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Computer Depot is a major computer store chain with locations across North America, Europe, and Africa. The company is preparing to report on business transactions that occurred during January.
Download the Excel spreadsheet for Computer Depot in the module folder. The spreadsheet includes the following tabs:
Transactions – Details the transactions that occurred in the month of January
Journal – General journal for the company
Ledger – General ledger for relevant accounts
Trial Balance – Template for unadjusted and adjusted trial balances
IS – Income Statement template
SE – Statement of Stockholders’ Equity template
BS – Balance Sheet template
CF – Statement of Cash Flows template.
Required:
Part A
Prepare journal entries for all the transactions occurring in January
Post entries to the general ledger
Prepare the unadjusted trial balance as of January 31st
Prepare adjusting entries at January 31st
Post adjusting entries to the general ledger
Prepare the adjusted trial balance as January 31st
Prepare and post closing entries and prepare trial balance at February 1st
Prepare the four primary financial statements on January 31st
Include a ratio analysis of your company and include the industry averages. Calculate at least one ratio from each category listed: Liquidity, Solvency, and Profitability, and provide an explanation on what it means to the company.
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