight-in – Goods available for sale Less: Ending inventory Cost of goods sold – GROSS PROFIT – OPERATING EXPENSES Rent expense Advertising expense Office supplies expense Depreciation expense Wages and salaries Payroll taxes Bad debt expense Other operating expense Total operating expenses – OPERATING INCOME – OTHER INCOME – Miscellaneous income OTHER EXPENSE – Interest expense INCOME BEFORE TAXES – FEDERAL INCOME TAXES NET INCOME – RETAINED EARNINGS – Beginning of year 90,264.99 DIVIDENDS DECLARED RETAINED EARNINGS – End of year $ Page 29 of 30 90,264.99 WAREN SPORTS SUPPLY ACCOUNTS RECEIVABLE AGING REPORT DECEMBER 31, 2022 CUST NO. CUSTOMER 406 407 408 409 410 411 Rosemont University Clayborn University Branch Collage University of Southern Iowa Eastern Wisconsin University Stevenson College TOTAL AMOUNT DUE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 $0.00 CURRENT $0.00 31-60 $0.00 SUA #2 Month-End Procedures_Alt1 (80 Points) See Waren’s Month-End Procedures (Instro & FC book, p.12) Required: Complete Waren’s month-end procedures as specified in the Instruction & Flowcharts book p.12. Skip procedure #6. TO BE SUBMITTED: – Items required to be submitted in the instructions below (Graded). – Your workbook (not for grade) Required: Please put everything required below in one file! Put the homework title, your section, and your name in the Title of the file and name the file the same way “HWTitle_01JamesBond”. Use your name and section number as the header in the Word file, such as “01_JamesBond”. Insert page numbers. Points will be deducted if not following the instructions and you will receive a 0 if not submitted in a WORD file. Instructions: 1. Foot and cross-foot the monthly totals in the five special journals. It’s automatically done in your workbook. Nothing to be submitted. 2. Post journal entries in the five special journals to GL 1) Post all monthly totals of all columns of the special journals to GL in workbook, except for the column of “Other G/L”. Place a posting reference check mark. 2) Post individual transactions in “Other G/L” columns to the appropriate general ledger account and updates each general ledger account. Place a posting reference check mark by each of the individual transactions (done in workbook). Fill in the following tables as you complete this step. Add more rows in the table if needed. Submit the filled table below (30 points). 15 rows need to fill in. Journal Name Need to Post? SJ CR CR No Yes Yes G/L Acct # to be posted Description Dr. or Cr.? AMT 31200 21100 Misc. Rev. Cr. $825 3. Bank Reconciliation a. In your workbook, check if you have posted monthly total of Cash G/L column in CR, CD to G/L cash account, and click “posted”. Also check if you have posted the total of “Net Pay” column on Payroll journal to G/L cash account, and click ‘posted’. RK initials. Submit a screenshot of your G/L Cash account. Your screenshot should not include the $25 bank service fee. (10 points) 1 b. Compare each entry in the Cash Receipts Prelist (Doc#9) to the CR Journal and check. Submit a copy of your Cash Receipts Prelist ( Doc#9, 10 points). c. Use the template below (also in your workbook) to prepare bank reconciliation statement (Follow the steps below). Fill in the yellow parts in below “Bank Reconciliation”. (Use the workbook and fill in here). Submit the filled Bank Reconciliation Table. (20 points) Step1: Put in the balance from the bank statement (Doc #24) and the balance from the cash account on G/L (Already done) Step2: Add deposits in transit. To do this, need to check the Doc#25. Compare the “Deposits” with the items listed on Cash Receipts Prelist (CRP, Doc #9). Notice that the checks of 12/16 ($1622.88 )and 12/19 ($90,000) have been deposited to the bank account, but the two checks received and listed on 12/27 in the CRP have not been shown in Doc #25. So these two checks are deposits in transit that you need to put the amount of each check under “Add Deposits in transit” section under “Bank Statement” column in your reconciliation statement. (Note the $7931.96 deposited on 12/14 is the sum of 825+7106.96 dated Dec.14 on CRP). Step 3: Deduct the amount in the outstanding checks of Warren Sports that vendors have not cashed. Total 9 checks have been issued but not cashed. Find the uncashed checks below and put the amounts of outstanding checks under “Deduct: Outstanding checks” section under “Bank Statement” column in your reconciliation statement. 1) Compare the “deduct” section of outstanding checks in bank reconciliation doc in November Doc.#23 with the “Checks/ACH Payments” section in Doc#25. Notice one check has not been cashed. #1118 ($1985.21, already filled in) 2) Compare items in Cash Disbursement Journal in December with Doc#25 and notice that there are 5 checks that have not been cashed, with one listed below. #1142 ($4800, already filled in) ? which the other 4 checks are not cashed? 3) Compare items in “net pay” columns in payroll journal with Doc #25 and see which checks not cashed. 3 more checks that have not been cashed. Step 4: Record bank service charge (Already done) Note there might be rounding errors that you can ignore. Bank General Statement Ledger Unadjusted Balance 12/31/22 131,549.53 111,691.17 2 Add Deposits in transit 12/27 12/27 12,000.00 Total Deposit in Transit Deduct Outstanding checks: #1118 1,985.21 #1142 # # # E53431 # # # 4,800.00 9 Checks Outstanding Adjustments bank fee Je Post Ref (25.50) (25.50) Adjusted Balance Your numbers in this row should be the same. 3 d. Put the below adjusting entries in General Journal and post to GL (no submission needed) Appr Debit Credit oval Other 3 31operating Dec 41000 expense x 25.50 10100 cash x 25.50 RK 4. Put the following entries in General Journal. (no submission needed) Debit 2 31Dec payroll tax 40600 expense 20700 20500 20600 App rov al Credit x 1,277.92 fica payable state unemployment taxes payable federal unemployment taxes payable x 1,140.10 x 117.89 x 19.93 rk 5. Post all General Journal entries that you have so far to G/L in your workbook and complete the following table. (Hint: you have 3 JE that involve 8 G/L accounts). Submit the filled table below. (7 points) ACCT# Description Dr or Cr. ? AMT 10300 ADA Dr. 2900 6. Nothing to be submitted. 7. Prepare an AR aging report for Rosemount University (3 points) 4
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