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Solid footing chapter 6 homework answers

11/11/2020 Client: arwaabdullah Deadline: 3 days

Mac Chapter 6 - OPJ Mini-Project

Solid Footing 10e

To activate your project, enter your: Software ID Code, First Name, and Last Name (press the Enter Key) -- then Click the Activate Project button.

Your Software ID Code is located in your Solid Footing book. Be sure to turn-in your blue Registration Slip to your instructor.

Software ID Code: 87425907 First Name: Lujia Last Name: Yang

Press the Enter key after you enter your Last Name

As you work on your project, be sure to save your file often.

Instructions: You will be recording the March 2017 transactions for OverPriced Jeans, Inc. (OPJ). After recording the March transactions you will be preparing a Pre-Closing Trial Balance, Income Statement, Calculation of Retained Earnings, Balance Sheet, and Post-Closing Trial Balance.

You are given the following:

! "#$%& ▹$#()#%▹*+() #(, -,,*▹*+(#. /(0+$1#▹*+( 22 ⌃$#() ▹#4

! 5&#$▹ +0 -%%+6(▹) 7*▹& -%%+6(▹ 86149$) #(, -%%+6(▹ 8#19) 22 5&#$▹ -%%▹) ▹#4

! :9(9$#. ;+6$(#. <#=9) 22 ;+6$(#. ▹#4

! :9(9$#. >9,=9$ 22 :> -))9▹)? :> >*#42@A6*▹B? :> C9D2@E< ▹#4)

! F+$1) 0+$ ▹&9 "#$%& GHI J$925.+)*(= ⌃$*#. K#.#(%9 L⌃$*#. K#. ▹#4M? /(%+19 N▹#▹919(▹ #(, Calculation of Retained Earnings (IS & RE tab), Balance Sheet (BalSht tab), and Post-Closing Trial Balance (Post Close TB tab)

To Complete Your Workbook do the following:

! J$*(▹ ▹&9 "#$%& ⌃$#()#%▹*+() L%.*%O ▹&9 ⌃$#() ▹#4 #(, ▹&9( %.*%O ▹&9 J$*(▹9$ /%+(M Use YOUR Transaction sheets -- do not use another student's sheets

! J$*(▹ ▹&9 5&#$▹ +0 -%%+6(▹) L%.*%O ▹&9 5&#$▹ -%%▹) ▹#4 #(, ▹&9( %.*%O ▹&9 J$*(▹9$ /%+(M

! C9%+$, ▹&9 "#$%& ▹$#()#%▹*+() *( ▹&9 :9(9$#. ;+6$(#.P 5.*%O ▹&9 ;+6$(#. ▹#4 #(, $9%+$, your entries directly into the General Journal. Look at the March 1 Common Stock transaction, which has already been entered, for an example of how to make your entries. Do not put the "X" in the Posted column at this time. Use the printed Chart of Accounts as a reference source for the Account Numbers and Account Names that are available in OPJ's accounting system.

! ⌃+ 1#O9 <+)▹*(= 0$+1 ▹&9 :9(9$#. ;+6$(#. ▹+ ▹&9 :9(9$#. >9,=9$ 9#)*9$? *▹ *) $9%+119(,9, ▹&#▹ you print the General Journal -- click the Journal tab and then click the Printer Icon.

! J+)▹ ▹&9 9(▹$*9) 0$+1 ▹&9 <$*(▹9, :9(9$#. ;+6$(#. ▹+ ▹&9 :9(9$#. >9,=9$ #%%+6(▹)P 5.*%O ▹&9 GL Assets, GL Liab-Equity, and GL Rev-Exp tabs to find the accounts to be posted. Record your postings directly into the General Ledger. As you post an amount to an account be sure to enter the General Journal Page # into the Journal Page # column. See

>SAVING YOUR PROJECT -- Immediately after Activation Save your project in a file that uses your name as the file name. The file name should be in the form: LastNameFirstName-OPJ For example, Mary Smith would save her project with the file name SmithMary-OPJ

Mac Excel 2016 and Mac Excel 2011, follow these directions: - Click File - Click Save As - In Save As: enter LastNameFirstName-OPJ - Format must be Excel Macro-Enabled Workbook (xlsm) - Before clicking Save, be sure the file is being saved to the Solid Footing 10e folder on your Mac, and not to an online location such as OneDrive - Click Save

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the first posting to the Cash-Big Bank account for an example. After you post an amount to a General Ledger account, then hand write an "X" in the Posted column of the printed General Journal. This will help you keep track of which entries you have posted.

! @(▹9$ ▹&9 QRQ)? 7&*%& B+6 &#(, 7$+▹9 +( B+6$ :9(9$#. ;+6$(#. <#=9)? *(▹+ ▹&9 General Journal. Click the Journal tab and enter the "X"s in the Posted column

Pg. 2 ! J$9<#$9 ▹&9 "#$%& GH #,S6)▹*(= 9(▹$B 0+$ *(▹9$9)▹ ,69 +( ▹&9 8+▹9 J#B#4.9 ▹+ K*= K#(OP The information for this adjusting entry is under the heading "Additional Information" on the page that printed when you printed the Trans tab. Click the Journal tab and record the adjusting entry in the General Journal. Use the printed Chart of Accounts as a reference source for the Account Numbers and Account Names that are available in OPJ's accounting system.

! J+)▹ ▹&9 #,S6)▹*(= 9(▹$B 0$+1 ▹&9 :9(9$#. ;+6$(#. ▹+ ▹&9 :9(9$#. >9,=9$ #%%+6(▹)P Click the GL Liab-Equity and GL Rev-Exp tabs to find the accounts to be posted. As you post an amount to an account be sure to enter the General Journal Page # into the Journal Page # column. After you post an amount to a General Ledger account, click back on the Journal tab and enter an "X" in the Posted column of the General Journal.

! J$*(▹ TJ;U) :9(9$#. >9,=9$ 4BI %.*%O*(= ▹&9 :> -))9▹) ▹#4 #(, ▹&9( %.*%O*(= ▹&9 J$*(▹9$ *%+(? clicking the GL Liab-Equity tab and then clicking the Printer icon, and clicking the GL Rev-Exp tab and then clicking the Printer icon.

! ⌥)*(= ▹&9 <$*(▹9, :9(9$#. >9,=9$? 9(▹9$ ▹&9 9(,*(= #%%+6(▹ 4#.#(%9) *(▹+ ▹&9 "#$%& GH Pre-Closing Trial Balance. Click the Trial Bal tab and enter the amounts into the Pre-Closing Trial Balance. Print the March 31 Pre-Closing Trial Balance by clicking the Printer icon.

! ⌥)*(= ▹&9 <$*(▹9, "#$%& GH J$925.+)*(= ⌃$*#. K#.#(%9? <$9<#$9 ▹&9 "#$%& WXHY Income Statement. Click the IS & RE tab and enter the amounts into the Income Statement.

! ⌥)*(= ▹&9 <$*(▹9, J$925.+)*(= ⌃$*#. K#.#(%9 #(, ▹&9 89▹ /(%+19 #1+6(▹? <$9<#$9 ▹&9 Calculation of Retained Earnings as of March 31 for the Balance Sheet. Click the IS & RE tab and enter the amounts into the schedule.

! ⌥)*(= ▹&9 <$*(▹9, "#$%& GH J$925.+)*(= ⌃$*#. K#.#(%9 #(, ▹&9 #1+6(▹ 0$+1 ▹&9 Calculation of Retained Earnings as of March 31, prepare the March 31, 2017 Balance Sheet. Click the BalSht tab and enter the amounts into the Balance Sheet.

! J$9<#$9 ▹&9 %.+)*(= 9(▹$*9)P 5.*%O ▹&9 ;+6$(#. ▹#4 #(, 9(▹9$ ▹&9 %.+)*(= 9(▹$*9) *(▹+ ▹&9 General Journal. Place your closing entries on Page # 3 of the General Journal.

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! J+)▹ ▹&9 %.+)*(= 9(▹$*9) 0$+1 ▹&9 :9(9$#. ;+6$(#. ▹+ ▹&9 :9(9$#. >9,=9$ #%%+6(▹)P Click the GL Liab-Equity, and GL Rev-Exp tabs to find the accounts to be posted. As you post an amount to an account be sure to enter the General Journal Page # into the Journal Page # column. After you post an amount to a General Ledger account, click back on the Journal tab and enter an "X" in the Posted column of the General Journal.

! 5.*%O ▹&9 J+)▹ 5.+)9 ⌃K ▹#4 #(, <$9<#$9 ▹&9 "#$%& GH J+)▹25.+)*(= ⌃$*#. K#.#(%9P

Your project is complete! Your instructor will provide you with directions on how to submit your project.

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Solid Footing 10e Copyright © 2017 Micro Solve, Inc.

Steps 1 and 2 in the Accounting Cycle

Step 1 For each business transaction that occurs during the accounting period, determine the effect of the transaction on the General Ledger accounts.

Step 2 Make an entry in the General Journal for each transaction and post the entry to the General

>SAVING YOUR PROJECT -- Immediately after Activation Save your project in a file that uses your name as the file name. The file name should be in the form: LastNameFirstName-OPJ For example, Mary Smith would save her project with the file name SmithMary-OPJ

Mac Excel 2016 and Mac Excel 2011, follow these directions: - Click File - Click Save As - In Save As: enter LastNameFirstName-OPJ - Format must be Excel Macro-Enabled Workbook (xlsm) - Before clicking Save, be sure the file is being saved to the Solid Footing 10e folder on your Mac, and not to an online location such as OneDrive - Click Save

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Ledger accounts.

Step 3 in the Accounting Cycle

At the end of the accounting period, before preparing the financial statements, determine if any of the General Ledger account balances need to be adjusted. Enter any required adjusting entries into the General Journal and post the adjusting entries to the General Ledger accounts.

Step 4 in the Accounting Cycle

Prepare a Pre-Closing Trial Balance to determine that the accounts in the General Ledger are in balance.

Step 5 in the Accounting Cycle Prepare an Income Statement from the ending balances in the General Ledger revenue and expense accounts.

Step 6 in the Accounting Cycle Calculate the ending balance of the Retained Earnings account that is needed for the preparation of the Balance Sheet

Step 7 in the Accounting Cycle Prepare the Balance Sheet from the ending balances in the General Ledger asset accounts, liability accounts, Common Stock account, and the calculated ending balance for the Retained Earnings account.

Step 8 in the Accounting Cycle Prepare and enter the revenue and expense closing

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entries into the General Journal, and post the closing entries to the General Ledger accounts.

Step 9 in the Accounting Cycle Prepare a Post-Closing Trial Balance to determine that the accounts in the General Ledger are in balance and ready to start a new Accounting Cycle.

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OverPriced Jeans, Inc. - Transactions - Additional Information S

March 2017 Transactions

Date Description of the Transaction

March 1 Owners of OPJ invested an additional $55,000 cash into the business. The cash is put into Big Bank. (As an example of how to journalize and post a transaction -- this transaction has already been entered into the General Journal and posted to the General Ledger.)

March 1 THE MARCH TRANSACTIONS WILL APPEAR -- AFTER YOU ENTER YOUR ID CODE

March 1

March 2

March 10

March 15

March 16

March 17

March 20

March 22

March 26

March 30

Additional Information

Note Payable Big Bank:

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OverPriced Jeans, Inc. - Chart of Accounts

Account # Account Name

Assets: 100 Cash - Big Bank 105 Cash - Little Bank 110 Accounts Receivable 120 Inventory 150 Equipment

Liabilities: 200 Accounts Payable 210 Note Payable - Big Bank 215 Note Payable - Little Bank 220 Interest Payable - Big Bank 225 Interest Payable - Little Bank

Equity: 300 Common Stock 305 Retained Earnings

Revenues: 400 Sales Revenue

Expenses: 500 Cost of Goods Sold 510 Rent Expense 515 Wages Expense 520 Interest Expense

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OverPriced Jeans, Inc. - General Journal

2017 Account Account Name Posted DebitMonth-Day Number 3-1 100 Cash - Big Bank X 55,000.00

300 Common Stock X Issue additional Common Stock

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OverPriced Jeans, Inc. - General Journal

2017 Account Account Name Posted Debit

Month-Day Number

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OverPriced Jeans, Inc. - General Journal

2017 Account Account Name Posted Debit

Month-Day Number

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Solid Footing 10e Copyright © 2017

OverPriced Jeans, Inc. - General Journal Page # 1

Credit

55,000.00

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OverPriced Jeans, Inc. - General Journal Page # 2

Credit

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OverPriced Jeans, Inc. - General Journal Page # 3

Credit

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OverPriced Jeans, Inc. - General Ledger

Account # 100 Cash - Big Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 76,000.00 3-1 1 55,000.00

Account # 105 Cash - Little Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 27,000.00

Account # 110 Accounts Receivable

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 158,000.00

Account # 120 Inventory

2017 Journal Debit Credit�1

Month-Day Page # Debit Credit

3-1 Beginning Balance 36,000.00

Account # 150 Equipment

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 60,000.00

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Solid Footing 10e Copyright © 2017

OverPriced Jeans, Inc. - General Ledger

Cash - Big Bank

Balance

76,000.00 Dr 131,000.00 Dr

Cash - Little Bank

Balance

27,000.00 Dr

Accounts Receivable

Balance

158,000.00 Dr

Inventory

Balance

C A U T I O N Enter amounts into the accounts by typing in the amounts.

Do NOT copy cells from the General Journal into the accounts.

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Balance

36,000.00 Dr

Equipment

Balance

60,000.00 Dr

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OverPriced Jeans, Inc. - General Ledger

Account # 200 Accounts Payable

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00

Account # 210 Note Payable - Big Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 65,000.00

Account # 215 Note Payable - Little Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 60,000.00

Account # 220 Interest Payable - Big Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 600.00

Account # 225 Interest Payable - Little Bank

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 450.00

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Account # 300 Common Stock

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 75,000.00 3-1 1 55,000.00

Account # 305 Retained Earnings

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 155,950.00

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Solid Footing 10e Copyright © 2017

OverPriced Jeans, Inc. - General Ledger

Accounts Payable

Balance

0.00 Cr

Note Payable - Big Bank

Balance

65,000.00 Cr

Note Payable - Little Bank

Balance

60,000.00 Cr

Interest Payable - Big Bank

Balance

600.00 Cr

Interest Payable - Little Bank

Balance

450.00 Cr

C A U T I O N Enter amounts into the accounts by typing in the amounts.

Do NOT copy cells from the General Journal into the accounts.

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Common Stock

Balance

75,000.00 Cr 130,000.00 Cr

Retained Earnings

Balance

155,950.00 Cr

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OverPriced Jeans, Inc. - General Ledger

Account # 400 Sales Revenue

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00

Account # 500 Cost of Goods Sold

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00

Account # 510 Rent Expense

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00

Account # 515 Wages Expense

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00 �1

Account # 520 Interest Expense

2017 Journal Debit Credit Month-Day Page #

3-1 Beginning Balance 0.00

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Solid Footing 10e Copyright © 2017

OverPriced Jeans, Inc. - General Ledger

Sales Revenue

Balance

0.00 Cr

Cost of Goods Sold

Balance

0.00 Dr

Rent Expense

Balance

0.00 Dr

Wages Expense

Balance

0.00 Dr

C A U T I O N Enter amounts into the accounts by typing in the amounts.

Do NOT copy cells from the General Journal into the accounts.

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Interest Expense

Balance

0.00 Dr

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4a1S Solid Footing 10e Copyright © 2017 OPJ's - March 31, 2017 Pre-Closing Trial Balance

Account # Account Name Debit Credit

100 Cash - Big Bank 105 Cash - Little Bank 110 Accounts Receivable 120 Inventory 150 Equipment 200 Accounts Payable 210 Note Payable - Big Bank 215 Note Payable - Little Bank 220 Interest Payable - Big Bank 225 Interest Payable - Little Bank 300 Common Stock 305 Retained Earnings 400 Sales Revenue 500 Cost of Goods Sold 510 Rent Expense 515 Wages Expense 520 Interest Expense

Totals 0.00 0.00

C A U T I O N Enter amounts into the Pre-Closing Trial Balance by typing in the amounts. Do NOT copy cells from the General Ledger.

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C A U T I O N Enter amounts into the Pre-Closing Trial Balance by typing in the amounts. Do NOT copy cells from the General Ledger.

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Solid Footing 10e Copyright © 2017 OverPriced Jeans, Inc.

Income Statement for the Month Ended March 31, 2017

Sales Revenue Cost of Goods Sold

Gross Profit 0.00

Expenses: Rent Expense Wages Expense Interest Expense

Total Expenses 0.00

Net Income US$0.00

Calculation of Retained Earnings as of

March 31 for the Balance Sheet

Retained Earnings Current Balance

Plus March Net Income

Retained Earnings as of March 31 for Balance Sheet 0.00

C A U T I O N Enter amounts into the Financial Statements by typing in the amounts. Do NOT copy cells from the General Ledger or Pre-Closing Trial Balance.

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Solid Footing 10e Copyright © 2017 OverPriced Jeans, Inc.

Balance Sheet as of March 31, 2017

Assets

Cash - Big Bank Cash - Little Bank Accounts Receivable Inventory Equipment

Total Assets US$0.00

Liabilities

Accounts Payable Note Payable - Big Bank Note Payable - Little Bank Interest Payable - Big Bank Interest Payable - Little Bank

Total Liabilities 0.00

Equity: Common Stock Retained Earnings

Total Equity 0.00

Total Liabilities & Equity US$0.00

C A U T I O N Enter amounts into the Balance Sheet by typing in the amounts. Do NOT copy cells from the General Ledger or Pre-Closing Trial Balance.

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C A U T I O N Enter amounts into the Balance Sheet by typing in the amounts. Do NOT copy cells from the General Ledger or Pre-Closing Trial Balance.

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Solid Footing 10e Copyright © 2017

OPJ's - March 31, 2017 Post-Closing Trial Balance

Account # Account Name Debit Credit

100 Cash - Big Bank 105 Cash - Little Bank 110 Accounts Receivable 120 Inventory 150 Equipment 200 Accounts Payable 210 Note Payable - Big Bank 215 Note Payable - Little Bank 220 Interest Payable - Big Bank 225 Interest Payable - Little Bank 300 Common Stock 305 Retained Earnings 400 Sales Revenue 500 Cost of Goods Sold 510 Rent Expense 515 Wages Expense 520 Interest Expense

Totals 0.00 0.00

C A U T I O N Enter amounts into the Post-Closing Trial Balance by typing in the amounts. Do NOT copy cells from the General Ledger.

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C A U T I O N Enter amounts into the Post-Closing Trial Balance by typing in the amounts. Do NOT copy cells from the General Ledger.

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InfoPct 10e

8 1 7 2 4 3 2 4 5 5 9 6 0 7 7 8

742590 63

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